March 2014 Atheltic Footwear Executive Summary

March 2014 Atheltic Footwear Executive Summary

March 2014 Footwear overview

It was no surprise that March sales were weak, given the late Easter and cold snowy weather
Sales of Sport Footwear for March 2014 declined in the low singles in dollars and declined mid singles units resulting in a low-single digit increase in average selling price.
One bright spot was that the last week of March, as the weather opened up, posted a high single digit increase in sales
Kids shoes grew in the low teens, while men’s and women’s sport footwear declined in the mid singles
Basketball sales grew low teens, off of the previous strong trend
Running sales were up low singles (an improvement from February), on the unfavorable weather
Sport Footwear over $100 grew in the high singles and grew in the mid singles.  Sport Footwear under $100 declined in the mid singles.

March 2014 Footwear sales by channel

Sales of Sport Footwear on the internet grew in the mid-teens and represented 11% of all sneaker sales.  Sales in physical stores declined in the mid singles
Sales in Full Line Sporting Goods and Athletic Specialty declined in the low singles.
Sales in the family channel declined in the low teens, as they cannot participate in the Marquee basketball trend
Run Specialty grew in the high singles
Sales were best in the Southeast and Southwest and worst in the Rockies and New England

March 2014 Brand Share

Nike had a low single digit gain with share at 47.2%.  Jordan improved 20% in sales and gained 250 basis points in share to 14.8%; Converse had a high single digit decline with a 2.5% share. Nike Inc. had 64.5% share in sport footwear sales, the highest we’ve ever recorded for March

Adidas sales for March were down in the high singles, as share slipped to 6.9%.  Reebok sales declined about -25% on a 1.7% share.  Skechers has a 25% gain with 3.4% share, moving Skechers into #5 market share position, ahead of New Balance
The core running brands gave a mixed performance.  Asics had a low single digit decline with 4.5% share.  New Balance continued to struggle.  Under Armour had a mid-single digit increase, with 2.5% share.  Brooks grew in the high single digits. Mizuno and Saucony both had declines.

March 2014 Top Selling models
1          JORDAN 3                               $161.56
2          W NIKE FREE 5.0+                  $93.63
3          NIKE FREE 5.0+                       $92.96
4          JORDAN 10                             $168.90
5          NIKE FLEX RUN 2013             $67.39
6          NIKE ROSHE RUN                   $68.92
7          JORDAN 9                               $154.60
8          W NIKE REVOLUTION 2         $44.22
9          NIKE AIR MONARCH IV         $52.08
10        NIKE KD 6                               $128.79
11        W NIKE FLEX RUN 2013         $68.10
12        NIKE AIR MAX 2014                           $174.90
13        W SKECHERS GO WALK         $45.81
14        K UA LEADOFF LOW                           $24.96
15        Converse ALL STAR OXFORD  $44.14
16        W NIKE FLEX TRAINER 3        $52.72
17        NIKE AIR FORCE 1 MID          $93.02
18        K JORDAN 10                         $119.03
19        K JORDAN 3                            $118.78
20        K Nike AIR FORCE 1 LOW      $74.12
21        K JORDAN 9                            $119.21
22        JORDAN 6 RINGS                    $158.72
23        K Nike LEBRON XI                  $138.84
24        NIKE REVOLUTION 2                          $44.13
25        NIKE HUARACHE KEYSTONE             $42.90

Of the top 250 models for March 2014:

