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Global Online Activewear www.omnilytics.co January – December 2018 • Menswear & Womenswear Reviewed: Global Online Activewear Top 10 Brands | The Leading Categories Analysis | Assortment Size & Sell-Out | Pricing Overview | In-Stock Productivity | Bestsellers | Conclusion JANUARY – DECEMBER 2018 Chart 1: Brand Ranking Top 10 Brands Ranked Assortment SKU Sell-Out Sell-Out Replenished Performance Rank Brand Count Median Price (USD) Rate Rate Score Brands were ranked based on four key metrics as illustrated in Chart 1 Nike 224,395 71.75 84.6% 54.6% 94.5% 1, with higher weightage assigned to the sell-out rate. Nike reigned 2 New Balance 13,464 95.37 80.5% 60.8% 68.6% the top spot with its large assortment counts (3x more than adidas) and strong sell-out at full price. 3 adidas 64,614 69.06 81.1% 39.5% 66.3% 4 Asics 4,429 108.25 81.1% 50.2% 65.4% Unassuming Brands 5 Reebok 10,895 64.00 78.0% 56.9% 62.9% At 2nd place, New Balance made a surprise entry, knocking adidas to 6 Lorna Jane 3,198 69.68 79.2% 56.0% 62.7% 3rd placing. Its high median price and strong replenishment lifted its score greatly. Other surprising entries into the top 10 rank were Asics, 7 Puma 31,180 60.00 84.7% 47.3% 65.3% Fila, Lorna Jane and Lululemon. 8 Under Armour 12,402 45.18 75.9% 56.9% 60.4% 9 Fila 8,179 65.06 82.7% 36.1% 58.0% Winning Shoe of The Year 2018 (by Footwear News), the iconic 10 Lululemon 3,441 61.46 82.5% 26.0% 53.6% chunky ‘dad’ sneaker, The Disruptor, released in various colourways marked the brand’s success with a strong sell-out. Chart 2: Brand Assortment Size vs. Sell-Out Rate Lorna Jane, one out of just two yoga-inspired athletic brands on the rank, secured itself in the top 10 spot primarily by achieving sell-out 1,000,000 86% at higher median price and replenished rate. 84% 100,000 Lacklustre Performance 82% 10,000 Puma had marginally higher sell-out rate than Nike and adidas, 80% though it was more reliant on discounted items. Similarly, adidas 1,000 78% delivered more sell-out on discounted items despite having the 2nd 76% largest assortment offering. 100 74% Under Armour underperformed with the lowest sell-out rate and at 10 72% the least median price (refer to its sharp dive in Chart 2). The dismal numbers validated the brand’s continued struggle to grow sales in a 1 70% Nike New adidas Asics Reebok Lorna Jane Puma Under Fila Lululemon highly competitive market. Balance Armour Assortment SKU Count Sell-Out Rate % 2 JANUARY – DECEMBER 2018 Chart 3: Category Share of Sell-Out The Leading Categories Derived from 284,681 sold out SKUs from the 10 brands studied in the report. 2% Due to the growing streetwear trend, it was no surprise that Lifestyle Lifestyle Shoes and Activewear shoes were the leading categories (refer to Chart 3). 5% This was followed by Tops & T-Shirts and Outerwear with a combined 7% Activewear Shoes 29% share of 30%. 8% Activewear Tops & T-Shirts Active Outerwear In terms of sell-out rate (refer to Chart 4), Activewear Shoes achieved Activewear Pants & Leggings the highest at 84.0%, led by Nike with high sell-out and replenishment 22% Activewear Shorts frequency in 2018. 27% Sports Bras Active Outerwear had the least sell-out rate among the 10 brands (refer to Chart 4), but appeared strong in Reebok. Successful collaborations with personalities like Cardi B x Reebok’s 90s jacket, Brain Dead x Beam’s Classic track jacket and Mobius OG’s retro jacket Chart 4: Category Assortment Size vs. Sell-Out Rate may have contributed to the high sell-out rate at 87%. 100,000 85% 83.2% The category Shorts was visibly strong on sell-out despite having 90,000 84.0% 84% lesser assortment counts, with running shorts and workout tights 80,000 82.8% showing higher sell-out movement. 70,000 83% 60,000 50,000 81.7% 82% 81.2% 81.4% 81.4% 40,000 81% 30,000 20,000 80% 10,000 0 79% Lifestyle Shoes Activewear Activewear Tops Active Activewear Activewear Sports Bras Shoes & T-Shirts Outerwear Pants & Leggings Shorts Assortment SKU Count Sell-Out Rate 3 JANUARY – DECEMBER 2018 The Leading Categories (continued) Chart 5: Map of Assortment Size x Sell-Out Rate by Category Here, we took a deeper look at the individual brand’s total SKUs by category and its respective sell-out rates. Nike had the largest SKU share for all categories in the activewear industry, followed by adidas and Puma. However, a highly stocked category may not lead to a strong sell-out performance. This is evident through Under Armour’s Lifestyle Shoes being the brand’s smallest category in assortment size yet commanded the highest sell- out rate within the brand. This year, we also observed that Fila was the only brand that fetched the highest sell-out for its biggest category, Lifestyle Shoes. Driven by the chunky-soled 90’s inspired, Fila Disruptor II was a significant contributor to Fila’s success, riding on the much-hyped “dad sneaker” trend. On the apparel front, Lorna Jane was in the lead, surpassing rival giant Lululemon in the categories of Outerwear, Pants & Leggings and Shorts. 