Budget Sport - INTERSPORT launches new retail concept

01.09.2005 | As the world’s leading sporting goods retailer, the INTERSPORT brand offers Expert Authority to their customers, providing best service and advice. With these core competences, in 2004 the INTERSPORT Group successfully managed to increase its market share to 19% and continues to be market leader in the world sporting goods retail market.

For many years the INTERSPORT Group has been observing the polarisation in the electronic and food industry, with growing focus on either expertise or price sensitive consumers looking for discount concepts. Nowadays this trend can also be recognised in the sporting goods market.

Therefore the INTERSPORT Group will offer further benefits to their consumers. Existing INTERSPORT retailers will launch as franchisees the new retail concept Budget Sport in Europe, with IIC - INTERSPORT International Corporation acting as franchisor and the national INTERSPORT organisations as master franchisees. Budget Sport stores, with a minimum sales surface of 800sqm, will concentrate on offering several product categories, focusing on fast product rotations and aggressive prices with a low cost structure (reduced sales staff and lower shop fitting investments).

The first store will be opened in April 2006 in Tammisto, in the Northern Helsinki region, Finland, followed by launches in other European countries.

Franz Julen, CEO of IIC - INTERSPORT International Corporation: “With Budget Sport national INTERSPORT organisations with high market shares will have the opportunity to launch a second retail concept, which clearly differs from the INTERSPORT retail concept. The master franchisee will be responsible for the national distribution strategy, selection of locations and acquisition of possible franchisees. Within the next 4-5 years the INTERSPORT Group plans to launch more than 50 Budget Sport stores in 7-8 European countries. Utmost customer satisfaction remains first priority for our retailers. We have already reached this goal the INTERSPORT banner and can now additionally satisfy customers with unbeatable prices under the retail concept Budget Sport."

With a turnover of EUR 7.3 billion and more than 4’800 specialist sports shops in 29 countries, the INTERSPORT Group has further strengthened its position as the leader in the world sporting goods retail market.