STRATEGIC
RECOMMENDATION
2015
PLAN
I/ Li-Ning & Market introduction
II/ From Target to Concept
III/ Strategic Recommendations

2
I/ Li-ning & Market
Introduction

3
LI-NING
• 

Founded in 1990 by Li Ning a former Chinese Olympic Gymnast

• 

Headquarters in Beijing, and US ones opened in 2010 + A flagship shop in
Portland

• 

Quoted on the Hong-Kong Stock Exchange in 2013

• 

Partnership with Chicago-based Acquity Group to improve its distribution and
brand awareness

Revenue: US $1.354 billion in 2010
Net Income: US $220.9 million
4
LI-NING
Shift in the identity in 2010:

让改变发⽣生
for non Chinese speakers

Make the change
5
BRAND OFFER
Product: Li-ning: Sports footwear & apparel, equipment & accesories

Sports: Running, Basketball, Badminton, Football, Tennis and Fitness
Place: 2007: 4,297 Li-Ning retail stores, some owned, some franchised
Promotion: Athletes & teams endorsements in China & around the world,
NBA: Baron Davis, Shaquille O’Neal, Damon Jones, Dwyane Wade who left
Jordan brand for Li-Ning
Apparel provider for Olympic Gamers
Since 2006, collaboration with
Limited sale edition in 2006

6
SWOT
STRENGTHS

WEAKNESSES

•  Good sponsorship of NBA
•  Increase in sales since last years
•  The quality of product is
recognised by sports industry
•  Investment in media since several
years (TV ads)

•  1st annual loss since 2004
•  No brand awareness in USA
•  Brand identity too close form the
Nike Swoosh
•  Dry Laundry - Greenpeace report
on massive pollution in China
including a lot of brand

OPPORTUNITIES

THREATS

•  Sport culture is really important in
the USA
•  Sportswear market is evaluated
between $480 and $620 billion

•  Challenging market conditions in
China
•  Economic crisis since 2008
•  USA has the largest number of
obese people
•  Other brands invest huge amount
of money in communication
•  Brands like Adidas or Nike are
more legitimate to sell in USA
7
MARKET
Brand Value in Billion $
16
14
12

15

10
8
6
4

5

2
1,5

1,4

Reebok

Under Armour

0
Nike

Adidas

Forbes: http://www.forbes.com/pictures/mlm45eleik/forbes-fab-40the-most-valuable-brands-in-sports-2013-3/

8
MAPPING

9
PROBLEMATIC
How Li-Ning can
emerge in the US sportswear market
and increase its market share
among younger people
whereas the market is already
saturated by historical brands?

10
II/ From Target to Concept

11
OBJECTIVES
• 

Increase market shares among young Americans

• 

Improve brand awareness from none to aided
awareness

• 

Attribute distinctive qualities to Li-Ning Equipments

• 

Increase visibility on the digital

• 

Create a WOM process – community

12
TARGET

Main target: Y Gen
•  15-25 yo
•  Boys & Girls
•  Enjoying sports
•  Fickle, no brand loyalty to a brand

13
TARGET
Core target: Digital Native - Ultra Connected
•  15-25 yo
•  Boys
•  Involved in a sport team: Basket, Badminton…
•  Spend more than 52 hours per month on internet
•  Spending on average 2,3 hours per day on social media
18-25 yo
University students
Using the
Internet each day through a
computer or a laptop for
more than 5h13 per day

14-17 yo
High School students
Multitasking on digital channels
Mobile: an average use of 2h25 on
internet per day

Social, Digital & Mobile around the world –
We Are Social – Jan 2014

14
TARGET
Secondary target: Teens
•  15-19 yo
•  Boys & Girls
•  Fashion conscious
•  Entertainment focus, Serie Addicts

15
TARGET

Influencers:
• 
• 
• 
• 

Vloggers
Bloggers
Influencers on Social Media (Twitter,
Instagram…)
Journalists in People, Lifestyle, Entertaining,
Teens magazines

16
COMPETITORS
Nike = Health / Lifestyle
Recently Jordans = Lifestyle

Miley Cyrus
23 – Jordan shoes

Adidas = Both Street Style / Sports conscious
Foot locker
Snoop Dog

17
CONCEPT
Federate younger people
through the idea of

COMMUNITY
Bringing your friends together
to share sporty moments

18
POSITIONING
Li-Ning,
Bringing friends together

A new look at competition,
See it through your friends’ eyes

19
RTB
It’s more than a game,
or a competition!
It’s the story of people doing things,
sharing success and
feeling emotions together.

