Performance Sports RETAILER

Performance
Sports
RETAILER
News and Information for the Running and Triathlon Market
A SportsOneSource Trade Publication
Shimano Snaps Up
Pearl Izumi
Pearl Izumi has a new buyer, and it
seems to be a better fit this time around.
Shimano Inc., the Japanese cycling and fishing gear maker,
reached an agreement to buy
Pearl Izumi for $69.5 million.
Nautilus had put the cycling and running
brand on the auction block last October.
The purchase includes distribution rights
for the Pearl Izumi brand in North America,
Europe and Australia. It does not include Japan and most of Asia. Pearl Izumi becomes
a wholly-owned subsidiary of Shimano’s
U.S. operations, but will continue to operate
from its facilities in Broomfield, CO, and
Kirchzarten, Germany. Current management, led by Pearl Izumi president Juergen
Eckmann, is staying on.
Pearl Izumi provides Shimano with an
apparel offering in the U.S. In addition,
Pearl Izumi’s performance apparel, fabric
technologies and running footwear are all
areas in which Shimano did not previously compete. In return, Pearl Izumi gains a
well funded backer and should be able to
capitalize on Shimano’s mechanical hardgoods expertise and worldwide distribution capabilities.
Inside PSR
n SkirtSports: Fun and flirty
running fashion
n Women’s Footwear and Apparel: Strong market
attracts new product entries
n Fleet Feet: Sales increases and
new training programs
n Doc is in: Fitting the Female Foot
March 2008
City Sports Gets Capital Infusion
City Sports has a new equity partner with big plans to expand the metro specialty sports chain across
the nation. Highland Capital, which acquired an 80 percent stake in the business, is investing millions to
grow the chain rapidly, with plans to nearly triple the number of shops to 50 in the next five years.
Terms of the deal were not disclosed. Current management, led by co-founder and CEO Mike
Kennedy, COO Sean Scales, and president Jeff Connor, will stay in place. In conjunction with
the investment, John Burns and Ted Philip of the Highland Consumer Fund, and Marty Hanaka,
former CEO of The Sports Authority and former COO of Staples, will join City Sports’ board.
City Sports, which grew from a single Boston shop in 1983, now
operates 14 stores in major cities across the East Coast with about
$75 million in sales last year. Highland sees the potential to grow
the chain from 200 to upwards of 400 stores across the country.
“We wouldn’t make an investment in any company, City Sports included, if we didn’t think there
was the potential to be a big national opportunity,” said Burns. “We’ve done a tremendous amount
of work and we think that sticking to the core focus of an 8,000 square foot box focused on these
metropolitan consumers, there’s clearly an opportunity for a couple hundred of those across the U.S.”
The sale comes as City Sports’ business has been on a roll, with comps climbing 10% in its
year just ended in February.
The urban sports concept particularly appealed to Highland. “That metropolitan-based, citydwelling customer is not served by other sporting goods concepts,” said Burns. It also fit with
Highland’s past investments in Lululelomon and O Beverages as the venture fund sees strong
underlying trends in in the health & wellness sector.
“When you think about the broader demographic trends in the U.S., there is a tremendous
move afoot toward health and wellness and fitness,” said Burns. “And if you look at some of
the trends in sports participation, running is one of the few sports that has steadily increased
in participation over the last 20 years and City Sports has a big running presence. Gym
memberships is another area that for the most part has seen steady growth, and that’s big in
cities. So I think there are lots of things that we look at that say the broad market trends are there
for City Sports, and therefore, it creates a pretty compelling opportunity.”
EDITORIAL
Managing Editor
Lou Dzierzak (612-618-2780)
[email protected]
Art Director
Sean Berthelot (203-404-0632)
[email protected]
Contributing Editors
Andy Kerrigan, Charlie Lunan, Matt Powell,
Dr. Paul Langer, Thomas J. Ryan
Performance
Sports
RETAILER
News and Information for the Running and Triathlon Market
CONTENTS
March 2008
Group Editorial Director
Judy Leand (212-398-5022)
[email protected]
ADVERTISING
Account Managers
Robert Z. Feiner (212-398-5020)
[email protected]
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Moving Comfort Moving Comfort bras include back and shoulder adjustability for better fit, racer back design with
non-slip straps for full range of motion
and powermesh lining for maximum
support. SRP Starting at $35. Susan Tauster (630-858-1558)
[email protected]
Business
Production
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4
n Genesco and The Finish Line
6
n Reebok names Becker CEO
n Fleet Feet launches ‘No Boundaries’ campaign
Features___________________________________
President & CEO James Hartford
Chief Information Officer Mark Fine
VP Research & Development Gerry Axelrod
Director Information Management Ruben Desangles
Director of Marketing John O’Sullivan
Manager Database Operations Cathy Badalamenti
VP Business Development Bill Bratton
Eastern Business Manager Barry Gauthier
Western Business Manager Cyrus Severance
Retail Relationship Manager Jill Underwood
8
10
The B.O.S.S. Report
Sports Executive Weekly
Footwear Business Update
Outdoor Business Update
Team Sports Update
SGB Update
© SportsOneSource, LLC
2151 Hawkins Street | Suite 200 | Charlotte, NC 28203
704-987-3450 | fax: 704-987-3455
Women’s Footwear and Apparel: Strong market attracts new products
Xterra
Other SportsOneSource Titles:
Footwear Business
Hunting Business
Outdoor Business
Sporting Goods Business
Sporting Goods Dealer
SkirtSports: Fun, flirty and serious about running specialty
Xterra offers women’s style for five
segments: trail runner, trail trainer,
ultra trainer, performance sandal and
performance slide. SRP $55-115.
