ISSUE 1340 OCTOBER 7, 2013 The Weekly Digital Magazine for ...d4ex6pvli7xof.cloudfront.net/sgbweekly/2013/SGB_13Q4/SGBW_134… · Tec, Umbro and Reebok. He replaces Joel Heath, who

OCTOBER 7 2013ISSUE 1340

The Weekly Digital Magazine for the Sporting Goods Industry

1866YAKTRAX | WWWYAKTRAXCOM

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RUN WITH CONFIDENCE THIS WINTER

OCTOBER 7 2013 | SGBWeeklycom 3

Copyright 2013 SportsOneSource LLC All rights reserved The opinions expressed by writers and contributors to SGB WEEKLY are not necessarily those of the editors or publishers SGB WEEKLY is not responsible for unsolicited manuscripts photographs or artwork Articles appearing in SGB WEEKLY may not be reproduced in whole or in part without the express permission of the publisher SGB WEEKLY is published weekly by SportsOneSource LLC 2151 Hawkins Street Suite 200 Charlotte NC 28203 7049873450 Send address changes to SGB WEEKLY 2151 Hawkins Street Suite 200 Charlotte NC 28203 7049873450

Senior Business Editor

Thomas J Ryan

tryansportsonesourcecom

Contributing Editors

Aaron H Bible Bill Kendy

Charlie Lunan Matt Powell

Editorial amp Creative Director

Teresa Hartford

teresasportsonesourcecom

Senior Graphic Designer

Camila Amortegui

camilasportsonesourcecom

Advertising Sales

Account Managers

Buz Keenan

buzsportsonesourcecom

2018875112

Katie ODonohue

katieosportsonesourcecom

8282443043

Circulation amp Subscriptions

subssportsonesourcecom

Group PublisherEditor In Chief

James Hartford

jamessportsonesourcecom

3039977302

2151 Hawkins St bull Suite 200 bull Charlotte bull NC bull 28203t 7049873450 bull f 7049873455

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8

COVER PHOTO Interbike 2013 Photo by Colin Meagher

MAKING NEWS4 Movers amp Shakers

Stephen Curry Joins Under Armour Basketball Roster

6 MampA BlotterFoot Locker

Supports Student Athletes

VENDOR FOCUS8 Adidas

Extends MiCoach to Team Athletes

FEATURES10 Interbike

Grows in Strength and Footprint Despite Lower Overall Attendance

14 SFIA Industry Leaders SummitForum Addresses Global Challenges of Inactivity Pandemic

Photo courtesy Adidas

Patagonia Inc hired Joy Howard to its senior management team as VP of marketing She was most recently VP of marketing for Converse All Star

Timbuk2 appointed Cindy Feinauer as director of US sales She had been director of US sales SmartWool

Deckers Outdoor Corporation appointed Jeffrey Bua as Teva brand president Prior to joining Deckers as Mozo brand president Bua worked at RG Barry Hi-Tec Umbro and Reebok He replaces Joel Heath who has left the company to pursue other opportunities

Zoot Sports hired Aaron Azevedo as its director of global footwear and Eric Merk as US sales manager Most recently Azevedo was SVP of footwear at DC Shoes Merk was VP North America sales Roxy Outdoor Fitness at RoxyQuiksilver

Rod McGeachy will be joining Delta Apparel as president of the companys Soffe division McGeachy was most recently serving as chairman and CEO of Tandy Brands Accessories

Reebok has signed Nerlens Noel a rookie on the Philadelphia 76ers and the number six draft pick in the recent NBA contract to an endorsement contract

Columbia Sportswear appointed Franco Fogliato who had managed Billabongs European business since 2004 as its SVP of Europe

Nixon has named Nick Stowe as their new CEO replacing Andy Laats who is changing roles for family health reasons Stowe previously held leadership roles at jewelry company Stella amp Dot deConverse and Hurley

MOVERS amp SHAKERS

NEWS

STEPHEN CuRRy JOINS UNDER ARMOUR BASkETBALL ROSTER

Under Armour added Stephen Curry star guard from the Golden State Warriors to its basketball roster Endorsed by Nike since joining the league in 2009 Curry is coming off a career year where he set the NBA record for making three pointers in a single season with 272

He averaged nearly 23 points and seven assists and led the Warriors to the Western Conference semifinals

I joined the Under Armour family because they share my passion for working hard and taking no short cutsrdquo said Cur-ry ldquoFrom what Ive seen they are extremely committed to sup-porting their athletes on and off the court as well as building the games most innovative basketball footwear that will help make my job on the court a little bit easier

This partnership represents our continued commitment to grow Under Armour Basketball globally said Matt Mirchin se-nior vice president Global Brand and Sports Marketing Under Armour

Other Under Armour NBA endorsers include Brandon Jennings Raymond Felton Kemba Walker DeAndre Jordan and Greivis Vasquez

4 SGBWeeklycom | OCTOBER 7 2013

seeks to be a game changer in the land of scholarships taking a new approach to the typical athletic scholarship said Aria Finger COO at DoSomethingorg We are excited to be working with the Foot Locker Foundation in recognizing these amazing young people and cant wait to help 20 more outstanding scholar athletes as they pursue their college dreams

This years 20 winners will join the pro-grams two previous classes of Foot Locker Scholar Athletes which will result in 60 total scholarship recipients over the three years since the programs inception

Applicants must be college-bound in the Fall of 2014 participate in a sports related activity and maintain at least a 30 GPA Participants are required to submit two es-says and one recommendation All applica-tions will be reviewed by a panel of scholar-ship experts Students can apply online or be nominated by teachers coaches men-tors family and friends by visiting wwwdosomethingorgfootlocker Applications close Dec 19 2013 at 500 pm (EST)

The Foot Locker Scholar Athletes Program is a part of the Foot Locker Foundation Inc the charitable arm of Foot Locker Inc which provides monetary support for educational and sports programs across the country Supporting this program is Fastweb a scholarship and financial aid resource used by students to help find opportunities to pay for school

For the third consecutive year the Foot Locker Foundation Inc will award 20 college scholarships to 20 student athletes (totaling $400000) through The Foot Locker Scholar Athletes Program The program honors stu-dents who demonstrate academic excellence and exemplify strong leadership skills in sports and within their communities

