Record-breaking growth for nation's outdoor clothes market | investinchina.chinadaily.com.cn

Record-breaking growth for nation's outdoor clothes market

By WANG ZHUOQIONG China Daily Updated: Dec 11, 2024
A view of Nike's booth at a sports show in Shanghai in November. CHINA DAILY

China's outdoor apparel market is on the rise, driven by a growing base of young, affluent and style-conscious urban consumers. This surge in interest presents significant opportunities for sportswear brands looking to expand in the world's second-largest economy.

Demand for outdoor gear, ranging from jackets to hiking boots, has encouraged global brands to increase their investments in China.

During this year's Double 11 shopping festival, sales in the outdoor sports category soared across various platforms. On video-sharing platform Douyin, sales increased by 70 percent year-on-year, with over 2,000 brands doubling their revenue compared to last year.

Outdoor brands such as The North Face, Kailas and Adidas livestreamed trips to the mountains and woods, engaging consumers and boosting their businesses. Topics like "How to dress well while doing sports" and "What to wear in winter" garnered 140 million views, driving discussions and translating online buzz into transactions.

E-commerce platforms like JD.com and Tmall also reported record-breaking growth. Brands such as Pelliot and Kolon Sport saw their transaction volumes climb by more than 100 percent.

The growth is not confined to local platforms. International brands, including Sweden's Peak Performance and Japan's Goldwin, are seizing the opportunity. Goldwin, renowned for its high-performance designs, recently opened its third store in Shanghai, while US-based Keen has expanded from Shanghai to other major cities, including Guangzhou and Shenzhen in Guangdong province.

Amer Sports, a global group of iconic sports and outdoor brands such as Arc'teryx, Salomon, Wilson, Atomic and Peak Performance, reported a 56 percent year-on-year revenue increase in the Chinese market during the third quarter, reaching $313 million. This growth outpaced other regions.

On a call with analysts, Amer Sports CEO Zheng Jie highlighted the widespread appeal of outdoor trends in China.

"The outdoor trend in China continues to be very strong, attracting younger consumers, female consumers, and even luxury shoppers," Zheng said.

Led by Arc'teryx, Amer Sports' portfolio of premium technical brands is carving out new market space and gaining share in sports and outdoor markets worldwide.

High-end outdoor brands, including Mammut, are launching urban collections, while footwear labels like Hoka and On are collaborating with luxury designers to appeal to style-savvy consumers. The growing popularity of outdoor gear reflects a shift in consumer priorities, offering a blend of functionality, culture and emotional value that makes it more relatable than traditional luxury goods.

However, competition in the market is intensifying. Established sportswear giants like Nike and Adidas are expanding into the outdoor category with collections such as Nike ACG and Adidas Terrex. Domestic brands, including Camel and Beneunder, are ramping up research and development to cater to increasingly discerning consumers.

The surge in outdoor brand activity results from years of accumulated investment in the sector. According to LUXE.CO, a leading fashion media and market research institute, global investment and M&A transactions in sports and outdoor markets surged in 2021, recording 81 deals. The momentum continued into 2022, with a sharp increase in sports and outdoor investments in China, beginning with 28 transactions. In 2024, the sector rebounded significantly from a slowdown in 2023, with investment activity reaching a five-year high — 69 deals in the first 10 months alone.

Over the past five years, sports and outdoor footwear and apparel brands accounted for 38.5 percent of total transactions. Other key categories included sports and outdoor equipment/services (25.4 percent), sports and outdoor footwear and apparel retailers/trading platforms (14.5 percent), fitness technology services and sports fitness venues/studios (11.4 percent), and fitness/health management equipment (10.3 percent), according to the report.

CONTACT US

Reach out to us for information on how we can facilitate your investment journey

* Please leave a message
* Your Email Address
SUBMIT
Copyright©2024 China Daily. All rights reserved.

Record-breaking growth for nation's outdoor clothes market

By WANG ZHUOQIONG China Daily Updated: Dec 11, 2024
A view of Nike's booth at a sports show in Shanghai in November. CHINA DAILY

China's outdoor apparel market is on the rise, driven by a growing base of young, affluent and style-conscious urban consumers. This surge in interest presents significant opportunities for sportswear brands looking to expand in the world's second-largest economy.

Demand for outdoor gear, ranging from jackets to hiking boots, has encouraged global brands to increase their investments in China.

During this year's Double 11 shopping festival, sales in the outdoor sports category soared across various platforms. On video-sharing platform Douyin, sales increased by 70 percent year-on-year, with over 2,000 brands doubling their revenue compared to last year.

Outdoor brands such as The North Face, Kailas and Adidas livestreamed trips to the mountains and woods, engaging consumers and boosting their businesses. Topics like "How to dress well while doing sports" and "What to wear in winter" garnered 140 million views, driving discussions and translating online buzz into transactions.

E-commerce platforms like JD.com and Tmall also reported record-breaking growth. Brands such as Pelliot and Kolon Sport saw their transaction volumes climb by more than 100 percent.

The growth is not confined to local platforms. International brands, including Sweden's Peak Performance and Japan's Goldwin, are seizing the opportunity. Goldwin, renowned for its high-performance designs, recently opened its third store in Shanghai, while US-based Keen has expanded from Shanghai to other major cities, including Guangzhou and Shenzhen in Guangdong province.

Amer Sports, a global group of iconic sports and outdoor brands such as Arc'teryx, Salomon, Wilson, Atomic and Peak Performance, reported a 56 percent year-on-year revenue increase in the Chinese market during the third quarter, reaching $313 million. This growth outpaced other regions.

On a call with analysts, Amer Sports CEO Zheng Jie highlighted the widespread appeal of outdoor trends in China.

"The outdoor trend in China continues to be very strong, attracting younger consumers, female consumers, and even luxury shoppers," Zheng said.

Led by Arc'teryx, Amer Sports' portfolio of premium technical brands is carving out new market space and gaining share in sports and outdoor markets worldwide.

High-end outdoor brands, including Mammut, are launching urban collections, while footwear labels like Hoka and On are collaborating with luxury designers to appeal to style-savvy consumers. The growing popularity of outdoor gear reflects a shift in consumer priorities, offering a blend of functionality, culture and emotional value that makes it more relatable than traditional luxury goods.

However, competition in the market is intensifying. Established sportswear giants like Nike and Adidas are expanding into the outdoor category with collections such as Nike ACG and Adidas Terrex. Domestic brands, including Camel and Beneunder, are ramping up research and development to cater to increasingly discerning consumers.

The surge in outdoor brand activity results from years of accumulated investment in the sector. According to LUXE.CO, a leading fashion media and market research institute, global investment and M&A transactions in sports and outdoor markets surged in 2021, recording 81 deals. The momentum continued into 2022, with a sharp increase in sports and outdoor investments in China, beginning with 28 transactions. In 2024, the sector rebounded significantly from a slowdown in 2023, with investment activity reaching a five-year high — 69 deals in the first 10 months alone.

Over the past five years, sports and outdoor footwear and apparel brands accounted for 38.5 percent of total transactions. Other key categories included sports and outdoor equipment/services (25.4 percent), sports and outdoor footwear and apparel retailers/trading platforms (14.5 percent), fitness technology services and sports fitness venues/studios (11.4 percent), and fitness/health management equipment (10.3 percent), according to the report.

Invest in China Copyright © 2024 China Daily All rights Reserved
京ICP备13028878号-6

京公网安备 11010502032503号