China outdoor products industry market depth analysis

The original intention of outdoor product design is designed for outdoor sports to provide a full range of protection, so the lack of mass at the beginning of the foundation, the audience is small so that the industry's development speed and prospects have been greatly restricted. Looking at the development path of outdoor sports in Europe and the United States, the popularity of outdoor sports is the driving force and catalyst for its development. The continuous expansion of outdoor participation in the masses is a necessary condition for the outdoor industry to achieve rapid development. Pan-outdoor, different from the high degree of professional outdoor high-risk, more inclined to healthy outdoor leisure and sports, has become the mainstream of the development of the outdoor industry, a wide range of positioning can also bring a wider consumer base, the current domestic outdoor The industry has gradually transformed from a specialized market to a market for mass demand.

At present, a brand pyramid is formed in outdoor brands in China: all high-end outdoor products are monopolized by foreign first-line brands, some are mainly formed in foreign second and third tier brands, and mid-range outdoor products are mainly China's domestic brands. Outdoor sports products in the next few years or incremental market, with the expansion of the horizontal expansion, market segments and brands will gradually become clear. Although low-end products will quickly gain market share, they will inevitably be infiltrated by high-end brands in the vertical growth period. However, if domestic brands can effectively utilize their existing advantages to seize market share and make up for their own weaknesses in the development process, they will be able to form a rivalry with foreign brands.

"Pan-outdoor" does not require special top equipment, cost-effective domestic outdoor brand and its positioning more fit. On the one hand, most Chinese consumers demand outdoor clothing styles much more than the functionality of clothing. On the other hand, most international outdoor brand garments are designed according to European and American stature. These products are impeccable in function, but they may not be in conformity with the Chinese consumers' stature. These are the domestic outdoor brands provide a broad market space for development.

At the same time, the domestic brands in the channel development, better understanding of the local market, can be targeted to develop product marketing strategy. Especially in second and third tier cities, the local brand limelight.

Pathfinder companies set up early, seize the industry early opportunities, rapid expansion through the capital markets, 2006 to 2011, the company revenue growth of 10 times the size of the channel increased by nearly 6 times. While consolidating and enhancing core and primary market penetration, we will speed up the expansion of the secondary market in tier-2 cities and tertiary-tier cities in some economically developed regions, and strive to achieve sales volume changes through the growth of the number of stores and gradually shift to performance optimization, , The terminal is a breakthrough point, promote the rapid development of products and brands.

Europe and the United States outdoor products industry into a mature period

With the developed economy in Europe and the United States, people have more opportunities to participate in outdoor activities. With a good natural environment and longing for a healthy lifestyle, outdoor sports have a broad mass base in Europe and the United States, which provides a fundamental basis for the development of the outdoor products industry Motivation.

The popularity of outdoor sports is the driving force and catalyst for its development

Throughout the history of outdoor development in Europe and the United States, it is not difficult to find that the development of the outdoor industry depends on several important factors: 1) having more natural resources such as mountains, sea, rocks and forests; 2) industrialization, on the one hand urban space Narrow, urban pollution, work pressure and other factors have prompted people to go outdoors to relax and decompression; the same time, higher disposable income, the continuous development of the automotive industry (especially the development of SUV), so that tourism to expand the radius of travel.
The popularity of outdoor sports is the driving force and catalyst for its development. Outdoor industry to go through "professional - the public", outdoor consumer groups from the "professional mountaineer, explorer - the general public" process, can embark on the rapid development of access. The rapid development of the outdoor industry during this period was characterized by the popularity of automobiles, the increase of disposable income of residents, the increased number of outdoor sports participation, the new activities of camping and climbing, and the emergence of integrated outdoor retail channels.

Technical and technological progress, and promote the development of outdoor industry

In Europe 25 years after the 1980s, in addition to the improvement of the overall economic level and changes in people's living standard and concept, the development of outdoor products market has played a very important role in the development of outdoor products. Technological change has changed the performance of products, product performance improvement to win more and more consumers, thus contributing to the development of the outdoor market. For example, the weight of tents decreased from 3.5KG in 1980 to 1.3KG in 2006, and the weight of mountaineering bags decreased from 1.5KG in 1980 to 360KG in 2006, which improved the convenience of travelers.
Outdoor products industry capacity, great contribution to the national economy

Europe: Europe outdoor products industry has grown 17 times in the past 25 years. European outdoor industry, the origin of mountaineering is the emergence and development of power and catalyst is the popularity of outdoor sports. Over the past two or three decades, the overall size of the outdoor industry in Europe also increased from 341 million euros in 1980 to 5.363 billion euros in 2006, faster than the overall economic growth in Europe during the same period.
United States: The total contribution of the national economy to outdoor sports is 730 billion U.S. dollars

The origin of the United States outdoor, mainly from the natural love of the wild. With the industrialization of the late nineteenth century, nature protection and outdoor camping began to emerge. In the first 60 years of the 20th century, the development of cars, roads and tourist facilities promoted the development of national parks. Driven by technological and industrial developments, the interest of citizens in outdoor recreation in the 1960s and 1970s continued to rise. Since the 1980s, the outdoor leisure industry has gradually shifted from the government to private hands; the role of the federal government has been transformed into the development of local and private industries.

