On November 20, the Qatar World Cup opened, with 32 teams competing for the World Cup. Although there is no Chinese team, there is no lack of Chinese elements in the World Cup.
As the 2022 Qatar World Cup is about to open, relevant media reporters conducted a month-long survey on manufacturing enterprises in Yiwu, the capital of small and medium-sized commodities, and sorted out information about online platforms. They found that in the industries related to the World Cup, different categories and enterprises have fed back different trends, the order market has become more differentiated, and the requirements for the foreign trade industry are higher.
Like ordinary fans, Chen Xianchun is also waiting for the quadrennial football event. But the difference is that her World Cup time is earlier!
Chen Xianchun runs an enterprise in Yiwu that mainly deals in trophies and medals. Although she is not a football fan, she has an inseparable relationship with the World Cup because of the products produced by the enterprise.
The World Cup is the first major event in the world, and its popularity is comparable to that of the Olympic Games. Taking the 2018 World Cup in Russia as an example, the number of spectators is close to 3.5 billion, nearly half of the world's total population. FIFA President Iventino predicted that this year's audience will reach 5 billion. No wonder the World Cup is called the most effective international marketing platform by FIFA.
On the eve of the 2014 Brazil World Cup, a customer found Chen Xianchun and ordered a large number of trophies, medals, and other products. In Chen Xianchun's memory, the order volume was very large, and then many customers went to the factory to grab goods. They almost grabbed whatever goods they had, making a lot of money. This is the first time that Chen Xianchun realized the business opportunities brought by the World Cup. Since then, there has been a cycle of four years, and this year is the third.
Chen Xianchun's corporate image is the epitome of many Chinese enterprises, whose efforts have made China more closely linked with the World Cup.
World Cup business opportunities reappear
In the 2010 World Cup in South Africa, Yingli became the first Chinese enterprise to sponsor the World Cup. Subsequently, the number of Chinese enterprises sponsoring the World Cup peaked at the 2018 World Cup in Russia. There were seven enterprises, including Wanda, Hisense, Mengniu, VIVO, Yadi, Empress, and Pointing Arts, ranking first with an advertising fee of 835 million dollars.
However, in the 2022 Qatar World Cup, the number of Chinese enterprises listed in the official sponsorship list of the World Cup dropped from 7 to 4, including Wanda, Hisense, Mengniu, and VIVO. Of course, some enterprises will also sponsor the national teams participating in the World Cup. However, although the economic situation of the first World Cup after the epidemic of the new champion is not very good, the enthusiasm of Chinese enterprises to sponsor the World Cup still makes us feel hot.
Every enterprise hopes to take a ride of the World Cup. This year, Alibaba Express opened the World Cup special session for the first time. Ma Xiang, the person in charge of the special session, said, When I was going to do the World Cup special session, a cosmetics company also found me. I said, 'What's your connection with the World Cup?' They said that many fans would paint national flags on their faces and use the company's products.
When the quadrennial World Cup effect comes again, it is more important for some enterprises in Yiwu than in previous years. Yiwu has once again become the most crowded place for winners. According to the estimation of the Yiwu Sports Goods Association, Yiwu made almost 70% of the market share of the commodities around the World Cup this year.
Ye Demo, the head of Yiwu Jinzun Sporting Goods Co., Ltd., told the media that the company has participated in the production of orders for several World Cups. Compared with the 2018 World Cup in Russia, the order volume this year is not much different, but it has increased by about 60% compared with last year. It has both the stimulating effect of the World Cup and the factors of recovery of various sports events after the epidemic.
Zhan Deliang, the head of Yiwu Sucheng Trade Co., Ltd., also told the media that he began to flag foreign trade in 2014, and started to contact World Cup orders when the 2018 Russian World Cup was held. Compared with the previous session, the order volume of this year's World Cup did not increase as much as expected. Even so, the increase is still 20% to 30%.
Data from Alibaba International Station also shows that recently, football, football shoes, football uniforms, football training equipment, and peripheral products related to the World Cup have become the search keywords of Alibaba International Station, and the overall inquiry volume of the sports industry has increased by 13% year on year. Among them, the number of buyers of team sports-related goods increased by 167% year on year, and the cumulative transaction volume increased by 77% year on year. The number of buyers of football shoes increased by 132% year on year, and the cumulative transaction volume increased by 229% year on year.
For the relatively depressed sports goods market after the epidemic, the stimulating effect of the World Cup can not be ignored, and its benefits to a wide range of industries, not only in Yiwu's concentrated production of World Cup peripheral products.
Ma Xiang said that people watching different scenes of the World Cup will drive the sales of different products. We found that 90% of people would choose to watch the ball at home, driving the sales growth of QuickConnect on TV, projectors, sofas, and pajamas. 9% of the fans will choose to watch the ball in public places, such as restaurants and bars, which will drive the explosion of beer and other categories. Some fans will also wear their favorite team uniforms to watch the ball in public places. Fans will also choose to watch the ball on site, which will drive the growth of peripheral products such as rackets and whistles. In addition, the World Cup will also drive the sales of various PS and Switch football games.
