Mr.Li Hua,Chairman of CSGF Make a speech on china Sporting Goods Industry Annual Summit 2017

　　加快核心竞争力升级，激活发展新动能

　　中国体育用品业联合会主席 李桦

　　Accelerate Upping Core Competitiveness to the New Level and Activate New Development Momentum

　　Li Hua, Chairman of China Sporting Goods Federation

　　尊敬的赵勇副局长，各位领导、各位嘉宾以及新闻界的朋友们：

　　Dear Deputy Director-General Zhao Yong, leaders, guests and media friends:

　　大家好!

　　Hello everyone!

　　欢迎各界朋友共同出席2017中国体育用品业高峰论坛。今年已经是高峰论坛连续第五年举办，一路走来，特别要感谢各方的大力支持。同样明天将开幕的中国国际体育用品博览会也已经是第35届，“不积跬步无以至千里”，每一个里程碑的背后都是业界各方的坚定发展、砥砺前行，在此，我谨代表高峰论坛主办方中国体育用品业联合会对各位的光临表示诚挚的欢迎和衷心的感谢!

　　Welcome to China Sporting Goods Industry Summit 2017. This is the fifth consecutive year we have held this Summit. We are grateful for your vigorous support all through the way. Tomorrow, the 35th China International Sporting Goods Show will be kicked off. Just as an old Chinese saying goes, “Small steps accumulate into large distance. ” Behind each milestone is steady development and determined efforts on each industrial party. On behalf of China Sporting Goods Federation, the host of the Summit, I would like to express sincere welcome and heartfelt thanks to you for your presence!

　　回顾高峰论坛过往的五年历程，有针对行业瓶颈的痛定思痛，有创新发展道路的上下求索，有激活价值本源的深度思考。在践行“行业思考引领者”定位的过程中，高峰论坛积极推动自身的持续升级，聚焦细分领域的平行板块持续增加，2017年将构建七大板块的论坛矩阵，坚持整合行业权威内容与深度洞察，进一步发挥“行业风向标”作用。因此高峰论坛的“五岁”亦将是全新发展的新起点，特别期待各界朋友积极参与，收获转型发展新动能。

　　Looking back at the five-year development history of the Summit, there were reflections upon industrial bottlenecks, explorations on the innovative development path, and in-depth thinking activating value origin. Practicing the positioning of “being a bellwether in considering sporting goods industry”, the Summit has actively engaged in continually upping to the new level, and focused on continual increase of parallel plates in segmented sectors. A forum matrix spanning seven plates will be built in 2017, and the Summit will consistently integrate industrial authoritative contents and in-depth insights, and give further play to its role of “industrial wind vane”. The fifth year of the Summit will mark a new starting point of its all-new development. It is expected that friends in all walks of life will participate actively so that we can have access to new momentum of transformational development.

　　应当看到，高峰论坛新发展是中国体育用品行业进入全新历史阶段的一个缩影，而汇聚为年度主题关键词的“升级”同样也凝练对于体育用品新趋势的战略判断。宏观经济转型升级进程持续加快，深化供给侧结构性改革，依托消费升级释放内需潜力，“中国制造2025”全面落实推进，这都对于制造业发展的高端化、智能化、绿色化提出全新要求。随着《“健康中国2030”规划纲要》的发布，明确要求全民健康与全民健身的融合发展，充分发挥体育在推进健康关口前移的作用，全面建立优质高效的全民健身公共服务体系，体育升级为“大健康”产业的重要组成部分。同时在过往的一年，国家各部委联合密集发布了多项支持体育产业发展的文件，政策环境持续改善，并汇聚各种有利因素，不仅明确阐释体育用品向服务驱动转型升级的战略方向，更为拓展细分市场空间、撬动更多存量资源创造了良好条件。

　　It should be noticed that new development of the Summit is a epitome of China’s sporting goods industry’s entering a new historical stage. The annual theme keyword “Up to the New Level” also represents a strategic judgment of the new tendency of sporting goods. Macroeconomic transformation and upping to the new level process is continually accelerating, supply-side structural reform is being carried further, potential in domestic demands is being released relying on consumption up grade, and “Made in China 2025” is being fully implemented, which all have put forward new requirements on high-end, intelligent and green development of the manufacturing industry. The promulgated "Health China 2030" Planning Outline expressly demands integrated development of public health and national fitness. It requires that sports’ role in advancing health threshold should be given full rein to, and a high-quality and efficient public health service system should be thoroughly established. Hence, sports’ upping to the new level is an important part of the “massive health” industry. Meanwhile, in the past year, all ministries and commissions of China promulgated multiple documents supporting sports industrial development. Policy environment has been continually improved, and various advantageous factors have been gathered, not only specifying sporting goods’ strategic direction of service-oriented transformation and upgrade but also creating good conditions for expanding segmented market space and leveraging more stock resources.

