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Today's news...1/4/05

JANUARY 04, 2005 -- FESI Discloses Its Priorities For 2005

Following the election of its new president, Horst Widmann, Puma, the Federation of the European Sporting Goods Industry (FESI,) held an executive committee meeting in Herzogenaurach to define its strategy for the next three years. FESI executive committee members agreed that the four top would be: Stabilization, focus on lobbying, better coordination with national federations and better coordination with the World Federation of the Sporting Goods Industry.

After a difficult restructuring year, FESI executives decided to give priority to the recreation of a sound, professional and stable working environment for its secretariat based in Brussels so that FESI manpower would be able to support effectively the working committees in their work. Another formulated objective was to strengthen the commitment from existing members, and gradually expand the membership base. Furthermore, they wish to improve the financial stability of FESI, increasing revenues faster than costs and rebuilding financial reserves.

FESI believes focusing on FESI's working committees will drive the further development of FESI as a trusted interlocutor and credible partner to EU institutions in the formulation of policy affecting the sporting goods industry.

The execs counseled the FESI secretariat to improve the internal communications to members and to the board, to enable various internal target audiences to receive information on areas of their likely interest, in a convenient user-friendly format. Moreover, they encouraged national federations to take a more active role in communicating to FESI and to each other on policy/regulatory areas of interest.

Finally, it was felt FESI's representatives participate in all WFSGI's working committees and its general assembly. In order to streamline communications, they proposed that the WFSGI should communicate developments of interest directly to national federations, as well as to FESI.

Q4 Counterfeit Seizures Totalled $1.2 Billion

During the last quarter of 2004, more than 560 incidents of counterfeit seizures worth $1,154,409,448 occurred. They were analyzed by Gieschen Consultancy. More than 153 brands were counterfeited, and the most popular were: Louis Vuitton, Gucci, Nike, Coach, Microsoft, Burberry, Chanel, Marlboro, Prada, Sony, American Express, Calvin Klein, Dove, Oakley, Armani, Boston Red Sox, Canon, Christian Dior, HP, North Face, Ranger, Rolex, Subway, and Tommy Hilfiger. Other brands seized included: Adidas, Bata, Boston Rod Sox, Callaway, Jacksonville Jaguars, Manchester United, NBA, New York Yankees, NFL, Oakland Raiders, Pittsburgh Steelers, Polo, Puma, Timberland, Titleist and Umbro.

Average Footwear Selling Price Rose 1.1% in 2004: NSGA

With advances in average prices outnumbering declines two to one for the 22 categories of athletic and sports footwear surveyed by NSGA, the average price point for all footwear rose 1.1% in 2004. The average price rose to $39.32 in 2004 from $38.88 in 2003.

More than 2% increases in major categories, gym shoes/sneakers (2.6%), jogging/running (2.6%), and fashion sneakers (2.3%), led the increase. Among major categories, only basketball shoes showed a decline (-2.6%).

"The 1.1% increase in 2004 followed downturns in the three previous years, 0.3%, 3.0% and 0.4% respectively," said NSGA VP/information & research Thomas Doyle. "However, the year's overall average did not reach the 2000 average price of $40.32, the highest in the history of the NSGA survey. The weaker promotional environment and exciting new products probably accounts for the growth."

In spite of a 1.5% decline in their average price, hunting boots held the number one position as the most expensive shoe in the 2004 sports footwear market. The $63.87 average hunting boot price point placed it ahead of golf, basketball and running/jogging shoes, the average prices of which were $60.34 (0.7%), $53.11 (-2.6%) and $51.40 (2.6%), respectively.

The average price for 2004 and the percent change from 2003 for other shoe categories are: aerobic, $41.54 (+4.1%); baseball/softball, $39.59 (-2.4%); boat/deck, $30.25 (+2.9%); bowling, $37.92 (+1.7%); cheerleading, $35.38 (-1.1%); cross training, $45.86 (-0.2%); fitness, $42.42 (+1.6%); football, $46.36 (+1.4%); hiking, $47.83 (6.3%); skateboard, $44.41 (-2.7%); soccer, $33.97 (+1.1%); sport sandals, $23.44 (+1.6%); tennis, $35.14 (+2.9%); volleyball, $54.04 (n/a); walking, $42.02 (+1.0%); and water sport, $14.15 (-0.7%).

The information on average shoe prices will be included in the NSGA report "The Sporting Goods Market in 2005," to be published by the Association in May. Based on a consumer study of 100,000 US households, the report summarizes 2004 retail sales totals – in units and dollars – for 22 types of athletic and sports shoes as well as products in more than 20 sport categories. Also featured are purchaser demographics – annual family income, age and gender of product user, education of household head and sales according to region of the country. Place-of-purchase data allow for analysis of the industry's channels of distribution. Consumer purchases on the Internet are reported.

The report, which NSGA has published for almost two decades, provides selected product sales history for the last 10 years. This allows the analysis of long-term trends. Brand share reports on individual shoe categories are available separately. The 78-page report is prepared for NSGA by Irwin Broh & Associates, a research company nationally recognized for its work in the sports and leisure field. Cost of the report to NSGA members is $225, to non-members, $325. Pre-publication discounts are now available. Sustaining NSGA retailer/dealer members and manufacturer members receive the report free. For additional information, contact NSGA, 1601 Feehanville Drive, Suite 300, Mount Prospect, Ill. 60056-6035. Phone: (847) 296-6742; fax: (847) 391-9827; or visit the NSGA website, www.nsga.org.

Spanish News From CMD: Sprinter To Add Five Doors; Buying Group Collapses

During 2005, Sprinter will open five new shops, which mean 128,000 square feet of additional selling space more, bringing the total to 753,200 square feet. On top of that Sprinter plans to open two new outlets in 2006, of 18,300 square feet and 16,100 square feet...Members of the Spanish buying group Sport Disseny approved the liquidation of the group as there was no answer to its financial problems and the debt that amounts more the EUR4 million. Some members wish to file a complaint against the former manager, Alvar Alvaro, for his management.

Waiting for a confirmation from Metalurgica Diroca, there are already 11 Spanish suppliers who will exhibit at ispo China in Shanghai next March: Calzados Fal, Casa Artiach, Comercial Salter, Faders, Joma Sport, Matollo Sports, Mundoimport, Original Buff, Productos Deportivos and Sport Enebe...During 2004, Intersport Spain managed to increase the number of its shops as well as of its membership. Today the buying group has 357 stores, 124 members and 1,565,000 square feet of selling space.

Wilson Racquet Sports promoted Jon Muir to US director of sales & marketing. Muir, who recently served as Wilson's US director of marketing & promotions, will take on the new sales responsibilities that were previously under Charlie Osborn as of January 1.

Pelican Products hired Kevin Emmons as Sporting Goods Division SM. He will be responsible the management and business development of Pelican's Sporting Goods Division and 2005's Adventure Series product line launch. Emmons brings more than 20 years of sporting goods industry sales experience. Prior to joining Pelican he served as director of sales and product manager of Wenger Swiss Army NA.

VNU, the parent of SGB, ISG, OR and other industry trade magazines and trade shows, and business information companies, has pledged EUR200,000 and will match any contributions by employees up to $1 million.


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