20
III/ Strategic
Recommendation

21
STRATEGIC RECOMMENDATION
Global Advice
•  Build a digital ecosystem
–  improve traffic through different platforms
–  increase the time spend inside the brand
channels of communication

•  Invest in Social media to support the community
& invite people to create UGC

22
STRATEGIC RECOMMENDATION
Global Advice
•  Facilitate every interaction with digital
channels through links, buttons and
Twitter/Facebook Connects
•  Aggregate information into a Database,
& consolidate them to push personalized
offers

23
STRATEGIC RECOMMENDATION
Global Advice
•  Provide a great amount of content to invite
people to discuss about it and to improve
our organic ranking in Google
•  No massive invest in event/media like the
Superbowl but repetition in leads mind
through a presence in every channel

24
STRATEGIC RECOMMENDATION
Global Advice
•  Creation of the hashtag #Lining
•  Federate every content about the brand
around a Hashtag => 1 unique database to
measure the digital echo
•  Stick to an agreed strategy > 1 use per
channel for a greater message clarity

25
ECOSYSTEM
Website
Thorough reworking on every digital channels
Dedicated
Website
wayofwade.com/

Brand Website
not e-commerce
li-ning.luhta.com/

Corporate
Website
lining.com/‎

26
ECOSYSTEM
Dedicated
website

The ecosystem
needs
CONSISTENCY

Corporate

Website
Core
platform:
Brand
Website

E-commerce

A Blog

Provide content
& demonstrate
expertise

27
RENAMING
1 use per channel
Li-ning.luhta.com

Lining.com/‎

Wayofwade.com‎

BRAND

CORPORATE

DEDICATED

Lining.com

Liningbusiness.com

Wayofwade.com

Blog

Lining-blog.com

28
WHAT’S INSIDE / BRAND SITE
Core
platform

Simple
platform
Ecommerce

Web
responsive

Personal Account > Facebook/Twitter connect
Good quality pictures of products + descriptions + consumer reviews
Special offers
Share buttons

29
WHAT’S INSIDE / BLOG
CONTENT

COMMUNITY

Phase 1: The content/community are managed by the brand
Display articles, interviews, videos to attract a community
Phase 2: The content/community is managed by its own members
who will discuss own subjects through different forums

30
APP
Co branding with an existing app: TEAMUP
Principle:
“Get together with people
in your area, looking to
get out, get active
and have fun” J

31
SOCIAL MEDIA ECHO

32
SOCIAL MEDIA
•  Main plateform : #Lining
•  Hashtag
•  Livetweet
•  RT
•  The central network to
activate the others channels

33
SOCIAL MEDIA
•  Broadcasting products explanation
& athletes interviews
•  Shoppable video

•  Comment inside videos

34
SOCIAL MEDIA
Will relay & display Photo & Video:
•  News
•  Events
•  People wearing Products
•  Contests > Incentive “Serie”
Relay #Lining
Aggregating UGC

35
SOCIAL MEDIA
Animate the community
•  Use of Boards: New/
Products/Videos/Trends/
Around the world
By color/products/sports
•  Use of Open Graph:
Post the pin directly on Facebook and Twitter
36
SOCIAL MEDIA
Will relay:
•  special offers
•  Promotions
•  Contests
Relay #Lining
Aggregating UGC

37
BLOGGER/VLOGGER
Keep the world informed about company’s
latest products, projects and achievements
• 
• 
• 
• 
• 

Press Releases
Send free products
Try it
Create content
Impulse WOM
38
INCENTIVE

39
INCENTIVE
Contest: Play against Wade
Contest
ONLINE
Tournament
OFFLINE

Principle:
•  Invite friends to
create a team
•  Share it
•  Invite other friends to Like
•  Reward: Tournament against Dwyane Wade

