Thanks for Visiting!

Register for free to get the full story.

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

Placer Bytes: Under Armour, Dunkin', Levi's

by 
Ethan Chernofsky
 on 
February 11, 2020
Placer Bytes: Under Armour, Dunkin', Levi's

Chip on Under Armour’s Shoulder

Nothing ignites the competitive retail spirits like some good, old-fashioned industry insults. In a recent interview, Lululemon founder Chip Wilson said that Under Armour “lost it many years ago” attributing much of the company’s decline to the focus on wholesale. Instead, he opined that the future of the U.S. athleisure space belonged to Lululemon, Nike and Adidas

The slight to Under Armour could actually indicate an ideal strategy for a sweat-proof rise. Many brands have been increasingly utilizing an owned brick-and-mortar presence to buttress, if not fully replace, a wholesale mindset. Data indicates that Under Armour could potentially benefit from this as well. 

The brand has seen strong offline growth, with nearly every month in 2019 outperforming the same period in 2018. This includes peaks in the back-to-school and holiday periods. 2019 visits in July and august of 2019 rose 48.3% and 64.6% above the baseline for the period from January 2018 through December 2019, besting the 27.3% and 30.7% rises in 2018. The same growth was seen during the holidays, when visits jumped 24.1% and 36.7% above the baseline in November and December, outperforming 2018’s 1.8% and 34.8%. 

Could Wilson’s insult be the recipe for success? Early indications would suggest so. 

Dunkin’s Winter Opportunity

Dunkin’ Donuts is testing out a range of new concepts including a heavier focus on deliveries and store remodeling programs. Yet, the biggest value may come from figuring out a way to better handle the winter months.  

Looking at the two year period from 2018 through 2019, Dunkin’ sees a seasonal trend where traffic declines in the winter and annual high points come in May and June with another recurring peak in October. But this ignores the opportunity in the colder months.

Starbucks, Dunkin’s chief rival, sees a different distribution, with annual peaks coming in November and December, supported heavily by the boon that is Black Friday. This reality points to a potentially massive opportunity for Dunkin’ to better orient itself to take advantage of consumer needs for a hot drink during the coldest times of the year. By better aligning itself for this, whether through winter-based promotions or new products, Dunkin’ could reach its fullest potential in 2020.

Levi’s Retail Expansion Continues

Levi’s CEO Chip Bergh said in an earnings call that the company would be using a new store format to enable “smaller footprint, more profitable, more capital-efficient stores in better locations.” 

Why is this so important? Because the company is seeing a powerful combination of in-store retail growth and a decline in its wholesale business. The last week of December 2019 brought in visits that were 81.9% above the baseline for the two year period from January 2018 through December 2019. That’s far higher than the 60.8% mark above the baseline the brand enjoyed in 2018.  

Small format stores not only signal an ability to more efficiently expand, they allow brands to get into higher-income areas where real estate costs are equivalently more expensive. The Levi’s audience during that same period had an average income that was inline with other top tier retailers. Meaning the brand has confidence that these audiences will certainly take advantage of the new locations. 

Can Under Armour prove its critics wrong? Will Dunkin’ figure out how to dominate the winter? What will the impact of Levi’s expansion be? Visit Placer.ai to find out.