The Foundation will again be partnering with DoSomethingorg in administering this scholarship program

For the past two years weve had the distinct privilege of witnessing first-hand the incredible impact our scholarship pro-gram has had on exceptionally talented and deserving students particularly those who may not have had the opportunity to even attend college without the added financial support said Ken C Hicks chairman and CEO of Foot Locker Inc At a time when attaining a college education has become increasingly challenging it is important to continue to offer scholarships such as The Foot Locker Scholar Athletes Program that provide options for aspiring students

According to the Project on Student Debt conducted by the Institute for College Access and Success the average student loan debt for the class of 2011 rose to an all-time high of $26600 per graduate With these rising costs students are spending more time searching for ways to decrease the financial burden of pursuing a degree

The Foot Locker Scholar Athletes Program

Foot Locker SupportS Student

AthLeteS

GIV ING BACKMampA BLOTTER

Black yak Co Ltd one of South koreas leading outdoor companies has acquired the Portland OR-based apparel brand Nau from Horny Toad Nau Founder and GM Mark Galbraith will continue to lead Nau as an independent wholly owned subsidiary

Pacific Vector Holdings Inc a licensing company that owns Gatorz and licensing rights to Street League Skateboarding has acquired a controlling interest in DNA LLC which owns the skateboarding brands Alien Workshop Habitat and Reflex Rob Dyrdek who is minority owner and team rider for DNA will remain on board in those roles with DNA Dyrdek acquired DNA Distribution from Burton in April 2012

LIDS Sports Group announced its acquisition of Shawnee Ok-based Baptistrsquos Athletic Supply Baptistrsquos founded in 1922 has 10 outside team salesmen covering all of Oklahoma north central Texas including the Dallas Metroplex and the west Texas panhandle LIDS is hiring all of Baptistrsquos sales representatives

Fanzz the fan chain owned by the parent of the Utah Jazz is acquiring Just Sports another fan chain that operates 27 stores in Washington Oregon Idaho and Montana Fanzz has 94 stores in 19 Western states

PVH Corp signed a definitive agreement to sell substantially all of the assets of its GH Bass amp Co division to G-III Apparel Group for approximately $50 million in cash GH Bass has 160 GH Bass amp Co outlet stores

Ontario Teachers Pension Plan joined the list of heavy weight investors buying stakes in Zalando which has quickly emerged as Europersquos leading online retailer of fashion and a major sporting goods dealer



Adidas announced the launch of miCoach X_Cell its latest innovation in digital train-ing technology and the first device to pro-vide athletes with a complete system to evaluate train and improve jump height cut quickness and reaction time

In an interview at Adidasrsquo NYC show-room on Hudson Street Paul Gaudio head of Adidas Interactive said most athletic performance measurement monitors are focused squarely on running training and fitness - an area Adidas is serving with the miCoach Pacer first launched in 2010

The X_Cell builds on and complements

the introduction 18 months ago of the miCoach Speed_Cell which is popular with soccer players said Gaudio

Placed inside the playerrsquos footwear the Speed_Cell captures how long far and how fast an athlete is going on field or court The highlight feature is that it captures 360-degree movement or whether an athlete is running forward backward or sidestepping Data around TopSpeed Burst Speed Total Distance and gametime stats are collected so an athlete can prove whos best or fine-tune his or her performance After the game or practice syncing the data

to a mobile phone or computer enables them to see all the data to instantly measure progress

Similar in size to a standard heart rate monitor the miCoach X_Cell is worn on a textile chest strap or clipped to the waist-band of shorts and measures another range of metrics to provide an even more com-plete picture of athlete performance

Gaudio said the focus for both the X_Cell as well as the Speed_Cell is on 14-to-19 year old kids playing sports and ldquolooking to achieve a goal or improve their performancerdquo Itrsquos designed to address a variety of sports including football

AdidAs ExtEnds miCoACh to tEAm AthlEtEs

VENDOR FOCUS

By Thomas J Ryan


basketball soccer tennis and running Specific readings and guidance are offered around each activity

While the Speed_Cell was about rdquohow far and how fastrdquo the X_Cell is more about ldquoexplosive energyrdquo said Gaudio

The Speed_Cell tracks four measures during training sessions or competition

raquo Vertical leap True jump height measured in centimeters or inches cal-culated from the force you create to move your center of mass upwards

raquo Quickness Measured in Gs per second Quickness shows your accelera-tion bursts and your ability to change direction

raquo Hustle A summation of all the forces for a read into work capacity or the ability to continually perform at a high level without getting worn out

raquo Heart rate Measures heart rate every second of the game but is also important after to gauge recovery time The X_Cell can also be used as a heart rate monitor for coached cardio training with the miCoach Train amp Run app

Gaudio said the X_Cell and Speed_Cell continue to bring information from the miCoach Elite System designed specifically for coaches for major soccer clubs to draw key insights into player performance and work rate

ldquoFor competitive athletes there is no better way to improve your game than by understanding the factors involved in overall performance and how to tailor a training program to improve those skillsrdquo said Gaudio ldquoElite teams and players have access to sophisticated systems labs and training staffs to improve performance but miCoach X_Cell puts the technology directly in the hands of all athletesrdquo

While developed through feedback from teams trainers and athletes at all levels and in all sports the X_Cell leaned on Adidasrsquo ongoing work with Athletes Performance the renowned training center for elite athletes thatrsquos known for its breakthrough concepts around athletic performance

Darcy Norman director of the Performance Innovation Team at Athletes Performance said the X_Cell allows athletes to tailor their training regi-men based on their real-time personal performance data and also includes

daily progression workouts power-up and training drills through the miCoach app

Norman said the X_Cell measures three factors sup-porting peak performance mobility or range and mo-tion stability or the ability to harness potential energy and strength

Gaudio said most athletes assume that strength is the issue and continually push to ldquoget strongerrdquo But the bigger drag holding them back may be their cutting ability or re-action time

ldquoThe X_Cell exposes your strengths and weaknessesrdquo

said Gaudio ldquoAnd hopefully helps lead you to solutions to encourage you to get better Itrsquos all about the journey to get better and achieve your goalsrdquo

Like the Speed_Cell miCoach X_Cell translates the performance data wirelessly via Bluetooth to the userrsquos iOS miCoach Multi-Sport mobile application An An-droid version is scheduled to launch early next year Studies show that real-time feedback is effective at help-ing athletes learn and remember techniques to improve their training Gaudio noted

