Nike Air Foamposite Pro – Retro Blue: released July 2011, vanished from retail very quickly
I don’t want to point any fingers here (just browsers), but someone doesn’t understand the current climate of the sneaker industry — or they intentionally pressed a panic button, for no reason whatsoever.
USA Today did a great job in exploring a potential trickle-down effect from the NBA lockout, especially given the severe lack of newsworthy items from the owners-and-players meetings. But I don’t understand USA Today’s reason for quoting Marshal Cohen, chief industry analyst at the NPD Group, and then spending more than 600 words to prove him wrong.
Cohen believes the sneaker industry is in danger of losing upwards of $500 million if the 2011-12 season is lost. He’s wrong. While I’m sure he’s absolutely awesome at analyzing and projecting retail trends, I’m not convinced he fully understands the fashion-first sneaker industry.
About 33% of all basketball shoes are purchased to play basketball, Cohen said. That leaves 67% of the sales from consumers going for the association with an endorser such as Nike’s LeBron James— or with the NBA itself, Cohen said.
“The impact would be huge,” he said. ” Out of sight, out of mind. If the players are not on the court, and the kids aren’t thinking about them, they’re not going out and getting their shoes.”
No! Those of us who don’t play basketball will doom the industry. We are the 67%! Occupy Sneaker Stores, sneakerheads!
USA Today spoke to Matt Powell from SportsOneSource, and he confirmed the one point that needed to be made: Jordan Brand dominates the industry, controlling “70% of the business.” It’s been more than eight years since Michael Jordan’s final NBA game, and His Airness is still a juggernaut, commanding nationwide midnight releases for his retro sneakers. I challenge Marshal Cohen to grab his pair of the “Concord” Jordan 11 Retro on its Dec. 23 release date and tell me again that the sales impact is huge.
It’s also been more than a decade since Anfernee Hardaway’s prime, yet his Nike Air Foamposite One (and the Pro version) — in all its unique color schemes, consistent releases, and $190+ price tags — routinely sell out within hours of their release. The shoes are rarely worn on court, most recently appearing during Magic guard Gilbert Arenas’ 2010 sneaker tour.
The “Retro Blue” Foamposite Pro attached above released well after the NBA season finished, when a long lockout was inevitable, and they sold out at most locations within a day. A “Dark Pine” Foamposite Pro released two months later with a line of customers extending deep into a nearby train station.
Now, let’s say that Jordan Retro sneakers and all styles of the Foamposite are anomalies and only represent a small fraction of the 67% Mr. Cohen claims can impact the sneaker sales. We already know that’s not true, but let’s throw it out for the sake of argument.
Cohen likes LeBron James as the chief endorser of all Nike products, so we’ll stick with the King for right now. Here’s a video from Inside the Sneakerbox, outside Mr. R Sports in Miami for the limited release of the “Cannon” LeBron 9:
For more fun, I encourage you to visit the USA Today link. The article image is a zoomed-in shot on James’ feet while wearing the “Cannon” LeBron 9 at the South Florida All Stars Classic.
There go some of the 67%, lined up outside a sneaker store in the rain, while the NBA should be playing preseason games. Also featured in the video are the “China” LeBron 9, and the “South Beach” LeBron 8. The “South Beach” colorway is a really fun pair to point out because King James never wore them on the court; yet they’re the crown jewel of Nike’s LeBron James signature series. The “South Beach” sold quickly and currently sit at around $800 or better in the resale market.
Powell went on to claim that Adidas would likely be “hit hardest,” but that’s because NBA-licensed apparel might decline — not sneakers. Therefore, the numbers are skewed.
And then USA Today drops this humdinger:
Despite the lockout, Adidas is seeing strong sales from endorser Derrick Rose‘s new signature shoe, the adizero Rose 2, company spokeswoman Stephanie Von Allmen said. Adidas’ basketball business grew 25% in the company’s last fiscal quarter, she said.
So much for that huge impact.
*****
The lockout will redefine the responsibilities an athlete has while under contract with an endorsement deal. When there are basketball games to play, athletes are expected to wear the clothes they’re paid handsomely to endorse. Therefore, while basketball remains locked out, sneaker companies are embarking on unique initiatives to keep their kicks in plain sight.
Rich Lopez, publisher of KixandtheCity.com, discussed that on Twitter recently. Damning those 140 characters, Lopez delivered a series of tweets detailing the creative strategies sneakers brands are using that wouldn’t have been possible without the lockout.
“Brands have done bigger and more creative activations around their launches,” Lopez writes. “The [Derrick Rose] event in Chicago and the [Carmelo Anthony] event in NYC are two prime examples. Neither would have been completely possible without the lockout.
“I am sure that it would have been nearly impossible for [Under Armour] to bring all of their athletes to a swanky event in NYC a week before the season.”
Like any industry, when outside circumstances project doom, it’s in the hands of creative minds to explore new and more efficient ways to maintain a product’s relevance. The sneaker industry is going to be just fine.
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Dante
