Thanks for Visiting!

Register for free to get the full story.

Sign Up
Already have a Placer.ai account? Log In

Placer Bites: Puma, Nike, Lululemon and the Retail Vacuum

by 
Ethan Chernofsky
 on 
November 11, 2019
Placer Bites: Puma, Nike, Lululemon and the Retail Vacuum

The Retail Apocalypse narrative is mixed with pure facts, a great deal of speculation and some equally pure myths. One of the elements that is certainly true is that there has been a wide range of closures - especially for brands looking to be an ‘everything for everyone’ option. And a wide range of closures leads to a vacuum - literally and figuratively. 

So what’s going to fill it? 

One trend to keep a close eye on is a range of product-oriented companies - Nike, Puma, Lululemon - that view physical retail spaces as an ideal way to boost their overall performance and deepen the relationship with their customers.

Why? We dug into the data to find out.

Traffic is on the Rise

Starting with Nike, the brand saw visits to their locations grow 38.5% and 62.6% above the baseline in July and August 2019 for the period from July 2017 through September 2019. These show massive increases from 2018 where the same months rose 24.3% and 30.3% above the baseline.

And this investment has taken notice and driven similar approaches from rivals. Puma, a brand that is also looking to more effectively tap into the NBA appeal that was so central to Nike’s rise, is experiencing a similar upward trend. While Puma visits are significantly lower than Nike, the brand saw an equally strong summer with visits rising 54.2% and 79.9% above the baseline for the same period of time. This is a massive increase over the 6.4% and 11.0% rises in the same months in 2018. This strongly reflects the growing focus this strategy has taken within Puma and the large investment that has been made in increasing their physical locations in the US.

Lululemon Paves the Way

Another branding riding high on the athletic wear wave is Lululemon. The brand has seen tremendous growth in every month in 2019 compared with the same month in 2018, and this trend continued throughout the summer. Visits nationwide were 39.9% and 43.9% above the baseline for the period from July 2017 through September 2019, well above the 6.3% and 1.3% rises in the same months in 2018. Even the September dip was less precipitous with a baseline drop of 2.4%, far less than the 19.5% in 2018.

And the momentum isn’t tailing off. Looking at visits from the start of October 2019 through the 26th shows that average daily visits are up 41.6% on the same period in 2018. This is an especially huge jump considering the difference between 2017 and 2018 visits was an increase of less than 1%.

Takeaways

Athletic wear is one of the most exciting sectors in apparel, but the tactics being deployed so effectively by giants like Nike, Puma and Lululemon could have massive ramifications across the retail sector. With these companies turning increasingly towards an owned presence offline, expect other brands to follow. From Direct-to-Consumer players like Everlane and Warby Parker to other product companies that were less focused on selling directly to the consumer, expect much of the new retail vacuum to be filled by this market segment.

Get 3 brand & industry
breakdowns every week

Subscribe to the newsletter

Great! Prepare your inbox for data-driven insights...
Oops! Something went wrong while submitting the form.

Get a Demo

Please enter your first name
Please enter your last name
Please provide a valid email
Please enter your email
Please enter company name

Thanks for reaching out!

