The intent marks an entirely new distribution strategy for the North Face, Vans and Timberland parent, which will leverage its $820 million, all-cash price for the acquisition of the parent of the Dickies, Workrite, Kodiak, Terra and Walls brands with a head-to-toe approach in B2B and B2C channels. The growth emphasis will be on digital and international with the deal also allowing VFC to enter the services and healthcare segments. “Workwear is very interesting to us,” Steve Rendle, VFC CEO told analysts early last week.” Read more...
Faced with its first quarterly comparable sales decline (-6%) in nearly seven years, a difficult July and a general malaise and lack of innovation excitement in the premium athletic footwear space, Foot Locker senior executives tried to answer the question “Where do we go from here?” when reporting second quarter results Friday. Unfortunately, some of the trends that hampered the retailer are projected to persist through the remainder of FY17. Wall Street hammered FL’s stock after the retailer missed profit, revenue and margin estimates for the period ended July 29. Foot Locker shares fell nearly 28 percent, or $13.32, to close at $34.38 on Aug. 18. Read More...
The Chairman and CEO of Dick’s Sporting Goods, Ed Stack, is blunt when asked about the current state of pricing in sporting goods retail—it’s both irrational and unpredictable. But he vows the country’s largest full-line chain will address the likely persistent climate aggressively. “I think it’s (promotional pricing) going to be, at least for the foreseeable future, the new normal until the industry consolidates further,” said Stack, adding that Dick’s previous 9 percent margin won’t likely be achieved again anytime soon. “…We don’t like where the whole industry is today, but it won’t stay here forever.” Read More...
The marriage between DTLR and Sneaker Villa creates a regional chain of nearly 240 doors across 19 states and may eventually set the stage for a new national player in lifestyle footwear, apparel and accessories retail. The transaction was orchestrated by New York private equity firm Bruckmann, Rosser, Sherrill & Co., which bought DTLR in October 2005 in a management-led buyout and recapitalized the business a decade later. Besides DTLR, BRS’ current portfolio of a dozen firms includes Royal Robbins. Previously, it included Anvil, Remington and Totes Isotoner.
DTLR and VILLA currently have close to the same number of doors with no geographic overlap. In addition to its website, DTLR has 110 locations across a dozen states and the District of Columbia with penetration in the metro markets of Atlanta, Baltimore and Chicago among others. Philadelphia-based VILLA, which operates on the web at ruvilla.com, currently has 120 doors across 10 states including key markets in Pennsylvania and Ohio.
DTLR CEO Glenn Gaynor says the combination will enable the emerging retailer to leverage the best practices of both VILLA and DTLR to better serve customers, employees and vendors. BRS has not disclosed what, if any, operations will be merged and whether both nameplates will go forward.
Yvon Chouinard is taking his company’s longstanding message about preserving shared U.S. public lands to U.S. consumers and Secretary of the Interior Ryan Zinke in Patagonia’s first television ad in its almost 45-year history. Zinke is scheduled to announce his decision on the fate of 21 remaining national monuments on Thursday, August 24.
In the spot, to air in Montana, Utah and Nevada where national monuments such as Bear Ears and Gold Butte and Basin could be recommended to be rescinded, 78-year old outdoorsman Chouinard tells the viewing audience that he has been a successful businessman because of lessons he has learned in the outdoors. He also suggests public lands are under greater threat today due to “a few self-serving politicians who want to sell them off and make money.”
The commercial ends by asking viewers to text “DEFEND” to 52886 by August 24.
“This is not about politics or partisanship,” Patagonia President and CEO Rose Marcario said in a prepared statement. “It’s about standing up for places that belong to future generations. We want to raise awareness of history’s lesson that when public lands are turned over to states that can’t afford to maintain them, the result is the land is often auctioned off to private companies who irrevocably damage them and deny access to them for all of us.”
The small-town operator, which had a disastrous second quarter, sees a number of changes on the horizon from footwear vendors that it believes can turnaround the category’s fortunes. Most notably, Hibbett senior executives see speed accelerating in footwear product development cycles and a pullback on the number of marquee style debuts toward a focus on “more quality launches.”