　　从过往一年的行业重点数据来看，中国体育用品行业的关键数据同样见证“升级”进程：

　　第一，行业整体增速较快，增加值突破3000亿大关。2016年我国体育用品行业(运动服、运动鞋、运动器材及相关体育产品的制造和销售)达到 3077 亿元,增长率为11.65%，连续三年保持两位数增长。

　　第二，销售收入显著增长，人均体育用品消费超过100元。2016年我国体育用品行业实现销售收入1472亿元，同比增幅超过10%。

　　第三，进出口额连续两年负增长。2016年，中国体育用品行业进出口总额为 170.22亿美元，同比下降16.94%;实现贸易顺差153.07亿美元，降低17.65%。

　　Judging from industrial key data in the past year, crucial data of China’s sporting goods industry also witnessed the process of “Up to the New Level”.

　　First, the whole industry enjoyed relatively quick growth, with the value added exceeded 300 billion yuan. In 2016, China’s sporting goods industry manufactured and sold sportswear, sneakers, sports equipment and relevant sporting goods with a value of 307.7 billion yuan, registering a growth rate of 11.65% and maintaining a two-digit growth for three years in a row.

　　Second, sales income significantly increased, with per capita consumption of sporting goods exceeding 100 yuan. In 2016, China’s sporting goods industry embraced the sales income of 147.2 billion yuan, registering an increase rate of over 10% year on year.

　　Third, the import and export volume featured negative growth for two years successively. In 2016, the total volume of foreign trade in China’s sporting goods industry amounted to USD 17.022 billion, a decrease by 16.94% year on year. The trade surplus amounted to USD 15.307 billion, a decrease by 17.65%.

　　综上所述，中国体育用品行业整体发展态势良好，特别是产业升级所引发的新动能将成为行业持续增长的重要驱动，这也决定体育用品的“新黄金十年”的发展路径将与过往有着显著的区别，这更要求从业各方能够有更敏锐的战略洞察，专注发力先进制造业与强化服务驱动，真正利用好此次升级契机，实现跨越式发展。因此面对全新升级趋势，有以下几个观点与大家分享：

　　To sum up, China’s sporting goods industry generally embraces a favorable development situation. In particular, new momentum arising from industrial’s upping to the new level will become a significant driving force for continual industrial growth. It also means that the “new golden decade” of sporting goods will have a notably different development path from the past. Hence, industrial practicing parties are expected to have acute strategic insights, focus on advanced manufacturing and strengthen service-driven approach, so as to seize this opportunity for upping to the new level and realize leap-frog development. As for the all-new tendency of upping to the new level, I would like to share the following points:

　　第一，发力工匠精神，加速核心竞争力升级。

　　虽然中国体育用品拥有强大的规模优势，但需要看到整体仍处于中低层级，无论是竞技体育的高精尖装备还是大众健身的标杆级产品，中国体育品牌的身影还并不多见，甚至我们很多奥运金牌项目的装备和设施存在着国外品牌大面积垄断的状况。随着劳动力成本的快速上涨，将对产品设计、科技研发和品牌建设提出更高要求，这也是本土体育用品过往的“短板”。值得欣喜的是，我们看到越来越多的中国体育品牌加快转型升级，并且已经在自主创新、聚焦细分市场和智能制造方面取得了很多新成果。当然向体育用品制造业强国的升级进程，还需要有更多企业专注工匠精神这一必由之路，努力练好“内功”，真正实现核心竞争力的全新突破。

　　First, cherish craftsmanship and accelerate upping the core competitiveness to the new level.

　　In spite of the scale strength of China’s sporting goods, they remained at the medium and low levels as a whole. No matter high-end accurate equipment for competitive sports or benchmarking products for public fitness purposes, Chinese sports brands had been rarely seen. Worse still, equipment and facilities of many Olympic gold-medal projects had been largely monopolized by foreign brands. Rapid increase in labor costs will have higher demands on product design, technological R&D and brand building, which had previously been the weakness of local sporting goods. To our delight, more and more Chinese sports brands are accelerating transformation and upping to the new level, and have made many new achievements in terms of self-innovation, focusing on segmented market, and smart manufacturing. Of course, in order to promote China into a powerful sporting goods manufacturing country, more enterprises are expected to cherish craftsmanship and make internal efforts to actually realize brand-new breakthroughs in core competitiveness.

　　第二，携手推进标准化工作，构建行业健康发展基础。

　　标准化工作是行业发展基础，对于一定领域产品的整体水平、国际竞争力乃至国民生活具有紧密的影响。业界顶级企业的竞争往往就是在争夺行业标准，从而掌控规则制定权。由此必须从行业全局高度重视及推动标准化工作。目前中国体育用品业联合会与国内外相关机构开展密切合作，全力推动体育用品标准体系的跨越式发展。在此也诚挚邀请从业方积极参与标准制定工作，共同打造体育用品领域的“中国标准”。与之同时，更希望各方能够积极落实行业标准，加强行业自律，共同维护行业健康发展环境。

　　Second, jointly advance standardization work and build the foundation for healthy industrial development.

