The Asics Group said its short-term performance in the European market was affected by a decision to streamline the distribution of its products in the running category, but the Japanese group still managed a sales rise of 3 percent to €886 million in the Europe, Middle East and Africa (EMEA) region for the year, in constant currencies and excluding Haglöfs, the Swedish outdoor brand owned by Asics.
Alistair Cameron, chief executive of Asics Europe, said in a statement that the group's focus for the year has been on a consumer-centric approach. It has been striving to avoid over-distribution of iconic running products, reducing delivieries of the Gel Kayano and Gel Nimbus to certain retailers. No specific retailers were cut off, the company stressed in reply to a question. The company has been striving to ensure a more diversified andproduct offer with its accounts, Cameron added, describing this approach as a tough strategic decision.
Asics Europe reported continued growth in running, with rises of 2 percent for running shoes and 3 percent for running apparel. The group launched its new running shoe, the DynaFlyte, with midsoles made from Flyte Foam, which will be expanded to a new series of fast running shoes being launched this spring. Flyte Foam will also be rolled out across other sports, including tennis with the Court FF shoe.
Asics Tiger, the group's lifestyle brand, raised its turnover by 42 percent in EMEA. The company attributed the continued rise to its consistent message around the Gel range and its permanent updates.
Asics is also moving into lifestyle apparel with Jyuni, an upmarket urban apparel range. It takes its inspiration from traditional Japanese aesthetics, with a minimalist approach. Jyiuni is made with functional materials and targeted at young customers who like to wear sports-inspired apparel in urban settings. Asics says that the name is derived from the number 12 and that it represents the structure of time.
Sales in the group's own retail stores in EMEA were up by 15 percent for the year. It saw the launch of a new global retail concept, starting with the brand's first store in Brussels. The group said it was part of a consumer-led approach that would lead to two global social initiatives, the Asics Front Runner community and the launch of the SMSB crew, an urban community that is meant to share an interest in living a full life through sport.
As outlined above, the Asics group's European sales increase translated to a decline of 7.3 percent to 107.6 billion yen (€895.7m-$951.4m) in reported terms. Its operating income in the region reached ¥11.3 billion (€94.1m-$99.1m), up by 3.4 percent in reported terms and by 14.6 percent in constant currencies.