According to the OIA report, the outdoor leisure industry has become one of the major driving forces driving the U.S. economy and maintaining sustained growth under the current economic downturn. In 2006, the U.S. Outdoor Foundation (OIF) calculations showed that the U.S. outdoor sports annual output is conservatively estimated at 730 billion U.S. dollars.
Brand differentiation as an important means to increase market share

Europe and the United States outdoor industry after years of development, has now matured, the number of brands in the market is relatively stable, between brands and brands, styles and products are quite different. Market share competition is more based on brand awareness and loyalty above, so most outdoor products brand differentiation and subdivision of the professional as an important means to further improve market share.

Europe: brand structure and product differentiation

From the European outdoor market product category, outdoor clothing market share accounted for half, followed by shoes and sleeping bags. Judging from the share of retail markets in European outdoor markets, Germany's outdoor retail market share is the largest.

The German outdoor industry developed countries as a point of view of the outdoor market in Europe, peep to see Europe outdoor market brand structure and product differentiation. In the outdoor market in Germany, the number of the most important outdoor brands is around 20: 5 comprehensive brands, 7 clothing brands (5 of which are comprehensive brands), 8 shoe brands (2 of which are comprehensive brands), backpacks 6 brands (3 of which are integrated brands), 6 sleeping bag brands (4 of which are integrated brands), 5 tent brands (3 of which are integrated brands) and 6 climbing technical equipment brands (2 of which are integrated Brand).

This shows that in this relatively mature European market, not many truly competitive brands, these major brands account for the vast majority of market share.

US: Brands Have Their Own Strengths in Different Market Segments SNEWS's report shows that with the exception of The North Face, more than a dozen other brands have their strengths in different market segments, each with its own share of the market . (Due to the fact that SNEWS statistics come from hundreds of independent outdoor stores throughout the United States that do not include shopping malls, the vast majority of sales contributions come from Columbia, which has a relatively low outdoor sales rank).

China's outdoor industry in a high growth period

China's outdoor industry is in a "high-expansion" phase of growth with an exponential growth in retail sales. 1960s-1980s The thriving three major driving forces of the outdoor industry in the United States: 1) the government's attention and strong advocacy; 2) residents' demands for environmental protection and healthy living after modern industrialization; and 3) progress in outdoor technology and craftsmanship. The abundant natural resources have laid a good foundation for the development of China's outdoor industry. The support of government policies and the change of residents' lifestyles are two major opportunities for the development of China's outdoor industry. At present, China's outdoor industry in the "expansion" high-growth stage. In 2011, the total retail sales of outdoor products in China reached 10.76 billion yuan, an increase of 50.91% over the previous year. Since 2000, the retail sales of domestic outdoor products have grown exponentially.

In particular, the gap, with the potential to become the next European and American markets

Although rapid growth in recent years, but China's outdoor market capacity compared with Europe and the United States there is a big gap. From another perspective, at present there are more than 20,000 campsites in various themes and different stars in the United States, while the number of campsites in China is still only two digits. However, whether it is the support of external conditions or the promotion of internal demand, the outdoor market in China already has the potential advantage of becoming the next European and American market.

First of all, China has abundant natural tourism resources and is an excellent foundation for the development of China's outdoor sports.

Second, some economically developed regions have entered a higher level of consumption. In particular, the middle and high-income groups with a per capita GDP of more than 3,000 U.S. dollars have been formed and expanded. With the continuous improvement of residents' income level and the increase of the proportion of highly educated people, the size of outdoor sports groups will continue to expand.

Third, the continuous development of the automobile industry has expanded the radius of action for urban people. The annual leave system implemented by the state during the Golden Week and white-collar workers has provided time for travel. These factors also form the booster for the rise of outdoor sports.

Fourthly, in the process of urbanization, the narrow urban space, intensified urban pollution and work pressure all urge people to go outdoor to relax and decompress, thus promoting the development of the outdoor market.

"Pan-outdoor" obvious trend of development, the domestic outdoor industry has gradually become the public demand market

The original intention of outdoor product design is designed for outdoor sports to provide a full range of protection, so the lack of mass at the beginning of the foundation, the audience is small so that the industry's development speed and prospects have been greatly restricted. Looking at the development path of outdoor sports in Europe and the United States, the popularity of outdoor sports is the driving force and catalyst for its development. The continuous expansion of outdoor participation in the masses is a necessary condition for the outdoor industry to achieve rapid development.

With the improvement of living standards, the popularization of automobiles and the increasing pressure of urban work, modern metropolitan families are increasingly desirous of making contact with nature. The rise of the "pan-outdoor" movement has just met the consumer demand of this group of people and has rekindled Urban people's health, freedom and confidence in life attitude.

