Summary of Key Points
Domestic sports brands are entering a dual cycle characterized by "multi-brand premiumization and generational transition": On one hand, the growth of mass-market sports brands has slowed down, while high-end professional outdoor and running segments have become new sources of revenue for these companies (such as Anta's Descente and Kelon, as well as Xtep's Saucony). On the other hand, company founders are handing over the management of these emerging premium brands to their second-generation heirs, who come from overseas backgrounds. This approach not only leverages the younger heirs' familiarity with young consumers and global markets but also serves as a testing ground for their leadership skills, with gradual delegation of authority after they prove their capabilities.
The "Second Spring" of Sports Brands: High-End Segments as Growth Engines
Despite the ongoing enthusiasm for sports among the general public, the growth of mainstream brands like Anta and Xtep in their mass-market segments has slowed. As a result, these companies have shifted their focus to high-end professional markets. For example, Anta acquired Descente (a Japanese premium ski brand) and Kelon (a Korean outdoor brand), while Xtep purchased Saucony (an American running shoe company with a century-long history). These brands are experiencing double-digit annual growth. In 2025, Xtep's professional sports division (including Saucony and MaiLe) saw revenue increase by 30.8%, significantly outpacing the main brand's 1.5% growth rate. Anta's Descente, under the leadership of Ding Shaoxiang, has grown from annual sales in the tens of millions to over one billion yuan, becoming the third-largest brand within the group.
Why are high-end segments so successful? Firstly, there is an upgrade in consumer spending among the middle class, with people willing to pay for professional performance and brand prestige. Secondly, these overseas brands possess a "professional heritage" that attracts quality-conscious consumers. Lastly, their positioning avoids price competition in the mass market, allowing for larger profit margins.
The New Approach to Generational Transition: Using the Second Generation as Trial Fields
Why do parents hand over emerging brands to their second generation? The key reasons are:
- Low risk: These brands account for a small portion of the company's overall business (for example, Saucony only accounts for 10% of Xtep's revenue), so a failure would not significantly impact the overall performance.
- Matched capabilities: The second generation often has overseas education backgrounds and understands the preferences of young consumers, as well as the operational logic of global brands.
- Clear path for development: They start by managing one brand and proving their abilities through its success before taking on larger responsibilities (for instance, Ding Shaoxiang later took over MAIA ACTIVE).
This approach is more cautious than simply handing over the entire company to the younger generation, akin to taking a smaller test before moving on to bigger challenges.
The Dual Roles of the Second Generation: Both Influencers and Managers
The second generation of business leaders no longer maintains a low-profile; instead, they actively build personal brands on social media, aligning themselves with their companies. For example:
- Ding Jiamin, known as Xtep's largest fan on platforms like Douyin and REDnote, shares her daily life while promoting Saucony.
- The Luo Hao and Luo Cheng brothers from Haolilya use their attractive appearances to drive the brand's younger-oriented transformation.
- The "Towel Young Master" from Jieliya uses short videos to increase traffic for their family-owned brand.
Experts argue that these personal brands serve as catalysts for growth, helping companies gain popularity quickly. However, the ultimate goal is to transform personal influence into brand assets—consumers should buy products because of the quality of the brand, not just because of the influencer.
The Challenges and Successes of Second-Generation Management
The transition to second-generation leadership is not always smooth, with both successful and challenging cases:
- Success stories: Ding Shaoxiang transformed Descente from an obscure brand into a billion-dollar business through practical efforts, a clear focus on high-end markets, and strong execution. Ding Sirong's Kelon has seen rapid growth (over 6 billion yuan in sales in 2025, with a 70% increase), making it the fastest-growing brand within Anta.
- Challenging cases: Ding Shaoxiang faced difficulties with MAIA ACTIVE, an acquired women's sports brand that struggled in the first two years. This test evaluates the second generation's ability to revive struggling brands.
The key to success lies in choosing the right market segment (such as the booming outdoor industry) and avoiding traditional distributor constraints (by operating directly through direct-to-consumer models for faster decision-making). Challenges include addressing core issues such as brand positioning and product quality.
The Underlying Logic: Consumption Upgrades and Complementary Generational Skills
This trend reflects a broader transformation in Chinese consumer companies:
- What the first generation achieved: The first-generation entrepreneurs (like Ding Shuibo and Ding Shizhong) built successful mass-market brands through manufacturing, distribution channels, and supply chains.
- What the second generation needs to improve: They must develop skills in brand management, digital marketing, and understanding of young consumer culture. Brands like Descente and Saucony require managers with a global perspective.
- The future direction: The demand for high-end sports products will continue to grow. For success, the second generation must combine their personal strengths (younger appeal, international awareness) with market-oriented management and core technologies. They cannot rely solely on popularity but must also build sustainable brand competitiveness.
In summary, the first generation lays the foundation, while the second generation drives innovation, working together to elevate Chinese sports brands to a higher level of quality and global reach.