The 1,080-door retailer, which reported an 11.7 percent drop in second quarter comparable store sales with double-digit declines in both June and July, is most excited about running and lifestyle offerings in the pipeline.
“We’re very focused on price value versus necessarily price, and we feel there are opportunities to provide value to the customer without necessarily going downstream from a price perspective,” HIBB’s chief merchant Jared Briskin told analysts.
Elsewhere,
• Camping World CEO Marcus Lemonis says the new Gander
Outdoors “will not carry the level of apparel and footwear that we historically have because we believe that is not as experiential. It’s more of a commodity-based business and we want to carry the types of products and services that require human interaction with an expert and or some level of installation…that is our defense mechanism against margin compression competing with Amazon-type retailers.”
• Sportsman’s Warehouse, which saw a second quarter comparable store sales decline of 9 percent driven by the hunting and shooting categories, realized 5.9 percent and 2 percent comp gains, respectively in apparel and footwear. Transactions from the banner’s 1.4 million loyalty members accounted for 43 percent of the period’s $191.5 million in revenues. The chain has moderated FY18 door expansion to 5 to 9 so that it can allocate more free cash for debt reduction.
• Sierra Trading Post has opened a store in Framingham, MA, the hometown of parent TJX Cos.
• U.S. e-commerce sales rose 16.3 percent in the second quarter with Amazon accounting for nearly half of the growth. Walmart reported a 67 percent increase in second quarter sales from all of its websites, including Moosejaw and Jet.com.
ING Source has promoted Josh Higgins to president of OS1st Base Layer Bracing where he will run day-to-day global operations. He will work closely with outgoing president Dave Higgins, who will continue as CEO and handle international business development and strategy for the Hickory, NC company.
Formula4Media colleagues Emily Walzer, Textile Insight editor, Jennifer Beaudry-Ernst, footwear specialist, and contributor Kurt Gray, owner of SimplyGrayDesign, dish on key trends from the final Outdoor Retailer trade show in Salt Lake City.
Shifting consumer purchasing patterns are vital to understanding today’s marketplace. Russell, a marketing and strategic planning professional, offered up her thoughts at TexWorld in New York on a panel with Sports Insight Extra’s Bob McGee.
Family-owned Silicon Valley firm Plug and Play, which dubs itself the “Ultimate Startup Ecosystem,” has raised over $6 billion in venture funding during its 11 years while bringing corporations, venture capitalists and start-ups together.
In the fragmented hydration market, where price points for performance products are on the rise, HydraPak is an OE supplier to numerous brands and has its own lightweight, flexible products.
Superfeet Celebrates 40th Anniversary. The employee-owned company introduces footwear and rolls out a 3D printed insole program.
BOA introduces New Tech and Names New CEO. Nothing will constrict Boa Technology CEO Shawn Neville from helping the Denver company improve its customized fit solution.
No strings attached. The married Argentinean couple has raised nearly $20 million for Hickies, a Brooklyn company addressing how athletic shoes are closed around the foot two eyelets at a time.
The Co-founder and Managing Partner of Partners Growth, which brings premium brands into the U.S. market, talks Finnish children’s wear brand Reima.
Six-year old Altra is teaming with Utah State University to develop outdoor design talent.
Let's Go Hyperwear: Former Equinox personal trainer merges the innovative, functional fitness gear from Austin, TX company with programming for schools, camps and institutions.
Sly and Simple. BlueFox.io and its technology enable a retailer to interact with customers in store and track traffic. No beacon required. The CMO explains the benefits of the platform.
The CEO of Xenio Systems talks about the company’s new platform that tracks where shoppers spend time in physical stores and its patented hyper-positioning technology.
The director of export promotion for Mexico’s Guanajuato State government agency addresses the proposed impact of the Border Adjustment Tax by the U.S. and the possibility of a renegotiated NAFTA free trade agreement.
The founder and CEO of EyeFitU, a former investment banker, talks ‘glocal’ assortments, shoppers’ personal sizing and global web payment options.
The president and CEO of the SFIA addresses the most serious threat the industry has faced in the past half-century and the expected re-introduction of the PHIT Act by Congress.