Departments______________________________
14
Doc is in: Fitting the Female Foot
Specialty NEWSwatch
Questions Surround Collapsed Deal Between Genesco and The Finish Line
4
Last year’s biggest footwear deal—the ill-fated
$1.5 billion merger of Genesco, Inc. and The
Finish Line—ended in a costly divorce in early
March, leaving much of the industry speculating
about the eventual impact on the mall landscape.
The two mall retailers and two units of Swiss
investment bank UBS announced a settlement March 3 regarding the
disputed merger agreement. That was the same day a federal judge was
scheduled to rule on UBS’
argument that the merger
should be terminated because
it would create an insolvent company. The settlement (described in
more detail below) appears to be the best possible outcome considering
the alternative: a stillborn, multi-billion-dollar company.
The assumptions made leading up to the deal—announced in June
2007—crumbled in a rapidly changing marketplace. By agreeing
to terminate the deal, Genesco picked up $200 million in cash and
stock in what is essentially a latent break-up fee. Genesco senior
management can now refocus on the promising Journeys chain,
while The Finish Line is freed from a potentially fatal marriage. UBS
may have been the biggest winner, as it was on the hook to raise $1.5
billion to finance what it cast as a looming financial disaster.
However, the settlement did not provide much closure on
one important question: How will big chains such as The Finish
Line and Foot Locker adjust to a fracturing market lacking the
blockbuster products and clear fashion direction that have driven
sales in the mall during the past two decades?
The original thinking behind the merger was based in part on
the conclusion that it would help wean The Finish Line from its
reliance on a declining athletic shoe market. Genesco’s Journeys
chain, which specializes in serving the teen market, is among the
most highly regarded footwear retailers in the industry. Its funky
stores, staffed by hip, young employees, became destinations for
fashion-conscious teens, including the skate crowd.
But those assumptions may have begun to unravel 45 days
later, when Genesco reported it lost $2.9 million in the second
quarter ending August 4, 2007. In a conference call with analysts,
Genesco CEO Hal Pennington laid much of the blame for falling
sales at the feet of Heelys wheeled footwear. The claim gained
credence more recently when Big 5 Sporting Goods attributed big
declines in Holiday comp-store sales to the same wheeled footwear
implosion. Further undermining the deal was The Finish Line’s
$9.9 million loss for the second quarter ended September 1, 2007.
Moreover, Genesco’s second quarter earnings swing was so
large and unexpected that The Finish Line and its banker, UBS,
immediately raised questions about whether the merged entity could
meet payments on the debt that would be used to finance the deal.
The Finish Line was only using $10 million of its own cash to fund
the merger. Genesco’s Pennington then accused UBS of trying to get
out of the deal due to deteriorating conditions in the credit markets
that would make such a transaction less profitable for the banker.
Litigation ensued shortly thereafter. Genesco filed a backyard
lawsuit in Tennessee Chancery Court seeking to force The Finish
Line and UBS to consummate the deal. UBS
filed a separate lawsuit in U.S. District Court in
New York asking a judge to rule on whether
the merger would, in fact, create an insolvent
company. In late December, a Tennessee judge
dismissed The Finish Line’s contention that Genesco
had withheld critical earnings information while negotiating the deal,
adding that The Finish Line and the army of lawyers and accountants
UBS unleashed to study the transaction had ample opportunity to vet
the deal. But the judge also left the critical solvency issue up to a
counterpart that is trying a UBS federal suit in New York.
In the weekend leading up to the New York trial, all three sides
reached a settlement. Genesco agreed to terminate the merger
in exchange for $175 million in cash and a 12 percent share of
The Finish Line’s stock, which Genesco will distribute to its
shareholders. The two retailers also agreed not to meddle in each
other’s business for three years.
In the end, none of the parties were willing to risk a negative
ruling by the New York judge and so settled the case.
Where the retailers—and more importantly, the industry—go
from here is anyone’s guess. Genesco can recover from the Heelys
meltdown and continue to grow its Journeys business. Current
credit markets and business conditions make it unlikely The Finish
Line will be able to swing an acquisition any time this year. UBS,
meanwhile, can move on to bigger problems. As of December, it had
emerged as the foreign bank with the most exposure to the U.S. subprime mortgage mess. After writing down the value of its mortgage
portfolio by $13.7 billion, it was forced to sell a stake of more than
10 percent to investors from Singapore and the Middle East.
For the casual and athletic footwear industry, there is one
clear message from this debacle. The Internet, with its offer of
vast product selection and information, has reshaped the retail
environment. Today’s consumers, particularly younger ones, are
more eager and better equipped than ever to find niche products
that speak to their identity. These trends appear to favor nimbler
brands and retailers that can find ways to credibly service America’s
proliferating niches, notes Matt Powell, a senior retail analyst with
The SportsOneSource Group.
Smaller, domestically made brands that can respond quickly
to fashion trends, and other brand managers that excel at quickly
identifying teen trends are sold largely through specialty retailers.
Powell counts Skechers, Creative Recreation and Clae as examples.
“The uniform is still T-shirts, jeans and sneakers, but he wants
a different T-shirt, jean and sneaker than everyone else,” Powell
says of today’s teenager. “So the pressure on the brands to have
really unique, fresh product is huge. And buying product six to
nine months in advance, and other rules we have used to run the
industry, have changed.”
Finally, the evolving marketplace favors specialty retailers
or companies such as Journeys over large chains that rely on a
handful of blockbuster shoes to drive sales.
“The U.S. has 300 million niches,” remarks Powell. “There is
one for every person.”