Nike had 125
Jordan, 40
Adidas, 15
Asics, 15
Skechers, 15

Basketball
The Marquee Basketball continued in March, but slowed compared to previous months
Marquee basketball grew 20% in March and represented 88% of the Basketball shoes sold.
Non-Marquee Basketball declined in the low teens
Jordan basketball grew by a 25% in March, and share expanded about 600 basis points to 58.9%.  Nike Basketball grew in the mid singles with 35.8% share.  Nike Inc. had 94.7% share in the US retail basketball market in March
Adidas basketball declined in March.  Under Armour basketball declined about -25% as share fell to 0.3%.  Reebok Basketball also had a decline.
Running
Running sales were up low singles for March. The weather was not conducive to running shoe sales.
Motion Control grew in the low teens.  Stability declined in the low singles.  Cushioning declined in the high singles
Adidas had a strong March in running, up mid-teens as Springblade continued to grow.
Nike Running grew in the high singles, with 63% share
New Balance continued to struggle
Under Armour running was flat for March.  The Speedform debut has liquidated well on small pairs but has not had much of an impact on topline so far.
Casual
Casual sales declined in the high singles for March.
Classics put up an impressive high single digit increase.  We are starting to see signs of the all-white trend.
Skate had a low single digit increase for the month.  Boat shoes declined about    -30%.  Lifestyle dropped in the low teens
Reebok Casual grew in the mid-teens. Skechers Casual was up about +30%
Adidas Casual had a decline. Nike had a small decline in Casual for March

March 2014 Apparel Overview
Sport Apparel sales for March grew in the low singles in dollars
Active Shirts grew in the mid-singles and Active Bottoms in the low singles
Fleece improved in the high singles
Sock sales had a small increase
Under Armour apparel grew in the high teens and share increased 250 basis points to 17.4%
Nike Brand Apparel grew about 20% with a 400 basis point share gain to 29.8%
Jordan had a mid-single digit increase in apparel.  Adidas apparel declined for the month

I am now blogging for Forbes. Follow me here: http://www.forbes.com/sites/mattpowell/2014/04/08/sneakernomics-when-will-the-sneaker-cycle-end/
As always, feedback, questions, and suggestions are welcomed and encouraged. My best email is matt@princetonanalysis.com
If you have a colleague who would like to receive this monthly report, have them link me on LinkedIn and I will add them to the distribution.
If you are receiving more than one copy of this report or no longer wish to receive it, let me know and I will adjust the distribution.
Follow me on Twitter: @MattSOS.
The information in this report are my opinions, based on my analysis and do not necessarily reflect those of any other individual, business or organization.

March 2014 Footwear overview
It was no surprise that March sales were weak, given the late Easter and cold snowy weather
Sales of Sport Footwear for March 2014 declined in the low singles in dollars and declined mid singles units resulting in a low-single digit increase in average selling price
One bright spot was that the last week of March, as the weather opened up, posted a high single digit increase in sales
Kids shoes grew in the low teens, while men’s and women’s sport footwear declined in the mid singles
Basketball sales grew low teens, off of the previous strong trend
Running sales were up low singles (an improvement from February), on the unfavorable weather
Sport Footwear over $100 grew in the high singles and grew in the mid singles.  Sport Footwear under $100 declined in the mid singles.

March 2014 Footwear sales by channel
Sales of Sport Footwear on the internet grew in the mid-teens and represented 11% of all sneaker sales.  Sales in physical stores declined in the mid singles
Sales in Full Line Sporting Goods and Athletic Specialty declined in the low singles.
Sales in the family channel declined in the low teens, as they cannot participate in the Marquee basketball trend
Run Specialty grew in the high singles
Sales were best in the Southeast and Southwest and worst in the Rockies and New England

March 2014 Brand Share
Nike had a low single digit gain with share at 47.2%.  Jordan improved 20% in sales and gained 250 basis points in share to 14.8%; Converse had a high single digit decline with a 2.5% share. Nike Inc. had 64.5% share in sport footwear sales, the highest we’ve ever recorded for March
Adidas sales for March were down in the high singles, as share slipped to 6.9%.  Reebok sales declined about -25% on a 1.7% share.  Skechers has a 25% gain with 3.4% share, moving Skechers into #5 market share position, ahead of New Balance
The core running brands gave a mixed performance.  Asics had a low single digit decline with 4.5% share.  New Balance continued to struggle.  Under Armour had a mid-single digit increase, with 2.5% share.  Brooks grew in the high single digits. Mizuno and Saucony both had declines.

