![]() ![]() As a engineer I’ve always been impressed by an artist’s ability to convey a message using a minimum of information. The shoe, sold at Finish Line for $99.99 starting this month, fits an industry trend toward lightweight and form-fitting performance-based shoes, he said.I think Smith Micro has a real hit with Poser Debut. I really think they believe strongly in it because they're introducing this across their entire footwear line." "It fits very close to your foot, so when your foot flexes, the material doesn't bunch, which is always a plus. "It's a very light shoe, very form-fitting," Schalk said. Yale Schalk, executive editor of the CounterKicks website, said he was sent a sample of Under Armour's Spine ClutchFit running shoe to try out last week. "We believe as the footwear business grows, it can stimulate incremental apparel sales and vice versa."īesides footwear, he believes the company will benefit from strong athletic apparel trends and the brand's growing popularity with children and women. Under Armour "is at the tipping point of establishing itself as serious footwear player," Konik said. Konik, who upped his Under Armour stock rating to a buy on Thursday, said part of the Under Armour sales he pegs at reaching $15 billion in a decade will come from footwear, running in particular, where shoes a have a higher profit margin than cleats. Under Armour is up to the challenge and sees itself boosting market share by going after the $6 billion global soccer market as well as basketball and running while continuing to expand an already strong market share in football and baseball, Rattet said. Under Armour has to take money away from Nike or Jordan or Asics, and that's difficult to do." Additionally, "If you want to get your shoe placed, something else comes out. "They would much rather sell out and know they have a winner than put out a ton of pairs and don't meet up to expectations," he said. Starting with limited distribution channels makes sense, according to Poser, who said the hype of new ideas in footwear, from all brands, often doesn't translate to sales right away. Rattet said the new Highlight cleats and the ClutchFit Force soccer cleats will be sold at Dick's Sporting Goods and through online sites and catalogs, while the running shoes will be sold only at Finish Line and through Under Armour's stores and online site. In running, 60 percent of sales went to Nike. Combined, the brands Nike and Jordan, which is owned by Nike, grabbed more than 90 percent of total basketball shoe sales, which jumped 27 percent, Poser said in a market report Friday. Sales reports for May offer a glimpse of the market and challenges ahead for Under Armour. "They've done a good job in cleats, but on non-cleated it's still a work in progress." Though "they're still gaining credibility in footwear, they're working very methodically on trying to get stuff going," Poser said. The innovation pipeline is robust."Īnalysts said the company's roots and skyrocketing growth in apparel give it the ability to capitalize on other growth areas, including footwear. We're going to be a significant player globally. Under Armour intends to boost its market share, he said, by "giving consumers an experience they are not currently getting. "We all know how competitive the market is, with brands 100 percent focused on negating our ability to grow," Rattet said. It has so far made only a dent, with a less than 2 percent share of a market dominated by rivals Nike, Reebok, Converse and others. It continued the push into running last year with the first generation of Speedform.īesides international growth and sales to women, Under Armour sees some of its greatest potential in the athletic footwear market. It entered the shoe market in mid-2006 with football, baseball and softball cleats, but has sold non-cleated shoes only since 2008, starting with training shoes, followed by running and basketball shoes. Under Armour got its start in apparel and is much better known for it than footwear. "After many years of trial and error and limited success, we believe is on the verge of a breakthrough with its Speedform," which he said helped drive the company's 41 percent increase in footwear sales in the first three months of the year. Konik, a New York-based analyst for Jefferies, said in a report Thursday. "We think the company will succeed in footwear," Randal J. The updated Speedform has drawn a favorable response from retailers, said Sam Poser, an analyst with Sterne Agee in New York. ![]()
0 Comments
Leave a Reply. |
AuthorWrite something about yourself. No need to be fancy, just an overview. ArchivesCategories |