202,791 54,523 26,281 10,157 10,117 8,384 7,918 3,035 2,835 2,760 Assortment Size (the bigger the circle, the more SKUs are Sell-Out Rate: stocked): 85% and above 75% to 85% <10,000 <1,000 <100 Below 75% 4 JANUARY – DECEMBER 2018 Chart 6: Lifestyle Shoes Top 5 Brands by Sell-Out Performance Lifestyle Shoes: Deep Dive Analysis Under Armour had the highest sell-out rate and median sell-out price of 40% higher than 2nd placed, Puma. Worn for athleisure fashion more than for athletic intent, Lifestyle Shoes were the crowd’s favourite among activewear categories. Under Armour 92.5% | USD 139 Puma and Fila, for example, had high SKU releases with high sell-out Puma rates. 86.3% | USD 84 Fila 86.1% | USD 72 Winners At 92.5% sell-out and 81% replenishment rate, Under Armour took Nike 84.0% | USD 120 the top spot with only 106 SKUs released (refer to Chart 6 and 7). This suggested Under Armour’s strategy in replenishing bestsellers, but at New Balance 83.7% | USD 113 the same time, cautious on new releases. At 2nd and 3rd places respectively, Puma and Fila pushed out more SKUs at lower prices, but with higher discount range at 30% - 39% - potentially covering more consumer share. Chart 7: Lifestyle Shoes In-Stock Productivity Under Armour focused on high replenishment on only 98 SKUs of product releases last year. Loser Reebok had the least sell-out at 70.1% among the 10 brands ranked. 100,000 81% 90% 57% 67% 80% 63% Key Observations 10,000 60% 70% Lifestyle shoes with monochrome colours of whites, blacks, and greys 60% 1,000 pushed the highest sell-out. Pink was the only non-monochrome 50% colour that appealed to the crowd. The chunky sole trend went up by 40% 17% throughout the year and created a cult following for the Fila’s 100 30% “Disruptor” sneakers. 10 20% 10% 1 0% Under Armour Puma Fila Nike New Balance In-Stock Replenished % 5 JANUARY – DECEMBER 2018 Lifestyle Shoes: Bestsellers by Brand Bestsellers were scored based on high replenishment and sell-out frequencies in 2018, putting Under Armour’s Stephen Curry sneakers at number one. Monochrome colours were evident in the bestsellers list, while pink was the top choice for women’s shoes. The notable design was the chunky sole by Puma’s oversized sneakers, Nike’s Air Max 97 and Fila’s Disruptor II. Nike Air Max 97 Premium sneakers USD 496.17 Puma Oversized Cell Venom Men’s Sneakers USD 110.00 Under Armour Curry 4 “More Rings” Pack Fila Disruptor II New Balance 247 Sneaker USD 149.00 USD 94.08 USD 89.95 3 JANUARY – DECEMBER 2018 Activewear Shoes: Deep Dive Analysis Chart 8: Activewear Shoes Top 5 Brands by Sell-Out Performance Nike had the highest sell-out rate and median sell-out price of 37% higher than 2nd place, Puma. 2018 was the year for Nike in the performance-geared Activewear Shoes, topping key metrics by SKU releases, sell-out performance and Nike 86.0% | USD 99 in-stock productivity. Puma 84.2% | USD 62 Winners Flooding the market with the largest SKUs in the category (4x the Asics 82.1% | USD 100 amount of adidas) and still delivered the highest sell-out rate at 86% put Nike at the top of the rank. The brand’s high replenishment adidas 80.0% | USD 98 practice ensured high demand was met while preventing out-of-stock issues. New Balance 79.3% | USD 90 While adidas came second in line in terms of assortment size, the sell- out performance fared below rival Puma and Asics. Chart 9: Activewear Shoes In-Stock Productivity Loser Proving itself to be the market leader, Nike aggressively replenished 64% of 48,461 SKUs of activewear shoes last year, At 74% sell-out rate, Reebok was placed last, relative to the top 10 highest among all brands. brands. 100,000 80% 69% 64% 63% 70% Key Observations 53% 10,000 56% Black was the crowd’s favourite colour for Activewear Shoes, followed 60% by grey, white, and blue.
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