虎嗅

Has the price doubled in just one year, and are sports brands beginning to collectively target Chinese consumers?

原文:一年价格翻倍,运动品牌开始集体收割中国消费者?

Summary of the Key Points

Consumers have noticed that a pair of outdoor pants from a domestic brand, which cost 599 yuan last year, has now increased in price to 1350 yuan this year (a rise of over 125%), questioning the reasonableness of the pricing and accusing the brand of overcharging. This phenomenon reflects the conflict between the industry logic behind the price increases and consumer perceptions.

Detailed Analysis

1. Why has the price doubled so sharply?

The first reaction of most people to a doubling in price is that it's an attempt to exploit them, but there could be several practical reasons:

  • Soaring raw material costs: The waterproof and breathable materials used in outdoor pants (such as GORE-TEX), durable nylon, and metal zippers have seen price increases due to global supply chain fluctuations (e.g., rising oil prices affecting the cost of synthetic fibers) and higher labor costs, which may have raised procurement prices by 30%-50%.
  • Brands seeking to upgrade their image: Many domestic outdoor brands have previously relied on their "value for money" to compete in the market but now want to move away from the "cheap" label and elevate their brand position (by targeting the mid-to-high-end market like international brands like North Face and Columbia).
  • Increased marketing and distribution costs: If a brand has hired endorsers, increased online promotion (e.g., investing in TikTok live streaming), or opened more physical stores, these expenses will be reflected in the product price.
  • "Hunger marketing" or insufficient production capacity: If the pants are very popular, the brand might deliberately raise prices to reduce inventory pressure; alternatively, if production cannot keep up with demand, the scarcity can drive up prices.

Of course, if none of these reasons apply (e.g., the pants are exactly the same as last year with no improvements or additional costs), then it could indeed be a case of the brand trying to make quick profits.

2. Pricing outdoor pants is not just about "fabric + zipper"

Many people think that the cost of a pair of pants should be in the tens of yuan, but the pricing logic for outdoor products is different:

  • High research and development costs: Waterproof pants, for example, undergo hundreds of tests to ensure their durability, and the R&D team may spend half a year or even a year developing a satisfactory product. These costs must be allocated to each pair of pants.
  • Brand premium: International brands command higher prices because consumers perceive them as more professional (e.g., "Wearing North Face for hiking makes you feel more secure"). Domestic brands trying to replicate this premium image need to raise their prices accordingly.
  • Distribution and service costs: Renting physical stores, paying employee salaries, and providing online after-sales services (such as free repairs and returns) are all hidden costs.

For instance, if an international brand sells a pair of waterproof pants for 1500 yuan, research and development accounts for 30%, the brand premium for 25%, and distribution for 20%; raw materials and manufacturing account for only 25%. Domestic brands might aim to maintain a similar ratio when raising prices.

3. How can consumers determine if the price is justified?

Here are three tips to help you make an informed decision:

  • Check for actual improvements: Are the pants lighter or have better waterproofing this year? Do they have new features (such as side pockets or reinforced knees)? If the only change is the color, the price increase is probably unjustified.
  • Compare with similar products: Search online for "domestic outdoor pants with waterproofing" and see how much other brands with similar features are selling for. If another brand sells them for 800 yuan while this one sells them for 1350 yuan, the latter's pricing is less competitive.
  • Consider your needs: If you only use the pants for casual activities (e.g., walking or shopping), there's no need to spend a lot on professional outdoor pants. However, if you plan to hike or climb mountains, more expensive pants may be more durable and safer (e.g., better waterproofing can prevent catching a cold).

4. Are domestic outdoor brand price increases a sign of ambition or risk?

The price increases by domestic outdoor brands represent an attempt to transition from a focus on value for money to a mid-to-high-end market, but there are risks:

  • Old customers may switch: Those who used to pay 599 yuan might find the new price of 1350 yuan too expensive and turn to cheaper brands like Decathlon.
  • High-end customers may not be convinced: People looking for high-quality outdoor products are more likely to trust international brands like North Face and The North Face, so price increases may not attract them.
  • Reputation can suffer: If the price increase lacks transparency (e.g., no explanation for the cost or improvements), consumers may feel exploited, which can damage the brand's long-term image. For example, a previous domestic brand saw its sales drop by 20% after raising prices due to poor communication with customers.

5. A reminder to brands: Don't treat customers like fools

Consumers are not averse to price increases, but they need to be informed:

  • Communicate the reasons clearly: For example, issuing an announcement explaining that raw material costs have risen by 30% and new durability technologies have been added will help customers understand the decision.
  • Maintain product quality and functionality: The product quality and features must improve alongside the price increase; don't just change the packaging without providing real value.
  • Take care of old customers: Offer discounts or launch a "budget-friendly" line to retain existing customers and avoid a one-size-fits-all approach to price increases.

If brands focus solely on short-term profits and ignore customer feelings, they may end up losing more than they gain.

Conclusion

The price increases by domestic outdoor brands reflect an industry transformation, but the key is to do so in a way that is justified and transparent. Consumers should compare products carefully and look for genuine improvements before making a purchase. Brands, in turn, must remember that customer trust is more important than any single price increase.