But X_Cell takes the data readings a step further by of-fering a set of exercises that an athlete can use to improve in areas where they may be lacking And each exercise is tailored to each activity

Norman said the exercises offered donrsquot require a gym or equipment with the simplicity hopefully en-couraging an athlete to ldquotake that first steprdquo to get bet-ter Said Norman ldquoItrsquos upgrading your mindset about the required work involved and reducing the barriers to say lsquoHey I can go out and commit one or two minutes to getting betterrdquo

The exercises come with visual and written demon-strations as well as coaching tips It also features a ldquoGive me morerdquo button to incentivize an athlete to tackle fur-ther workouts to enhance their performance

The miCoach X_Cell is available now at $70 retail Gaudio said the overall miCoach family of products

continues to be well received But he also noted that the venture is not so much about Adidas getting into tech-nology but more about fulfilling Adidasrsquo ongoing goal to helping athletes perform better

ldquoAs a brand we outfit athletes with footwear and ap-parel to help them perform better and now miCoach is enabling us to play an even larger role in helping enhance their performance and reach their goalsrdquo said Gaudio

Paul Gaudio head of Adidas

Interactive


is reporting that store count was up eight percent exhibiting brands were up 15 percent (to 1400) and OutDoor Demo exhibitors were up 10 percent with a six percent increase in registered buyersdistributors Indoors the main lobby was bustling and The Paddock outdoors both added to the 320000 square feet of exhibitor space in what is being called the largest Interbike ever staged While aimed at bike dealers it also draws hundreds of people from the non-profit advocacy community and the press

Interbike 2013 - the largest bicycle industry trade show in North America established in 1982 - wrapped up on September 20 in Las Vegas on an upbeat note as bike vendors and dealers shrugged off the slow start of the 2013 season and focused on what new products will create excitement during the upcom-ing holiday shopping season and Spring 2014

Overall attendance was down seven percent from 2012 due to a tighter registration process and the move to a slightly smaller venue in the Mandalay Bay Resort However Interbike

INTERBIkE GROWS IN STRENGTH AND FOOTPRINT DESPITE LOWER OVERALL ATTENDANCEBy Aaron H Bible I Photos by Colin Meagher


This yearrsquos show included the debut of Interbike by Invitation which allowed bicycle retailers to award their best customers ac-cess to show This consumer day has precedence at Eurobike but was not as well received in its initial year in the United States Preliminary data shows about 750 verified consumers attended Interbikersquos consumer-access day on September 20 and organiz-ers will review the program in an effort to increase attendance ldquoThis was our first attempt to show cycling enthusiasts all the great brands that exhibit at Interbike and help strengthen re-lationships with their local IBDsrdquo said Pat Hus vice president of Interbike ldquoWe learned quite a bit from the experience and while the program did not meet our expectations we donrsquot want to just throw in the towel eitherrdquo

Initial data showed an 18 percent decline in retail buyers from Colorado which just days before the show suffered some of the worst flood devastation in its history A long cold wet spring also cooled the mood of some shops ldquoWe were able to send five employees to Interbike last yearrdquo said Marty Epstein of Martyrsquos Reliable Cycle in New Jersey ldquoBut with the difficult business conditions during the first half of the year we needed to watch our expenses more carefully so this year we brought only twordquo

SMALLER VENUE MORE CONDUCIVE TO NETWORkINGFeedback from exhibitors and retailers about the new facility was very positive said Interbike Communications and PR Director Justin Gottlieb One retailer told me that the new floor plan forced him to bump into exhibitors that he might have

avoided at the Sands ndash simply because he had a routine and knew what booths to go to He said he actually did business with some of them as well We also received good feedback on The Paddock as it gave a new outdoor element to the show complete with a test track that was better than in yearsrsquo past

Most agree that Interbike no matter where it takes place is more of an industry experience than a trade show featuring internationally sanctioned bike races retail education events media events and the worldrsquos largest two-day outdoor demo

ldquoIt was good it was super busyrdquo said Luke Hontz Five Tenrsquos bike direc-tor ldquoThe vibe at the show in general with it being in a new location in Mandalay Bay was nice The George Thorogood concert as a kick-off was excellentrdquo

WOMEN COMMUTER AND E-BIkES GENERATE BUzzE-commerce enduro mountain biking fat bikes and gravel bikes gen-erated much of the buzz at the show Other trending categories includ-ed casual-technical cycling apparel womens bikes and apparel cargo bikes folding bikes and electric bikes There were also more accesso-ries apparel and bikes aimed at commuters

More than 50 suppliers were on hand to tout e-bikes and components such as batteries and belt drives From cruisers and cargo bikes to road and mountain bikes it appears that Americans will soon have more viable options in the e-bike market There will even be a new consumer magazine title from Hi-Torque Publications Electric Bike Action Among


the companies and brands exhibiting e-bikes were US market leader Currie Technologies (the Accell Group) Stromer (BMC) Electra Prodeco Technologies E-Joe Epik Solex E-Bann and Specialized

Scott Fitzgerald of Fitzgerald Bicycles Victor ID said he was im-pressed by how many brands have begun aligning products and mar-keting messages to the broader consumer audience that is less interest-ed in intense competition than just having fun - a trend also remarked on at Outdoor Retailer Summer Market in August

I saw a lot of products that tell a story that has an emotional draw he said What the industry is doing and I hope they keep doing it is aligning what people are looking to get out of cycling with the prod-ucts themselves Its not about putting a number plate on and duking it out in Lycra And if it is a race scenario its a little less serious it has a little more old school grassroots feel Its a focus on going out and having a great experience in a non-threatening non-pretentious way The industry didnt do a good job of talking about the fun of cycling for a long time

We had everything pretty much lined up before the showrdquo said Ryan Campo buyer for Criterium Bike Shop in Colorado Springs CO which sent four employees to Interbike We sat down with a few reps to finalize Spring 2014 with maybe 30 percent of our time booked with appointments but mostly we were cruising looking for new things Were looking for lifestyle stuff to jazz up the store for the holiday season