40
INCENTIVE
•  Contest: Sponsor My Team
•  High school football/basket/badminton teams
•  Reward: Sponsor the winning team
(customized shoes+ sweat)
•  Principle: each team will post one tweet with
#Lining #SponsorMyTeam
•  Winner: Most RT

41
INCENTIVE
•  Contest: Act in your favorite show
•  Instagram contest: Replay one of your favorite scene with
friends wearing #Lining shoes
•  Winner: Most Likes
•  Reward: Visit Teens shows set

42
STREET MARKETING

•  A specific vending machine
for 2 friends
•  Finds shoe sizes thanks to a
Kinect
•  Allows them to try pairs of
sneakers

Grab & Try
MEDIA RELATED

44
TALK SHOW
•  Shazam your Talk show
•  Principle: Scan with your shazam app the display
and redirect you on the e-commerce website

45
PRODUCT PLACEMENT
•  Teens TV shows:

+ Mini series youtube
46
IN-STORE

47
POS
•  Some shops will be equiped with a giant TV
screen

Content display
•  Instagram pics of the #Lining community
•  Tweets of #Lining
•  Livetweet with #Wade #Lining
•  Videos/Ads

48
PLANNING

49
PLANNING

50
BUDGET
BUDGET	
  
Website	
  
Blog	
  
Social	
  Media	
  Presence	
  
App	
  co-­‐branding	
  
>	
  Play	
  against	
  Dwyane	
  Wade	
  
>	
  Act	
  in	
  your	
  favorite	
  Serie	
  
>	
  Sponsor	
  my	
  team	
  
Street	
  Marke=ng	
  
Shazam	
  >	
  Talk	
  shows	
  
Product	
  Placement	
  
RP	
  Blogger/Vlogger	
  
POS+PRINT	
  
TOTAL	
  

51

	
  $90	
  000	
  	
  
	
  $40	
  000	
  	
  
	
  $190	
  000	
  	
  
	
  $13	
  000	
  	
  
	
  $150	
  000	
  	
  
	
  $40	
  000	
  	
  
	
  $50	
  000	
  	
  
	
  $700	
  000	
  	
  
	
  $200	
  000	
  	
  
	
  $100	
  000	
  	
  
	
  $30	
  000	
  	
  
	
  $400	
  000	
  	
  
	
