The Just-Do-Its, The Number 2-Three-and-4 Stripers and The Alt-Branders

The Back-To-School Shoe Edition! I walked shoe-store-alley in Cumberland Mall ATL, over the weekend.

THE JUST DO IT'S

JD Sports is clearly Nike's partner of choice, dominating front-of-store fixtures and inventory at JD and the JD acquired DTLR. JD launched a connected partnership with Nike during the key BTS week (after four years of Nike pushing for its key retailers to share data). VM and storytelling were strong, but there is a caution (past is prologue if you look at Nike's decisions with Foot Locker, Foot Asylum and AW Lab ). Nike may turn away if JD's share of their biz climbs a bit high or Nike desires more market consolidation. And with Nike tripping on its laces a bit, the road ahead could be a bit bumpy for The King of Trainers.

THE NUMBER 2-THREE-and-4 STRIPERS

Adidas, New Balance and Puma are in partnership heaven with their suddenly expanded shelf space at Snipes, Foot Locker and Champs. Snipes stands out for in-store experience, attracting new customers with a wider selection of brands and products. A potentially winning strategy in this repetitive space, but always risky from an inventory and markdown perspective. Some version of the 80/20 rule usually applies, buy on-line-ship-from-store capability could ease the pressure if their e-comm demand is going strong. A likely Holprige Strasse (German bumpy road) ahead for different reasons than their UK competitors.

THE ALT-BRANDERS

Filling a niche is always tricky, but can reap rewards. Journeys excels in its small spaces, giving equal shelf and brand call-outs to Dr. Martens, Crocs, Converse and the rest. Developing a style and trend point of view for the teen/tween is the opportunity for the newly assembled leadership team.  Zumiez meanwhile remains firmly rooted in its alt-skate-grunge identity, successfully keeping creative teens engaged. We are beginning a strong skate cycle, so that bodes well, but they do need to take share from Pac Sun and get bankable productivity and a broader customer base. Vans will likely push its 250+ mall based direct stores (a rarity for sneaker brands other than Nike); and with a new President from the vertical apparel space, the mall could see some new battles for this often side-stepped niche.