Retail: 63
Retail: 140
Subscribe Now!
Mon, Aug 28, 2017
Vol 1, Issue No. 33
Monday, April 16, 2018
Volume 2, Issue No. 15

Piper Jaffray Report
U.S. Teen Spending Rises as Some Brands Gain Mindshare

Teen spending this spring is up 6 percent from Fall 2017 and 2 percent higher than in Spring 2017, according to the 35th semi-annual Teen Survey conducted by Piper Jaffray. The study, based on 6,000 responses from teens with an average age of 16.4, shows the average U.S. teen spends approximately $2,600 annually with females spending 25 percent of their budget, on average, on clothing and their male counterparts designating about 16 percent of their spending on apparel. Thirty-five percent of preferred apparel brands of upper-income teens were athletic, down from 41 percent a year ago.

With streetwear and 1990s retro each showing signs of strength among respondents, four brands rose in mindshare among favorite apparel brands of upper-income teens—Adidas, rising to 6 percent from 3 percent in Spring 2017; Urban Outfitters, moving to fifth on the favorite brand list with 5 percent versus 2 percent a year earlier; Supreme, which was 10th on the favorite brand list in the Fall 2017 survey with 3 percent mindshare held steady and moved up to 7th in the rankings; and Gucci cracked the Top 10 for the first time spring. Nike retained its ranking as the most preferred apparel brand at 23 percent, steady with its Fall 2017 level but down from 31 percent in Spring 2017.

In the footwear category, Piper Jaffray found more teens moving deeper into casual athletic. The ongoing trend helped Vans further increase its share as the favorite brand among all upper-income teens to 16 percent versus 12 percent in Fall 2017 and 9 percent a year ago and Adidas hit a new peak in the survey at 14 percent against 11 percent in Fall 2017 and only 6 percent in Fall 2016. Nike retained the top footwear spot at 42 percent, off from 46 percent last fall and 52 percent in Spring 2017. Converse slipped to 4 percent mindshare versus 7 percent in the Fall 2017 survey. Piper Jaffray found that 66 percent of female teens now prefer an athletic footwear brand, up from 63 percent last spring, with 84 percent of male teens wanting an athletic brand today, down from 86 percent a year ago.

Both Tommy Hilfiger and Hanesbrands-owned Champion are more popular with teens today, each benefitting from the 1990s and logo revival trends. Champion moved to 10th among upper-income male teens, tied with Vineyard Vines, from 44th a year ago and to 25th among average-income teen males. Vans and Supreme are pacing today’s streetwear trend among teens with women’s driving the increase. Piper Jaffray found that while VF Corp.’s North Face brand retains a stable market share among teens, the Patagonia brand is currently more popular among the set.

The Piper Jaffray report found the top five fashion trends among upper-income teen males this spring are: Nike/Jordans (12%), Athleticwear (10%), Adidas (9%), Jogger Pants (7%) and Supreme (7%). Among upper-income female teens, the current top fashion trends cited by the survey are: Leggings/lululemon (29%), Ripped Jeans (8%), Jeans (5%), Victoria’s Secret (4%) and Vans (4%).

March Retail Sales Up 5 Percent Year-over-Year

Mother Nature hasn’t cooperated over much of the U.S. in terms of real spring weather, but apparently it didn’t matter much at the cash register last month. March retail sales jumped 5 percent year-over-year, which the National Retail Federation attributed to consumers continuing “to show resiliency in spending.”

Clothing and clothing accessory store sales rose 6.1 percent y-o-y in March, but were down 0.8 percent from February seasonally adjusted, according to the monthly data generated by the U.S. Census Bureau. Meanwhile, sporting goods store sales, perhaps hampered by the slow start to spring, were off 0.9 percent y-o-y in March and down 1.8 percent from February.

