As product timelines and buying cycles become more compacted for
vendors and retailers, Columbia Sportswear has reacted by pulling out
of key industry trade shows, opting instead to host a Winter 2008
Product Preview for retailers, financial analysts and members of the
media. The event, which featured overviews from Columbia, as well
as its Sorel, Mountain Hardwear and Montrail brands, was held in late
October at the Oregon Convention Center in Portland, OR.

“It’s all about having our customers focused on us, and about getting
peoples’ attention,” explains Tim Boyle, president and CEO of Columbia
Sportswear. “The cost to us is the same as going to all the
shows. The goal was to offer an overview of the depth and breadth of
the company and its brands, and our plans for 2008.” He adds that there
were about 200 retailers representing 45 companies in attendance.

Boyle said that COLM is usually forced to schedule appointments in
half-hour increments. “With all of the distractions on the show floor,
combined with the breadth and depth of Columbia’s lines, it is hard to
get much accomplished,” he says. “At this event, the thing I kept
hearing over and over was, ‘I didn’t realize Columbia did all that.’”
Regarding corporate initiatives for 2008, a key objective is to
increase Columbia’s visibility in the marketplace. “We want to create
demand by growing our brand presence for the next several years. This
includes increasing gross consumer impressions from one billion this
year to four billion in 2008,” he says. To accomplish this, Columbia
plans to increase ad spending, and has a multi-media integration
strategy that includes general and niche publications, as well as
television. The company has also struck a deal with Discovery Channel
to sponsor “Survivorman” and “Josh Bernstein’s Expeditions.”

Columbia’s licensing program, which now boasts 14 licensees, is also
boosting the brand’s visibility. “The company’s licensing program earns
$100 million in wholesale revenues for its licensees in the U.S. This
creates a terrific amount of brand awareness, and is profitable, as
well,” says Boyle.

In terms of growth categories, footwear figures to be a strong
performer. Columbia’s Collegiate Program is also booming. It’s the
fastest-growing segment of Columbia’s business. Fleece is the
cornerstone of the program. The overall collegiate market totals about
$3.2 billion, meaning that there is plenty of room for expansion. Boyle
notes that in 2005, Columbia served 35 schools; today, the number
exceeds 70.

According to Boyle, it is crucial to “get the U.S. and Europe cranking,
because 40% of the company’s sales come from outside the U.S.”
Therefore, the company plans to coordinate product launch dates; team
with retailers to keep key styles in stock (for Spring ’08, Columbia
has raised the number of items that qualify for automatic
replenishment); expand marketing and in-store programs; and boost
sales, turns and margins. Other factors entering the equation include
direct shipments, reduced freight costs and faster ship times.

On the retail front, Boyle reports that the company will open five
outlet stores in 2008, and will also open a few first-line, full-price
retail stores. “The first-line stores will primarily be marketing
vehicles, and will look like a cross between our flagships and
outlets,” he explains, adding that this April, a Mountain
Hardwear/Montrail store is scheduled to open next door to the Columbia
flagship in Portland, OR.

Besides providing a general company overview, the Winter 2008 Product Preview also laid out specific brand initiatives.