The Italian global trade expert in footwear talks about the present and future of TheMicam trade show and the potential impact of a Border Adjustment Tax in the U.S. on imported shoes.
Dr. James Eakin, chief marketing officer and director of U.S. operations for Xenoma, discusses the Japan company’s e-skin shirt and entire wearable category.
Industry senior statesman Rusty Saunders dishes on industry leadership, pressing issues and the inactivity pandemic.
Expert Barbara Barclay, president of RightEye, talks eye-tracking technology and her company’s recent alliance with Major League Baseball and USA Baseball.
Julie Sylvester, Executive Producer at Living in Digital Times, talks trends likely to emerge at Sports and FitnessTech Summit at CES in Las Vegas.
Chris Palmer, Founder and CEO of BoxFox, talks excess inventory and solutions for vendors, retailers and distributors.
Susie McCabe, SVP of global retail for Under Armour who previously spent 16 years at The Ralph Lauren Corp., dishes on UA’s retail strategy and new Brand House in Boston.
On the eve of Election Day, we talk to three leading industry lobbyists on how the results may impact trade in the sporting goods, outdoor and apparel and footwear industries.
On the eve of Election Day, we talk to three leading industry lobbyists on how the results may impact trade in the sporting goods, outdoor and apparel and footwear industries.
On the eve of Election Day, we talk to three leading industry lobbyists on how the results may impact trade in the sporting goods, outdoor and apparel and footwear industries.
The president of Reebok Future discusses the intent of the unit and the brand’s plans to develop footwear in a new way.
TREW CEO Paul Schille dishes on the eight-year old company in the process of completing its Series A round of funding and his dual career.
Milestone Sports CEO Jason Kaplan dishes on the company’s low-cost, wearable pod and how it will help specialty retailers connect.
OOFOS marketing executive talks about the recovery footwear brand and candidly about her courageous personal health journey.
Footwear Distributors and Retailers of America President Matt Priest the likelihood of the Trans-Pacific Partnership being passed soon.
ING Source executives dish about compression technology and the Hickory, NC company’s breakthrough OS1st Brace Layer System.
Jones & Vining’s Charles Liberge addresses strategies and directions for the iconic brand.
Rockport Group senior executives talk about the brand’s fresh start under new ownership that has a major emphasis on versatility.
Mission Athletecare CEO Josh Shaw says thermoregulation is the New York company’s singular focus.
Tim Porth of Octane Fitness talks trends, Zero Runner and the company’s January acquisition by Nautilus Inc.
The principal and founder of Rising Tide Associates talks about industry advocate lobbying for the domestic textile and footwear industries.
The ‘47 brand executive dishes on the Boston company and long-time MLB licensee founded by his father Arthur and his late Uncle Henry.
Pam Gelsomini, president, and CB Tuite, VP–sales, discuss the company’s products, partnerships and what’s new for the season ahead.
The tradeshowdirector for the American Sportfishing Association casts comments on the activity’s popularity, and trends in fishing.
The principal and founder of Rising Tide Associates talks about industry advocate lobbying for the domestic textile.
The VP of sales and sponsorships for Spalding, Dave Coradini talks Shot Tracker and basketball.
The executive brand and product innovation leader dishes to F4M’s Emily Walzer on an array of topics.
Snow Sports Industries of America’s Kelly Davis talks weather, participation trends and how to handle the psyche.
Gene McCarthy, president of Asics America, speaks to Jen Ernst Beaudry on specialty run and more in the second part of the podcast.
Gene McCarthy, new president of Asics Americas, dishes to F4M’s Jen Ernst Beaudry in the first of a two-part podcast.
Saucony’s Richie Woodworth offers his views on brand’s running business and what it takes to manage through change.
Bruce Cazenave, CEO of Nautilus Inc., recently ranked 23rd on Fortune’s “Fastest Growing Companies” list.
Gary Smith has been at the helm of the Lawrence, MA firm for three years, and his 2016 strategies will broaden Polartec’s scope.
Wilson Sporting Goods, one year removed from its 100th anniversary and a major restructuring, has a renewed focus and strategy.
