Keeping up with Sport Retail.

Christian Stipp , Managing Partner of AVANTGARDE Asia, right from his formative years has channeled his passion for sports with a multifarious range of experience in the realm of retail and sporting goods. Through his veritable lens, we delved into open dialogue about the forced evolution of the industry over the course of the pandemic, the monumental shift in consumer behavior, and the contrasting factors amongst the brands who struggled to keep up, those who survived, and the few that thrived.

Q: Over the last half-a-decade or so, how has the sport retail industry shifted its approach?

Christian: I think when we talk about retailing globally, with the onset of the pandemic, E-commerce has shaped the sports retailing industry dramatically. Many brands were able to go direct-to-consumer, while traditional brick & mortar stores became less visited and less occupied.

Q: How do you think that impacted the market?

Christian: We can see that big companies went bankrupt, especially in Europe. While mono-brands like Decathlon were more successful as they were touching more aggressive, value for money price points.

Q: Where is it that you think the big brands ran into trouble?

Christian: They certainly took the initiative to increase their e-commerce business, but on the other hand they struggled tremendously in developing their retail business. When for example, you see with Adidas in China, they were trying to increase their retail presence by opening two stores everyday across 5-6 years. However, with retail expansion, organic growth can only be achieved to a certain limit.

?Q: In your expertise, what do you suggest should be done to push those limits?

Christian:? One of the ways to do that, is to be more attractive with their product range. Adidas tackles that part well. In the sneaker industry especially, they have multiple franchises, such as the Yeezy’s, Stan Smiths, Superstars. Now they’re pushing the Gazelle and Samba. Each of these franchises, is a 1-billion-dollar industry just on their own. ?

Q: In the midst of all the pandemic chaos, how do you think newer or smaller brands faired?

Christian: ?Lululemon is a great example of that. 8 years ago, they were quite small. Post pandemic, they have become a global player in the fitness industry. It’s been a difficult time with plenty of transformations. Today, I think it's even more crucial for sporting brands to be more authentic, to be more sustainable, and more innovative especially when it comes down to enhancing the customer experience. And I think it’s during such times, we must ask ourselves, how can we help?

Q: And, how do you think experience agencies bridge that gap?

?Christian: Not just with sports, but with most industries there’s a lack of clarity due to the unpredictable shifts over the last few years. Our role here is to clear up that path by asking the difficult questions like how can we creatively engage the community? How can we enhance the retail experience? It’s tough, but that’s our job.

Q:? On a conclusive note, a final question, what are some ways you think we can apply these insights to the sporting industry?

Christian: Where we come in is fan engagement and experience enhancement. Whether it’s a product activation for a specific target group, or a community marathon that starts and ends at the retail store, we must leverage our design and storytelling skills to the maximum. An outstanding service that not only sends a strong message but inspires. Especially In sports marketing, that’s what the consumers want, to be inspired.