Running Insight

76 runninginsight.com © Formula4media LLC. Supporting Run Specialty (continued) Insight that the rejuvenated Italian brand would only sell its top-line running product to specialty stores. Yet more, Diadora has pledged to share 20 percent of revenue from its own website sales with its top running store accounts. "We want our brand and our running stores to build relationships with the same consumer and it will be easier for running stores to do that if they know we are standing behind them," Poerner said, adding that Diadora isn't interested in circumventing the relationships running stores have with their customers. More involved field support Rather than field staff largely working to fill stores with product, numerous brands are increasingly asking their local reps to be more engaged with specialty retailers. Kevin Adams, head of run specialty sales at New Balance, says his team has worked on making its account managers function more like business consultants than simply driving sell-through, including helping retailers measure turn and margin goals. Andy Beckman, director of fitness sales and marketing at Garmin, says the technology brand has about 30 people across the U.S. available to run shops for demo runs and staff training. These team members, Beckman says, can also help retailers secure an array of merchandising options, including freestanding displays and counter displays as well as dummy units that allow people to try on the shell of a product. On Running, meanwhile, has corporate staff devoted to providing hands-on help to store owners seeking to create lively merchandising displays and windows. Some brands are also helping stores create more energized atmospheres, even sharing in buildout costs. At the Naperville Running Company in suburban Chicago, Nike and, more recently, New Balance helped owner Kris Hartner create a dynamic basement space geared toward youth runners. "Brands are 100 percent helping us to build an important foundation with the younger set," Hartner says. "Their investment in the space and with personnel at events has made us cool and exciting." Exclusive product The ubiquity of shoe models, in particular, has been the bane of many running retailers who feel their specialty edge has been compromised by far-flung distribution. It's something brands have slowly addressed with exclusive models for the channel. About seven years ago, New Balance released the 860 as a run specialty only shoe and followed soon after with the 880, all at the blessing of company chairman Jim Davis. As the product team has evolved the models in recent years, both the 860 and 880 have earned a stronger following. "This is a multi-year project that New Balance didn't waiver from and it's now bearing fruit," the RIA's Schalow says, noting that Brooks (Transcend 5) and ASICS (Gel Pursue and Gel 3000) also have channel- exclusive models. Leadership at the Columbus Running Company (CRC) took the idea of exclusive product in a different direction by leveraging Adidas' team program to create custom CRC-themed models of the Adios Boost 3. The limited-edition footwear was a hit with customers. While not an exclusive model for the channel, Saucony has reportedly provided run shops a head start on selling its top models by releasing shoes like the Triumph, Guide, Ride and Freedom 30-60 days early for run specialty accounts. Will brands continue to support the channel? Ask a brand if they intend to continue supporting the run specialty channel and the answer is a definitive yes. Beckman says Garmin has "a dealer- first mentality," believing the run specialty world is passionate about Garmin and can help get customers passionate, too. Adams says running specialty is in New Balance's roots and where the Boston-based company validates itself. "We share a DNA with the run specialty channel and there are synergies as we're trying to achieve the same goals," he says. And Wilhelm says specialty run shops will continue to be a focus for Brooks given how local run stores foster community and plug people into the broader running world. "Specialty running stores are the hub of running community," he says. "It's where many people find a running group and start to train for races [and] where they go for product advice, recovery pointers and more." While retailers might be right to question the motivations and strategies of various brands and even have choice words for some, the RIA's Schalow says it would be wrong for either retailers or brands to minimize the value and contributions of the other. Listening to each other's respective plight and working toward solutions, Schalow says, is a much more productive and fruitful strategy. "It's really best that both parties focus on being collaborative partners because they really do need each other," he says. "It's a mutual success strategy." l

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