Decathlon Group

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Decathlon
Industry Retail
Founded 1976
Headquarters Villeneuve d'Ascq, France
Key people
Mattia Palascino Michel Leclercq, founder and 40% owner
Products Clothing
Sportswear
Sports equipment
Revenue €8.2 billion (2014)
Number of employees
65,000
Subsidiaries Quechua, Tribord, Domyos, B'Twin, Kipsta, Nabaiji, Wed'ze, Simond, Kalenji, Newfeel, Artengo, Inesis, Geologic, Caperlan, Solognac, Fouganza, Oxelo, Aptonia, Geonaute, Orao [1]
Website www.decathlon.com

Decathlon is one of the world's largest sporting goods retailers.

Decathlon started with a store in Lille, France in 1976, founded by Michel Leclercq. It started to expand abroad a decade later, to Germany in 1986, Spain in 1992, Italy in 1998, Portugal, the United Kingdom in 1999, China in 2003, India in 2009 and Southeast Asia in 2012. Today, there are more than 850 stores[2] in 22 countries. The company employs more than 60,000 staff[3] from 80 different nationalities.

The retailer stocks a wide range of sporting goods, from tennis rackets to advanced scuba diving equipment, usually in large superstores which are sized at an average of 4,000m².[4] Decathlon Group also owns 20 brands,[5] with research and development facilities all over France to develop the latest innovative designs, registering up to 40 patents per year.[6] Each brand represents a different sport or group of sports, with a dedicated product development and design team.

Locations

850 stores are located globally, in the following countries:[7]

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Online delivery has been introduced in Belgium, France, The Netherlands, United Kingdom, Germany, Turkey, India, Italy,[13] Singapore, Spain, Brazil and more recently Ireland.

In India, Decathlon products can be bought directly through their stores subsequent to change in India's FDI policy and approval for Decathlon in February 2013.[14] In addition to this, Decathlon products are also available online through their online resellers. These include Prrem's - The Winter Wear Store, Sports365.in, IndiaLetsPlay and a few more.[15]

Branding

The retailer develops and sells its own brands. Each sport or group of sports has a separate brand name:

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Brands providing technical support for the products of its passion brands:

  • EQUAREA - Clothing designed for the active removal of sweat
  • ESSENSOLE - Shoe soles and insoles
  • NOVADRY - Waterproof and breathable clothes
  • OUTCHOC - Sport protection
  • STRATERMIC - Warm and light clothes
  • STRENFIT - Light and Robust Synthetic fabrics (non garment)
  • SUPPORTIV - Support and compression

Economic review

Its success has greatly contributed to the decline of selling prices in France, while the innovation of its own brands has caused great difficulties for other traditional manufacturers. 2008 was a record year for the company as the brand Decathlon had beaten all its competitors on three key points: margin, market share, and highest turnover per square meter of retail space. It is arguably the third at a global level. A 2008 survey of 774 catchment areas at the request of the Ministry of Economy and Finance shows that "for sporting goods, Decathlon is dominant in 92.8% of zones".[17] This dominant position has the effect of marginalizing its commercial competitors, including independent retailers.[18]

Competition

In 2009, Decathlon's sector rivals, fr (Go Sport) and fr (Sport 2000), joined forces to set up a common purchasing centre in Switzerland, intended to "pressurize most of the major international suppliers", according to François Neukirsh, Managing Director of Go Sport, in the newspaper Les Échos. Otherwise, the company does not have significant competition due to their specific target audience in mass-market retail.

References

  1. http://corporate.decathlon.com/en/our-brands/passion-brands/
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  5. http://corporate.decathlon.com/en/our-brands/passion-brands/
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  9. http://stores.decathlon.in/?all=true
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  11. http://www.decathlon.sk/c/351-predajne
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  17. Distribution : l'enquête secrète de Lagarde, Le Nouvel Observateur #2275, June 12, 2008
  18. « La déferlante des MDD façon Decathlon déstabilise évidemment les marques traditionnelles. », Gilles Tanguy : Decathlon, le colosse qui écrase tous ses rivaux, Capital, 3 July 2009 ; « Cinq cents personnes rassemblées jeudi à Saint-Denis (Seine-Saint-Denis) à l'appel de la fédération textile - habillement - cuir CGT, ont envahi un magasin Decathlon près du Stade de France pour protester contre les plans de licenciements et les délocalisations dans le secteur textile, a-t-on appris de sources policière et syndicale. », Nouvelobs.com, 06.03.2003.

External links