March 2014 Top Selling models
1          JORDAN 3                               $161.56
2          W NIKE FREE 5.0+                  $93.63
3          NIKE FREE 5.0+                       $92.96
4          JORDAN 10                             $168.90
5          NIKE FLEX RUN 2013             $67.39
6          NIKE ROSHE RUN                   $68.92
7          JORDAN 9                               $154.60
8          W NIKE REVOLUTION 2         $44.22
9          NIKE AIR MONARCH IV         $52.08
10        NIKE KD 6                               $128.79
11        W NIKE FLEX RUN 2013         $68.10
12        NIKE AIR MAX 2014                           $174.90
13        W SKECHERS GO WALK         $45.81
14        K UA LEADOFF LOW                           $24.96
15        Converse ALL STAR OXFORD  $44.14
16        W NIKE FLEX TRAINER 3        $52.72
17        NIKE AIR FORCE 1 MID          $93.02
18        K JORDAN 10                         $119.03
19        K JORDAN 3                            $118.78
20        K Nike AIR FORCE 1 LOW      $74.12
21        K JORDAN 9                            $119.21
22        JORDAN 6 RINGS                    $158.72
23        K Nike LEBRON XI                  $138.84
24        NIKE REVOLUTION 2                          $44.13
25        NIKE HUARACHE KEYSTONE             $42.90

Of the top 250 models for March 2014:

Nike had 125
Jordan, 40
Adidas, 15
Asics, 15
Skechers, 15

Basketball
The Marquee Basketball continued in March, but slowed compared to previous months
Marquee basketball grew 20% in March and represented 88% of the Basketball shoes sold.
Non-Marquee Basketball declined in the low teens
Jordan basketball grew by a 25% in March, and share expanded about 600 basis points to 58.9%.  Nike Basketball grew in the mid singles with 35.8% share.  Nike Inc. had 94.7% share in the US retail basketball market in March
Adidas basketball declined in March.  Under Armour basketball declined about -25% as share fell to 0.3%.  Reebok Basketball also had a decline.
Running
Running sales were up low singles for March. The weather was not conducive to running shoe sales.
Motion Control grew in the low teens.  Stability declined in the low singles.  Cushioning declined in the high singles
Adidas had a strong March in running, up mid-teens as Springblade continued to grow.
Nike Running grew in the high singles, with 63% share
New Balance continued to struggle
Under Armour running was flat for March.  The Speedform debut has liquidated well on small pairs but has not had much of an impact on topline so far.
Casual
Casual sales declined in the high singles for March.
Classics put up an impressive high single digit increase.  We are starting to see signs of the all-white trend.
Skate had a low single digit increase for the month.  Boat shoes declined about    -30%.  Lifestyle dropped in the low teens
Reebok Casual grew in the mid-teens. Skechers Casual was up about +30%
Adidas Casual had a decline. Nike had a small decline in Casual for March

March 2014 Apparel Overview
Sport Apparel sales for March grew in the low singles in dollars
Active Shirts grew in the mid-singles and Active Bottoms in the low singles
Fleece improved in the high singles
Sock sales had a small increase
Under Armour apparel grew in the high teens and share increased 250 basis points to 17.4%
Nike Brand Apparel grew about 20% with a 400 basis point share gain to 29.8%
Jordan had a mid-single digit increase in apparel.  Adidas apparel declined for the month

I am now blogging for Forbes. Follow me here: http://www.forbes.com/sites/mattpowell/2014/04/08/sneakernomics-when-will-the-sneaker-cycle-end/
As always, feedback, questions, and suggestions are welcomed and encouraged. My best email is matt@princetonanalysis.com
If you have a colleague who would like to receive this monthly report, have them link me on LinkedIn and I will add them to the distribution.
If you are receiving more than one copy of this report or no longer wish to receive it, let me know and I will adjust the distribution.
Follow me on Twitter: @MattSOS.
The information in this report are my opinions, based on my analysis and do not necessarily reflect those of any other individual, business or organization.