Fitzgerald said the show helps him get a sense for where the indus-try is headed With the continued consolidation of the industry there are fewer buyer dollars to spread around said Fitzgerald who opened his Idaho store last year moving over the pass after 10 years in Jackson Hole The more shops align themselves with bigger brands theres a commitment to that brand that goes into a lot of categories and thats going to eat up a lot of buying dollars

And speaking of buying there was no shortage of new and excit-ing products glistening in the aisles to get retailersrsquo attention Mavic a 100-year-old brand owned by Finlands Amer Sports introduced a new pedal system developed in partnership with Time a new moun-tain bike wheeltire system that pushes their locus of control to an-other degree and new additions to its helmet and apparel collection Components maker Shimano introduced its apparel line to the United States for first time Jamis reiterated its commitment to the 650B MTB wheel size and announced the acquisition of cruiser brand Nirve King Cycle Group returned to the show after more than 10 years away Thule announced it had eliminated the Chariot brand name and fold-ed the companys products into a new Thule line called Active with Kids while Yakima maintained Whispbar as a separate premium brand Both companies unveiled a variety of new carriers to keep up with fork and tire evolutions POC entered the road bike category for the first time Smith Optics entered the mountain category for the first time with a new helmet and Bern unveiled new street and mountain bike helmets

More than 650 people gathered at the industry breakfast to hear keynote speaker Graeme Newell Tim Blumenthal of PeopleForBikes and Fred Clements of the NBDA The show is the largest contributor to PeopleForBikes - formerly Bikes Belong ndash an advocacy organiza-tion funded by the bike industry and supported by more than 750000 individual cycling enthusiasts

Interbike returns to the Mandalay Bay Convention Center in 2014 beginning with OutDoor Demo in Boulder City NV on September 8-9 followed by the Interbike Expo on September 10-12

Interbike is now one of 65 premier tradeshows owned and oper-ated by Emerald Expositions a leading producer of large business-to-business tradeshows based in San Juan Capistrano CA

LONG FOOD LINES SLOW START TO SEASON DIDNrsquoT STIFLE POSITIVE VIBENegative comments were centered around the long lines at restau-rants in the morning and lack of grab-and-go food This is some-thing that will be fixed for 2014 said Gottlieb Additionally we heard that some attendees had trouble navigating the expo hall ndash but thatrsquos to be understood with a new location and floor plan This too will get better moving forward

Street signs on aisles and segmented neighborhoods as well as a highly functional smartphone app helped show-goers navigate the new digs Despite the long lines typical of Vegas hotels and the des-ert heat overall floor vibes were overwhelmingly positive In fact the slow start to the 2013 bicycle retail sales season didnt seem to dampen spirits and most surveyed agreed the industry had snapped back during the summer months

Interviews with a wide range of retailers and exhibitors indicated the show remains relevant and important to the industry although like its sister show Outdoor Retailer Interbike is more about face time and looking for new products than writing orders Also while the timing of the show in-season may not be ideal there isnt neces-sarily a better time to hold it

Contact Jeremy Freed at 3039977302 or email SportsJobssportsonesourcecomFREE ACCESS TO THE LATEST JOB LISTINGS

REACHING THE MOST CONNECTED BEST INFORMED AND HIGHEST CALIBER PROFESSIONALS IN THE ACTIVE

LIFESTYLE MARKET

THE INTERSECTION OF CAREER AND LIFESTYLE


rising heath care costs weighing heavily on the federal budget the industry is well po-sitioned to provide a solution through the benefits of fitness

The inactivity issue was explored by a panel moderated by Tom Farrey director of the Aspen Institutersquos Sports amp Society Pro-gram A blueprint for reimagining youth sports in America funded by the Robert Wood Johnson Foundation is expected to come out by the non-profit by late 2014

September 25-26 2013

The Four Seasons HotelBaltimore MD

INAUGURAL

FORUM ADDRESSING GLOBAL CHALLENGES FACING SPORTS amp FITNESS EXECUTIVES

2013 FEATURED SPEAKERS

Use code SGBILS913 by September 2 to receive the Early Bird Member rateFor more INFORMATION or to REGISTER

visit wwwSFIAorgils or call 3014956321

TheSFIA ILS2013

LISA BAIRDChief Marketing OfficerUS Olympic Committee

SCOTT BAXTERPresident Jeanswear Americas amp ImagewearVF Corp

KEVIN PLANKCEO amp FounderUnder Armour

JEFFREY ROSENSWEIGDirector of the Global Perspectives ProgramEmory University

ERIC GRUMBANExecutive Vice PresidentNFL

ROB DEMARTINIPresident amp CEONew Balance

AURET VAN HEERDENPresident amp CEO Fair Labor Association

BOB PUCCINISFIA ChairmanPresidentMizuno USA

SAL LAROCCAExecutive Vice PresidentNBA

JOE PELLEGRINIManaging Director Co-Head Consumer amp Retail GroupRW Baird amp Co

JIM PISANIPresidentVF Licensed Sports Group

HUGO MALANPresident Fitness Sporting Goods amp ToysSears Holdings

TIM BROSNANExecutive Vice PresidentMLB

TOM FARREYDirector of Sports amp Society Program Emmy Award Winning ReporterAspen Institute ESPN

ROBERT REISSForbes ColumnistHost of ldquoThe CEO Showrdquo

TED LEONSISFounder Chairman Majority Owner amp CEOMonumental Sports amp Entertainment

FORuM ADDRESSES GLOBAL CHALLENGES OF INACTIVITy PANDEMIC

At last weekrsquos inaugural SFIArsquos Industry Leaders Summit in Baltimore the industryrsquos top executives explored social mediarsquos growing influence emerging digital technologies nascent global opportunities and the creep of government regulations But a main theme across many presentations was finding ways to reverse the stubborn trend toward sedentary lifestyles

At the start of the event that drew more than 200 of the industryrsquos leaders SFIA Chairman Bob Puccini SFIA President Tom Cove and PHIT America Founder Jim Baugh disclosed that with more Ameri-cans moving from the lsquoactiversquo category to lsquoinactivesrsquo or lsquocouch potatoesrsquo the sports and fitness industry will lose $28 billion in retail revenue in the next few years

Research by Sports Marketing Surveys of 40000 Americans shows the percentage of Americans who are totally inactive in 104 sports or fitness activities has grown from 25 percent in 2007 to 28 percent in 2012 ndash including not even walking More im-portantly this trend shows no sign of slow-ing down and will grow to 311 percent by 2018 which will reduce retail consumption alone by $28 billion

