About 68 percent of Foot Locker’s sales came from Nike Inc. in 2016, down from 72 percent in 2015, according to Foot Locker’s annual report.
Nike Inc.’s sales also include sales of Converse. Overall, Foot Locker said it purchased approximately 91 percent of its merchandise in 2016 from its top five suppliers, up from 90 percent from five suppliers in 2015. Foot Locker did not reveal its concentration with any of its other vendors.
Among other major publicly-held sports chains, Nike accounted for 56.8 percent of sales of Hibbett Sporting Goods in 2016, slightly down from 57.5 percent in 2015, according to Hibbett’s annual report. Hibbett’s second largest vendor, Under Armour, represented 16.4 percent of sales, up from 15.9 percent. Its third largest vendor, which was unidentified, represented 5.5 percent of sales, up from 4.2 percent the prior year.
According to Dick’s Sporting Goods annual report, Nike and Under Armour, its largest vendors, represented approximately 20 percent and 12 percent, respectively, of its merchandise purchases in 2016 – the same percentages as the prior year. The report did note that the company purchased merchandise from approximately 1,400 vendors in 2016, down from 1,600 vendors in 2015. Dick’s earlier this year announced that it was rationalizing its vendor base.
Big 5 Sporting Goods’ annual report notes that only one vendor represented greater than 5 percent of total purchases, at 10.0 percent. In the prior year, the western-sporting goods chain likewise noted only one vendor represented greater than 5 percent of total purchases, but at 10.8 percent.
Finish Line, whose fiscal year ends one month after Foot Locker’s, Dick’s and Hibett’s, typically posts its annual report toward the end of April. In its year ended February 28, 2016, Nike represented 73 percent of its sales, the same percentage as the prior year.
Photo courtesy Nike
