INTERSPORT retail sales increase by 5.4%
01.04.2006 | INTERSPORT increases it’s worldwide retail sales by 5.4% to Euro 7.73 billion in 2005 and is optimistic for 2006.
Established in 1968, the INTERSPORT Group has increased its retail sales for the 37th year in a row, reaching Euro 7.73 billion in 2005, an increase of 5.4% on 2004. Two new markets, Turkey and Poland, joined the group in 2005. With excellent weather condition this winter, the Football World Cup approaching and with the strength of INTERSPORT in the growing product categories Running, Walking, Outdoor and Fitness, 2006 looks to be a positive year as well.
INTERSPORT's business model with IIC-INTERSPORT International Corporation as licensor and national licensees, who on their part grant licenses to individual sporting goods retailers, has further proven to be very successful. This has enabled our rapid expansion, is less capital intensive and guarantees close proximity to both the market and customers.
In 2005, with 4.883 affiliated stores (4.809 in 2004) in 31 countries, the group achieved retail sales of Euro 7.73 billion. This amounts to an increase of 5.4% on the previous year (Euro 7.33 billion). Sales of private labels amounted to Euro 1.35 billion, which corresponds to 17.5% of total retail sales (17% in 2004).
Sales (stock sales, central settlement/bonus business) of national licensees reached Euro 3.57 billion, an increase of 3.5% on the previous year (Euro 3.45 billion). Accordingly the national licensees continued to cover 95% of their affiliated retailers product needs.
In 2005, the European sporting goods retail market grew by an estimated 2% (Euro 35.7 billion in 2005 over Euro 35 billion in 2004); thus enabling the INTERSPORT Group to increase its market share in Europe from 19% to 19.2% (retail sales outside Europe accounted for Euro 900 million). INTERSPORT is and remains the clear market leader in Europe and maintains its position of the World's Leading Sports Retailer.
"In the existing "traditional" west-European markets we have defied the continued overall difficult economic situation, stood our ground under strong competition and price pressure and increased our market share. Germany remains the No. 1 selling market, followed by France and Italy. The successful expansion strategy over the last five years into new markets including Bosnia-Herzegovina, Croatia, Greece, Poland, Serbia-Montenegro, Slovakia, Slovenia, the Czech Republic and Turkey have come into fruition. In these countries INTERSPORT is represented by 204 stores, which together achieved retail sales of over Euro 200 million", Franz Julen, CEO, IIC-INTERSPORT International Corporation, on the successful development of the INTERSPORT Group.
This trend should be continued in 2006. "The good winter condition throughout Europe ensured excellent retail sales in January and February. Warehouses are empty and orders for next winter are encouraging. The Football World Cup in Germany is just ahead of us, and INTERSPORT with its strengths and expertise in advice and service can take advantage of the growing product categories like running, walking, outdoor and fitness", Franz Julen substantiates the positive outlook for 2006.