According to Baugh daily physical activ-ity cuts sick days by up to 50 percent and also provides numerous benefits around memory retention Active employees also earn almost 10 percent more than seden-tary counterparts Team sports specifically promise life lessons around overcoming ob-stacles collaboration and leadership With

with many six- seven- and eight-year-olds dropping out of a sport altogether when they fail to make a team Excessive time de-mands on the family for supporting a two- or three-season sport also causes some kids to drop out A win-at-all-cost mentality burnout overuse injuries and concussion fears also impacts participation

At the lower-income level a lack of avail-able parks slashed recreation budgets lack of volunteer coaches safetytransportation

Farrey said the youth-sports develop-ment system is ldquoat least dysfunctional if not brokenrdquo He spelled out how wersquove become ldquoa nation of sports have and have notrsquosrdquo with different barriers to participation affecting both higher and lower income households

At the higher-income level participation is being hurt by the growth of travel teams

needs and large schools with small JV and varsity programs all weigh on sports par-ticipation

Dropping of PE class from most schools also has proven to prevent kids from pur-suing sports and staying active as adults A lesser-discussed trend that is depriving kids from building an affinity for sports are the

SFIA President Tom Cove provided a state-of-industry

address to start the SFIArsquos Industry Leaders Summit

By Thomas J Ryan


reduction in casual or pick up play and recreation play overallldquoItrsquos kids hopping on their bike to ride six blocks away to make

up their own gamerdquo said Farrey ldquoAnd theyrsquore never thinking of it as exercise or physical activity even though it is But parents wonrsquot let their kids hop on that bike Theyrsquore scaredrdquo

On the panel Ed Foster-Simeon president and CEO US Soccer Foundation talked up the merits of programs supporting play have had in reducing crime in poverty-stricken neighborhoods Provid-ing safe play environments and removing fees is essential

Caitlin Morris Sr director for North America Access to Sport Nike noted the US health cost of physical inactivity is $150 billion annually twice the Department of Education budget Nike has long recognized ldquothe importance of unlocking human potential through sportrdquo but the companyrsquos own get-fit initiative launched earlier this year Designed to Move indicates that it has to be inclusive social and economically viable she added

Christine Brennan a veteran USA Today columnist and com-mentator on ABCNPR said that the success of Title IX which celebrated its 40th anniversary last year is ldquoevidence that you can start from zero or less than zerordquo in driving a play movement But with the appeal of shorter stories and Twitter clicks she worries that the issue ldquodoesnt seem to draw the attentionrdquo to encourage wide scale public support

But Farrey disagreed noting that pieces on the subject he has done for ESPN tend to draw solid ratings

Nikersquos Morris also said Nikersquos ldquoFind Your Greatnessrdquo campaign which showed an obese 12-year old lumbering down a dirt road received a strong reaction when it ran during the London Olym-pics And she believes the public will respond to messages such as todayrsquos younger generation is expected to live five years less than their parents due to inactivity trends Said Morris ldquoYou may not see it yet but we see a trend toward reshaping the discussionrdquo

In a presentation exploring ways the industry can adapt in the coming years Kevin Plank founder and CEO of Under Armour

said that while Under Armour has its own RampD lab the company also ldquoinvites people outside the companyrsquos walls to help us brainstorm for new ideas to take our products to the next levelrdquo

In the same vein the industry should be working more collectively to explore ways to push the industry forward

ldquoI donrsquot believe itrsquos all one red oceanrdquo said Plank ldquoI donrsquot believe itrsquos me taking your market share or you taking mine I think itrsquos creating the blue ocean - of cre-ating new opportunities of pushing ourselves and see-ing how much bigger we can make the pie because a lowering tide lowers all ships but a rising tide raises itrdquo

Plank believes the industry should be looking toward ldquobeing relevant beyond our businesses todayrdquo with op-

portunities directly evident around addressing obesity and inactiv-ity problems Noting that the US as well as the world ldquocanrsquot afford to keep building bigger health care systemsrdquo he questions why the industry canrsquot come up with health cost solutions through fitness rather than waiting for them to appear from Silicon Alley or the tech sector

As an example he points to Armour39 a training device launched earlier this year It measures heart rate intensity and calories burned but also WillPower a proprietary measurement of how hard the athlete worked If biometric movement can be measured Plank questions whether sleep patterns recovery times anxiety and other general and pre-emptive health indicators can also be measured

A bullish presentation came from Joe Pelligini managing di-rector Robert W Baird amp Co who said the industry is benefiting from a relentless focus on innovation Opportunities include cre-ating items embedded with software customization overall devel-oping productsprograms around goal-setting content and expan-sion into not-so-adjacent categories such as food supplements and electronicsrsquo devices

Kevin Plank founder and CEO of Under Armour provided a big picture perspective of how he saw the industry evolving and how successful brands will need to adapt in the coming years

Surrounded by Bob Puccini president Mizuno USA and chairman SFIA (left) and Tom Cove president and CEO SFIA (right) are the winners of the inaugural 2013 class of the Future Industry Leaders Scholarship From left to right Bob Najduk senior product manager global retail Johnson Health Tech Keenan Long research amp design engineer Easton-Bell Isaiah Kacyvenski head of sports segments MC10 Alex Stone development manager accessories Under Armour and Nathaniel Woo corporate development analyst Life Time Fitness


ldquoRefreshing long-standing categoriesrdquo are establishing new premium categories he said mentioning Shock Doctorrsquos ability to support $20 to $30 options for mouth-guards as an example Citing his own kids he believes todayrsquos youth has a growing ap-petite to participate in multiple sports He also pointed to the popularity of CrossFit P90X and other buzz activities that are ex-panding the reach of fitness to more people

Other broader drivers for the industry include the appeal around authentic life-styles that lend themselves to outdoors and sports addressing quality of life issues such as obesity and enormous untapped global opportunities overall But Pelligini herald-ed the ability of the industry to attract the sophisticated entrepreneur He remarked ldquoThe level of talent that is being attracted to this industry is just amazing to merdquo

