Sports stores falter

After years of strong growth, the sports goods market has faltered

and the predicted shake-out of specialist retailers has begun with last

week’s collapse of retailer Cobra.

Fellow retailer JJB is likely to report worse than expected full-year

figures today. Analysts also predict the company will announce a scaling

down from the 35 new superstores it had planned to launch this year.

Meanwhile, market leader Sports Division has postponed its pounds 350m

flotation, expected this spring, to at least the second half of the

year.

Market analysts are painting a downbeat picture of this year’s trading

prospects despite the forthcoming World Cup.

The 65-store Cobra chain called in the administrators last week and

appears to have suffered from a price war raging between the biggest

specialist retailers: JJB Sports, j-D Sports, Sports Division and First

Sport. The war has been fought over leading sports brands Nike, Reebok

and Adidas.

This article was first published on Marketing