Performance Sports RETAILER
Becker Named Reebok CEO
Specialty NEWSwatch
Uli Becker, Reebok’s CMO, will soon take over as the company’s
president and CEO. He will succeed Paul Harrington, who plans
to become the new president and CEO of Easton-Bell Sports
Inc. Both moves become effective April 1.
Harrington had been with Reebok for nearly 12 years, and
was installed as its top executive in January 2006 as Adidas
was preparing to wrap up its nearly $4
billion acquisition. At Easton-Bell Sports,
Harrington will replace Tony Palma, who
has departed the company to pursue other opportunities.
Becker joined Reebok in May 2006, soon after the company’s
acquisition closed. He had previously served as head of global
brand marketing at Adidas for four years.
“[Paul Harrington] played an instrumental role in managing
the integration of Reebok into our group and laid the foundations
for the repositioning of the Reebok brand worldwide,” states
6
Herbert Hainer, chairman and CEO of Adidas. “Uli
Becker’s proven leadership and global marketing
expertise make him uniquely qualified to take the
revitalization of the Reebok brand to the next level,
both internationally and in the U.S.”
Reebok’s At Easton-Bell Sports, board member Timothy
Uli Becker Mayhew, who is also a managing director of Fenway
Partners, the majority shareholder of Easton-Bell Sports,
assumed the role of interim CEO until Harrington takes over in April.
Jim Easton, chairman of Easton-Bell Sports, recently
thanked Palmer, who had been CEO of Easton Sports prior
to its acquisition by Riddell Bell Holdings in 2006, for his
contributions to Easton’s growth. He added, “[Harrington’s]
leadership and experience at Reebok will be valuable in the
continuation of the company’s growth and development of
high-performance sports equipment.”
Fleet Feet Launches ‘No Boundaries’ Campaign
Fleet Feet, Incorporated has launched No
Boundaries, a national training program
geared toward guiding beginners to walk or
run their first 5K (3.1 miles). This spring,
in a partnership with New Balance, more
than 80 Fleet Feet Sports stores around the
country are offering
the program to their
local
communities.
The purpose of the program is to introduce
participants to the lifetime fitness activities
of running and walking, encourage them to
live healthier lifestyles and achieve goals
they never thought possible.
According to Fleet Feet, Incorporated
president, Jeff Phillips, “No Boundaries
allows Fleet Feet Sports to share its
brand message and mission of fit with
a completely new group of customers.
In one of our communities where we
piloted it, 75% of the participants had
never shopped at a Fleet Feet Sports
store before.”
Although Fleet Feet Sports is well
known among runners, the majority of
No Boundaries participants considered
themselves minimally active prior to
joining their local training program. With
the guidance of coaches and staff, No
Boundaries participants will work toward
building healthier lifestyles and discover how
proper footwear and technical apparel can
help them stay comfortable while pursuing
their goals. Local coaches will provide
advice, support, weekly group training runs
and walks, and educational clinics on topics
such as proper nutrition, choosing the right
gear, and avoiding injury.
New Balance has partnered with Fleet
Feet Sports as the national sponsor of
the No Boundaries program to provide
support, product and advertising dollars.
Dave Shelbourne, running specialty (Elite)
sales manager at New Balance, says, “New
Balance is thrilled to partner with Fleet
Feet Sports and support this innovative
national program. No Boundaries offers
a win/win for the participant, Fleet Feet
Sports, and New Balance. On a consumer
level, the program will deliver results
that can help change lives. And, from a
vendor’s perspective, the program provides
an avenue to introduce new runners and
walkers to our products.”
Fleet Feet Sees 2007 Comps Increase 15%
Fleet Feet, Incorporated saw net sales jump 19% for fiscal 2007 with a 15% increase
in comparable store sales. Net sales surpassed $75 million in revenue compared to
$63 million in 2006.
Twenty-five stores recorded $1 million in annual sales in 2007 with the addition of four
stores to these ranks. Average sales for stores opened for two or more years surpassed the
million dollar mark for the first time (from $996,000 in 2006 to $1,075,000 in 2007).
“We are extremely proud of this organization for defying national retail trends by posting
continued growth and success in 2007,” said Jeff Phillips, president of Fleet Feet, Inc. “It’s
not without an enormous amount of work on the part of our franchisees who have an
unwavering focus on serving our customers. Through the support of our vendors, corporate
staff and franchise network, these specialty business owners are making a significant, positive
impact on their communities, and it’s paying off.”
Fleet Feet, Inc., was recognized by two business publications for excellence in 2007,
Entrepreneur Magazine and Inc. Magazine. For the second year in a row, Entrepreneur
ranked Fleet Feet, Inc. in their Franchise 500 – its annual list of top franchisors. At 352, Fleet
Feet, Inc. is the only running specialty retail franchise on the Franchise 500 listing.
In addition, Inc. magazine included Fleet Feet, Inc. in its Inc. 5,000 fastest growing
companies in America listing, an expansion of the Inc. 500 introduced in 1982.
Fleet Feet, Inc. added 12 new franchise owners to the network in 2007. Ten new
locations were opened, including one by an existing franchisee, and three existing
locations changed ownership. Three of the new franchise owners are former store
employees, bringing the total number of franchises owned by former employees to 18.
Fleet Feet, Inc. plans to open 12 new stores in 2008.
Performance Sports RETAILER
Ironmen and Janus Partner
to Raise $8.5M in ‘08
Bend to Host XTERRA Trail
Running Championships
Bend, Oregon, which was recently voted “America’s Best
Trail Running Town” by the editors of Outside Magazine,
has been named the host destination for the 2008 and
2009 XTERRA Trail Running National Championships.
The 2008 event is set for Saturday, September 27.