SFIA Report
Performance, Fitness Apparel Pace Categories

Performance and apparel had the biggest U.S. wholesale sales increases in 2017, rising 7.2 percent and 12.3 percent, respectively, according to the recently released Manufacturers’ Sales by Category report from the Sports & Fitness Industry Association (SFIA). Meanwhile, sales of all branded athletic apparel increased 2.6 percent in 2017 to more than $16.88 billion, led by a 4.9 percent gain for the sock category and 4.2 percent increase for sports bras.

The trade organization found sales in the overall U.S. sporting goods and fitness industry, including all softlines and hardlines, grew 2.9 percent last year to more than $90.2 billion on a wholesale basis.

Other key gainers included: Bowling, up 4.3 percent; Fishing, up 5.3 percent to more than $2.47 billion; and Footwear, up 2.6 percent to more than $15.8 billion. Racquetball (-15.7 percent), Snow Sports (-8.3 percent) Tennis (-3.0 percent) were among the key decliners.

Running Insight
Boston Marathon Report: Donuts to Dollars

Photo: Nicholas McGee

The popular cliché says policemen love donuts, but that doesn’t explain why one of Boston’s finest was in the Saucony booth Friday morning at the Boston Marathon expo. The shoe company, which is reportedly about to name a new president, was the hit of the expo with its limited edition Kinvara 9 collaboration with Dunkin Donuts. Runners charged the booth as soon as it opened and took a number “bakery style” as they lined up to buy a pair of the shoes, which were served up in custom packaging designed to resemble donut boxes.

Runners apparently were taking their Donut Shoes quite seriously. Colin Peddie, owner of Marathon Sports in Boston, which had an exclusive pre-sale on the shoes leading up to the race, said some shoppers who didn’t get the shoes sent unhappy e-mails to the store. “I’m not anticipating trouble at the expo, but I’m happy the police are here to be sure,” he said.

By late in the day, just a few shoes were remaining.

Balega also sold out of its Boston Marathon socks by the end of Day 1 at the expo.

This year, The Boston Marathon Expo was held at the Seaport World Trade Center, across town from its usual location at the Hynes Center which is close to the finish line on Boylston Street. Exhibitors said that traffic at Seaport tends to be slower than the Hynes but that visitors were in good spirits and purposeful in their shopping.

Industry Focused on Spiking Physical Activity

The World Federation of Sporting Goods says it will work aggressively between now and the 2020 Olympics in Tokyo to further advance the notion of increasing physical activity across the globe. In a WFSGI position paper issued last week, the trade organization reported that active people are 48 percent less likely to suffer from mental health problems, contribute more to their respective community, are more productive in the workplace and tend to earn more over their careers.

“The inactivity crisis is real, with severe consequences for the society, it is a systematic global challenge,” wrote Robert de Kock, WSGI president and CEO. “Everyone has a role to play in the solution, including governments, education institutions, the medical field, civil society, businesses as well as individuals.”

In a related development, PHIT is kicking off PHIT America Month and Play Tennis Month on April 20 with a three-hour cardio tennis session at the U.S. Tennis Association National Campus in Orlando. There, 250 people will work on burning one million calories during a group fitness session with concurrent action on 24 tennis courts.

JackRabbit Forges Joint Venture with Rogue Running

The 60-door and ecommerce-based run specialty chain JackRabbit has joined forces with Rogue Running to extend Rogue’s training approach to all major JackRabbit markets across the U.S. over time, starting in Dallas/Fort Worth on May 19.

Rogue Running, started in Austin, TX by Founder Steve Sisson in 2004, takes the advanced training methods of the best professional athletes and applies the same principals to everyday runners. Rogue currently trains more than 3,000 runners annually with programs from beginners to advanced marathoners.

JackRabbit purchased the Rogue Running retail store in Austin, TX in Oct. 2017.

“We are extremely pleased to team up with Rogue to enable Jackrabbit to provide our customers a wide variety of training programs to meet the needs of all running types,” said Bill Kirkendall, JackRabbit CEO.

Outdoor Retailer Winter Dates Moved

Aiming to help retailers avoid conflicts with their busy pre-Martin Luther King holiday selling season, Outdoor Retailer organizers have announced a shift in January show dates for Jan. 2019 through Jan. 2022. The three OR shows will be preceded for three days in the Colorado Convention Center by an event consisting of buying groups for the Winter Sports Market, Sports Specialists Ltd. and Snowsports Merchandising Corp.

