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Anta brand highlights the change of “returning from foreign investment†and calculates new trends according to days
How well can Chinese companies perform in the Chinese market? This question, which seems absurd at first glance, has repeatedly come up in the sports goods industry. Li Ning, a pioneering Chinese brand, once outperformed global giants like Nike and Adidas in the domestic market and still holds a top-three position today. Now, it's Anta's turn to take the spotlight.
Anta, a company founded by entrepreneurs, recently reported a 4% increase in net profit for 2009, reaching 1.25 billion yuan. Beyond its financial success, the company has made significant efforts to transform itself through strategies such as going public, hiring top talent, engaging in high-profile sponsorships, and signing celebrity athletes. The goal is to become the leading Chinese brand in its core markets within three to four years.
Change is happening rapidly. An Anta employee proudly mentioned that the five-year strategy developed with the help of consulting firms is already outdated. What was planned for the second year is now being implemented immediately. The pace of transformation is so fast that even internal plans are struggling to keep up.
The company has seen a surge in new hires, with many coming from competitors or well-managed companies. A former marketing executive at Nike China reportedly lost an entire team, including some college students, to Anta. The appeal of working at a dynamic, growing company is clear—many professionals are leaving established multinationals for opportunities in private enterprises.
Zheng Jie, who joined Anta as Executive Vice President after the 2008 Olympics, brings valuable international experience. Previously, he worked in major foreign companies like Procter & Gamble and Adidas. His role at Anta includes transforming the management model, improving team quality, and building a world-class marketing system.
In 2009, one of the most significant changes was moving the headquarters from Jinjiang to Xiamen. This shift allowed the company to restructure its marketing and production systems, creating a more integrated approach. Previously, the brand, product, and sales functions were fragmented, but this has now been significantly improved.
Under Zheng Jie’s leadership, Anta has adopted a predictive planning cycle of 12 to 16 months, allowing for more strategic decision-making. Before, each department only had two months of visibility. This change has brought a level of sophistication that was previously lacking.
Ding Shizhong, the CEO, has emphasized the importance of leadership in driving change. He believes that without his vision, the company wouldn’t have evolved. In meetings, he encourages open debate, and even when challenged, he values alternative viewpoints. Currently, 70–80% of the management team consists of professional managers, with a low turnover rate of around 2%.
At the Vancouver Winter Olympics, Anta showcased its strength, particularly in short track speed skating. Zhou Yang and Wang Shuojie became household names, and the brand’s reputation soared. Anta saw this as a crucial step in its journey to becoming the top local sports brand by 2013, both in market share and recognition.
To achieve this, Anta invested heavily in production and management infrastructure, aiming for substantial sales growth. Their bid to become a partner of the Chinese Olympic Committee in 2009-2012 was a strategic move, with sponsorship fees estimated to be higher than previous years. Ding Shizhong promised continued investment in marketing to support this vision.
While Nike and Adidas face challenges, Anta does not directly target them. Instead, it focuses on mid-tier cities and mid-range products, believing this positioning offers greater long-term potential. In the mid-end sports market, Li Ning and Anta remain leaders, though they must stay vigilant against rising competition.
As global brands reduce their presence in China, Anta sees an opportunity. However, the company remains focused on self-improvement. In 2010, it aimed to maximize the value of its existing sports resources, leveraging events like the Vancouver Winter Olympics, the Summer Youth Olympics, and the Guangzhou Asian Games.
With numerous competitors also expanding and investing heavily in marketing, Anta knows it must keep pace. In 2010, it planned to open 609 Anta stores, 72 children's stores, and 257 sports lifestyle stores. It also invested 270 million yuan in production lines and allocated 3% of sales to research and development. Its lab, staffed by 300 employees, has generated over 30 patents and continues to innovate, studying the unique characteristics of Asian feet to improve product design.
In the fast-paced world of sports branding, Anta is racing ahead, determined to maintain its momentum and solidify its position as a leading Chinese brand.