As a comparison he noted that when he first began working in the industry in the eighties most companies he looked to do deals with didnrsquot have a CFO Sport was seen as a ldquocottage industryrdquo and gaining finance was a challenge When he helped guide the sale of The North Face to VF Corp his team was ldquolucky to get 50 percent of salesrdquo But industry multiples for many of the key players are trading at two to three times revenues

He said the opportunity for deals remains ample with low interest rates many strate-gic buyers with cash on their balance sheet and little opportunities for growth and PE funds with abundant cash to put to use

ldquoThe natural demand by the consumer has never looked betterrdquo said Pelligini ldquoNot saying wersquore not going to have downturns but the consumer generally is gravitating more and more toward outdoors and fit-nessrdquo

Jeffrey Rosensweig a renowned busi-ness economist from Emory University ex-plored the business links with the emerging global economy with special focus on the implications for globally divergent demo-graphic trends on the sports industry With a devalued dollar providing more value and a rising middle class emerging countries continue to offer plentiful growth opportu-nities in the years ahead including nearby Mexico Said Rosensweig ldquoEven though they have the drug wars their economy is performing really wellrdquo

As far as the US he explored the rami-fications of low inflation low interest rates

and a strong stock market although he felt the job struggles would continue to limit economic growth in the US to two to three through 2017 He added ldquoYoursquore going to have to fight for market share if yoursquore look-ing for faster growthrdquo

Dan OrsquoConnor president and CEO of RetailNet Group led a discussion on how the retail landscape will evolve between 2014 and 2020 Drilling down ldquodrivers of changerdquo across five areas societal tech-nology economic industry and political OrsquoConnor focused on disruptions driven by technology including the arrival of human-oid robots that are already tackling house-hold tasks in Japan because of the lack of population growth in that nation

But OrsquoConnor spent a considerable amount time focused on how shopping and consumer engagement is changing by the smartphones which already have more computing power than all of NASA did in 1969 when it put the first man on the moon Beyond mobile POS the mobile phone opens up opportunities for two-way engagement through social media channels never seen before Oth-er topics OrsquoConnor discussed were the arrival of a rdquoreal-time demand-based pricing environmentrdquo with ever-more transparency coming from the Internet as well as the expansion of national ship programs including same-day delivery Amazon he said was largely driving both trends

A panel of professional sports execu-tives examined the relationship between professional sports and active lifestyles that also spoke to the largely-untapped potential of sports with social media pointing to how sports-related topics dominate Tweets with the benefit of re-al-time reaction to events

But the panel also lamented on the sluggish participation rates Surveys show that active people are much more likely to follow sports teams According to SFIA data 80 percent of former football players are fans of the NFL while 54 percent of active Americans in general are NFL fans By contrast only 378 percent of inactive Americans are NFL fans

But Eric Grubman EVP NFL also said kids have to play overall or itrsquos ldquogoing to have a dramatic health consequencerdquo He noted that Play 60 deliberately does not include lsquoNFLrsquo in the name because itrsquos

Achieve Your GoAls

As the broadest deepest and most timely data available for the US Sports and Outdoor Active Lifestyle Market SportScanInfo is the weekly retail point-of-sale data reporting solution To learn more about how we can help your business call 7049873450 or email sportscansportsonesourcecom

Breadth of data depth of data timeliness of data

SportScanInfocomA Service of The SportsOneSource Group


mission is more about getting kids ac-tive overall

ldquoThe most important thing is for people to play or do something physicalrdquo said Grubman ldquoItrsquos a way to create more fans Itrsquos good for our country good for the world and good for businessrdquo

ldquoAny activity is better than nonerdquo agreed Tim Brossnam EVP MLB He blamed the single-sport specialization thatrsquos making young kids play one sport up to three seasons through the year while also turning sports away from kids who donrsquot make the cut for travel teams At the same time he also rued that therersquos ldquono more pick up anythingrdquo

He added ldquoItrsquos incumbent on us to figure out how to get the concept of play out there again It is too hard to organize 18 to play baseball or 12 to play hockey etc A game of punch ball with two kids is so much bet-ter than sitting on the coachrdquo

With many youth-activity programs aimed at kids a few speakers said at the conference that a better job could be done emphasizing the dangers of inactivity to par-ents The NFLrsquos Grubman admitted he was ldquostumpedrdquo at ways to directly reach adults

In the final roundtable featuring industry leaders in a frank discussion of challenges facing the industry Sarah Fields president of Century LLC the leading martial arts supplier said parents tend to sign up their kids to take martial arts classes because theyrsquore being bullied They only later recog-nize the life skills theyrsquore also gaining such as confidence courage respect and humility

Plank said the way he runs his organiza-tion is largely based on many of the team-work principles he learned in his playing days Said Plank ldquoWhen we take smart people put them in room and challenge them with stakes some great things can happen themrdquo

Hugo Malan president fitness sporting goods amp toys Sears Holdings also on the final roundtable sees three simple steps to driving participation Making sports ac-cessible Enjoyable and Aspirational

The final roundtable lamented at the challenge of finding places for even intermural or pick-up play with schools and towns concerned about the liabilities Scott Baxter group president jeanswear Americas and imagewear spoke of the challenges finding coaches not to mention training and supervising them with schools shrinking JV and

varsity programs Many coaches wind up coaching three or four sports given the desperate need he said

As an active coach himself Baxter also sees that many parents - outside of those involved with elite travel teams - arenrsquot making their kids commit to a sport Said Baxter ldquoWhat drives me crazy is that I have these kids who donrsquot show up for any prac-tices but then show up for the uniforms Or he comes in by in the fourth inning to play and their parents tell me lsquoHe doesnrsquot want to come to the practices he just wants to play in the gamesrsquo Irsquom shocked at the lack of accountability from parentsrdquo

The Industry Leaders Summit which is set to return to Chicago in 2014 also hon-ored its inaugural 2013 class of the Future Industry Leaders Scholarship The winners were Isaiah Kacyvenski head of sports segments MC10 Keenan Long research amp design engineer Easton-Bell Bob Najduk senior product manager global retail John-son Health Tech Alex Stone development

much of AOLs success in the 1990s who now owns the Washington Wizards and Washington Capitals

These include urging legislators to sup-port the Carol M White Physical Education Program (PEP) which provides grants to initiate expand and improve grants for PE programs The average school PE bud-get amounts to $764 according to SFIA SFIArsquos 2012 survey also found that those tak-ing PE in school are 452 percent more likely to be active as adults versus just 218 percent for those not taking PE

