As reported at the last OutDoor show a year ago, Globetrotter Ausrüstung, the big Hamburg-based specialty retailer, will leave the Euro Family, the informal cooperation of leading European outdoor and sporting goods retailers. As a result, Globetrotter will no longer take part in the development of the alliance's private labels, Meru and Kaikkialla.
Talking to this publication, Andreas Bartmann, managing partner of Globetrotter, said that two new private labels that will be launched by Globetrotter in spring 2015 will follow an adjusted strategy compared with the existing brands marketed in partnership with the other retailers.
Basically, the big German retailer will take a similar approach by using two brands rather than just one. While one should be really price-driven, the other is planned to be more technical and positioned at a higher level. The main difference compared with the current policy is to have the share of exclusive brands proportionately reduced. Currently, Meru and Kaikkialla contribute 15-20 percent to Globetrotter's sales. The share of the new labels, which are yet to be named, is planned to be between 10-15 percent.
The retailer wants to put more focus on external brands again because it does not regard sourcing as one of its core skills. Instead, Bartmann wants to work more closely with the brands, notably in the field of special make-ups. As a result of the on-going discussion about the increasingly selective distribution policy, he foresees that quality retailers will have to work more closely together with their preferred brands.
To Bartmann, it is an understandable demand from the brands that their retail customers should buy more merchandise in return for the vendor's promise to work only with the more professional customers and to reduce the number of their retail accounts. In consequence, Bartmann predicts that Globetrotter will cut the number of suppliers to concentrate more on the remaining ones.
The retailer's interest in setting up new private labels is, to its chief, less a matter of calculation than a way to differentiate its own offer against the competition. While Bartmann sees the new labels as a full-range offer, one product segment will certainly be excluded – shoes. The effort required to develop a good range of high-quality shoes in-house would be too high, certainly as it would involve technical styles. Globetrotter is not in fashionable casual footwear. He said that another reason to exclude shoes is the question of critical volume. It would not be worth developing its own shoe collection with a total volume of only between 30,000 or 40,000 pairs per season.