SGB Executive Footwear
Study: Retailers See Big Online Sales Declines After Closing Brick & Mortar
ICSC found that closing a store reduced online sales in the trade area surrounding that store by 11.5 percent. For emerging retailers, there was reportedly less of an impact, as online sales for largely DTC brands that closed a store decreased by 5.2 percent.
Study: The Retailers Getting the Most Online Benefit from New Stores
According to the analysis of the ICSC’s survey of 850 shoppers, department stores had a 50.6 percent increase in online spending, followed by apparel retailers with an 11.6 percent increase in e-commerce sales.
EXEC: Authentic’s Reebok Europe Partner Acquired by Korean Retailer
Coupang, Inc., a Korea-based global retailer, reported plans to acquire the business and assets of online luxury retailer Farfetch, Authentic’s partner chosen to manage Reebok in Europe.
EXEC: Foot Locker Earns Upgrade On Turnaround Prospects
Shares of Foot Locker rose 10.1 percent Thursday after Piper Sandler & Co. upgraded Foot Locker from “Neutral” to “Overweight.” Piper analyst Abbie Zvejnieks believes the sneaker retailer’s turnaround potential compares favorably to other turnaround stories in the active lifestyle space, including Allbirds, Under Armour, VF Corp., and Wolverine Worldwide.
EXEC: McKinsey Identifies Tech Outerwear Among Hot Fashion Trends For 2024
In its The State of Fashion 2024 study, McKinsey & Co. provided a bullish outlook for technical outerwear, stating the category “has been propelled by consumers post-pandemic embrace of healthier lifestyles as well as ‘gorpcore,’ and is likely to accelerate even further in 2024.”
Study: Retailers See Online Sales Boosted by Store Openings
ICSC quantified the impact of opening or closing physical stores on online sales and retailers’ overall performance. Its latest study, the third installment in ICSC’s research on the halo effect of brick-and-mortar retail on online sales, is said to again prove the power of physical retail by demonstrating that a new store boosts online sales, while a closed store impedes them.
EXEC: Nike Scores Two Analyst Upgrades
Citi raised its rating on Nike to “Buy” from “Neutral,” while Barclays gave Nike its “2024 Best Idea” recommendation. Both investment firms cited the potential for Nike to have a margin recovery and brand innovation tied to the 2024 Paris Olympics.
EXEC: Feng Tay Posts First Footwear Manufacturing Increase Since 2022
One of the longest-tenured manufacturers of Nike footwear, reported manufacturing revenues increased 4.3 percent in November to NT$7.33 billion, the company’s biggest year-over-year monthly increase since October 2022.
EXEC: Yue Yuen’s November Footwear Shipment Trend Best Since February
Footwear manufacturing segment revenue declined 9.6 percent in November, a clear moderation of recent declines and the best year-over-year monthly performance since May 2023
EXEC: Craft North America CEO Talks Gaining Traction in Run Footwear
In late November, Craft Sportswear announced plans for a phased relocation of its North American headquarters to Seattle, WA, in 2024 to bolster the brand’s expansion into outdoor and specialty retail and its recent entry into running footwear in the U.S. Craft North America CEO Eric Schenker talked with SGB Executive about Craft Sportswear’s heritage, the run footwear opportunity, and why the CEO has chosen not to move to Seattle.
EXEC: Lululemon’s Tepid Holiday Guidance Overshadows Strong Q3
Lululemon Athletica, Inc. lifted its overall full-year outlook after earnings and sales in the third quarter ended October 29 topped guidance for the third straight quarter but also forecast fourth-quarter guidance that came in lighter than expected in an apparent sign to investors of a potential sales slowdown.
EXEC: Sports Direct Gets Fiscal H1 Boost from New Brands
Frasers Group reported retail revenue increased 4.0 percent in the first half ended October 29 to £2.69 billion ($3.4 bn), helped by a “strong underlying performance” from Sports Direct due in part to the addition of new brands, including On Running, The North Face, Columbia Sportswear and Salomon.
EXEC: Stifel Survey Finds Consumers Prioritize Price/Value Over Sustainability
The survey, which was conducted in partnership with Morning Consult, surveyed active/causal lifestyle brand consumers ages 18 to 55 based in the U.S., UK, Germany, France, and Italy. It found that only one-third of respondents “Highly Prioritize” sustainability when making purchasing decisions, compared to other factors like “Good Value” (68 percent) and “Low Price” (57 percent).
EXEC: Dick’s SG Sees Differentiation Reaping Dividends
Speaking Tuesday at the 2023 Morgan Stanley Global Consumer & Retail Conference, Navdeep Gupta, EVP and CFO at Dick’s Sporting Goods, elaborated on how the retailer’s efforts to further differentiate itself both within product and the store experience is driving market share gains.
EXEC: DSW Sees Seasonal Footwear Weakness Going into Q4; Parent Cuts Outlook
CFO Jared Poff said that based on what they have seen through the fourth quarter to-date, they do not expect the sales pressures to alleviate as they wrap up the year, especially given the ongoing uncertainty in the macro environment.
