A recovery of its sales on the Italian market, the World Cup of football and continued expansion into new markets helped drive Lotto’s sales up by 12.6 percent to €132.5 million in the 1st half, ended June 30. The company’s sales in Italy, which had been previously flat at best, grew by 5 percent during the period, representing 28 percent of the company’s total turnover. Profit figures are not yet available.
Lotto did well in the rest of Europe as a whole, with sales rising by 14 percent in the region. Sales grew by 6 percent in France and by 10 percent in Spain, two of the company’s core markets. Turnover rose by 27 percent in Germany, by 93 percent in Holland and by 64 percent in Austria. Elsewhere, sales climbed by 48 percent in Romania, by 224 percent in Serbia, by 25 percent in Saudi Arabia and by 129 percent in Algeria. The combined turnover in Asia and the Americas increased by 18 percent.
In terms of product, apparel sales increased by 14 percent, mainly due to an expansion of the “leisure” sector in several markets. However, total sales of leisure products, which comprise nearly one-half of total sales, grew by only 7 percent. Apparel represented 56 percent of the company’s total turnover during the period, shoes 40 percent and accessories the remaining 4 percent.
For Lotto, whose performance products concentrate on the football, tennis and running sectors, football easily enjoyed the strongest growth at 20 percent and was driven by sales of the company’s new Zhero Gravity lace-less boot and World Cup-related products.
Lotto anticipates further gains in all sectors, thanks in part to an ongoing marketing campaign that features Luca Toni from the Italian football team which won the World Cup last July. For the full year, Lotto expects total sales to be about €270 million, including those of its licensees.
The company is expanding in the Mexican market through a license agreement with Pro Italy Mark, a company that belongs to the Marti group, one of the largest sporting goods retail chains in Mexico.