The XTERRA Trail Running National Championship’s
main event is an Xduro (21K / 13.1 mile) off-road halfmarathon, but the day-long running celebration will also
feature races of 10K and 5K distances, a kids K, charity
walk, festival / expo center for participants and spectators
and live entertainment.
While the race field will include competitors who have
qualified for Nationals at other events, participation in all
races - including the XTERRA Trail Running National
Championship, is open to the general public.
The 280 Ironman triathletes who participated in the 2007 Janus Charity Challenge
raised more than $8.5 million for various nonprofit organizations, Janus Capital
Group Inc. reported.
Established in 2001, the Janus Charity
Challenge encourages Ironman athletes to
raise money for the nonprofit organization
of their choice. The program provides triathletes with a wide range of fundraising
resources to help them raise money. Janus makes additional donations, totaling
more than $300,000 per year, to the nonprofit beneficiaries chosen by the top 50
fundraisers at each of the seven Ironman races it sponsors.
The Janus Charity Challenge has raised approximately $26.6 million since
the program’s inception, according to Casey Cortese, director of Corporate
Sponsorships at Janus. “During the past seven years the athletes in this program
have made contributions to hundreds of charitable organizations throughout
the United States, making an incredible impact on people throughout the
country,” said Cortese.
The top fundraiser for 2007 was Kirsten Kincade of Franklin Lakes, NJ. She
raised $1.68 million for the Matthew Larson Foundation for Pediatric Brain
Tumor Research.
Aflac Iron Girl Lake Triathlon To Air on NBC
Performance Sports RETAILER
Join the masses who’ve
discovered SkirtSports,
maker of The Original
Fitness Skirt.
Nicole DeBoom,
Ironman Champion, Founder and CEO, SkirtSports, Inc.
Iron Girl, an all-women’s, event-based brand, announced
that the inaugural Aflac Iron Girl Lake Las Vegas Triathlon
will be televised nationally on NBC Networks. The event
will be showcased on July 26, 2008, from 3:30 - 4:30 p.m.
EST. The telecast will showcase a highly competitive
professional
field,
as well as stories of
inspirational age-group
females ranging in age
and fitness level.
The show will
be taped on location
April 12, 2008 at Lake
Las Vegas Resort, a
residential and resort destination situated on a privately
owned, 320-acre lake just 17 miles from the Las Vegas
Strip. The event will feature Sprint and Internationaldistance races. The telecast will focus on the longerdistance course consisting of a 1.5K swim, a 40K bike and
a 10K run, with highlights from the sprint race. Organizers
expect 1,200 participants including 2006 and 2007
Ironman 70.3 World Champions, Samantha McGlone and
Mirinda Carfrae, short-course specialist, Becky Lavelle
and Ironman World Champion, Karen Smyers.
Become a
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High-performance
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to the every day
woman on the go.
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& receive 5% off
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Win a
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SkirtSports
Fun, flirty and serious
about running specialty
SkirtSports founder Nicole DeBoom is a former
professional triathlete and
winner of the 2004 Ironman
Wisconsin race.
By Lou Dzierzak
Specialty FEATURE
A
8
s a former professional triathlete, Nicole
DeBoom knows what it takes to win. So when
it came to launching her own line of women’s
sports apparel, she was not bashful about appealing to
women’s sense of fashion.
“We’re different,” she told Performance Sports
Retailer. “We’re bold. We’re flirty. We’re sexy. We’re
not afraid to use the words sex appeal in our marketing.
I think that’s something
larger companies shy away
from. Women have a right
to feel sexy and not be shy
about it. It increases your confidence and gets you more
motivated to get out the door when you feel that you
look good in the clothing that you put on.”
As a professional triathlete, DeBoom intimately
understood the importance of high performance
technical apparel. Despite all the apparel choices
available, she still wasn’t satisfied. In her opinion,
existing clothing options lacked attitude, soul
and an understanding of the feminine spirit.
In 2004, DeBoom won the Ironman
Wisconsin in a running skirt she designed
and handmade. A year later, she launched
SkirtSports. She recalls, “We were the first
company to introduce skirts to runners. When
I started the company people said, ‘Great! You want to create
a line of clothing. How are you going to be different?’ I told them
I’m going to do something that’s never been done.”
DeBoom’s professional racing career has helped establish the
company. She notes, “When we launched SkirtSports 3 years ago it
was a huge selling point that a professional triathlete and Ironman
champion had come out with this line. People knew we were
serious and making clothing for serious athletes. That definitely
helped legitimize us at first.”
Although she no longer competes, DeBoom has added sponsored
athletes to the company’s marketing mix. “We understand the
importance of having higher performance athletes endorsing
the brand. We take a little different tack and look for people in
different and fringe sports in addition to running and triathlons.”
Sponsored athletes include Natasha Filliol, Canadian professional
triathlete, Jo Shattuck, professional racquetball player ranked 9th
in the world, and professional boxer Melissa McMorrow. DeBoom
says, “Everyone we bring on board is excited about the concept of
look good, feel good, perform better.”
All running apparel brands must balance the performance and
fashion requirements of female athletes. As a former professional
triathlete, DeBoom makes sure the apparel line starts with a
performance platform. She says, “We use high performance fabrics.
Everything is catered to the needs of a professional athlete.”
