SBD/12/Sponsorships Advertising Marketing

RETAILERS DEVELOP OWN SHOE LINES; MORE ON OAKLEY'S LAUNCH

          As the athletic shoe industry "is squeezed by a glut of
     product," some of its largest retailers "are fighting back
     with private labels," according to BRANDWEEK's Terry Lefton. 
     This year, FootAction will introduce a line of hiking, trail
     and outdoors shoes via a license from Land Rove; The Sports
     Authority will roll-out a similar line under license from
     Tyrolia; and Foot Locker and Champs will market a line of
     Champion-branded footwear for back-to-school. In addition,
     NY-based Muller Sports Group is developing branded footwear
     for JCPenney, one of which will use the company's rights to
     the U.S. Olympic Team marks.  Lefton reports that selling a
     private label allows shoe retailers to improve margins by a
     "minimum" of 10%, "a big attraction at a time when the
     athletic shoe business is suffering and both consumers and
     retailers are seeing too many me-too product in too many me-
     too stores."  Smith Barney analyst Faye Landes: "It will
     take a lot of marketing muscle if they really want to grow
     private label as a business, but most of them are investing
     a lot there anyway, so why not throw that money toward
     something where they can get better margins and build
     something they can keep?" (BRANDWEEK, 5/11 issue).
          NOT YOUR SAME OLD TIRE-D SHOE: In N.Y., James Sterngold
     examines Oakley's introduction in the sneaker market, "an
     unusual black and yellow woven shoe with a motorcycle racing
     tire for a sole."  Oakley will focus its shoe sale on 200 or
     so sporting goods stores which also carry its sunglasses and
     it will retail for $125.  Sterngold adds that the new shoe
     "is an attempt to do in the shoe market what Oakley's
     sunglasses did in that market: create a niche by using high
     technology and a high-technology look" (N.Y. TIMES, 5/12).

Return to top
Video Powered By - Castfire CMS Powered By - Sitecore

Report a Bug