Inventory De-Stocking. Port Closures. Bankruptcies. A Weak IPO Debut. Store Closures. Lawsuits. Job Cuts. Brand Divestures. Corner Office Turnover. To say that 2023 was a challenging year for the active lifestyle retail market would be an understatement as brands, reps and retailers dealt with a variety of challenges and very few notable instances of positive news.
The SGB Year in Review will wrap up later this week with a look at the sector’s stock market performance for the year which will surely reflect the weakness across the active lifestyle landscape.
This SGB Top 25 Most Read Articles review is also a reflection of the market turmoil, with few highlights and plenty of lowlights for the the year that grabbed the reader’s attention as many found themselves playing far more defense than they anticipated going into the year. Still, there was some good news in the top stories of the year as Pickleball became the passion of many, reflected in survey results, participation studies and club expansion, and younger brands like Hoka, On and Vuori continued their rapid growth to enter Lululemon territory of growth expectations.
The most read article of 2023 on SGBonline.com was picked up as a consumer and investor must-read after Sportsman’s Warehouse set a more aggressive markdown strategy as it reported dismal fiscal second quarter results in September. Macy’s was the subject of the #2 Most Read Article of the year as the department store retailer entertained a $5.8 billion buyout offer that also garnered Most Read Article status for the month of December 2023. The #3 spot went to the Pickleball segment, but was not necessarily due to its positive growth as the article published at the end of March 2023 questioned the longevity of the surge in participation and the impact of a potential long tail trend. The #4 story for the year was the coverage of the tragic story of the death of Lululemon’s global creative director and Columbia rounded out the Top 5 Most Read Articles for the year with its lawsuit against two former senior executives that allegedly stole trade secrets when they went to a rival apparel brand. That story continues into 2024 as the case works its way through the court.
The Top 5 Most-Read Articles from SGB Media from 2023:
EXEC: Sportsman’s Warehouse Sets Aggressive Markdowns as Business Weakens Further
Columbia Sportswear Sues Two Former Execs For Trade Secrets Theft
Rounding out the Top 25 Most Read Articles published last year from SGB are the following:
- EXEC: Fanatics Faces Scrutiny After NHL Uniform Announcement
The announcement that Fanatics would replace Adidas as its “Official On-Ice Uniform Outfitter” marked another major step forward for the sports licensing powerhouse; however, the harsh reaction from hockey fans on social media and from some in the media shows Fanatics has work to do to improve its reputation before the deal starts in the 2024/25 season. - Ports Of Los Angeles and Long Beach Temporarily Shut Down
The Ports of Los Angeles and Long Beach were back in operation Saturday after a worker shortage shut down the largest U.S. port complex for the better part of two days. - West Marine Reaches Restructuring Deal to Avoid Court Proceedings
West Marine agreed to restructure roughly $800 million of the company’s debt in out-of-court proceedings with the assistance of L Catterton, its private equity owner. - Dick’s to Close Nearly All Moosejaw Stores
Moosejaw, the outdoor specialty retailer acquired by Dick’s Sporting Goods in March, is closing 11 of 14 stores in a realignment of Dick’s outdoor specialty business, including the company’s Public Lands’ store concept. - EXEC: VF Corp. Cutting Another 500 Jobs This Week
Fifteen months after cutting 300 jobs across its global workforce, VF Corp., parent of Vans, The North Face, Dickies, Timberland, Smartwool, Jansport, and other active lifestyle brands, is at it again confirming Wednesday that it would eliminate another 500 jobs this week. - Shoe City Auction to be Held May 15
Baltimore-based ESCO, Ltd., doing business as Shoe City, received bankruptcy court approval to auction off store leases and intellectual property with a May 12 deadline to submit qualified bids and an auction to be held May 15. - EXEC: What Are Today’s “Hot” Athletic and Outdoor Brands?
L.E.K. Consulting’s second annual U.S. Footwear and Apparel Brand Heat Index found that Nike continues to dominate in popularity across athletic categories, while The North Face, Patagonia, Columbia, and Ugg led the outdoor space. - The Rockport Co. Files for Chapter 11 Bankruptcy; CEO Resigns
The Rockport Co. has filed Chapter 11 bankruptcy in a U.S. District Court in Delaware and intends to file a motion seeking authorization to pursue an auction and sale process under Section 363 of the U.S. Bankruptcy Code. - VF Corp. Realigns Leadership at Dickies, Altra, Smartwool, And Icebreaker
VF Corp. reported making key leadership appointments at its Dickies, Altra, Smartwool, and Icebreaker brands, effective immediately. - Report: Backcountry.com Could Land on Selling Block
TSG Consumer Partners is exploring options for Backcountry.com, including a potential sale. - EXEC: Fox Factory Cuts Specialty Sports Group Staff After 30 Percent Q1 Revenue Decline
Fox Factory Holding Corp. reported that sales for the first quarter of fiscal 2023 were $399.9 million, an increase of 5.8 percent compared to sales of $378.0 million in the Q1 fiscal 2022. - Report: Adidas Pauses Yeezy Releases
Adidas has now put a pause on its planned Yeezy releases, including a planned drop in November. - Keen Making Price Cuts to Clear Inventory, Support Retailer Discounting
Keen Footwear is creating a buzz in the market as the brand announced to consumers and retailers last week that it is offering lowered prices on nearly every Keen shoe available through retail partners and their retail site. - Puma’s Brand Chief Leaving as Global Marketing moves from Boston to Herzo
As part of the implementation of its strategic priorities, Puma is reorganizing its Global Marketing Organization. The company said the decision lays the foundation for further elevating the Puma brand, one of the company’s three strategic priorities. - Adidas Court Order Freezing $75M Held by Kanye’s Yeezy Brand Overturned
A federal judge on May 26 lifted a court order Adidas won last year that secretly froze $75 million in bank accounts held by Kanye West’s Yeezy brand. - EXEC: Amer Sports Files Confidentially to go Public
Amer Sports, the parent of Salomon, Wilson, Arc’teryx, and other sports brands, filed confidentially for a U.S. initial public offering that could value the group as high as $10 billion. - REI Logs Loss in 2022 Amid Investments; Sales Growth Slows Sharply
REI Co-op reported a loss in 2022, impacted by lower margins but said it made significant investments in its employees, community and other areas. - EXEC: Foot Locker, Inc. Makes Flurry of New Appointments to Address a Changing Marketplace
Foot Locker, Inc. made some additional news on its conference call with analysts, announcing a flurry of new hires and appointments to solidify the management teams that will focus efforts on the customer experience. - EXEC: Hoka Added $521 Million in New Revenue in Fiscal 2023; DTC Remains Focus
Global Hoka brand revenue for fiscal year 2023 increased 58.5 percent, or $521 million, versus the prior fiscal year to $1.41 billion, the fourth consecutive year Hoka has delivered revenue growth above 50 percent. - EXEC: Under Armour’s new CEO Delivers Playbook to Revive Growth
In her first address to the investment community, Stephanie Linnartz, Under Armour’s new CEO, said, “Growth is without a question our highest priority.” She cited footwear, women’s, sport style, and full-price stores as untapped opportunities but particularly stressed an urgency for UA to establish a premium positioning and amplify brand heat. - Birkenstock Stumbles on First Day of Trading as a Public Company
When Bloomberg declares your debut on Wall Street as a publicly-traded company the worst opening for a listing of $1 billion or more in New York in over two years, you may have a problem.
Image courtesy Sportsmans Warehouse
