A New Game Plan:
Europe's Sports Apparel and Athletic Footwear Industries
Benefit from Growing Online Sales

By Jez Fraser-Hook, Sport Service Manager

Online retailing, despite a spotty history over the past few years, is credited with rescuing the Athletic Footwear and Sports Apparel categories from significant downturns in Great Britain last year. It’s also boosting overall sales for sports products in France and Germany.

Internet sales for Athletic Footwear and Sports Apparel across the Big 5 European countries (Great Britain, France, Germany, Italy, and Spain) totaled  €834 million in 2005, growing 18% over 2004. Sales of Athletic Footwear sold online had extremely sharp gains across the Big 5 European countries, up 38% in 2005 compared to 2004. Athletic Footwear online sales in Great Britain, Germany, and France contributed most to this trend.

Sports Apparel online sales also climbed in 2005, although less dramatically than Athletic Footwear: they were up 8%, with the same three countries posting the most Internet sales.

To put these numbers in perspective, it’s important to understand that online sales accounted for just 3% of all Athletic Footwear and Sports Apparel sales in 2005 across the Big 5 European countries. By country, Great Britain led the way, with Athletic Footwear Internet sales surging 28% to €166 million last year; Sports Apparel sales increased 5% to €212 million in Great Britain during the same period. This country’s Internet sales now account for nearly 8% of all Athletic Footwear sales, up from 6% in 2004 and more than double the percentage for 2003. The rise of online sales for Sports Apparel in Great Britain is less pronounced, but still steadily increasing: online purchases totaled 6.2% of all Sports Apparel sales in 2005, compared to 5.4% in 2004 and 3.9% in 2003. With a stronger growth of Athletic Footwear sales over Sports Apparel, it is possible that consumers are happier to buy footwear online as a result of sizing and product knowledge.  For example, for runners who use up to two pairs of shoes a year, they will know the model and size they require and will generally find a slightly cheaper price online.

While the Internet is not yet considered a major retail channel for Europe’s sports industry, online retailing is certainly growing in importance. Retailers of all types should carefully monitor the development of online sales – and enter the race quickly if they want to compete. And of course, online retailing also provides manufacturers a direct link to the consumer, another key trend to watch.

NPD’s Sports Tracking Europe offers international marketers consistent, country-by-country market information on consumer purchasing of Athletic Footwear, Sports Apparel, and Sports Equipment for strategic and tactical decision-making. Information is collected from both retailers and consumers for a total market perspective. To learn what Sports Tracking Europe can do for your business, contact Jez Fraser-Hook at +011-44-1-932-355-580.