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.
Placer.ai Office Index: January 2023 Recap
Focusing On Fitness: Q4 and January Recap
Placer.ai Mall Index: January 2023 – Returning Mall Normalcy?
Location Intelligence Insights Into Concert Attendance
Winning Dining Strategies for 2023
In-N-Out Burger: What to Expect as the Brand Moves East
Location Intelligence Breakdown: Coffee Caps-Off 2022
Digitally Native Brands Lean Into Brick & Mortar
Washington, D.C. Population Changes & Migration Trends
A Location Intelligence Perspective on Macy’s Rightsizing
Amazon-Powered Shopping: The Future of Brick-and-Mortar Grocery?
Cold Weather, Hot Visits: Diving into Winter Resorts
Wawa and 7-Eleven: Leaning Into the “Slurpee Effect”
2022 and Beyond: Catching Up With McDonald’s & Chipotle
Let’s Have Some Fun! Going Out Is In
Placer.ai’s Q4 2022 Quarterly Index
Placer.ai Adds Industry Executives to Leadership Team To Drive Company's Next Phase of Growth
5 Emerging Retail Formats: 2023’s Brick-and-Mortar Evolution
Grocery Update: Zooming in on the Lone Star State
2022 Office Recap: The Year of the TGIF Work Week
What Lies Ahead for Brick-and-Mortar Luxury in 2023
Placer.ai Mall Indexes: December 2022 Recap
Looking Back on 2022’s Holiday Shopping Season
Post-Pandemic Migration Trends in New York
Top Retailers for 2023
The Live Sports Advertising Opportunity
Domestic Migration to the Mountain States: Small Shifts with Big Implications
New Year, New Food: 5 Dining Trends For 2023
Announcing Placer.ai’s COVID RECOVERY DASHBOARD
This is Why Shop-in-Shops Are Everywhere
Super Saturday 2022 Recap
The San Francisco Shift
Grocery Year-End Update: Publix in the Spotlight
Three Ways Retailers Can Think Small to Increase Store Impact
Offline Beauty Is on an Upswing
The Evolving Migration Patterns of New York’s Florida Snowbirds
Placer.ai Office Index: November 2022 Recap
How Viral Social Media Trends Can Drive Offline Engagement
Are You Ready for Some Football? Experiential Marketing Shows Promise
Mall and Shopping Center Trends For 2023
Retail Corridors and Indoor Malls: A Holiday Head-to-Head
Placer Bytes: Nike, lululemon, and GameStop Update
Placer.ai Mall Indexes: November 2022 Update
Black Friday 2022: Consumers Hear the Call
Digitally Native Brands: Taking Off, Offline
Discount and Dollar Stores Leading the Pack
Turkey Wednesday 2022
Retail’s Evolving Holiday Season
Placer Bytes: Starbucks and Department Stores Ahead of Black Friday
Ulta: A Force to be Reckoned With
College Towns Drive Dining Growth
Foot Traffic Trends Reveal Consumers Ready for Holiday Cheer
How Retailers Can Win Big By Going Small
How Are Consumers Feeling Ahead of Black Friday 2022?
Off-Price, Hibbett, and Dick’s Pre-Holiday Check-in
Ho, Ho, Wholesale: Costco, Sam’s Club, and BJ’s
October 2022’s Retail Rebound
Target and Walmart Ahead of the Holidays
Home Improvement: Leave it to the Pros
Despite Inflation, Holiday Season is Off to a Good Start
Placer.ai Office Index: October 2022 Recap
Placer.ai Mall Indexes- October 2022 Update
Americans Double Down on Fitness
The State of Grocery
CVS and Walgreens: The Wave Continues
Coffee Chains Brewing Up Visits
Placer.ai Spotlight: Pizza Players
What Drove COVID-Era Urban Migration Trends?
Kroger and Albertsons: A Merging of Strengths
Texas Roadhouse Innovations Dishing Up Success
Holidays on the Horizon: Mid-Range and Luxury Shopping
McDonald's and Chipotle's Post-Pandemic Success
Announcing Placer.ai’s Q3 2022 Quarterly Index
5 Hot Restaurant Brands for 2023
Target Finds a Winning Deals Day Formula
Five Trends to Watch for 2022’s Holiday Shopping Season
September 2022 Analysis: A Difficult Month and Time for Optimism
Inflation’s Retail Winners
Five Apparel Retailers to Watch Ahead of the Holidays
Placer.ai Spotlight: Wawa’s QSR Pivot
Placer.ai Mall Indexes: September 2022 Recap
Placer.ai Office Indexes: September 2022 Recap
The Impact of Population Growth on Commercial Real Estate 
Starbucks' New Makeover
There's Somethin' About Pumpkin
Expanding Offline Reach
Breakfast Restaurants are Rising in Popularity
The Power of Labor Day 2022
Tourism in Miami Heating Up
Citi Trends on the Rise
Reaching Rural Consumers Through Retail Media Network
Darden Restaurants Cooking Up Success
The Home Improvement Sector: A Sign of Consumer Confidence
QSR Is Having a Northeastern Growth Spurt
Domestic Migration’s Ripple Effects
A Look Back at Back To School 2022
Kroger Digital Tell-All
The Return of In-Person Networking
The Reinvention of the American Mall  
Placer.ai Office Building Indexes: August 2022 Recap