Given that foundation, DeBoom is a strong advocate of
the fashion component. “Women are attracted to fashion,”
she said. “When women walk in the store they will go to
what grabs their eye and that is usually color. We based our first
couple of years on the color pink. We called it Smooch. It just
grabbed their attention. When they put it [SkirtSports] on they
realized not only did it look cute on the hanger it fit well and what
a surprise it’s also a high performance product.”
SkirtSports has been well received by female runners and
running specialty retailers. DeBoom markets SkirtSports on the belief that women care
how they look. “First and foremost it has to look cute or they will
not give it a second glance. It’s a pleasant surprise that it happens
to be a very high performing product as well, “she says.
Through her appearances, running events and relationships
with running specialty retailers, DeBoom has a clear
understanding of her best customers.
“When I started the company, I thought our customers would be
in their early twenties,” she recalled. “I was creating a line of fun and
youthful clothing. I was surprised to find that the average age of our
customer is just under 40 years old. We’re looking at the 35-45 year
old woman who is a recreational runner or triathlete who is trying to
get in shape after having kids and looking for some inspiration.”
SkirtSports’ buyer has a median household income over
$75,000 and 50 percent are married, according to the company’s
market research.
Performance Sports RETAILER
The SkirtChaser Running Series
SkirtSports apparel can be found in more than 300 retailers in
the United States and Canada. DeBoom notes running specialty
stores represent the core of the business strategy.
Although race sponsorships were an
“When we launched I had no idea if stores would want to carry
important component of SkirtSports’
our products,” she said. “I found out quickly that they did.”
promotional strategy, DeBoom wasn’t
DeBoom creates strong relationships with running specialty
happy with the outcome. She notes, “I
through personal appearances at clinics and women’s runs.
never felt fulfilled with the final results
“From my perspective, we receive the best feedback from
and never felt we had a long term
our running specialty stores because they really listen to their
lasting impact on the community. So
customers. We need that feedback. That’s the only way we will
we stepped back. We’ve always done
continue to improve,” she said.
things differently. We’ve always forged
SkirtSports is evaluating marketing communications tools
out on our own and decided we may as well try it with events.”
to support running specialty retailers. DeBoom prefers a
The race series, called SkirtChaser, will be held in seven
customized approach. “We’ve found every store has different
cities in 2008. The name came through discussions with men
needs,” she said. “We want our stores to succeed but we
who support the brand.
want to know what they need from us to do that. That’s
DeBoom says, “I was going
why I believe so strongly in building close relationships.
for a little edgier feel. The
We’re finding the most success when we can do clinics
SkirtChaser concept is fun
and I can make personal appearances.”
and flirty. We find couples
The SkirtChaser Race Series:
The SkirtSports line, positioned at mid-to-upper price
will leave the kids home and
April 26th: Raleigh, NC
levels, will continue to evolve to address core running,
come out for a date night
June 14th: Chicago, IL
triathlon and cycling markets. Lifestyle options are also
and the race together.”
being considered. DeBoom says the SkirtSports message
Supporting
sponsors
August 7th: Salt Lake City, UT
that resonates most with women is that you can do anything
include Red Bull, Powerbar,
September 6th: Denver, CO
you put your mind to.
Oskar Blues Brewery, Faytex,
October 11th: Austin, TX
“The concept is every product is cute enough to wear
Active.com and Headsweats.
November 1st: Santa Monica, CA
while running, working out, hanging out or shopping,” she
SkirtChaser events use
said. “We’re building on that.”
a staggered start format.
The SkirtSports line includes
running skirts, tank tops, sport
bras and lifestyle selections.
Performance Sports RETAILER
Women (the skirts), start first and the men, (skirtchasers) follow 3
minutes later. The event in Phoenix, AZ earlier this year attracted
more than 1,000 participants.
DeBoom notes that attention to post race activities separates
the SkirtChaser series from other events. “As much emphasis is
put on the post race mixer as it is on the race itself. Our goal is
to get people out the door to engage in a healthy lifestyle. I know
personally that if I’m not having fun with fitness then I’m not going
to do it,” she says.
Promoted as a block party, SkirtChaser events feature a live
band and fashion show. At the Phoenix event, a mock Dating
Game competition kept participants around for several hours
after the race ended.
SkirtSports partners will local running specialty retailers at each
event. Initial response has been so strong; DeBoom is planning to
add markets in 2009. Locations will be selected through a contest
with SkirtSports retailers.
She reports, “Everyone is asking to have a SkirtChaser event at
their store. There’s been great demand but we can’t just launch ten
new locations next year. We have to take a slower approach.”
DeBoom acknowledges that she has received some negative
feedback to the SkirtChaser name. She reports, “We get a couple
of comments in each region. It’s the same kind of reaction I got
when I started SkirtSports from women who said they would never
wear a skirt and I don’t buy your message. I don’t try to convert
those people. You can’t please everyone. It’s going to take some
time and they will have to come around to it.”
9
Female Runners Attract Attention
W
Specialty FEATURE
By Lou Dzierzak
Moving Comfort
The Endurance Support Tank
features an M-frame support
system with internal molded cups,
mesh paneling and racer back
design for support, comfort and
full range of motion, hidden back
zip pocket and reflective logo. SRP $45.
omen continue to drive sales at running specialty retailers. According to
Running USA’s Road Running Information Center, the percent of female users
of running/jogging shoes tracked by NSGA went over 50% for the first time
(52.1%) in 2006. The female/male ratio of road running event participants compiled by
Running USA’s RRIC continued to hover around 50/50 with approximately 49 percent
of women finishing timed road races and an estimated 52% completing all running events
including fun runs and charity events.
