The retailers affiliated with Intersport International Corp. (IIC) booked a 4.5 percent sales increase for the first half of 2014, thanks in part to the euphoria around the World Cup of football. The month of July was slightly below last year while August was very good again, leading IIC's management to predict a 3-4 percent increase for the full calendar year.
So far this year, sales increases in categories such as running, fitness, outdoor and football have more than offset a decline in winter sporting goods due to unfavorable snow conditions in most European countries during the months of January and February, both of which registered an overall sales decline across the international store network.
In the first six months, sales were down in only a few countries such as Finland and Switzerland. In contrast, France, Germany, Canada and the U.K. performed very well. In Italy and Spain, which have been affected by poor economic conditions, sales declined because of the loss of some retail members, but they went up on a same-store basis. The situation in Eastern Europe was described as satisfactory.
Intersport has developed particularly fast in the U.K. and Ireland thanks to the addition of new stores, besides the signature of a new contract with Elverys. The new Intersport Sporting Pro chain in the U.K. has grown to 16 outlets, while Intersport DW has continued its progress, rising to a total of 72 stores. Five more are in the pipeline for the next few months and another six for the first half of 2015.
Germany's victory in the World Cup gave a big boost to Intersport's football revenues, which are now expected to reach more than one billion euros in 2014 - 12 percent more than in 2012, another international championships year - and Intersport Germany came to represent 40 percent of the group's turnover in the category. It sold more than 540,000 jerseys of the German team compared to a volume of between 300,000 and 330,000 shirts in other mega-event years. Intersport retailers around the world have also sold about 500,000 Brazuca match footballs.
The momentum is expected to continue for the balance of this year as two key football players, Lionel Messi and Mario Goetze, have agreed to wear exclusive make-ups of Adidas and Nike boots for Intersport during the second half of 2014, participating in cooperative advertising.