  $2	
  003	
  000	
  	
  
Thanks for your attention
Q&A

52

LI-NING STRATEGIC RECOMMENDATION USA 2015

  • 1.
  • 2.
    PLAN I/ Li-Ning &Market introduction II/ From Target to Concept III/ Strategic Recommendations 2
  • 3.
    I/ Li-ning &Market Introduction 3
  • 4.
    LI-NING •  Founded in 1990by Li Ning a former Chinese Olympic Gymnast •  Headquarters in Beijing, and US ones opened in 2010 + A flagship shop in Portland •  Quoted on the Hong-Kong Stock Exchange in 2013 •  Partnership with Chicago-based Acquity Group to improve its distribution and brand awareness Revenue: US $1.354 billion in 2010 Net Income: US $220.9 million 4
  • 5.
    LI-NING Shift in theidentity in 2010: 让改变发⽣生 for non Chinese speakers Make the change 5
  • 6.
    BRAND OFFER Product: Li-ning:Sports footwear & apparel, equipment & accesories Sports: Running, Basketball, Badminton, Football, Tennis and Fitness Place: 2007: 4,297 Li-Ning retail stores, some owned, some franchised Promotion: Athletes & teams endorsements in China & around the world, NBA: Baron Davis, Shaquille O’Neal, Damon Jones, Dwyane Wade who left Jordan brand for Li-Ning Apparel provider for Olympic Gamers Since 2006, collaboration with Limited sale edition in 2006 6
  • 7.
    SWOT STRENGTHS WEAKNESSES •  Good sponsorshipof NBA •  Increase in sales since last years •  The quality of product is recognised by sports industry •  Investment in media since several years (TV ads) •  1st annual loss since 2004 •  No brand awareness in USA •  Brand identity too close form the Nike Swoosh •  Dry Laundry - Greenpeace report on massive pollution in China including a lot of brand OPPORTUNITIES THREATS •  Sport culture is really important in the USA •  Sportswear market is evaluated between $480 and $620 billion •  Challenging market conditions in China •  Economic crisis since 2008 •  USA has the largest number of obese people •  Other brands invest huge amount of money in communication •  Brands like Adidas or Nike are more legitimate to sell in USA 7
  • 8.
    MARKET Brand Value inBillion $ 16 14 12 15 10 8 6 4 5 2 1,5 1,4 Reebok Under Armour 0 Nike Adidas Forbes: http://www.forbes.com/pictures/mlm45eleik/forbes-fab-40the-most-valuable-brands-in-sports-2013-3/ 8
  • 9.
  • 10.
    PROBLEMATIC How Li-Ning can emergein the US sportswear market and increase its market share among younger people whereas the market is already saturated by historical brands? 10
  • 11.
    II/ From Targetto Concept 11
  • 12.
    OBJECTIVES •  Increase market sharesamong young Americans •  Improve brand awareness from none to aided awareness •  Attribute distinctive qualities to Li-Ning Equipments •  Increase visibility on the digital •  Create a WOM process – community 12
  • 13.
    TARGET Main target: YGen •  15-25 yo •  Boys & Girls •  Enjoying sports •  Fickle, no brand loyalty to a brand 13
  • 14.
    TARGET Core target: DigitalNative - Ultra Connected •  15-25 yo •  Boys •  Involved in a sport team: Basket, Badminton… •  Spend more than 52 hours per month on internet •  Spending on average 2,3 hours per day on social media 18-25 yo University students Using the Internet each day through a computer or a laptop for more than 5h13 per day 14-17 yo High School students Multitasking on digital channels Mobile: an average use of 2h25 on internet per day Social, Digital & Mobile around the world – We Are Social – Jan 2014 14
  • 15.
    TARGET Secondary target: Teens • 15-19 yo •  Boys & Girls •  Fashion conscious •  Entertainment focus, Serie Addicts 15
  • 16.
    TARGET Influencers: •  •  •  •  Vloggers Bloggers Influencers on SocialMedia (Twitter, Instagram…) Journalists in People, Lifestyle, Entertaining, Teens magazines 16
  • 17.
    COMPETITORS Nike = Health/ Lifestyle Recently Jordans = Lifestyle Miley Cyrus 23 – Jordan shoes Adidas = Both Street Style / Sports conscious Foot locker Snoop Dog 17
  • 18.
    CONCEPT Federate younger people throughthe idea of COMMUNITY Bringing your friends together to share sporty moments 18
  • 19.
    POSITIONING Li-Ning, Bringing friends together Anew look at competition, See it through your friends’ eyes 19
  • 20.
    RTB It’s more thana game, or a competition! It’s the story of people doing things, sharing success and feeling emotions together. 20
  • 21.
  • 22.
    STRATEGIC RECOMMENDATION Global Advice • Build a digital ecosystem –  improve traffic through different platforms –  increase the time spend inside the brand channels of communication •  Invest in Social media to support the community & invite people to create UGC 22
  • 23.