One of our experts will be in touch soon

Try Placer.ai Free
Oops! Something went wrong while submitting the form.
Pent-Up Demand Ahead of October Sales Events
4 Strategies Retailers are Using to Drive Traffic to Their Venues
5 Key Regional Grocery Players Impressing in 2023
Upscale Kitchenware Trending Up
Costco Finds More Room for Growth
Four C-Store Chains Making an A-Grade
National Parks + Outdoor Summer Activities
Diving Into Darden: Summer 2023 Update
The Summer Event Effect
Messi: Massive in Miami
Looking Back on Back to School 2023
The Anchor Recap: August 2023
Placer.ai Office Index: August 2023 Recap
Placer.ai Mall Index: August 2023 Recap
Placer.ai White Paper Recap: August 2023
Starbucks Pumpkin Spice Latte Strikes Again
Big Scoop: We All Scream For Ice Cream
Sports Away: Lululemon & Nike’s Momentum Continues
Summer Visits Heat Up For Recreation and Outdoor Gear Chains
No CSS overwrite - July 2023 Office Index Recap
Staging - August 2023 Mall Indec
Mid-Atlantic Grocery Deep Dive
Experiential Chains Heating Up This Summer
Petco Goes Big by Going Small
Ulta Beauty: Leading the Discretionary Pack
Discount and Dollar Chains Continue to Thrive
Summer of Sports: DICK’s Sporting Goods and Hibbett Sports
Off-Price: Succeeding Into Summer
The Anchor Recap: July 2023
Superstores Maintaining Pandemic Gains Amidst Economic Headwinds
2023: Home Improvement at the Halfway Point
July 2023 Office Index Recap
Placer.ai Mall Index: July 2023 Recap
widget test
The Taylor Swift Visit Lift
Southwestern Grocery Dive
July 2023 White Paper Recap: Halfway Point Review & Quarterly Index
Yum! Brands: Driving Dining Visits
Slurpees and Summer Movies Stimulate Consumer Foot Traffic
Cool Beans: Summer Coffee Update
Checking In on Back to School 2023
Crocs and New Balance Tip The Scales
Burger Bliss: Shake Shack and In-N-Out Stacking Visits
Chipotle & McDonald's Continue to Reign Supreme
Vibenomics and Placer.ai Partner to Enhance Retail Media In-Store Measurement
California Grocers Here We Come!
Marriott’s Different Audiences
Bonchon and Kura Sushi Thrive in the Fast-Casual Scene
A Shoe In: Footwear Climbs to the Top
Cheers! Raising a Glass to Beverage Retail
Placer.ai Office Index: June 2023 Recap
Placer.ai Mall Index June 2023 Recap – A Turn of the Tide and a Dive into Open-Air Lifestyle Centers
Local Kitchens: Redefining the Restaurant
Unlocking Urban Insights: The Value in Manhattan’s Employees
Ohio State Parks On The Rise
How is Inflation Impacting the High-Income Shoppers?
Five Fast-Growing Dining Chains
What To Expect From Prime Day and July Sales Events in 2023
The State Of Fashion: How Are Apparel Retailers Faring in 2023?
2023’s Latest Dining Success Story: GEN Korean BBQ House
The NBA Finals: A Location Intelligence Perspective
Moving the Market: The Impact of Domestic Migration on Housing Costs
Post-Pandemic Museum Update
The Darden-est Things
The Enduring Demand for Urban and Suburban Retail
Leveraging Data to Evaluate the Impact of Municipal Investments
Trader Joe's Success Amidst Food Inflation and Changing Consumer Behavior
Placer.ai Office Index: May 2023 Recap
Fitness at its Fittest: Staying Strong in 2023
Movie Theaters, Off-Price, and Home Improvement: May 2023 Recap
Placer.ai Mall Index - May 2023 Recap
What’s Working for Bath & Body Works?
Why Are Specialty Grocers Thriving in 2023?
The CAVA Craze: A Location Intelligence Perspective on the Mediterranean Marvel
How Will Primark’s US Expansion Impact Target?
All Eyes on Eyewear
Northwestern U.S. Grocery Dive
Return of the Lunch: Salad Chains Are Thriving
Retail Media Networks – Off the Beaten Track
Bet Your Bottom Dollar: Discount and Dollar Stores Drive Foot Traffic
Ulta & Lululemon: Discretionary Spending On The Up
The Score After Q1: Sporting Goods Chains
Who Uses NYC Airports: Biting Into The Big Apple’s Main Transport Hubs
Off Price: Strength in The Face of Retail Challenges
Visits Improve for Home Improvement
Walmart, Target & Wholesalers in Q1 2023 – The Return of Mission-Driven Shopping?
Department Store Roundup: Q1 2023
Placer.ai Office Index: April 2023 Recap
Placer.ai Mall Index, April 2023 – A Rebound on the Horizon?
How Will Bed Bath & Beyond’s Bankruptcy Impact the Retail Space?
Buffet Restaurants: Filling Up on Foot Traffic
Thrift Stores: Vintage Visits Drive New Age in Apparel
The Windy City: A Hub of Post-Pandemic Opportunity
Diving into Dining Traffic - Q1 2023
Bring On The Joe
A Dollar (or more) For Your Thoughts: Five Below and pOpshelf
Dining Out With The Cheesecake Factory
Retail Foot Traffic Recap – March 2023
Digging Into 2023: McDonald’s and Chipotle Update
Placer.ai Office Index: March 2023 Recap