6 hours ago | By Alice Gividen
Big data meets consumer insights. Experience WGSN.
Mar 17, 2015
Athletic sportswear retail giant Foot Locker want to get a whole lot bigger. How Big? World domination no less. It aims to be the leading global retailer of athletically-inspired shoes and apparel by growing annual sales from $7.15bn currently to $10bn by 2020.
Updating its strategic priorities Monday, Foot Locker said its aims to drive core business performance via compelling customer engagement, expanding its leading position in the kids’ business and aggressive European expansion, building out its digital business and growing its women’s business.
It also wants sales per gross sq ft of $600, 8.5% net income margin, a 17% return on invested capital, and inventory turnover of 3+ times.
New chief executive Richard Johnson, who heads a business that has 3,423 stores in 23 countries, told investors Monday: “We have been intently focused on executing our strategies for several years now and four consecutive years of record-breaking financial results… have reinforced our conviction that these are fundamentally the right strategies on which the high-performing team at Foot Locker should remain focused.
“We have achieved three of our most recent long-range objectives and have moved closer on all the others. As a consequence, our senior management team has recently revised the strategic framework within which to organize our growth initiatives and pursue our business priorities, and we have also raised the bar again on our long-term financial objectives.”
All pretty impressive. But the retailer has yet to pad out the details, especially on those “aggressive European expansion” plans. So watch this space.
Know what’s next. Become a WGSN member today to benefit from our daily trend intelligence, retail analytics, consumer insights and bespoke consultancy services.