Firms see bright prospects as more consumers pursue healthier lifestyles

Sporting goods companies and other businesses related to sports that participated in the third China International Import Expo remain optimistic of growth in the Chinese market despite the fact that the COVID-19 pandemic has restricted people's outdoor activities and suspended sporting events around the world.

For the first time, this year's expo included a 7,300-square-meter section dedicated to sports and gaming. The sports section attracted more than 20 exhibitors, including major firms specializing in goods related to basketball, athletics and other sports and games.

"The COVID-19 pandemic has highlighted that a sound body and a sound mind are key to good health and the pursuit of excellence," said Chen Xiaotong, president of Japanese sports equipment company Asics' China branch.

"More people are beginning to pay attention to health and fitness, especially young Chinese. They are becoming more discerning while buying sporting goods, which is good for the sports industry's innovation and development."

She said as the postponed Tokyo 2020 Summer Olympics and the Beijing 2022 Winter Olympics are scheduled to be held back to back, the sports industry in the region is poised for growth.

The company has specially designed and introduced four new shoe models for the Tokyo Olympics, one each for tennis, basketball, soccer and table tennis.

According to Sports Survey 2020, a report published by auditing and consulting firm PwC during the expo, the global sporting goods industry is expected to slow annual growth to 3 percent in the next three to five years in light of the pandemic, but the Asian market will still grow fast at a high rate of around 7 percent.

Pascal Bizard, senior vice-president of France-based sports and lifestyle goods retailer Decathlon's China unit, said China is the most important market for the group.

"China's huge domestic market has boosted our innovation. We are one of the most direct participants and beneficiaries of China's dual circulation development pattern," he said.

Decathlon has exhibited products for 80 different sports, including a quick inflatable kayak, an easy deployable camping tent and a full-face snorkel mask, which cater to a growing enthusiasm for outdoor sports in China.

The country's effective control of the spread of COVID-19 also helped the wellness and fitness industry to recover.

Kevin Chu, general manager of Unifitness Group, said the company provides overall solutions for building fitness centers, from designing layout to providing equipment and training.

"We have seen a growing demand from Chinese companies to build fitness spaces in their offices and R&D parks," Chu said. "In the past, our clients used to be only multinational corporations, such as GE and Intel, but now we started to have business from Huawei, Bytedance and Tencent."

The company has also worked with the China Rowing Association to organize online indoor rowing competitions-people compete with friends or strangers by connecting rowing machines at home to the internet.

Competing with friends in one's favorite NBA basketball teams on computer, racing in a Formula One simulator, or exercising with a Nintendo Switch-different types of esports have attracted crowds at the third CIIE that ended on Nov 10 in Shanghai.

Esports is another sector in China where foreign companies want to work with Chinese counterparts to share the market's rapid growth, industry observers said.

According to games market researcher Newzoo, the global esports market's sales revenues will surpass $1 billion this year, while China is the largest single market with a revenue of $385 million. The country is home to the largest concentration of esports fans.

The Formula One Esports Series has partnered with Shanghai Juss Intellisports Co to open its China tournament last year, which became the first esports tournament to be broadcast on a TV channel in China. The program attracted 53 million online viewers this year.

The tournament held this year's 15th round race during the expo.

The Asian Electronic Sports Federation made its debut at the expo with the help of its strategic partner Duosport Co in Shanghai. It also signed partnership agreements with the city governments of Guiyang in Guizhou province, Longyan in Fujian province and Suzhou in Jiangsu province.

In his video speech to the event, Kenneth Fok Kai-kong, president of the AESF, said, "Asia is deemed the origin of esports with the fastest growing player population around the world, and China is leading the growth."

Determined to promote the esports industry, Shanghai announced plans to become "the international capital of esports" and has held two top esports events, the International Dota 2 Championships in 2019 and the League of Legends World Championship in October.

Chen Weili, CEO of Duosport, said the company will work with the AESF to organize an esports competition for Asian college students in Shanghai next year.