Fleet Feet's Individuality Breeding Double-Digit Gains

SEATTLE, WA- With no shareholders to answer to, only customers, Fleet Feet may very well be the model for the independent retailer as the large athletic footwear dealers continue to merge and gain strength.
Fleet Feet, a chain of franchised specialty running stores based in Sacramento, CA, is now 31 stores strong and could open as many as 10 additional stores in the next year-or none if the right opportunities do not arise. Either scenario is just fine with president Tom Raynor.
Each store location is independently owned, yet each owner can take advantage of the strength a 31 store chain offers. While the stores buy products from vendors at the store level, orders are placed nationally, giving store owners the strength of a national chain.
"[Fleet Feet] is in front of our consumer like no one else and truly represents our brand. F or us, this is a true partnership, we get back as much or more than we put in," said Fran Allen, vice president of sales at New Balance who said information from Fleet Feet is often used to help influence New Balance running footwear styling.
Fleet Feet brought all of its owners together for a three-day conference, held here last month, to hear from its top vendors and share thoughts and ideas about individual stores. At the annual conference, Raynor announced sales for the year increased about 20 percent.
Unlike the national chains, the individual owners are on the selling floor looking out for their own business.
"I'd love to be in the top 200 markets, but I haven't found 200 people with the type of commitment it takes to run a franchise," said Raynor, who has had recent talks with other independents about establishing a national association of specialty dealers that would allow even more stores to cultivate buying power.
Each store is operated by individual owners who pay a one-time licensing fee to Fleet Feet corporate as well as a small percentage of annual sales. "It's impossible to train and retain employees, unless you can give potential ownership. I don't know any other way to do it," said Raynor.
Raynor noted that Fleet Feet's philosophy is contrary to the large public chains'. "They tend to promote their best people away from their customer. How can you grow any consistency by doing that?" (Footwear, Retail)