Gender ratios for the marathon distance have remained stable at 40 percent female/60
percent male for the last five years. The biggest shift is seen in the half-marathon distance with
the percentage of female participants increasing from 48.8 percent in 2002 to 54.5% in 2006.
While major running footwear and apparel brands have catered to women’s needs, the
stability and growth of female runners is attracting the attention of many brands. Sara Wood,
marketing manager at Moving Comfort notes, “It’s definitely more competitive than it ever
has been. There are a lot of niche brands that have popped up recently. The marketplace is
definitely there for continued growth.”
New companies like SkirtSports and Xterra are offering unique approaches to apparel and
footwear while category leaders are protecting their brand positions.
In January 2008, Moving Comfort introduced a new brand identity. Wood reports the
company is creating new point of sale elements to support the Moving Comfort brand and
assist running specialty retailers in merchandising fast moving categories like sports bras. She
says, “We’re creating and introducing new pieces never offered before. We’re starting with
a wall sign, four way topper and new sports bra display cards to create bra walls and quickly
identify the Moving Comfort brand.”
An in-store promotion in April will offer buyers who purchase $50 of apparel or
sports bras a reusable Moving Comfort Tote with the phrase “A fit woman
is a powerful woman.” To participate in the promotions, retailers must
purchase a minimum of $5,000 in Moving Comfort spring apparel.
Mizuno USA is taking its message to race participants. The
company’s “Run With Us” campaign will be launched at the Georgia
Marathon on March 30th, 2008.
Eric Hills, marketing communications specialist Mizuno USA, reports
the grassroots campaign will bring two footwear specialists and precision fit
machines to approximately 100 events through the end of 2008. The tech vans will
conduct a biomechanical analysis of a runner’s gait cycle and their foot. Participants can
test run one of 8 women’s shoe models and receive a free T-shirt for participating.
As the pace of spring running events increases, female runners will find themselves
attracting interest from more than just race organizers and their fellow runners. Performance
Sports Retailer presents a collection of Spring 2008 apparel, footwear and accessories.
Continued on page 12
Brooks
The new Brooks semi-fitted EZ T has
the look and feel of cotton with all
the technical performance benefits
needed for the run. Constructed from
100 percent stretch moisture-transfer
polyester. SRP $28.
10
Brooks has launched two women’s shoes for Spring 2008. the
Defyance and Infiniti, have shown a strong adoption rate by women
based on fill-in and future order numbers. The Defyance (shown)
features Hyrdoflow, MoGo and DRB Accel technologies to deliver a
neutral shoe for bio-mechanically efficient runners. SRP $90.
Performance Sports RETAILER
Finally... Nutrition for
Women Athletes.
HYDRATION – LUNA SPORT™ ELECTROLYTE SPLASH The first women’s organic sports drink.
ENERGY – LUNA SPORT™ MOONS The first women’s organic energy chew.
RECOVERY – LUNA SPORT™ RECOVERY SMOOTHIE The first natural women’s recovery drink.
T HE ENTIRE LUNA SPORT ™ PRODUCT LINE IS EXCLUSIVE TO SPECIALTY RETAIL.
3 WAYS TO ORDER:
Online: www.dealer.clifbar.com Phone: (800) 370-1688 Fax: (877) 329-2543
Distributed by Clif Bar & Company, Berkeley, CA 94710 U.S.A. 1-800-LUNABAR (1-800-586-2227) M-F 8-5 PST ©2008 Clif Bar & Company CLIF and LUNA are trademarks of Clif Bar & Company LS08.176
lunabar.com/sport
Continued from page 10
Ibex
The Runner Short can be
worn alone or as a base layer.
The short is constructed of
18.5-micron merino wool and
spandex for comfort and
support, while body mapping
design and engineered
stitching minimizes seams. SRP $45.00.
Specialty FEATURE
Avia
AVIA has introduced the Avi-Lite Guide triathloninspired running shoe. The new running shoe is built
with a lightweight midsole that features new Shear
Cantilever System (SCS) technology. SCS combines
a beveled heel with a lateral crash zone that adapts
to a runner’s heel strike and increases shock
absorption. The Avi-Lite offers a women’s specific
last and is approved by the American Podiatric
Medical Association. SRP $110.
New Balance
The Breeze Tank features
COCONA fabrication, a
natural technology utilizing
the charcoal derived from
coconut shells to provide
evaporative cooling,
odor resistance and UV
protection. The piece also
uses COCONA Lite, which
is composed using 50% or
more recycled polyester.
The Breeze Tank is equipped
with a deep welded, 12inch front zip vent for
temperature control, a back
envelope pocket with a wire
guide for music and 360
degree reflectivity. SRP $45.
Pearl Izumi
The SYNCROINFINITY is
designed for runners needing
a stability shoe with maximum
cushioning. Features include
High Rebound SKYDEX forefoot
propulsion pad, heel crash
pad, and a new Syncro Stability
Frame that incorporates a Stability Tuned
Suspension System. SRP $109.99
12
Mizuno
Introduced in January 2008, the Mizuno
Wave Nirvana 4 is designed for the mediumarched flexible foot type. The new shoe
utilizes Dynamotion Fit technology to relieve
the stress the foot naturally places on
footwear and to improve fit. SPR $134.
PowerSox
PowerSox has introduced a new line of
specialty performance sock collections that
offer anatomical fit. PowerSox Left/Right
Technology APF (Anatomical Performance
Fit) that matches the contour of the left and
right foot and the new APF version features
a hand-linked, seamless toe. SRP $10.99 to 26.99.
Performance Sports RETAILER
Do You Know?