Cove also urged congressional support for PHIT which pays for physical activi-ties using pre-tax medical accounts (HSA amp FSA) youth amp adult league fees health club dues sports amp fitness equipment and personal trainers

Beyond reaching out to congressman he urged those companies with sponsored athletes to have their stars support the PHIT or PEP bill Athletes could also join PHIT America the non-profit education and

manager accessories Under Armour and Nathaniel Woo corporate development analyst Life Time Fitness

The all-male winners provoked SFIArsquos Cove to half-joke ldquoLetrsquos get some more diversity next timerdquo The final roundtable summed up that mandatory hiring of women and minorities might be necessary to have staffs better reflect each companyrsquos customer makeup

Cove laid out a few call-to-action points to attendees before the final keynote speaker Ted Leonsis a tech legend responsible for

advocacy organization designed to combat the nationrsquos inactivity and obesity crisis In late August NFL great Hershel Walker tennis legends Mike and Bob Bryan and fitness expert Denise Austin were revealed as the grouprsquos first celebrity ambassadors

Cove also urged the group to ldquoget localrdquo by encouraging local support of programs supporting healthy active lifestyles with legislators community leaders rotary clubs or their own employees SFIA is also creating a task force to address the ldquoinactivity pandemicrdquo

Ted Leonsis founder chairman and CEO of Monumental Sports amp Entertainment discussed the convergence of technologyinnovation in sports

CALENDARFor full year calendar go to sportsonesourcecomevents

TR

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BU

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OCTOBER

10-11 The Retailing Summit Dallas TX

29-31 Sport Source Asia Hong kong

29-1 NASGW Expo Grapevine TX

NOVEMBER

1-3 NBS Fall Athletic Market Austin TX

5-7 TAG FallWinter Show St Louis MO

15-17 ADA Fall Show San Antonio TX

24-26 Sports Inc Athletic Show Las Vegas NV

DECEMBER

2-4 EORA SE Winter Market Asheville NC

3-4 WWSRA NW Early Preview Seattle WA

3-5 MRA December Market Lansing MI

4-6 FFANY New York NY

10-11 EORA FLA Winter Market Punta Gorda FL

10-11 WWSRA NorCal Early Preview TBA

11-12 Atlanta Shoe Market Atlanta GA

JANuARy

6-8 ATA Show Nashville TN

7-9 MWSRA January Show Madison WI

7-9 WWSRA Rocky Mtn Preview Denver CO

7-9 WWSRA Northwest Preview Portland OR

9-11 Surf Expo Orlando FL

Athletic Dealers of America1395 Highland AvenueMelbourne FL 32935t 3212540091f 3212427419athleticdealersofamericacom

National Shooting Sports FoundationFlintlock Ridge Office Center11 Mile Hill RoadNewtown CT 06470t 2034261320 f 2034261087nssforg

National Sporting Goods Association1601 Feehanville Drive Suite 300Mount Prospect IL 60056t 8472966742f 8473919827nsgaorg

Nationrsquos Best Sports4216 Hahn BlvdFt Worth TX 76117t 8177880034f 8177888542nbscom

Outdoor Industry Association4909 Pearl East Circle Suite 300Boulder CO 80301t 3034443353f 3034443284outdoorindustryorg

Sports amp Fitness Industry Association8505 Fenton St Suite 211Silver Spring MD 20910t 3014956321f 3014956322sfiaorg

Snow Sports Industries America8377-B Greensboro DriveMcLean VA 22102t 7035569020f 7038218276snowsportsorg

Sports Inc333 2nd Avenue NorthLewistown MT 59457t 4065383496f 4065382801sportsinccom

Sports Specialists Ltd590 Fishers Station Drive Suite 110Victor NY 14564t 5857421010f 5857422645sportsspecialistsltdcom

Team Athletic Goods629 Cepi DriveChesterfield MO 63005t 6365303710f 6365303711tag1com