Pan-outdoor, different from the high degree of professional outdoor high-risk, more inclined to healthy and recreational outdoor sports, such as short-range hiking, climbing, fishing, driving, picking, barbecue, camping and other fields. "Pan-outdoor" has become the mainstream of the development of the outdoor industry in China. Broad positioning can also bring a wider consumer base. Currently, the domestic outdoor industry has gradually shifted from a specialized market to a market for mass demand.
Outdoor brands continue to increase, the industry concentration began to increase

Compared with the stable and differentiated brands in the mature outdoor markets in Europe and the United States, at present there is no outdoor brand in China's outdoor market that accounts for absolute monopoly and market share. The number of brands continues to increase, and the outdoor market in China is about to enter or Just entered the most competitive period.

At present, the number of outdoor brands grew rapidly. In 2011, there were 717 outdoor brands in the domestic market, up 29.42% from 554 in 2010, of which 383 were domestic brands, representing an increase of 67.25% as compared with 229 in 2010 and 334 foreign brands, an increase of 325 in 2010 2.77%.

Combined with the analysis of the changes in the number of brands with a shipping volume of 10 million to 30 million, the current growth of small brands in China is rapid. Some brands have more than 10 years of processing outsourcing and do OEM's technical advantages and experience, and the number of channels is less than One hundred, the product category is more single.

At present, China's outdoor market has not yet appeared the absolute outdoor monopoly position and market share of outdoor brands, the number of brands is still continuing to increase sales of the top ten brand concentration is rising. In the future, as the advantages of brand management and management capabilities increase, the channel sinks faster, the industry concentration will be further enhanced, the dominant brands will occupy a higher market share.

Outdoor sports products in the next few years or incremental market, the level of low-end products to the main expansion

Due to the booming and market prospects of China's outdoor products industry, more and more brands and capital have been attracted. Well-known foreign brands of outdoor products is with strong financial resources, research and development, design and marketing strength, have increased their efforts to open up the Chinese market, the market increasingly competitive.

Currently in China's outdoor brands, the formation of a brand pyramid type: high-end outdoor products are all monopolized by foreign brands, such as Arc'teryx, Marmot, MHW, Patagonia, etc., mainly in the high-end outdoor in the formation of two or three brands , Such as Columbia, BlackYak, JackWolfskin, etc .; mid-range outdoor is mainly China's domestic brands, such as Pathfinder, Ozark, Kailas, Northland and so on.

Outdoor sports products in the next few years or incremental market, with the expansion of the horizontal expansion, market segments and brands will gradually become clear. Although low-end products will quickly gain market share, they will inevitably be infiltrated by high-end brands in the vertical growth period. However, if domestic brands can effectively utilize their existing advantages to seize market share and make up for their own weaknesses in the development process, they will be able to form a rivalry with foreign brands.
Domestic brands cost-effective, more understanding of the local market and consumers

Most foreign brands in the high-end brands, R & D capability, professional, good reputation, but the price is expensive. Many domestic brands, the product is more low-end, cost-effective, channel development ability.
Domestic brands compared to foreign brands have the following competitive advantages:

1, some domestic brands started as big outdoor OEMs in Europe and the United States, has accumulated many years of outdoor garment processing and design experience. Compared to foreign brands, brand premium rate is not high, cost-effective products.

2, foreign brand R & D ability, professional, good reputation, but expensive. General "pan-outdoor" activities do not need to be carried out in a particularly extreme environment, do not need special top equipment. To Jackets waterproof breathable coefficient, for example, the current top jacket waterproofing can reach 30000, and breathable performance of 15000-20000, such as Archeopteryx AlphaSV series, the price is around 8000. However, the general jacket waterproof and breathable performance of 5000/5000 to meet the needs of most outdoor activities. At present, the basic brand to achieve this indicator. Moreover, the domestic brand positioning in both function and fashion, more popular. Many foreign outdoor sports brands have rich industry experience and cultural heritage, forming a strong competition for domestic brands that have only been born for a few years. However, if local brands can effectively utilize their existing advantages to seize market share and make up for their own disadvantages in a targeted manner, they will be able to form a rivalry with foreign brands.

The rise of "pan-outdoor" has raised a broad space for development for domestic brands

Mentioned earlier, "pan-outdoor" development trend is obvious, the domestic outdoor industry has gradually become the public demand market. "Pan-outdoor" does not require special top equipment, cost-effective domestic outdoor brand and its positioning more fit. On the one hand, most Chinese consumers demand much more fashion clothing than outdoor clothing. On the other hand, most international outdoor brand garments are designed according to European and American stature. These products are impeccable in function, but they may not be in conformity with the Chinese consumers' stature. These are the domestic outdoor brands provide a broad market space for development.

At the same time, the domestic brands in the channel development, better understanding of the local market, can be targeted to develop product marketing strategy. Especially in second and third tier cities, the local brand limelight. More and more domestic brands are entering the market (383 domestic brands in 2011, an increase of 67.25% over 229 in 2010). Outdoor supplies in the second and third tier cities in the rapid development of consumer spending, as well as the rise of second and third tier cities in the city, to the domestic outdoor brands to provide a greater stage.