Kappa sports brand 1.46 billion will sell outdoor apparel

Sports Brand Kappa

The sports brand Kappa operator, China Mobile, announced its final results for the period ended December 31, 2010. The data shows that China's sales to 2010 reached 4.26 billion yuan, up 7.3% year-on-year; the annual net profit reached 1.464 billion yuan. Yuan, a slight increase of 0.3% over the previous year.

Classified by revenue region, China's revenue was 3.65 billion yuan, an increase of 7.35% from the 3.4 billion yuan in 2009. Kappa brand sales revenue was 3.63 billion yuan, an increase of 7% year-on-year; international business and other income was 17.37 million yuan. Revenue from Japan was 612 million yuan, an increase of 7.8% year-on-year, of which Kappa brand sales revenue was 220 million yuan, compared with 2009 revenue of 190 million yuan. Another brand, Phenix, had a revenue of 393 million yuan and 2009 revenue of 375 million yuan.

According to China Trends, after the sports goods market in the Mainland grew by about 30% per year between 2004 and 2007, and even after 45% increase in 2008 due to the factors after the Olympics, the growth rate of the industry has reduced the low double-digit level. Fishbone colleagues, the rapid rise of local sports brands has intensified competition in the industry. Among them, leisure sportswear has a higher growth rate than functional sportswear. Both local and internationally-renowned sports brands are hoping to enter the casual sportswear market. At the same time, international casual wear brands are also actively occupying the mainland market. In order to enhance competitiveness, Kappa invests heavily in brand building. In the year, the first TV commercials were launched and put on TV stations in CCTV-5, Anhui, Zhejiang, Liaoning, Nanjing, and Beijing. In addition, a series of promotional activities were planned in conjunction with the World Cup in South Africa. In addition, it also cooperates with fashion Bazaar magazine and BMW to achieve cross-border cooperation and sponsor sports activities.

According to the financial report, as of December 31, 2010, Kappa had 38 dealers in China directly or indirectly operating 3,751 retail outlets, an increase of 240 from the end of 2009. In addition to the traditional store sales, Kappa also devoted a lot of energy to online sales. In 2010, online sales increased more than three times year-on-year. During the Taobao Singles Day shopping event on November 11, 2010, Kappa sold one day online. The amount reached 11 million yuan, and the flow of customers reached 1.5 million people.

According to China Dynamics, the Phinix brand will be launched in the Mainland in 2011 to enter the ski and outdoor apparel market in China. In addition, Robe Di Kappa, X-nix and Inhabitant will combine a number of fashion sports brand products.