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Appendix VI - US Market Data The US athletic shoe market generates nearly $12 billion of annual retail sales as detailed in Exhibit l. Premium brands such as Nike and Reebok generate average gross margins to retailers of 47% making this segment highly attractive to retailers. U.S. Athletic Shoe Manufacturers Market Share and Volume of Sales by Category (in millions of pairs of shoes)
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The top five manufacturers account for over 70% of the 373 million pairs of shoes sold annually and enjoy gross margins of 38.2% to 40.8% and operating margins of 13.3% to 15.7%. The $11.6 billion in retail sales translates into wholesale sales of in excess of $5 billion. The Exhibits below detail further market information.
The average wholesale shoe price for the top five manufacturers is approximately $30.00 with their market share heavily skewed towards the more expensive end of the market.
U.S. Athletic Shoe Manufacturers Market Share and Dollar Sales by Category
($ millions)
|
Brand |
Total |
Womens |
Mens |
Girls |
Boys |
|
Nike |
3,715 |
1,505 |
1,613 |
277 |
320 |
|
Reebok |
2,785 |
1,128 |
1,209 |
208 |
240 |
|
Keds |
696 |
282 |
302 |
52 |
60 |
|
L.A Gear |
580 |
235 |
252 |
43 |
50 |
|
ASICS |
465 |
188 |
202 |
35 |
40 |
|
Others |
3276 |
na |
na |
na |
na |
|
TOTAL |
11,607 |
3,338 |
3,578 |
615 |
710 |