Worldwide 8211 South 194thKent WA 98032t 2538728746f 2538727603wdi-wdicom

13-14 WWSRA Intermountain Preview Salt Lake City UT

13-15 WWSRA NorCal Early Preview Reno NV

14-17 SHOT Show Las Vegas NV

15-18 NBS Winter-Specialty Market Fort Worth TX

16-18 Sports Licensing amp Tailgate Show Las Vegas NV

17-19 Imprinted Sportswear Show (ISS) Long Beach CA

21 ORWM Demo Day TBA

22-25 Outdoor Retailer Winter Market Salt Lake City UT

30-2 SIA Snow Show Denver CO

FEBRuARy

3-4 SIA On-Snow Demo Copper Mountain CO

3-4 SIA Nordic Demo Copper Mountain CO


5-8 Sports Inc Outdoor Show Phoenix Az

6-10 NBS Semi-Annual Market Fort Worth TX

9-11 EORA SE February Show Greenville SC

10-13 Worldwide Spring Show Reno NV

11-13 MWSRA February Show Madison WI 18-19 MWSRA New Model Demo Hastings MN

MARCH

14-16 Imprinted Sportswear Show (ISS) Atlantic City NJ

APRIL

4-6 Imprinted Sportswear Show (ISS) Orlando FL



MARK YOURCALENDARS

Summer Market AUGUST 6-9 2014

Open Air Demo AUGUST 5 2014

Winter Market JANUARY 22-25 2014

All Mountain Demo JANUARY 21 2014

1866YAKTRAX | WWWYAKTRAXCOM

copy20

13 Im

plus

Cor

pora

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Yak

traxreg

is a

regi

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adem

ark

of Im

plus

Cor

pora

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91

3

RUN WITH CONFIDENCE THIS WINTER




Thomas J Ryan






Teresa Hartford



Camila Amortegui


Advertising Sales

Account Managers

Buz Keenan


2018875112

Katie ODonohue


8282443043




James Hartford


3039977302


SportsOneSourcecom






SOS Research



8




















MOVERS amp SHAKERS

NEWS


















AthLeteS



















VENDOR FOCUS

By Thomas J Ryan


























Interactive






























LIFESTYLE MARKET







INAUGURAL





TheSFIA ILS2013






























By Thomas J Ryan

































Achieve Your GoAls




























TR

AD

E A

SS

OC

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BU

YIN

G G

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UP

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OCTOBER




NOVEMBER





DECEMBER








JANuARy


























FEBRuARy









MARCH


APRIL




MARK YOURCALENDARS








Thomas J Ryan






Teresa Hartford



Camila Amortegui


Advertising Sales

Account Managers

Buz Keenan


2018875112

Katie ODonohue


8282443043




James Hartford


3039977302


SportsOneSourcecom






SOS Research



8




















MOVERS amp SHAKERS

NEWS


















AthLeteS



















VENDOR FOCUS

By Thomas J Ryan


























Interactive






























LIFESTYLE MARKET







INAUGURAL





TheSFIA ILS2013






























By Thomas J Ryan

































Achieve Your GoAls




























TR

AD

E A

SS

OC

IAT

ION

S |

BU

YIN

G G

RO

UP

S

OCTOBER




NOVEMBER





DECEMBER








JANuARy


























FEBRuARy









MARCH


APRIL




MARK YOURCALENDARS













MOVERS amp SHAKERS

NEWS


















AthLeteS



















VENDOR FOCUS

By Thomas J Ryan


























Interactive






























LIFESTYLE MARKET







INAUGURAL





TheSFIA ILS2013






























By Thomas J Ryan

































Achieve Your GoAls




























TR

AD

E A

SS

OC

IAT

ION

S |

BU

YIN

G G

RO

UP

S

OCTOBER




NOVEMBER





DECEMBER








JANuARy


























FEBRuARy









MARCH


APRIL




MARK YOURCALENDARS















AthLeteS



















VENDOR FOCUS

By Thomas J Ryan


























Interactive






























LIFESTYLE MARKET







INAUGURAL





TheSFIA ILS2013






























By Thomas J Ryan

































Achieve Your GoAls




























TR

AD

E A

SS

OC

IAT

ION

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BU

YIN

G G

RO

UP

S

OCTOBER




NOVEMBER





DECEMBER








JANuARy


























FEBRuARy









MARCH


APRIL




MARK YOURCALENDARS















VENDOR FOCUS

By Thomas J Ryan


























Interactive






























LIFESTYLE MARKET







INAUGURAL





TheSFIA ILS2013






























By Thomas J Ryan

































Achieve Your GoAls




























TR

AD

E A

SS

OC

IAT

ION

S |

BU

YIN

G G

RO

UP

S

OCTOBER




NOVEMBER





DECEMBER








JANuARy


























FEBRuARy









MARCH


APRIL




MARK YOURCALENDARS






























Interactive






























LIFESTYLE MARKET







INAUGURAL





TheSFIA ILS2013






























By Thomas J Ryan

































Achieve Your GoAls




























TR

AD

E A

SS

OC

IAT

ION

S |

BU

YIN

G G

RO

UP

S

OCTOBER




NOVEMBER





DECEMBER








JANuARy


























FEBRuARy









MARCH


APRIL




MARK YOURCALENDARS


































LIFESTYLE MARKET







INAUGURAL





TheSFIA ILS2013






























By Thomas J Ryan

































Achieve Your GoAls




























TR

AD

E A

SS

OC

IAT

ION

S |

BU

YIN

G G

RO

UP

S

OCTOBER




NOVEMBER





DECEMBER








JANuARy


























FEBRuARy









MARCH


APRIL




MARK YOURCALENDARS





























LIFESTYLE MARKET







INAUGURAL





TheSFIA ILS2013






























By Thomas J Ryan

































Achieve Your GoAls




























TR

AD

E A

SS

OC

IAT

ION

S |

BU

YIN

G G

RO

UP

S

OCTOBER




NOVEMBER





DECEMBER








JANuARy


























FEBRuARy









MARCH


APRIL




MARK YOURCALENDARS




















LIFESTYLE MARKET







INAUGURAL





TheSFIA ILS2013






























By Thomas J Ryan

































Achieve Your GoAls




























TR

AD

E A

SS

OC

IAT

ION

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BU

YIN

G G

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UP

S

OCTOBER




NOVEMBER





DECEMBER








JANuARy


























FEBRuARy









MARCH


APRIL




MARK YOURCALENDARS







LIFESTYLE MARKET







INAUGURAL





TheSFIA ILS2013






























By Thomas J Ryan

































Achieve Your GoAls




























TR

AD

E A

SS

OC

IAT

ION

S |

BU

YIN

G G

RO

UP

S

OCTOBER




NOVEMBER





DECEMBER








JANuARy


























FEBRuARy









MARCH


APRIL




MARK YOURCALENDARS










INAUGURAL





TheSFIA ILS2013






























By Thomas J Ryan

































Achieve Your GoAls




























TR

AD

E A

SS

OC

IAT

ION

S |

BU

YIN

G G

RO

UP

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OCTOBER




NOVEMBER





DECEMBER








JANuARy


























FEBRuARy









MARCH


APRIL




MARK YOURCALENDARS





































Achieve Your GoAls




























TR

AD

E A

SS

OC

IAT

ION

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BU

YIN

G G

RO

UP

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OCTOBER




NOVEMBER





DECEMBER








JANuARy


























FEBRuARy









MARCH


APRIL




MARK YOURCALENDARS



















Achieve Your GoAls




























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AD

E A

SS

OC

IAT

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BU

YIN

G G

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UP

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OCTOBER




NOVEMBER





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JANuARy


























FEBRuARy









MARCH


APRIL




MARK YOURCALENDARS





























TR

AD

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BU

YIN

G G

RO

UP

S

OCTOBER




NOVEMBER





DECEMBER








JANuARy


























FEBRuARy









MARCH


APRIL




MARK YOURCALENDARS






TR

AD

E A

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OC

IAT

ION

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YIN

G G

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UP

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OCTOBER




NOVEMBER





DECEMBER








JANuARy


























FEBRuARy









MARCH


APRIL




MARK YOURCALENDARS






MARK YOURCALENDARS





MARK YOURCALENDARS





Documents

ISSUE 1340 OCTOBER 7, 2013 The Weekly Digital Magazine for ...d4ex6pvli7xof.cloudfront.net/sgbweekly/2013/SGB_13Q4/SGBW_134… · Tec, Umbro and Reebok. He replaces Joel Heath, who