Foot Locker global chief executive Mary Dillon said Indians are increasingly demanding sneakers such as Jordans and Samba, going beyond just having a sports shoes culture, mimicking the trend seen in the US and China many years ago.
Foot Locker, a New York-based athletic retailer, is entering into India through a long-term licensing agreement with Metro Brands which will own and operate Foot Locker stores in India while Nykaa Fashion will be its exclusive e-commerce partner. Dillon said that the trend towards mass casualization, which, covid accelerated, will fuel the growth of the company in India.
“People enter this category and see that sneakers could play a role in their everyday life. We expect these trends will continue. We are also seeing as a multi branded retailer, once people enter the category, they’d like to buy multiple brands,” said Dillon adding that India is a very high priority new market.
“The Indian consumer is going to see the best at Foot Locker. I think the time is right for us, going into a market like India, which is obviously large and growing, but very complex. India is the fifth largest consumer market in the world. So the opportunity for consumption and purchase of sneakers we see is quite big. The category is growing, and it’s expected to continue to grow,” she told ET.
The company might introduce new brands including those which it sells globally but are still not sold in India. ET had first reported in February 2023 about Footlocker’s entry in India with Metro.
“When you look at the sneaker markets in advanced nations, like China or like the US, right, it’s far more developed. It tells you that the runway for growth is huge, the sneaker consumption in the market today is very small. Comparatively, footwear consumption in general is very low but it’s just on its way up,” said Nissan Joseph, CEO, Metro Brands.
The Indian market for sneakers is projected to reach 66 million pairs by 2028. Globally, Foot Locker’s 16% sale comes from online which continues to outpace stores at a lower base.
“We are seeing a huge trend towards premiumization of the customer. There’s a huge acceleration of the number of customers who are going to be able to afford affluent products. Our average order values have gone up every single year. We see brands entering the country who could not have dreamt of entering the country now doing astoundingly well,” said Adwaita Nayar, CEO, Nykaa.
India is one of the fastest growing and largest international markets for footwear and sportswear brands and over the years saw companies such as Under Armour, Asics and Skechers expand aggressively. Foot Locker has more than 2,800 retail stores in 28 countries across North America, Europe, Asia, Australia, and New Zealand.