　　Standardization work is the foundation of industrial development and has much to do with overall levels and international competitiveness of products in certain sectors and even national life. Top enterprises tend to compete for industrial standards, in an effort to seize the rule-making right. As such, it is a must to attach great importance to and promote standardization work by taking into account the whole industrial situation. China Sporting Goods Federation is carrying out close cooperation with relevant institutions both at home and abroad and sparing no efforts in facilitating leap-frog development of sporting goods standard system. Industry practicing parties are hereby sincerely invited to participate in standard setting and jointly cultivate “Chinese standards” in sporting goods sector. Meanwhile, all parties are expected to actively implement industrial standards, strengthen industrial self-discipline, and jointly maintain a healthy industrial development environment.

　　第三，兼顾渠道下沉与电商平台，探索新零售新发展。

　　随着人均收入水平持续提升和城市化进程加快，三四线及以下城市已成为体育用品及相关消费的重要增长空间。过往一段时间，众多国际品牌纷纷发力渠道下沉，并取得较好成果。同时电商平台的高速发展用全新模式完成教育消费者过程，包括信息获取渠道、消费决策过程、消费场景建立、支付方式乃至使用过程的二次消费等都在“互联网+”时代呈现全新变化趋势。由此对诸多处于“中间地带”陷阱的本土品牌提出了“近身肉搏”的全新挑战，不仅需要尽快解决产品同质化和功能利益欠缺的固有问题，更要积极发力渠道布局，主动应对消费习惯升级进程。特别需要注意，线上与线下深度结合的“新零售”模式已经出现，并有可能引领未来全新的商业模式，希望从业各方能够重视新趋势，开展深入探索和实践。

　　Third, pay attention to channel sinking and e-business platforms concurrently, and explore new retail and new development.

　　Along with the continual improvement of per capita income levels and the acceleration of urbanization process, the third- and fourth- tier cities have provided important growth space for sporting goods and relevant consumption. For a while, numerous international brands have successively emphasized channel sinking and made great achievements. Meanwhile, owing to the rapid development of e-business platforms, consumer education has been fulfilled in an all-new mode. Information acquisition channel, consumption decision-making process, consumption scene building, payment mode and secondary consumption during the usage have demonstrated new change tendencies in the era of “Internet+” era. Hence, many local brands trapped in the “central zone” are confronted with the new challenge of “close combat”. They need to not only address inherent issues of product homogeneity and defective functional benefits as soon as possible, but also actively make channel layout so as to cope with the consumption habit upgrade process. What requires special attention is that the new retail mode of in-depth combination of online and offline channels has arisen and is likely to lead future new business model. All practicing parties are expected to value the new tendency and penetrate into the explorations and practices.

　　第四，聚焦体育消费升级趋势，抢抓战略先手。

　　经过过往几年的爆发式成长，体育已经成为民众主流生活方式的组成部分，无论是在体育参与者的数量规模，还是在体育消费行为的深度都有快速发展，运动消费品已经从相对匮乏的“有没有”阶段升级为消费更加多样、专业、细分的“好不好”阶段，回归运动本源属性、聚焦细分市场成为重点突破方向。与之同时，体育消费也更多融合80后、90后的特色属性以及新中产人群的消费习惯特征。因此从业各方需要深度研究体育消费的新升级动向，以深度洞察预判市场需求，积极构建差异化竞争优势，主动发力品类创新，引领市场发展潮流。

　　Fourth, focus on sports consumption’s upping to the new level tendency and take strategic initiatives.

　　Upon years of explosive growth, sports have become a part of the general public’s mainstream lifestyle. Both the number of sports participants and the depth of sports consumption behaviors have enjoyed rapid development. Sports consumer goods have been upgraded from the “with or without” stage of relative deficiency to the “good or bad” stage featuring diversified, professional and segmented consumption. Returning to sports’ original attribute and focusing on segmented market has become a key breakthrough direction. In the meantime, sports consumption blend characteristic attributes of the 80’s and 90’s as well as consumption behaviors of new middle-class groups. Therefore, practicing parties need to deeply research new tendencies of upping to the new level of sports consumption, predict market demands based on in-depth insights, actively develop differentiated competitive strengths, seek category innovations and navigate market development trends.

　　朋友们，体育产业作为朝阳产业，将会持续担当国民经济新增长点的重要角色，但更需要看到，体育用品行业处于优胜劣汰加速、市场深度洗牌的过程，对于从业各方而言唯有加快升级步伐、真正建立核心优势才有可能把握好这一历史契机。在此谨代表中国体育用品业联合会，期待能够和各方开展更为积极广泛的互动，共同推动行业转型升级进程，激活行业发展新动能，助力中国体育用品业健康可持续发展!

　　Dear friends, as a sunrise industry, the sports industry will continue to play the important role of a new source of growth. However, we should realize that the sporting goods industry is increasingly undergoing survival of the fittest and in-depth market reshuffling. Practicing parties should accelerate upping to the new level and establish core strengths in order to seize this historical opportunity. China Sporting Goods Federation expects to engage in active and extensive interactions with all parties, so as to jointly facilitate the industrial transformation and upping to the new level process, activate industrial development new momentum and contribute to healthy sustainable development of China’s sporting goods industry!

　　谢谢大家!

　　Thank you!