The dates for upcoming January Outdoor Retail Shows are:
• 2019: Jan. 30-Feb. 1
• 2020: Jan. 29-Jan. 31
• 2021: Jan. 26-Jan. 28

The Buzz

A4, the premium team uniform and athletic sportswear brand, is opening a 175,000-square-foot warehouse in Kansas City, MO to significantly shorten shipping times to the Central and Eastern U.S. With the DC, A4 has the ability to reach 80 percent of the U.S. population with 1- or 2-day shipping.
L.L. Bean wants a Chicago federal judge to dismiss a consumer lawsuit challenging its new return policy that only allow returns on items bought within the prior year or having a manufacturing defect. Until February, Bean had an unlimited return policy.

Thorlo forges a strategic alliance with Next Fiber Technology to its new Experia ProLite running sock, which it says is 30 percent lighter than leading ultra-light running socks and also reduces blister-causing friction through its use of Next Fiber’s nano-technology fiber called NanoGlide. Marathon Sports is the first retail distributor of the new product.

Tubes of the Week


Numbers In Play
The Sports Insight Index is our opinion of what we think are the 30 most important public companies in the industry, 15 vendors and 15 retailers. Space considerations prevent us from tracking more, but we will make changes over time.
Index base of 100 is key to the closing prices of 12/31/14
As the Dow ekes out a 0.4 percent gain for the period ahead of Friday the 13th, segment falls 2.3 percent on 14 decliners and only one gainer in Sports Direct. Walmart is reportedly in talks to acquire online shopping site, Flipkart, for $10-12 billion but will apparently have to strike a deal with eBay, an investor and partner in the Indian company, first. Macy’s is reviewing its $500 million U.S. media account, currently handled by Carat, according to Adweek. The review is said to be normal practice. Dick’s will destroy and recycle its remaining assault rifle and accessory inventory in Field & Stream stores. Kohl’s Chief Administrative Officer Richard Schepp is retiring next month after nearly two decades with the retailer. His responsibilities will be divided among other senior KSS executives. Camping World is acquiring Nashville-based Cullen & Maxey Camping Center, its fourth RV location in the Volunteer State.
Four up and 11 down for the segment, which slides back more than 4.4 percent for the period. Some of the decline was undoubtedly related to profit-taking by Lululemon investors. LULU sees its target price raised to $107 by JP Morgan on confidence the company will reach its $4 billion revenue target by 2020. Meanwhile, several website, including The Information, report that Chinese action camera company Xiaomi may be lining up to acquire GoPro. Nike gets tongue-lashed by Adidas endorser and artist Kanye West in his return to Twitter. Mr. Kim Kardashian insinuates the Swoosh’s M2K Monarch shoe design is a knock-off of his Yeezy 700. West promptly deletes the tweet, according to Earlier in the week, Nike announced it was acquiring Tel Aviv, Israel-based Invertex, a four-year old company that has developed scan-to-fit technology platforms for in store, online and in home. Acushnet shares hit a 52-week high. Adidas outbids Nike with its 10-year, $120 million apparel deal with the University of Washington, reportedly the seventh richest apparel deal in college sports history.





Retail Name (Ticker Symbol)
Close on 04/05/18
Close on 04/12/18
% change over week
Big 5 Sporting Goods (BGFV)
Sports Direct (LON: SPD)
Camping World (CWH)
Dick's Sporting Goods (DKS)
Finish Line (FINL)
Foot Locker (FL)
Genesco (GCO)
Hibbett Sports (HIBB)
Kohl’s (KSS)
Macy’s (M)
Sportsman’s Warehouse (SPWH)
Shoe Carnival (SCVL)
Tilly’s (TLYS)
Walmart (WMT)
Zumiez (ZUMZ)
Brand Name (Ticker Symbol)
Close on 04/05/18
Close on 04/12/18
% change over week
Acushnet Holdings (GOLF)
adidas (ADDYY)
Amer Sports (AGPDY)
Callaway (ELY)
Columbia Sportwear (COLM)
Deckers Brands (DECK)
Fitbit (FIT)
GoPro (GPRO)
lululemon (LULU)
Nautilus (NLS)
Nike (NKE)
Skechers (SKX)
Under Armour (UA)
VF Corp. (VFC)
Wolverine Worldwide (WWW)

