Foreign Media: Amazon Is Going To Make Its Own Sportswear, And Will Work With The Nike Uniqlo Supplier

- Nov 09, 2017-

 E-commerce giant amazon is planning to expand into the sportswear sector, working with two Taiwanese suppliers of well-known sportswear brands and already ordering small batches of products in August;2.jpg

Sports brand Nike Gap Lululemon hypoallergenic and uniqlo brand suppliers, are already making clothes for amazon SinoPac Securities (SinoPac Securities corp.), an analyst at Qiu Cuixin (Silvia Chiu) first suggested that the two respectively with the amazon reached cooperation enterprise is China's Taiwan gather Yang (Makalot Industrial Co.,) and Confucianism, hon (Eclat Textile Co.);

According to people familiar with the matter, the partnership has not been long, and amazon has not yet signed a long-term contract with its suppliers, but the two suppliers have started producing small amounts as an early attempt;

Amazon has also try to launch its own fashion brand, but mainly provide suitable for office wear clothing, brand mainly includes Goodthreads and Paris Sunday, etc But in contrast to this kind of work clothes, sportswear will be a lot higher, the threshold of the amazon into the bureau or will bring a few of the world's largest sports brand;

Of the two vendors, jhon is particularly noteworthy because it is a supplier of Nike Under Armour and popular logo Lululemon, a yoga suit, and is very good at making high-performance sportswear;

Amazon once the move is media reports, Lululemon's share price fell 4.9% to $57.55, hypoallergenic dropped 2.8% affected by panic, Nike's share price also showed a small decline in the beginning, after its lost ground, as of the closing up 0.3%;

Amazon's incoming for this has some weak traditional sports clothing industry, is a big blow In September, Nike has said the company expected the third quarter of this year sales in North America will once again fall;Under Armour has also lowered its sales forecast for this year in August;

Has been affected by the yoga pants perspective door Lululemon, performance h. slightly this year, but North America yoga clothing competition make it has to accelerate expand overseas markets Last December, Lululemon will open its first store in China and through the way of spending to form various kinds of promotional activities to develop community According to Forbes, Lululemon after open stores in mainland China, its global (about 0.09 square meters) per square foot of annual sales increased;

After CNBC also reported that information technology company maxim group general manager Tom ford (Tom Forte) analysis, Lululemon is likely to become the future targets of the amazon, on the one hand, because the number of stores Lululemon not many, can also help amazon into the sports industry.Lululemon, on the other hand, had previously bought a stake in 7mesh, a Canadian cycling apparel start-up, which gave Lululemon access to the new category of cycling clothing in the future;

In fact, the amazon into its own intention of clothing brands compete, from this year's personnel movements also anticipated In January of this year, amazon hired experienced in product development Kirsten k. Harris, as the senior brand manager of sportswear ms Harris had previously responsible for Nordstrom department store has its own sports Zella brand product development, also led Nike product development team;

Amazon in terms of developing their own brands, there is another advantage is that it can fill the blank of the inventory When users search for a specific style of shoes or clothing, but the big brand without or lack of inventory, amazon's own brand can in many cases, consumers are not aware of, Scout + Ro and North 7-eleven these brand are the amazon;

This also to those who don't want to sell the goods on amazon's brand is a wake-up call, because if consumers not to be found in the amazon their brands, will probably buy amazon's own brand alternatives;

Apparel online sales accounted for 19 per cent of all apparel sales in 2016, up 11 percentage points from 2011, and Mr Qiu wrote that online sales of clothing would grow strongly;

She expects jhon's new customers to contribute 12 per cent of its sales in 2018