Shoe Mavens Still Eager to Gamble on WSA

Yes, the economy has started to slump and the athletic footwear buyers that attended the recent WSA show in Las Vegas showed a more conservative bent than they did even six months ago, but by many accounts, the mood was optimistic. Companies such as Skechers and Dunham Boots, for example, have already reported sharp increases in orders, and don't expect any slowdowns.

Specifically, Skechers just announced that its Spring '02 line achieved a new record in total order commitments made at the show, with orders 40 to 45 percent higher than at the 2000 WSA show.

"Traditionally for Skechers, WSA is a springboard for growth," comments Skechers president Michael Greenberg. "The show is essentially a window into the coming year for Skechers. We believe that [this past] WSA gives us confidence that Skechers will see continued growth in 2002 and increase our global presence through existing and new accounts."

Skechers national sales manager Peter Davis also points out that the Skechers Sport business has grown so fast, the company just built a new showroom at its corporate headquarters. "The [Skechers Sport] business has tripled since 1993, going from 3 SKUs to 400 SKUs," he says.

At Dunham Boots (owned by New Balance), national sales manager Bill Dodge says the work category is particularly strong, and the division is expected to increase sales between 80 and 100 percent in '02. "The key is to take outdoorsy looks and performance technology and adapt them to work product," he explains. "The work category has already doubled our business."

In the increasingly important action sports category, business was brisk thanks to the merging of skate, athletic and lifestyle influences. Overall, the market has split into two distinct segments: lifestyle and performance. Major lifestyle trends include bottoms that are treated to show patterns and designs (camouflage and flames are recurring themes here), as well as a return to clean lines and retro styling. In the performance venue, improved technology?marked by increased comfort, lightness and durability?athletic styling, and subdued colorways are key.

In fact, the category has become so influential that a few core athletic vendors have started to make inroads. Avia, for instance, just created an action sports division and has launched its Evos (Evolution of Skate) specialty skate brand, as well as a line of action sports-inspired footwear under the NSS (Nice Skate Shoes) label.

In the core athletic realm, running remains strong, particularly in the $75 and up category; tennis is weak (due, say vendors, to cross trainers eating into sales); basketball is steadily gaining strength; and walking is steady. The athletic slip-on business is still important, but because of its heavy fashion influence momentum has slowed. (Consumers will likely get bored with slip-ons before they wear out?and most would be hesitant to invest in more than one or two pairs.)

Finally, look for the kids' business (typically ranging from infant to age 11 or so) to blossom in all categories. Retailers should pay particular attention to nautical motifs as well as retro styling. For girls, metallic trims and powder blues, pinks and yellows should prove especially popular.