Five years after embarking on a strategy to enter and consolidate the U.S. running specialty business with its $8.5 million purchase of 18-door The Running Company, Finish Line is retreating to focus on its core athletic specialty business and shops inside Macy’s locations. The Indianapolis-based retailer has inked a definitive agreement to sell its unprofitable, 65-store JackRabbit business to Los Angeles investment group CriticalPoint Capital for an undisclosed price. Read more...
Christopher E. Clawson, a 26-year veteran of the fitness industry who was re-elected as Chairman of the Sports and Fitness Industry Association in early December, has left his post as president of Life Fitness. Brunswick Corp., the company’s parent, has named 14-year GE veteran and West Point graduate Jaimie A. Irick, 42, as his replacement. In announcing his appointment, BC, in a statement, said it remains committed “to profitably growing Fitness annual sales to $1.5 billion by 2020 and continuing to evolve both our growth strategy and fitness portfolio and brands to achieve this goal.” Read More...
Twenty-five months after creating a seemingly strong ecommerce juggernaut for footwear that had IPO potential, Shoes.com has called it quits. The Vancouver company intends to wind down operations over the next few weeks and is working on a strategy with lenders that will liquidate assets and likely lead to bankruptcy filings in both the U.S. and Canada. It had been slated to move into new corporate headquarters early this year. The abrupt demise of the company, which operated Onlineshoes.com, ShoeME.ca and SHOES.com, was likely triggered by a few factors—increased competition in the space, persistent financial strain and operational difficulties it could not shake after hiring a former Travelocity general manager in Aug. 2016 as president. Already faced with a major competitor in Amazon-owned Zappos, SHOES.com received another competitive blow earlier this month when Walmart purchased Shoebuy.com for $70 million. Read More...
Financially-strapped Luke’s Locker, the family-owned run/fitness specialty business that last week abruptly shuttered five of its eight stores in Texas, filed for Chap. 11 bankruptcy protection January 25. Preliminary filings did not detail the extent of the chain’s financial distress, although it was blamed on “undercutting online competition” and “burdensome” leases that created liquidity issues and access to fresh inventory difficult.
Matt Lucas, the chain’s founder and president, is reportedly huddled with legal and financial consultants on a restructuring plan for the business, which generated $34 million in revenues last year. Luke’s financial schedules, including amounts owed to top trade creditors, are due to be filed Jan. 31.
The first meeting of Luke’s Locker creditors is scheduled for Feb. 17 in Plano, Texas. Look for more details on the Luke’s story in the Upcoming Feb. 1 issue of Running Insight at RunningInsight.com.
No one is saying, but a current test underway at Nike Paris may well signal a new technology-driven retail marketing concept for Nike at Back-to-School or Holiday later this year. It’s also a model, depending on cost and consumer acceptance, that could eventually be adopted by major Swoosh retail partners to drive store traffic, demand and mobile optimization among today’s tech-savvy, young consumers while keeping SKUs in check.
SmartPixels, a French company specializing in AR retail programs, has developed the in-store system that interfaces with Nike’s existing online NikeID customization service.
Using an in-store table, the display projects a hologram of various upper options onto a white shoe. The technology/feature is currently only available on the Nike AirMax, LunarEpic Low and Air Cortez in the Paris store.
Negative pressure on the U.S. athletic footwear business caused by the 2016 bankruptcies of The Sports Authority and Sport Chalet will begin to subside in April as the second quarter of 2017 begins, says research firm The NPD Group.
The category’s most negative period to-date was in the fourth quarter when overall revenues dipped 1 percent year-over-year and running shoe sales slipped 8 percent with market leaders Nike and Under Amour each experiencing sales drops in December. Adidas more than doubled its December sales, helping its market share more than double to 9 percent, NPD reported.
