Ireland’s largest sporting goods retailer is negotiating the possible acquisition of a company in one of the fast-growing emerging markets that have recently joined the European Union. Company officials would not name a company or a country but indicated that it’s not Sportland International, the large and fast-growing retailer and wholesaler based in Estonia in which a Swedish investment fund acquired a minority shareholding one year ago (more on them shortly).
Partly because of this new internationalization project, Lifestyle Sports became the Irish member of Sport 2000 International earlier this year. Its stores have already started to offer some of its private label items, such as High Colorado shoes, which have been selling rather well.
After a relative pause, Lifestyle Sports has entered a new phase of strong development since the appointment late last year of a new chief executive, Ewin McGettigan, who came from Ireland’s leading department store chain, Dunn Stores. It is now planning to open on average five new stores per year in the Republic of Ireland and in Northern Ireland. It currently has 68 stores in the Republic and 14 in Northern Ireland.
The format of the stores is getting bigger. A new flagship store of more than 1,700 square meters of selling space is due to open next month at Blanchardstown, near Dublin, featuring dedicated corners for Speedo and Under Armour. A total of six new stores are in the pipeline for opening this year, and they will all allot more space to performance sports such as football, rugby, Gaëlic games, running, tennis and water sports.
To facilitate this process, Lifestyle Sports has hired a new head for its buying team, John Anderson, who previously worked for JJB Sports and Blacks Leisure Group. He will report to Andrew Towell, Lifestyle Sports’ buying and marketing director, who will be able to spend more time on the company’s new strategic projects (more on this company and on the fast-growing Irish sporting goods market in our Northern European market research report).
Including its stores in Northern Ireland, Lifestyle Sports had sales of €150 million before VAT in 2006, up from €125 million the year before. It is targeting €190 million for this year.
