On March 1, 2013, the Outdoor Products Branch of the China Textile Commerce Association (COCA) released the "China Outdoor Products Market 2012 Annual Survey Report" at the ISPO Sports Industry Forum. It shared the development achievements of China's outdoor products market in 2012 with many well-known outdoor product brands, distributors, and media present.
The China Outdoor Products Market Annual Survey Report, published by COCA since 2007, has been released for seven consecutive years. Its purpose is to summarize the development of China's outdoor products industry each year, forecast the trends for the coming year, help enterprises understand the overall market situation, and provide detailed and reliable information for formulating business plans for the next year. Compared to previous years, COCA has put more effort into writing this annual survey report, visiting more cities and regions, collecting thousands of questionnaires, and conducting in-depth interviews with senior industry professionals. It is believed that this year’s research report will, as always, become the most credible industry research report in the outdoor sector.
The report shows that in 2012, China’s outdoor products market developed rapidly, with an annual retail total of 14.52 billion RMB, representing a year-on-year growth rate of 34.94%; the total brand shipment value was 7.39 billion RMB, with a year-on-year growth rate of 36.1%. Notably, domestic brand shipments have surpassed foreign brands for two consecutive years. The rise of domestic brands has brought a new landscape to China’s outdoor products market. In 2012, there were a total of 823 outdoor brands in the domestic market, an increase of 14.78% from 717 in 2011, including 405 domestic brands, up 18.08% from 343 in 2011, and 418 foreign brands, up 11.77% from 374 in 2011.
Both domestic and international brands saw varying degrees of increase, with domestic brands performing even better. The growth rate of domestic brands has exceeded that of foreign brands for three consecutive years; the shipment value of domestic brands has also surpassed that of foreign brands for two consecutive years, beginning to lead China’s outdoor products market. The product line has further become more rationalized.
Channel development is showing a positive momentum. Department store channels continue to maintain strong growth, while online channels have emerged rapidly and grown exponentially, becoming one of the new channel models for outdoor products.
Looking back and ahead, the outdoor industry is a typical sunrise industry, still in its introductory phase, with vast market potential remaining. While brands experience "trend-driven" growth, more will begin to focus on product "differentiation," with a stronger awareness of rational competition. The diversification of channels, along with the sluggish retail environment, means department stores and outdoor shops must face inventory and capital pressures and find ways to grow under low profit margins. Over the past 10 years, both high-end (premium-priced) and low-end (low-priced) outdoor products have seen significant growth, while mid-range products/brands have performed relatively less impressively. With supplier convergence and improved quality control, mid-range products/brands should perform better in the future.