Nike's sales decline is spreading to second- and third-tier cities

Recently, Nike has begun to lower its prices. In order to clear its product inventory, Nike plans to open 40 to 50 factory stores in China this year, with product discounts of 30% to 40% off, which is unprecedented. In addition, it is said that the opening range of Nike factory stores will expand from first-tier cities to second- and third-tier cities. This is also a positive measure taken to deal with the decline in performance.

It is reported that since the beginning of 2012, Nike's top priority in the Chinese market has become to clear inventory - the slowdown in its order growth in China is the best explanation. Nike's third and fourth fiscal quarters in 2012 and the first and second fiscal quarters in 2013 show that its order growth in China was 24%, 5%, -5% and -6% respectively. In comparison, Nike factory stores may be a place that can stimulate customers' shopping desire. An insider in the sports brand industry revealed that Nike factory stores are quite lethal. Within a one-kilometer business district, other sports brands and discount stores generally find it difficult to survive. Nike insiders revealed that the company's latest plan is to open 40 to 50 new stores across the country. In addition to first-tier cities such as Beijing and Shanghai, Nike also plans to open these stores in second- and third-tier cities. Nike's future development path is also unknown.

Nike's declining sales performance is spreading to second- and third-tier cities. This trend tells us that Nike's demand for products will temporarily decrease. Nike suppliers, who are already facing fierce competition, are even more worried about winning orders. As a supplier, the most effective way to prove the strength of the factory is through customer factory inspections and standardized corporate management. So how do you pass the factory inspection smoothly? If you are not sure that you can pass it, you can ask Shanghai Chaowang for help. We have the most cutting-edge and abundant factory inspection guidance materials, which will definitely help the factory pass the factory inspection smoothly!