Nike expects sales in emerging markets in the next 5 years

Nike expects sales in emerging markets in the next 5 years will increase 10%

Adidas performance loss after China, Nike is expected in the next 5 years, including Greater China, including its emerging markets will be about 10% annual revenue growth rate. Such as air Jordan air max shoes air force will remain popular.

Analysts believe that, if Nike shoes can develop China's second and third tier cities in the sporting goods market, achieving 10% annual growth target difficult.

Nike shoes will be divided into six regions worldwide market, the first piece of the developed regional markets, namely North America, Western Europe and Japan; the other one is the emerging markets, including Greater China, Eastern and Central Europe market, other emerging markets . Nike Inc. said fiscal year 2015, Greater China and other emerging markets on the basis of total income will increase the existing 3.0 billion to 35 billion dollars to low double-digit annual rate.

As of February 28, 2010, Nike shoes 2009 ~ 2010 fiscal first three quarters of total revenue in emerging markets was 35.8 million, confirming that all emerging markets, Nike's revenue for the fiscal year at 48 billion U.S. dollars, 2015 fiscal year, that number will become 7.8 billion to 83 billion U.S. dollars, means about 10% per year growth rate to achieve the goals.

Judging from the Chinese market, Nike shoes to achieve 10% annual growth rate is not easy. 2009 ~ 2010, three quarters of fiscal year, Nike Greater China, 1.277 billion U.S. dollars in revenue, down 4%, although the rebound in the third quarter, revenue grew 10%, but observers are not optimistic Sporting Goods Nike China's development.

Lin Weiyue industry on the "First Financial Daily" said: "Nike Greater China grew 10% target is not high, the domestic sports brand's annual growth rate is much higher." Li Ning (02231.HK), security Tap (02020.HK) 2009 annual sales growth in more than 25%, Peak (01968.HK) 2009 turnover growth of 51.6%.


Lin Weiyue that domestic sports brand has been able to achieve high growth, because the second and third tier cities in China stood still, because the price too high , Nike shoes will be restricted to the second and third tier cities in stores open only to first-tier cities mainly, but from the development potential for the development of the domestic space for second and third tier cities in more than first-line cities. By Li Ning, for example, in 2009, Li Ning brand in the country's total number of 7,249 stores, new 1004, which new stores and new business area of more than 80% concentrated in the domestic second and third tier markets.

According to Nike's plan, the next 5 years will open 250 to 300 of the global Nike shoes brand outlets, these stores will be concentrated in the world's most upscale shopping. Nike believes that with the high-end strategy for the continued implementation of the fiscal year 2015 revenue will reach 27 billion U.S. dollars, with the 2009 fiscal year compared to 191.76 U.S. dollars, an increase of about 8 billion U.S. dollars.

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