sportFACHHANDEL 08_2018 Leseprobe

20 | COVER STORY | Brands vs. Retail 8.2018
Due to our
orientation, we
need reliable partners
selling our products
to the customer.«
Stefan Müller, Head of Sales
Meindl
to convince the purchasers of the quality of our
products. We also have to take care for the final
sales of our products or, at least, to offer support in
this respect. According to Matthias Wanner, Sales
Director at Lowa, they do not notice that the really
big sports goods producers have changed their
strategy in any manner, due to the amalgamation
of retailers. Jan Lorch adds, "It might be true that
cooperations are necessary to stand ground against
the big producers in case of giants such as Adidas or
Nike. It does, however, not work in the outdoor
sector which is characterised by medium-sized
companies. The increasing concentration of
retailers is rather a great danger for medium-sized
companies – with growing tendency."
Another point is that, in the end, this development
will encourage the providers to find new
business strategies. Stefan Müller, Sales Director,
Meindl, says, "It is also important to figure out how
we can sell our consulting-intensive products in the
future. The specialised sports retail has to suffer
more changes than the producers. In view of all
those changes, we should not concentrate only on
Germany; we have to consider the whole of Europe.
Due to our orientation, we need reliable partners
selling our products to the customer.” Matthias
Wanner of Lowa agrees, "Actually, we are obliged
to think about all those things. Currently, we are
primarily reconsidering the implementation and
optimisation of our digital distribution structures,
INNOVATION OR MASS PRODUCTION
"The focus on the product gets lost!"
The concentration processes challenges both sides. sportFACHHANDEL talked to Matthias Hatt, the CSO of Leki, about how a medium-sized
provider has to position itself in this difficult, contradictory situation.
sportFACHHANDEL: In the retail business as well
as in the industry, you can observe a growing
trend towards concentration. What does this
mean for a medium-sized company such as Leki?
Matthias Hatt: This is true: The trend towards
concentration is clearly perceptible; and yes, the
discussions and negotiations between industry
and trade are becoming tougher. The big players
of the retail sector in particular exert a great deal of
pressure. This was not as hard three or four years
ago. However, concentration is not bad per se.
Especially long-term partners on both sides can also
benefit from it.
For many years, you have worked together with
sports stores embedded in the grown, smallcell
structure of the specialist sports retail. A
consequence of the concentration is that it
fundamentally changes the communication
and the business processes, isn’t it? That is
basically correct, but exactly due to these long-term
collaborations, there are still many trade partners
who are aware of the advantages of the partnership
and appreciate it. That will remain in the future.
The retailers often claim that mergers are
necessary to stand up to the big producers. Do
medium-sized companies such as Leki fall by the
wayside in this process? Surely, you are referring to
economic and calcultory issues here; and it is true that
these issues are becoming more and more relevant.
In my view, each retailer has to know who is a reliable
partner, because, apart from economic aspects, it is
always the “full package” that counts, too. Yet, we, at
Leki, recognise already that the focus on the product
gets lost. We do, however, live on the sale of our
innovative products. The retailers have to reconsider
this more intensively. In my view, whether online or
stationary trade, in case of the products, we should
follow the maxim: back to the
roots!
Eventually, – and this has been
a main principle of Leki for a
long time already – we want to
ensure with our products that
the sports shops can increase
their average sales receipt. So
far, we have been successful in
this respect together with our
trade partners and this continues
to be our aim in the future. This
is all the more important, since
the retailers have to struggle
with the massive decrease of
the customer frequency. In our
opinion, it makes more sense
to be successful together with
innovative products and to
increase the average receipt,
than to haggle over one or two
percent.
Of course, we
have to consider
the options. This
is our task and we must
not exclude any path.«
Matthias Hatt, CSO Leki
In your opinion, does the specialist trade have to
rethink and to negotiate differently with global
players and product-focussed suppliers? This
would be nice, but it is not realistic. Nevertheless,
the aim should be to negotiate at eye level.
We are talking about retail companies which,
partly, generate a turnover several times higher
than the one of Leki. Is a medium-sized provider
not rather in the position of the petitioner in
this case? No, he isn’t. Our sales partners know
what Leki is able to offer. After all, we are a provider
of high-quality, attractive accessories and this is
exactly what the retailers want.
Does the trend towards concentration
in the retail sector force the mediumsized
suppliers to, at least, think about
new business models? “Trade means
change”, even if it is an old adage, it still
applies to the trade itself as well as to the
industry. You have to adjust to the constant
changes in the market and the competitive
environment. Nevertheless, we have to
consider the options. This is our task and
we must not exclude any path.
Does this, indeed, mean that Leki
considers other business models too?
We, as company, are obliged to do so.
If you don’t have answers to today’s
challenges, you will get big problems in
the medium term.
What does characterise a retailfriendly
supplier in the current
difficult and contradictory situation?
Our maxim is: we strive to be a calculable partner
with high innovative strength who meets his
partners with appreciation as well as with loyalty
and reliability. I think this is a good fundament for
future business and joint success. We will stick to
this strategy based on values in the future.
What can traders and producers do to come
together again? I mentioned the word before:
appreciation. In my view, this is, as well as loyalty
and reliability, a key for future partnerships between
industry and trade.
PHOTOS: LEKI, VAUDE