For any enterprise participating in World Cup orders, how to grasp the surging orders in the short term is the test they face.
Grasp the pressure of massive orders and make good use of old products
Compared with the previous World Cup, the interviewed enterprises generally believe that this year will bring less pressure to the production side. In addition, the products are also iterative. In the past, the product elements are more single football. This year, some newly developed products will combine the actions of athletes on the court, such as the goalie's save or the player's shot. Such new products have eliminated some old products. However, Ye Demo said that some old products had better sales.
For Yedemou, the biggest difference this year is that he is no longer as busy as he was at the previous World Cup. This year's World Cup order came as early as April, a month later than the previous one. But because the event was postponed to November, the production cycle left the factory was longer, at least two months more, when the order volume was not different.
In fact, the demand for sports goods is often accompanied by major activities and events, and sometimes it is difficult to say the rules that can be grasped. The flag is the best barometer. Zhan Deliang introduced that the stimulating effect of the World Cup on-demand is similar to the American election and the death of the Queen of England. On the day of the Queen's death, customers placed orders for a large number of British flags, hand-operated flags, and bunting flags. The demand broke out in a short period of time, and the requirements for timeliness were higher, so they needed to ship immediately, and customers could receive the goods within 4-5 days at most. This is undoubtedly a test of the enterprise's inventory and production capacity in a short period of time. “
Although this year's World Cup is held at a special time, leaving more production time for enterprises, for some manufacturers, orders for products around the World Cup are typically high short fast orders, that is, high demand, short cycle, and fast delivery. In fact, the 2016 US election has shown the outside world the strength of Yiwu enterprises to undertake such orders.
In the 2016 US election, Trump, an enterprise in Yiwu, ordered more aid products than Hillary Clinton. After Trump was elected President of the United States, the Yiwu Index was even regarded as the weather vane of the US election. Xu Yan believes that compared with the order of the US election, the order of the World Cup needs to be more in addition to higher, shorter and faster, that is, the purchaser comes from many non-participating countries, as well as many fans who go to Qatar to watch the match. This may be the biggest challenge for Chinese enterprises to grasp the orders of the World Cup, especially for many enterprises undertaking the orders of the World Cup for the first time.
How to make Chinese products appear in the competition?
Shandong Biyi Energy Technology Co., Ltd. is mainly engaged in golf carts and other new energy vehicles. For Manager Li Wenlu, who entered this track only in September last year, it is not football but golf that the company's products are most likely to appear in which sport. It is the new energy vehicle that is used in the World Cup, which is a car in the field that does not need to be listed and is used to pick up and send off players, referees, etc. If we can integrate and integrate earlier, the company should change its marketing direction from last year. For Li, the arrival of the World Cup order was a little sudden, and he was a passive customer.
At the beginning of September this year, the buyer released the purchase demand through the e-commerce platform, saying that the vehicle would be used for the pickup and delivery of World Cup personnel, and then started the bidding process. The initial purchase volume was five or six vehicles. From the perspective of purchase scale, Li Wenlu judged that the other party was a subcontractor. The overall order scale of the World Cup must be much larger than this. However, the competition for each order is also fierce. Only this one inquiry attracted 11 domestic enterprises to participate.
Customers are more from e-commerce platforms
Like the products of Li Wenlu Company, the orders received by Chinese enterprises for the World Cup are not only peripheral products, but also products and services of many Chinese enterprises that directly appear in the World Cup.
Sany Equipment, Seiko Steel Structure, Juli Rigging, etc. participated in the construction of infrastructure related to the Qatar World Cup. Jinlong Automobile and Yutong Bus have won 2817 bus orders for the Qatar World Cup. The construction of the Russel Stadium, the venue of the World Cup finals, was also undertaken by Chinese enterprises. In November 2016, China Railway Construction won the bid for the construction project of the Russell Stadium, which is the first time that a Chinese enterprise participated in the construction of the World Cup main stadium as a general contractor of design and construction. This stadium is located 15 kilometers north of Doha, the capital of Qatar, and can accommodate 92000 spectators. It will be responsible for the 2022 World Cup semi-finals, finals, closing ceremony, and other important activities and events.
Future trading methods may be more diversified and more important to the test of ability.
Undoubtedly, the epidemic situation since 2020 has blocked the exchange of international business personnel to a considerable extent. However, the negative impact is limited. On the one hand, overseas customers may have permanent representatives in China; On the other hand, it is more efficient to communicate through online means such as video, and the other party can directly express its needs. The biggest problem is how to build trust. Even if you have a good production line, good technology, and good R&D capability, customers can't feel these intuitively as offline. Therefore, even if you put advertisements online, you may face the problem of not converting customer resources into orders. Of course, the challenge is also an opportunity, which also gives some foreign trade enterprises the opportunity to overtake at corners.
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