Among the outdoor sports brands in China, there are several big names, and they are Arc'teryx, Descente, File, and Kolon. I'm sure most people are familiar with these brands. However, do you know who is behind these brands? The answer may be unexpected, and that is China's Anta.
The reason behind ANTA's rise from an ordinary domestic sports brand to a world-leading brand is not only due to China's huge sports market, but also to its unique business strategy. One of the most commendable is ANTA's multi-brand strategy.
Let's review several major acquisitions of Anta: in 2009, Anta acquired FILA for 3.2 billion yuan, and since then it has dominated the promotion and distribution of Chinese mainland, and He. Ten years later, Fila has become Anta's cash cow, helping Anta's market value exceed 100 billion yuan, becoming the world's second largest company after Nike.
In 2019, Anta, Tencent, FountainVest Capital and others formed a consortium to acquire Amafen Sports, the parent company of Arc'teryx, for 37.1 billion yuan. Amalfen Sports owns a number of well-known brands, such as Wilson, Arc'teryx, Salomon, Soto, Atomic, etc., each of which is at the forefront of the world in the fields of tennis, outdoor products, hiking shoes, outdoor watches and ski equipment.
In addition, ANTA has also established a joint venture with the subsidiaries of Tokyo-listed Descente Japan and ITOCHU to exclusively engage in the design, sales and distribution of all categories of products bearing the "Descente" trademark. At the same time, ANTA has also completed the entire process of establishing a joint venture with Kolon Sport. Since its establishment in 1973, Kolon Sport has always advocated an outdoor culture close to nature, with evergreen trees as its brand logo.
ANTA's success is no accident. First of all, their clear market positioning and accurate grasp of the psychology of the Chinese people are the key. On the basis of retaining the brand's own Italian DNA, ANTA has actively introduced an international design team and launched a series of products with both fashion and design sense combined with localized elements. For example, in order to emulate the collective effect of adidas, adidas originals, and adidas neo, FILA has launched three sub-lines: FILA KIDS, FUSION, and ATHLETICS to improve user coverage. On the marketing side, they boldly adopted a multi-spokesperson strategy, and different celebrities endorsed different product lines, triggering a craze. The demonstration effect of celebrities has made some products become popular models, and social ** has deeply reached consumer groups, so that some products are directly out of stock.
Secondly, ANTA's multi-brand strategy is another key to its success. In 2009, Anta invested 6500 million Hong Kong dollars (equivalent to two-thirds of the net profit of the year), it took only 3 months to complete the acquisition of FILA. This strategy has laid the foundation for the doubling of ANTA's market capitalization. Subsequently, in March 2019, Anta completed another large-scale acquisition - Amalfen Sports. With this acquisition, ANTA Group brings together a number of internationally renowned brands, including Salomon (France), Arc'teryx (Canada), Atomic (Austria), Suunto (Finland), Wilson (USA), Precor (USA) and Peak Performance (Sweden). These brands have a presence in major markets around the world, enabling ANTA to become the world's third largest integrated sportswear group within the next two years.
The advantage of a multi-brand strategy is that it can adapt to and meet the needs of consumers for different sporting goods in different life scenarios and different experiences. Whether it's outdoor adventures, professional sports or daily leisure activities, consumers can find the right products in ANTA Group. This diversified business strategy not only increased the competitiveness of the brand, but also broadened its market share, laying a solid foundation for ANTA's long-term development. February** Dynamic Incentive Program