Sports Insight Extra Podcast Series

Nikki Barua

The old way of retail is dead, and there is a massive opportunity to re-invent, proclaims the CEO of Beyond Curious in Los Angeles.

Matt O’Toole

President of Reebok dishes on the brand’s mission and objectives from its headquarters in Boston.

Gabriella Santaniello

Retail expert dishes on what’s going right and wrong in industry today and weighs in on the Walmart vs. Amazon tussle.

Guy Yehiav

The CEO of Profitect addresses the right medicine for changing the paradigm of accountability—prescriptive analytics.

Pat Ryan

Batter Up! The global product director for baseball/softball at Wilson Sports details the new USA Baseball standard that took effect January 1 and what it means when you hit the store this spring looking for a new stick for junior.

Patrick Clark

President of Nextwave, a Buford, GA system integrator, discusses benefits of an on-demand apparel microfactory, a bridge to Just In Time manufacturing, from Sourcing at MAGIC in Las Vegas.

Shawn McBride

Ketchum Sports & Entertainment EVP talks Olympics—impact of three consecutive Games in Asia, social media, corporate guerilla marketing and drawing in younger consumers.

Tyson McGuffin

Tennis pro Tyson McGuffin, 28, talks about the rising popularity of pickleball and how he became a champion in the sport.

Bob Mullaney

The 20-year shoe and retail industry veteran, recently named president and CEO of RG Brands, dishes on the comfort footwear business and Barry’s iconic Dearfoams brand.

Bob Smith

The design consultant who began his 20-year career as a graphic artist for Nike dishes on the blur between lifestyle and performance and the importance of Struktur, the creative conference for active, outdoor and urban design.

Rob & Mike Barnes

The co-founders of Selkirk Sports, a Hayden, ID maker of Pickleball paddles and accessories, dish on the rise of the sport that counted 2.5 million participants in 2015.

Brendan Candon

CEO of SidelineSwap, an online marketplace for used sports gear and equipment, dishes on the market and whether it steps on the toes of traditional, full-line retailers.

Dave McGillivray

The long-time race director and long-distance runner weighs in on marathon participation, the future of event marketing and his latest venture that may bring a marathon to a MLB ballpark near you.

Paul Froio

Reebok’s VP of U.S. Retail and Direct-to-Consumer channels talks about the company’s new South Boston headquarters and adjacent global flagship store.

Aquiles M. Bermùdez P.

The former president of the Dominican Association of Free Zone Companies and current member of the National Commission of Footwear addresses the industry, Dominican Republic’s infrastructure and Footwear Technology Institute.

W. Andrew Martin

The managing director for Baird in Charlotte, NC discusses the M&A climate, consumer loyalty to brands today and the impact of private label.

Mark Sullivan

The president of Formula4Media, LLC previews The Running Event conference and trade show set for November 28-December 1 in Austin, Texas.

Bryan Smeltzer

The general manager of Zamst Americas talks sports protectives, dispelling some of the consumer and athlete misconceptions about the category.

Emily Walzer

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.

Judith A. Russell

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.

Will Decker

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.

Matthew Lyon

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.

Eric Hayes

Superfeet Celebrates 40th Anniversary. The employee-owned company introduces footwear and rolls out a 3D printed insole program.

Shawn Neville

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.

Waingarten and Frydlewski

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.

Michelle Carmichael

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. 

Brian Beckstead

Six-year old Altra is teaming with Utah State University to develop outdoor design talent.

Declan Condron

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.

Hugues Gontier

Sly and Simple. 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.