Weekly Market Trend Report
-- APPAREL --
A Service of the SportsOneSource Group
Week Ending 7/15/2007
APPAREL SALES SUMMARY
NOTES
YTD Variance
Weekly Variance
Units
Dollars
Units
Dollars
x Sport Apparel had a strong week at retail largely due to
SPORT APPAREL
+4.7%
+17.1%
flat
+4.8%
x T-shirts, of both the short- and long-sleeve varieties, sold
COMPRESSION
+28.2%
+25.5%
+16.3%
+16.5%
-0.4%
+6.2%
+11.4%
+13.7%
NON-PERFORMANCE
+4.8%
+19.4%
-2.4%
+2.0%
SHIRTS/TOPS
+12.5%
+18.4%
+3.2%
+4.5%
SHORTS/BOTTOMS
-1.3%
+10.2%
+0.9%
SOCKS
-3.2%
+3.3%
-7.3%
-2.4%
HEADWEAR
-18.2%
-5.7%
-24.4%
-25.7%
OTHER PERFORMANCE
+7.8%
promotional sales in typically cold weather categories.
well last week. Performance Short-Sleeve T’s actually saw
a mid-singles dollar sales decrease for the week, while
Non-Performance was up in the strong double-digits. LongSleeve T’s saw dollar sales increases in both Performance
and Non-Performance.
x The growth in Shorts/Bottoms was again driven by morethan-doubled sales of Boardshorts, though Active Capris
also added to the growth in the category.
x Women’s Sport Apparel sales were was again dominated
by strong sales of Swimwear as retailers work to clear the
last of the summer goods and maker room for fall.
MARKET SHARE REVIEW -- WOMEN’S SPORT APPAREL
YTD This*
YTD Last*
Point Chg
YTD This*
YTD Last*
Point Chg
NIKE
21.9%
17.3%
+4.58
NIKE
16.9%
14.1%
+2.83
ADIDAS
12.5%
16.9%
-4.43
ADIDAS
11.0%
14.4%
-3.42
UNDR ARMR
5.8%
5.1%
+0.77
JACQUES MORET
8.0%
11.2%
-3.26
MAILLOT BALTEX
5.3%
7.1%
-1.84
RUSSELL
6.6%
4.4%
+2.11
COLUMBIA
5.2%
3.5%
+1.70
SOFFE
6.3%
5.8%
+0.54
JACQUES MORET
4.5%
6.0%
-1.55
MAILLOT BALTEX
5.8%
7.1%
-1.26
4.1%
3.3%
+0.80
UNDR ARMR
4.1%
3.2%
+0.91
3.7%
2.1%
+1.55
DOLLARS
RUSSELL
UNITS
MALIBU DRM GRL
4.1%
2.1%
+1.93
CHAMPION
CHAMPION
3.80%
2.46%
+1.33
MALIBU DRM GRL
3.6%
2.0%
+1.62
A. H. SCHREIBER
3.25%
4.23%
-0.98
COLUMBIA
3.53%
2.1%
+1.41
NOTES
x For the trailing four-week period,
Women’s Sport Apparel sales
increased in the mid-teens in dollars with a low-teens jump in average selling price.
x Club/Discount/Mass retailers saw
the only sales decrease for the
period, while Full Line, the largest
retail channel, saw a high-teens
dollar sales increase.
x Performance T’s were strong in
Women’s for the trailing fourweeks, up in the low-20s, while
overall T’s were up in mid-teens,
though with an ASP decrease.
CATEGORY FOCUS -- WOMEN’S SPORT APPAREL
-4
RUSSELL
JACQUES MORT
Rank
COLUMBIA
-3
CHAMPION
-2
UNDR ARMR
-1
SCHREIBER
1
MALBU DRM GL
ADIDAS
2
MAILLT BALTX
3
0
Top Sellers for Week -- WOMEN’S SPORT APPAREL
Market Share Change* -- SPORT APPAREL
Last Four Weeks
NIKE
Share Change (Points)
4
Style
Brand
ASP
1
SPEEDO
W SOLID ULTRABACK W/SB MOD BLACK
$28.49
2
MANHTN BHWR
W MAXINE BLK GLD 1PC BLK
$29.22
3
SOFFE
W CHEER SHORT BLK
$6.98
4
ADIDAS
W LEGACY MESH SHORT BLK/WHT
$19.25
5
ADIDAS
W LEGACY CAPRI BLK/WHT
$27.10
6
SCHREIBER
W SAFARI SKIRTINI BRN
$27.55
7
NIKE
W PRO COMPRESSION 3” SHORT BLK
$14.24
8
JANTZEN
W HALTER SKIRTINI TILBLUE
$41.97
9
SCHREIBER
W MARTINIQUE SKIRTINI MULTI
$27.51
10
MAILLT BALTX
W SOLID SKIRTINI WITH SLIT BLK
$13.10
This runner may be using YOUR category’s top selling products…
editors
The Weekly Market Trend Report is produced each week by analysts and
and
at The SportsOneSource Group exclusively for SportScanINFO subscribers
retail reporting partners. All data is compiled utilizing SportScanINFO’s comprehensive platform that presents weekly retail POS data across the Footwear.
For
Apparel, Licensed Products, Hardgoods, and Outdoor market segments.
more information regarding Custom Reports, contact your Regional Business
Manager or contact us directly at [email protected].
* Important Market Share Note:
SportScanINFO has added a large number of reporting retail rooftops
for 2007 which may make year-on-year comparisons of market share
difficult without utilizing additional data.
Please talk to your regional business manager with any questions on
the new expanded system.
DO YOU KNOW what they are?
DO YOU KNOW who owns the market share?