By wearer segment, men’s athletic footwear sales fell 1 percent in December as the women’s category grew 2 percent year-over-year and children’s declined 4 percent. By athletic footwear category, sales of Classics rose 11 percent in the final month of 2016 and casual athletic sales jumped 28 percent. Conversely, cross-training sales slid 19 percent in December with all other performance sneaker sales dipping 11 percent.
Adidas Originals
Published: January 17, 2017 | Views as of 12:00pm 1/27/17 – 7,183,619
Faced with no additional bids for the parent of Bauer Hockey, Easton Baseball/Softball and Cascade Designs, the “stalking horse” bidder for the business is in line to secure bankrupt Performance Sports Group for $575 million and related operating liabilities at a sale hearing on Feb. 6.
Sagard Capital, an evergreen fund and subsidiary of Power Corp. of Canada, is PSG’s largest shareholder with a 17 percent stake. Its joint offer for PSG with Fairfax Financial, assuming it’s court-approved, would close on Feb. 23.
Last week, before no additional offers for PSG and related subsidiaries were received by a Jan. 25 deadline, the bankrupt Exeter, NH company obtained court approval to sell the assets of its Inaria soccer uniform business back to founder Saverio Michielli for C$2.07 million. PSG acquired Inaria in Oct. 2012 for C$7 million.
Tiger Woods, 41, is back on the course and will soon be using a new golf equipment brand, TaylorMade, which continues to be owned by Adidas. The 14-time Major champion signed a multi-year contract to become a member of TaylorMade’s Tour staff and use its drivers, fairway woods, irons and wedges. Woods, who played TaylorMade during the 1994 and 1995 U.S. Amateurs, will assist the company with the development of a personalized iron that will be in his bag at some point.
• A joint venture between Hilco Streambank and Step Up
Apparel CEO Harry Adjimi has acquired the Powerbilt golf and sporting goods IP portfolio from Hillerich &
Bradsby Co. in a private sale. Last year, H&B sold its Louisville Slugger
brand to Wilson Sporting Goods’ parent Amer Sports.
• Miura
Golf, which has been making forged irons since 1957, is sold to banking
magnate and golf enthusiast Howard Milstein, president and CEO of Emigrant Bank
and a Jack Nicklaus business partner since 2007.
• Skechers is
out with a new GO GOLF campaign featuring its roster of endorser/players.
• Titleist began
delivering its new ProV1 and Pro V1x golf balls, which have been re-engineered,
on Jan. 25.
• Dick’s Sporting Goods Foundation will donate $500,000 over the next three years via a Sports Matter grant
to the PGA of America to provide thousands of underprivileged kids an
opportunity to learn to play golf.
While viewership for Super Bowl LI is projected to be consistent with last year’s level, total spending on goods related to the game between the Atlanta Falcons and New England Patriots is forecast at about $75 per person or $14.1 billion total versus $82 per person and $15.5 billion in 2016, according to a research survey conducted for the National Retail Federation. An estimated 11 percent of those surveyed by Prosper Insights & Analytics said they would buy team apparel or accessories ahead of the Feb. 5 game. The Patriots and the ‘Drive for Five’ quest to capture a fifth Vince Lombardi Trophy took their team message on a four-day, bus tour from New England to Houston.
The Cat is launching its new Swan Collection, in conjunction with the New York City Ballet, on Feb. 1 worldwide. In a follow-up to its Aug. 2016 ‘Do You’ campaign, Puma is using the organization’s Mimi Staker and Olivia Boisson as heroines of the campaign that encourages women to have the confidence to focus on their strengths and make their own way in the world. The inspiring women wear fashion-forward Performance and Sportsyle products from the collection in telling their respective stories.
Meanwhile, Adidas has merged sneaker and football cleat design and innovation into the UltraBOOST cleat that is crafted on a running shoe upper with a Primeknit one-piece bootie construction. A BOOST sockliner reduces cleat pressure as the trademarked UltraBOOST heel clip construction cradles the heel to keep the foot centered over the top of the plate during acceleration and stopping.
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.