Reza Raji

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.

Jacob Torres Espino

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.

Isabelle Ohnemus

The founder and CEO of EyeFitU, a former investment banker, talks ‘glocal’ assortments, shoppers’ personal sizing and global web payment options.

Tom Cove #2

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.

Matteo Scarparo

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

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.

Rusty Saunders

Industry senior statesman Rusty Saunders dishes on industry leadership, pressing issues and the inactivity pandemic.

Barbara Barclay

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

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

Chris Palmer, Founder and CEO of BoxFox, talks excess inventory and solutions for vendors, retailers and distributors.

Susie McCabe

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.

Tom Cove

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.

Rich Harper

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.

Stephen Lamar

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.

Bill McInnis

The president of Reebok Future discusses the intent of the unit and the brand’s plans to develop footwear in a new way.

Tom Fowler

Polar USA CEO Tom Fowler talks technology and the future of smart wearables.

Paul Schille

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.

Jason Kaplan

Milestone Sports CEO Jason Kaplan dishes on the company’s low-cost, wearable pod and how it will help specialty retailers connect.

Duncan Finigan

OOFOS marketing executive talks about the recovery footwear brand and candidly about her courageous personal health journey.

Matt Priest

Footwear Distributors and Retailers of America President Matt Priest the likelihood of the Trans-Pacific Partnership being passed soon.

David and Josh Higgins

ING Source executives dish about compression technology and the Hickory, NC company’s breakthrough OS1st Brace Layer System.

Charles Liberge

Jones & Vining’s Charles Liberge addresses strategies and directions for the iconic brand.

Jim Baugh

PHIT America’s Jim Baugh dishes on the inactivity pandemic.

Sue Dooley and John Daher

Rockport Group senior executives talk about the brand’s fresh start under new ownership that has a major emphasis on versatility.

Josh Shaw

Mission Athletecare CEO Josh Shaw says thermoregulation is the New York company’s singular focus.

Tim Porth

Tim Porth of Octane Fitness talks trends, Zero Runner and the company’s January acquisition by Nautilus Inc.

David Costello

The principal and founder of Rising Tide Associates talks about industry advocate lobbying for the domestic textile and footwear industries.

Steven D’Angelo

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 and CB Tuite

Pam Gelsomini, president, and CB Tuite, VP–sales, discuss the company’s products, partnerships and what’s new for the season ahead.

Kenneth G. Andres

The tradeshowdirector for the American Sportfishing Association casts comments on the activity’s popularity, and trends in fishing.

Dick Sullivan

The principal and founder of Rising Tide Associates talks about industry advocate lobbying for the domestic textile.

Dave Coradini

The VP of sales and sponsorships for Spalding, Dave Coradini talks Shot Tracker and basketball.

Scott McGuire

The executive brand and product innovation leader dishes to F4M’s Emily Walzer on an array of topics.

Kelly Davis

Snow Sports Industries of America’s Kelly Davis talks weather, participation trends and how to handle the psyche.

Kevin Davis

The CEO of Performance Sports Group dishes on new bat standards and Own the Moment.

Gene McCarthy, Pt 2

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, Pt 1

Gene McCarthy, new president of Asics Americas, dishes to F4M’s Jen Ernst Beaudry in the first of a two-part podcast.

Richie Woodworth

Saucony’s Richie Woodworth offers his views on brand’s running business and what it takes to manage through change.

Bruce Cazenave

Bruce Cazenave, CEO of Nautilus Inc., recently ranked 23rd on Fortune’s “Fastest Growing Companies” list.

Tony Armand

Armand is leading USB, created after the April merger of Shock Doctor and McDavid.

Gary Smith

Gary Smith has been at the helm of the Lawrence, MA firm for three years, and his 2016 strategies will broaden Polartec’s scope.

Marty Hanaka

City Sports CEO Marty Hanaka has 42 years in retail, starting at Sears in 1973.

Mike Dowse

Wilson Sporting Goods, one year removed from its 100th anniversary and a major restructuring, has a renewed focus and strategy.