DO YOU KNOW the average price they sold for?
KNOW MORE. NOW.
A Service of the SportsOneSource Group
For more information, contact SportScanInfo at
704.987.3450 or e-mail [email protected]
Specialty NEWSwatch
Fitting the Female Foot
14
By Paul Langer, DPM
W
omen are the driving force behind the growth of
endurance running over the last few years so it is
important that we understand some of the differences
between men and women when it comes to footwear. Especially
when women buy more shoes than men.
Most experienced female runners have learned that their running
shoes need to have more toe room than other shoes. They understand
that their feet swell when they run and that a good running shoe fits
snugly in the heel and arch but allows room for the toes. I always tell
runners and walkers that the shoe should fit snug only in the back
two thirds and should be roomy in the toes. I emphasize that they
need about half a thumb width of toe room if training/racing up to
half marathon distance and a full thumb width if doing marathon
distance. Many newer female runners find the concept of wiggle
room for the toes to be so foreign feeling that they refuse to believe
that that is how a running shoe (or walking shoe) is supposed to fit.
Newer marathon runners especially don’t like to be told that the
longer distance they run, the more toe room they need.
Anatomically and biomechanically, there are significant
differences between men and women. Women have shorter legs
(as a ratio of total height), wider hips, more valgus alignment of
the knees (“knock knees” or higher “Q” angle), smaller bones
and joints, less muscle mass, narrower feet and their malleoli
(ankle bones) are lower. They are also more likely to develop foot
deformities such as bunions. These differences mean that women
take more strides per mile, are more prone to knee injuries and
often have more trouble finding shoes that fit well than their male
counterparts. Some studies also suggest that women are more
likely to overpronate than men.
In addition to physical differences, men and women also have
different expectations and attitudes toward footwear. For example,
cultural definitions of beauty affect women’s footwear choices. In
our culture, small feet and long legs are part of the ideal of feminine
beauty, which is why high heeled shoes are so popular despite their
discomfort. Because of these cultural expectations, many women
have become accustomed to wearing the smallest possible shoe they
can fit their foot into. This might explain why a survey of women
by orthopaedic surgeon Carol Frey M.D. and her colleagues in 1993
found that 59% of women wore shoes that hurt their feet on a daily
basis. This might also explain why I have found that many women
underestimate their shoe size or foot shape.
Many times I have had female patients insist to me that they had
a narrow foot until I measured them and explained that a “D” or 2E”
width is not narrow. Other times I have had patients who insisted
that they were a “true size 7” which tells me that they are focused so
intently on a number that they don’t understand that there is no such
thing as a true size and certainly not every shoe fits their feet exactly
the same. Many women have become so accustomed to extremely
tight shoes that they are convinced that a shoe that has been properly
fit is too big. I have spent countless hours both in clinic and in the
store explaining to many females that their concept of a good fit is
not healthy and will lead to pain, foot deformities and injuries, if
it hasn’t already. Ninety percent of bunion surgeries performed in
the U.S. are done on women and we know that women’s fashion
footwear choices are a significant contributing factor.
I have found that runners or walkers who are new to their sports
tend to be the hardest to convince when it comes to moving up to a
larger size. My approach with a female customer who is resistant to
trying on a larger size is to cite Dr. Frey’s study, which also found
that 88% of women were wearing shoes that were too small. And
Performance Sports RETAILER
in most cases the shoes were not only too short, but also too narrow. saying something like “your foot is too big for this shoe” or “your shoes
In fact, the average woman was wearing shoes that were a quarter of are too small,” I might say “I think you would feel more comfortable if
an inch too narrow (equivalent to a full width size). If I am fitting a we went up half a size.”
customer who already has foot pain or a deformity, I explain to them
My overall approach with fitting female patients in running and
that it is unrealistic to expect their problem to improve if they insist on walking shoes is to emphasize to them that I can help them find the size
wearing shoes that do not fit properly.
and model that has a healthy amount of toe length and forefoot width,
For a patient who I think needs a full size longer but refuses to go there, while maintaining a snug midfoot and heel. I only use the size as a
I often propose that she just go up half a size today and then consider ballpark figure starting point and then make changes once I can assess
another half size for her next shoe if she is not comfortable. This usually how their feet fit in the shoes and how the shoes feel as they run and/or
is an acceptable compromise to many female runners and once they walk. To me, the size on the shoe is irrelevant as long as it fits well and
experience the improved comfort of the larger size they are often more is appropriate for the foot type.
open to the idea. If she needs additional forefoot width, first
I might try a shoe with a rounder toe box or maybe one of
Paul Langer is a podiatrist and serves as
the Saucony or adidas models which often have a roomier
fit in the forefoot before I suggest a wider size.
a clinical faculty member at the University
Of course working with a female customer who may
of Minnesota Medical School. He is a
be sensitive about how we characterize her feet requires
memberof the Clinic Advisory Board of
a certain amount of diplomacy. Always be discreet when
the American Running Association and is
talking around other customers or staff about someone’s
foot type, foot shape or size. Some customers are self
the author of Great Feet For Life: Footcare
conscious about even taking off their shoes in public let
and Footwear For Healthy Aging.
alone talking out loud about them. I never accuse someone
of wearing the wrong size shoe, but instead gently explain
the benefits of shoes with a roomier fit and how they
To order Great Feet for Life in your shop
will benefit from them. Some women will be downright
visit: www.GreatFeetForLife.com.
offended if you even suggest that they need a bigger shoe
SM08_Performance_Retailer_half_horz
3/10/08
so
be careful how you choose your words. Instead
of 4:23 PM Page 1
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