China'S Trend: "Differentiated" Survival In Adversity

Hongkong's stock market has successfully landed on the stock market in HK3818, which is more than about 30000000000 of its market value. China's trend (HK3818), the "upstart" in China's sports brand, is now on the top of the market value of Chinese sports brands.

To ask the secret of success, a low profile and pragmatic trend is just a word: differentiation.

In fact, differentiation is not a new concept, it is only a means of enterprise development.

However, to release the role of differentiation, we must master its essence, and China's trend is precisely such a company that is well versed in the way of differentiation and will play its best role.

The trend of acting Kappa as the main business was established in 2002. At that time, Lining group held 80% of its shares, while Chen Yihong, then general manager of the Lining group, held the remaining 20% stake and became chairman of the trend.

The positioning of "professional sporting goods" has led to the collision of heavyweight competitors such as Nike and Adi, and its original Italy design can not satisfy the aesthetic pursuit of Chinese people.

What is even more disadvantageous is that because it has only been authorized for five years with Kappa's parent company BasicNet, Lining, who is worried about "making clothes for others", is unwilling to invest too much money and manpower.

The trend of being trapped in internal worries was at risk.

The turnaround took place in 2004.

At the Kappa global conference, Chen Yihong found that in addition to professional sports products, Kappa has another product line: sports fashion line.

Keen Chen Yihong realized that this is perhaps the hope of Kappa's success in China.

At the end of August 2005, Chen Yihong formally bought 80% of the shares from Li Ning Co, and became a real trend boss and led the trend to promote Kappa's "turn around" in the Chinese market.

This is a difficult pition.

In order to ensure the successful implementation of differentiated strategy, we must first ensure that the core team's understanding is unified, followed by the absolute right to speak of the trend.

During that time, the management led by Qin Dazhong frequently appeared in Sanlitun, Houhai and cherry street.

This has insisted that "sports goods should be professional. Red, blue and black" management has gradually realized that the original clothes can still be worn so that they can be tight fitting, can be blue and loose yellow, and can be very fashionable to publicize their personalities.

But at that time, the Kappa agency had only two years left. In order to reverse the predicament, in early 2006, Chen Yihong learned that BasicNet had difficulty in cash flow temporarily. After negotiation, it bought the brand ownership and permanent management rights of Kappa in inland China and Macao area at a cost of about 30000000 dollars.

After returning to Beijing, Morgan gained $38 million in strategic investment. Since then, the trend has entered the right track of pformation.

Compared with the Kappa strategy discrepancy in the dangerous situation, the difference strategy in Kappa marketing seems to be based on the awareness of self resources.

It is this awareness that makes the trend more innovative in the field of sports marketing.

Because of the inherent requirement of Kappa strategic pformation, the trend has formed a Kappa marketing strategy of "sports entertainment, entertainment movement" in China.

In sponsoring sports events, Kappa is also looking for a new way to seek the conjunction between the sponsor and its brand.

Kappa has been following this demand in sponsoring Olympic events.

"Strong and strong combination" is the most common strategy in Olympic cooperation. However, Kappa has chosen the "cold war" project in the opposite direction.

This may seem unreasonable, but it is not difficult to find out the deep insight of Kappa in the market.

The rapid development of sailing and Kappa, the promotion and popularization of sailing events will create a large amount of communication space for Kappa. More importantly, the choice of sponsoring such an Olympic sport that has not yet been popularized is conducive to the development of sailing. It not only can better interpret the Olympic spirit of "focusing on participation", but also embodies the strong humanistic solicitude of Kappa brand, so that consumers can feel the social responsibility of enterprises.

This is the difference between trend understanding and practice. It is not choice but innovation. It is not the icing on the cake but the way of survival in adversity. It has been deeply immersed in the blood and bones of people.