As a legend in the industry, Mr. Zhong Chengzhan, CEO of Kailas, delivered an inspiring speech.
Greater efficiency in information flow, logistics, and capital flow can be considered the keys to new retail. The transformation of new channels is a challenge everyone must face, and traditional business models are being challenged. The outdoor industry has evolved from its initially chaotic stage to a relatively mature one. Brand concentration will continue to increase, and competition will become fiercer. The principle of “survival of the fittest” also applies in the outdoor market.
“Staying the course” and continuing down the path of specialization is Mr. Zhong’s philosophy. He believes that specialized brands will have stronger market potential in the future. Kailas, for example, is a brand that specializes in climbing equipment.
Host Mr. Zhang Jida was deeply moved by Mr. Zhong’s commitment to staying the course. In today’s tough market environment, having a clear and unwavering brand positioning is incredibly valuable.
In recent years, Kailas’ investment in events and offline activities has been evident to all. For many, high-profile events may seem impressive, but Mr. Zhong believes participation is what truly matters. Taking part in these events brings him joy, and it’s not just a marketing tactic — it’s a matter of passion. “We just want to do it,” he explained. This is history written with dedication — this is where classic outdoor moments come from.
3 billion RMB in 2023, 10 billion RMB in 2028 — this is Kailas’ revenue plan. When Mr. Zhong mentioned this, the audience erupted in applause. The new leadership team at Kailas made a bold pledge upon taking office. This year, their new strategies have driven a 15%–20% increase in revenue (in the first half of the year), while wholesale business saw a 6% decline. Mr. Zhong predicts that the dealer model will face certain challenges in the future.
Mr. Zhong added that although previous figures looked strong, Kailas faces persistently high costs — including labor, store operations, and even logistics expenses. The intensity of competition is truly striking.
The road to brand upgrading is still long, and there are many challenges ahead. Resisting the temptation to simply follow market trends requires collective reflection across the outdoor industry.
The sustained growth of Nike and Adidas’ revenues in the Chinese market has caught everyone’s attention. On this issue, Mr. Zhong shared his perspective: Outdoor living has become a habit abroad, but in China, it’s more of a trend than a lifestyle. China’s outdoor culture is an imitation, not an intrinsic need.
But looking to the future, as urbanization accelerates in China, more people will likely embrace outdoor activities, making it a true lifestyle and necessity. When will this beautiful future arrive? Mr. Zhong isn’t sure —
but he feels we’re getting closer.
The trends fueled by internet celebrities change rapidly. When will the outdoors make a comeback in the spotlight? That’s something we can all look forward to.
What the outdoor industry needs most is genuine passion. Those who are in it just for the money often disappear as quickly as they came. True outdoor enthusiasts need a genuine love for the outdoors — it’s an impulse, a vision.
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