    STRATEGIC RECOMMENDATION Global Advice • Facilitate every interaction with digital channels through links, buttons and Twitter/Facebook Connects •  Aggregate information into a Database, & consolidate them to push personalized offers 23
  • 24.
    STRATEGIC RECOMMENDATION Global Advice • Provide a great amount of content to invite people to discuss about it and to improve our organic ranking in Google •  No massive invest in event/media like the Superbowl but repetition in leads mind through a presence in every channel 24
  • 25.
    STRATEGIC RECOMMENDATION Global Advice • Creation of the hashtag #Lining •  Federate every content about the brand around a Hashtag => 1 unique database to measure the digital echo •  Stick to an agreed strategy > 1 use per channel for a greater message clarity 25
  • 26.
    ECOSYSTEM Website Thorough reworking onevery digital channels Dedicated Website wayofwade.com/ Brand Website not e-commerce li-ning.luhta.com/ Corporate Website lining.com/‎ 26
  • 27.
  • 28.
    RENAMING 1 use perchannel Li-ning.luhta.com Lining.com/‎ Wayofwade.com‎ BRAND CORPORATE DEDICATED Lining.com Liningbusiness.com Wayofwade.com Blog Lining-blog.com 28
  • 29.
    WHAT’S INSIDE /BRAND SITE Core platform Simple platform Ecommerce Web responsive Personal Account > Facebook/Twitter connect Good quality pictures of products + descriptions + consumer reviews Special offers Share buttons 29
  • 30.
    WHAT’S INSIDE /BLOG CONTENT COMMUNITY Phase 1: The content/community are managed by the brand Display articles, interviews, videos to attract a community Phase 2: The content/community is managed by its own members who will discuss own subjects through different forums 30
  • 31.
    APP Co branding withan existing app: TEAMUP Principle: “Get together with people in your area, looking to get out, get active and have fun” J 31
  • 32.
  • 33.
    SOCIAL MEDIA •  Mainplateform : #Lining •  Hashtag •  Livetweet •  RT •  The central network to activate the others channels 33
  • 34.
    SOCIAL MEDIA •  Broadcastingproducts explanation & athletes interviews •  Shoppable video •  Comment inside videos 34
  • 35.
    SOCIAL MEDIA Will relay& display Photo & Video: •  News •  Events •  People wearing Products •  Contests > Incentive “Serie” Relay #Lining Aggregating UGC 35
  • 36.
    SOCIAL MEDIA Animate thecommunity •  Use of Boards: New/ Products/Videos/Trends/ Around the world By color/products/sports •  Use of Open Graph: Post the pin directly on Facebook and Twitter 36
  • 37.
    SOCIAL MEDIA Will relay: • special offers •  Promotions •  Contests Relay #Lining Aggregating UGC 37
  • 38.
    BLOGGER/VLOGGER Keep the worldinformed about company’s latest products, projects and achievements •  •  •  •  •  Press Releases Send free products Try it Create content Impulse WOM 38
  • 39.
  • 40.
    INCENTIVE Contest: Play againstWade Contest ONLINE Tournament OFFLINE Principle: •  Invite friends to create a team •  Share it •  Invite other friends to Like •  Reward: Tournament against Dwyane Wade 40
  • 41.
    INCENTIVE •  Contest: SponsorMy Team •  High school football/basket/badminton teams •  Reward: Sponsor the winning team (customized shoes+ sweat) •  Principle: each team will post one tweet with #Lining #SponsorMyTeam •  Winner: Most RT 41
  • 42.
    INCENTIVE •  Contest: Actin your favorite show •  Instagram contest: Replay one of your favorite scene with friends wearing #Lining shoes •  Winner: Most Likes •  Reward: Visit Teens shows set 42
  • 43.
    STREET MARKETING •  Aspecific vending machine for 2 friends •  Finds shoe sizes thanks to a Kinect •  Allows them to try pairs of sneakers Grab & Try
  • 44.
  • 45.
    TALK SHOW •  Shazamyour Talk show •  Principle: Scan with your shazam app the display and redirect you on the e-commerce website 45
  • 46.
    PRODUCT PLACEMENT •  TeensTV shows: + Mini series youtube 46
  • 47.
  • 48.
    POS •  Some shopswill be equiped with a giant TV screen Content display •  Instagram pics of the #Lining community •  Tweets of #Lining •  Livetweet with #Wade #Lining •  Videos/Ads 48
  • 49.
  • 50.
  • 51.
    BUDGET BUDGET   Website   Blog   Social  Media  Presence   App  co-­‐branding   >  Play  against  Dwyane  Wade   >  Act  in  your  favorite  Serie   >  Sponsor  my  team   Street  Marke=ng   Shazam  >  Talk  shows   Product  Placement   RP  Blogger/Vlogger   POS+PRINT   TOTAL   51  $90  000      $40  000      $190  000      $13  000      $150  000      $40  000      $50  000      $700  000      $200  000      $100  000      $30  000      $400  000      $2  003  000    
  • 52.
    Thanks for yourattention Q&A 52