Presented on the eve of the European Swim Championships in Eindhoven at the beginning of last week, Arena’s new Powerskin R-evolution swimsuit won over 46.7 percent of the medals won in the tournament through the champions who were wearing it in the pool. The Italian-based company regards this as an excellent prelude to the Beijing Olympics after the introduction a few weeks ago of another previously reported high-tech swimsuit by Speedo.
Coming after investments of €2 million in R&D, Arena’s new suit is described as the fastest, lightest and smoothest swimsuit in the market, compared with any other swimsuits available on the market until last December, offering 20 percent reduction in local drag and 24 percent longer time at peak speed against its previous Powerskin X-Treme model. A stitchless garment with only two bonded seams, it uses an Italian fabric that only weighs 99 grams per square meter, 30 percent less than its closest competitor while delivering 50 percent more muscle compression. It will be available at retail from next September.
It was not possible to compare Arena’s new suit with Speedo’s new LZR Racer, a three-piece garment that was said to offer 10 percent less passive drag than the company’s previous Fastskin FSII, launched in 2004.
Arena’s revenues increased by about 6 percent last year to €81.5 million, according to preliminary figures, with increases of 3 percent in Italy, stable turnover in France and Germany and an increase of more than 10 percent in other countries. Including licensees’ sales, the total turnover under the brand reached €106 million excluding the Asian countries where Descente has the rights to the brand.
The company has made several new changes in distribution in the last few weeks. In the UK, where it was traded exclusively through Sports Direct International, it is aiming for a higher positioning in a difficult market through a distribution deal with Solo Sport, starting with the Fall/Winter 2008-09 season. The company also distributes brands such as Prince, Völkl, Tecnica, Marker and Lorpen.
In the Netherlands, another country dominated by Speedo where it had its own sales office, Arena has struck a distribution deal with the large Bos Group, which also represents Babolat, Australian and other brands. The idea is to reach at least 10 percent market share in both markets. Arena has also hired a new Icelandic distributor, J.S. Gunnarson, and its Mexican distributor will cover the Brazilian market as well, starting with the Spring/Summer 2009 season.
After repeated attempts to enter the U.S. market, Arena has put a temporary end to a new short-lived "American dream." Hans Fassnacht, the former chief executive of TYR hired by Arena as international sales manager, has left the company and return to the USA. His responsibilities have been taken over by Alessandro Carpignano, a 45-year-old manager who joined Arena as Italian sales manager in 1999 and then led operations and product management. He has been general manager of Arena Italia since June 2006.
On the other hand, the company, which has been recently taken over by a new equity investor, is looking for opportunities to take over companies involved in such areas as sailing, diving, surfwear and beachwear. Meanwhile, it has agreed to represent Oregon Scientific in the Italian sporting goods retail sector, where it services some 2,800 points of sale.
