Sweat Rules

The heavyweights in the sporting goods arena are locked in a battle for more turf. With television and newspaper ads and plans for expansion in the pipeline, CEOs’ palms are getting sweaty. After many years of suffering a slump, things seem to be finally  turning around for the sportswear and sporting goods industry, say analysts. The industry was recently given a major shot in the arm when Sportsworld, owned by businessman Sean Hadeed, opened its flagship store last December on Henry Street.

It served as a wake-up call for other major players and stalwarts like Sports and Games and Kenny’s Sports Centre. Sportsworld is the most recent addition to the Francis Fashion/Shoelocker chain of stores, with  some 40 of them spread throughout the country. Sportsworld, which will be devoted exclusively to sporting goods, hopes to add 10 more stores over the next four years. Operations Manager, Fred Donawa,  explained that the store was a response to the huge success of the Francis Fashion/Shoelocker stores. He said that Sportsworld is a franchise of the Sportline America of Panama.

As a result, Donawa said, they are able to source the best products at the best prices since their goods come through the Panama free zone.
Currently, the Henry Street store has 600 full-time staff and additional staff is needed during peak sales periods, Donawa added. Haydn Garcia, Sportsworld manager on Henry Street, said he’s seen the demand for sportswear and sporting goods increase significantly over the last year or so. Other major players are also trying to tweak their sport formula. Martin Hatem, Operations Manager of Sports and Games,  said that his company has been expanding and intended to continue doing so. “In 2003 we opened our new store in Trincity Mall and in August 2004, we started a process of opening new concept stores,” he said in an interview. “We now have a three-storey building in San Fernando. Our stores are getting bigger, they are multi-storied and it is very easy to get anything you want related to a particular sport,” he said.

Through the new concept stores, consumers can walk into a store and get the entire concept of that particular sport including, equipment, clothing and footwear. Sports and Games is no newcomer to the market; they has been involved in this business for 60 years. Hatem listed fashion trends and lifestyle changes as among the factors driving the demand for sporting goods. He said he observed  that corporate sponsors are putting more money into the sponsorship of sporting events for young people and this helped stimulate the market. Hatem said that improved customer service is high on their list of priorities. He said that the company has been focusing on training its staff to ensure that they meet the needs of customers more fully,  and are also improving on the general product knowledge of the staff.

He added, however, that they continue to struggle to give consumers better prices, despite the fact that high quality sporting goods are expensive. Sports and Games, he said, takes pride in supplying a wide range of quality sporting goods that are suitable for any pocket. Sportsworld wants to open more across the nation in the near future in which consumers could get the full range of equipment for any popular sporting activity. Garcia said that there has been an increase in female customers although men still dominate their clientele. He noted that people seem to be moving away from the sedentary lifestyle promoted by activity such as video games. Parents, he added are getting themselves and their children up from the couches and going outside to be more physically active. The motto of the new stores is “We get it,” said Garcia.

Kenny’s Sports Centre, another well-known name in the sporting goods industry is not daunted by what is happening in the market. In fact, according to Director Kenneth de Silva (Jr), Kenny’s also has plans for expansion but would not say what these were. He noted though that several key small players, such as Rossi Sports, have closed down, “So that the market is now left with a few big players.   Like Sportsworld, Kenny’s also brings in its goods from the Panama free trade zone. ‘It’s much cheaper than bringing it from China,” he said. He stressed that they would be sticking with smaller-sized stores and keeping overhead costs down. “We still be supplying the market with reasonably priced goods which is what the store is recognised for,” he said.

He suggested that what was going on was reflection of global trends, with more people making sport a part of their lives. Kenny’s Sports Centre has stores in all the major catchment areas including, Port-of-Spain, Arima and San Fernando and have traditionally been involved in the promotion of sporting activity in schools and among the youth. De Silva emphasised that they will continue to focus on the lower end of the market.