After losing several "top" Internet execs in the past
three months, Reebok "is putting its e-commerce strategy --
one that centered on selling products on its Web site --
into early retirement," according to Bernhard Warner of the
INDUSTRY STANDARD. Reebok's recent losses include company
Int'l VP and head of global e-commerce Roger Wood, who was
in charge of assembling an int'l team to handle global sales
on the company's Web sites and on those of its retailers,
and CEO of the brand division Carl Yankowski. Reebok
VP/Global Brand Marketing Muktesh Pant, on the company's new
strategy: "We wish to use the Internet as a vehicle for
marketing communications, not as a channel for
distribution." Analysts "suspect" that Reebok "fears a
retailer backlash if it goes full-bore on the Net." Thomas
Weisel Partners analyst Faye Landes: "Presumably, they are
afraid of the brick-and-mortar retailers, who are crucial,
and with whom they have very little leverage at this point."
Sources said that the company "was on pace to exceed" an
online sales goal of $25M "several months early." Reebok
will now "rely on its top retail clients" such as Just For
Feet and The Sports Authority to sell its products on their
sites. But the company is still "undecided" about whether
to offer its products to Web-only retailers such as
Fogdog.com (INDUSTRY STANDARD, 2/7 issue).
NET LOSS: GOLFWEEK's Gene Yasuda reports that Taylor
Made-adidas Golf announced that it will now "prohibit the
sales of its products over" the Internet. Taylor Made-
adidas VP & N.A. GM Mike Whan said that the move was made to
"protect the company's premium brand image," which he said
"has been tarnished by the aggressive price-slashing tactics
used by e-tailers to boost traffic" (GOLFWEEK, 2/5 issue).
