Posted by: rosebc | March 31, 2011

Retail Future and Foot Locker Good Will Efforts

Retail stocks are at new highs since the highs reached in 2008. This obviously baffles those following our country’s economic situation. The American consumer is visiting and purchasing more items from retail stores than ever, and this continue to bode well for our company Foot Locker. Even with these great numbers, one article claims this trend cannot continue and that Foot Locker stock will be “easily chopped in half by the end of 2011”. Foot Locker saw declining sales in 2010, and barely “eeked” out profit in 2010, but has been doing great in 2011 under lots of new management and new approaches. One scary item for the company is that Nike is expecting to have to raise prices on their goods in order to offset their rising material costs.

A young man from Youngstown State University in Youngstown, Ohio was murdered in a campus shooting. He was a Foot Locker employee, known to be a great kid, leader, and peacemaker. His family is donating is 100+ shoes to students at a middle school at which the young man tutored students. It will be interesting to see if Foot Locker gets word of this story and honors Jamail Johnson in any way.

Yearly Foot Locker holds an event entitled “One our Feet”, which is a banquet night where celebrities come out to benefit the UNCF (United Negro College Fund). Celebrities come to the event wearing their favorite shoes and outfits in order to help Foot Locker and it’s charity. That concludes this week’s look into Foot Locker.

 

 

Advertisements
Posted by: rosebc | March 25, 2011

F Gravity? Really Foot Locker?… and other news

No post over break, but I will be putting up another tomorrow to fill in all the Google Alert articles I got over spring break. So apparently Champ Sports stores, a company within Foot Locker Inc. thought it would be smart to put a t-shirt on display that says, “F%$& Gravity.” Public relations manager Gabriella Citrin said that all these shirts were removed from Champs Sports on Thursday March 10th as pictures were being posted online. Really Foot Locker? Did we think that all the increased money flow would make this okay? Does this make parents want to shop at your store? In further research, it is a Nike based product that Foot Locker decided to carry. All around just not a smart idea for Foot Locker. Gabriella Citrin has some more explaining to do than just saying they took the t-shirt down as the PR manager.

Even still Foot Locker continues its uptrend in the stock market. Stock market advisors are no longer just being wowed at the success, they are in fact beginning to heavily encourage their clients to buy the ever rising stock. Sales at stores that have been open a year or more have gone up 7.3%. This is a great time to be in the footwear industry, there are so many great players in the NBA that have shoe contracts and have adoring fans that want their shoes. Since Foot Locker and its daughter companies don’t have particular loyalties to brands, they can carry any and all items that give them profit. There are some shoes that are released as Foot Locker exclusives, but don’t get me wrong, they can carry whatever they want. The L.A. trainer II that became famous in the 1984 olypmics is being released exclusively at Foot Locker all throughout Europe. I tried to look into the F Gravity shirt situation more, but there seems to be little bustle about it since once issue was raised they were immediately taken down. Another post will be coming tomorrow.

Posted by: rosebc | March 10, 2011

Foot Locker’s Success Continues

The google alerts and media scanning this past week is continuing to show that Foot Locker has been dominant in their earning this quarter. This quarter their earnings reported to be $57 million up from $23 million from last year’s quarter at this time. Projections by analysts did not give Foot Locker enough credit for the year, and they continue to blow by the analyst’s projections as the earnings continue to come out. Goldman Sach’s is telling us that at this point there exists a strong footwear cycle of great product coming out from FL’s key vendors. They also say that Ken Hicks, who became the CEO on 2009 has steered the company in the right ways as it has jumped on some execustion opportunity that includes: “broadening assortments and improving apprell.” This trend does not seem to be slowing as peer results continue to be positive. The success of FL has literally become story for financial gurus to follow as time goes on. Instead of neutral status, FL is now at buy status for many financial advising agencies.

In more news, Foot Locker recently pulled their ads from MTV’s provocotive drama, Skin’s, because conservitive groups (Parents Television Council) have been outraged and said that the show should be investigated for child porn laws. PTC is claiming it is the most dangerous show ever for youth to wathch. Foot Locker, Subway, Taco Bell, and others have pulled their ads in response to the outcry. This seems to be a good move as Foot Locker recognizes their image in the eyes of those actually buying items from their stores is much more important than them appealing to the younger audience in this situation. This is the first season of the MTV drama, and FL along with the other companies were quick to drop their ads as concern from adults was raised. What is interesting to notice is that as the season went along viewership declined; thus would FL still be on board if that 3.3 million were there rather than just the 1 million that are tuning in now? Either way, FL comes out on top by going away from this sponsorship. This sums up to great financial and decision making week of Foot Locker.

Posted by: rosebc | March 3, 2011

Earnings Report

Earnings reports came out this week and preliminary numbers place Foot Locker earning 36 cents per share, which is a 33.3% raise from last year. Also, as 2010 came to an end, Foot Locker was recognized the top performing retailer of 2010. Most interesting amongst all this great success for Foot Locker is the rumor of a takeover. There is talk that the Foot Locker, which is a public company, will got private in the near future. The company’s stock is looking so good right now, it is being reported as one of ten unusual stocks attracting huge attention at this time. The success of this company in the present time and past year is garnering lots of interest in the business world. Getting this much attention economically is doing a great service to Foot Locker. With all their initiatives, sponsored events, and many different companies, they are seeing great success.

In other news, more crisis communication related, 90 pairs of Nike shoes were stolen from a Foot Locker store in Junction City, Kansas. In this same location there was a theft in September. I am interested to see if there will be a response from Foot Locker that involves “taking care of their own” and trying to fix this problem at this store. The PR abilities with the general public and their emplyees are massive if they take this as an opportunity to show their heart as a company. It is not to be expected that some sort of Foot Locker representative will be sent out every time something like this occurs, but with these repeated offenses, the company could benefit from involving themselves somehow.

Posted by: rosebc | February 23, 2011

PR efforts from media scanning

Foot Locker sponsored this past weekend’s All Star three point contest which obviously gives them lots of international credibility in their sponsoring of a NBA event. On local levels, they recognized Eddie Owens as New York’s boys cross country runner of the year. Foot Locker has a close relationship with NBA superstar Dwight Howard, who recently visited a Santa Monica Foot Locker store while out in CA for the All Star game. Ties such as these is a strong persuasive tactic for Foot Locker customers. What is also interesting is that if an athlete with prowess has some national behavioral issues, nothing falls on the head of Foot Locker, since they are not the company directly sponsoring that athlete. Say Dwight Howard pulls a Tiger Woods, Adidas has to deal with the mess, not Foot Locker. Thus, Foot Locker receives the benefits without the inherent risk.

In Legitimate Crisis Comm discussion one of Foot Locker’s online store and magazine, Eastbay Inc., dodged a bullet in Tuesday when Kelora systems LLC dropped its patent infringement lawsuit. Kelora is the leading provider of online catalog management software and service (http://www.sfgate.com). More information is most likely to come for why Kelora has agreed to let Eastbay use it’s systems and technology, but most likely from this blogger’s opinion, $$$$$.

Posted by: rosebc | February 17, 2011

Random Learnings of the Company

So my Google Alert is set up and I am getting nothing of interest so far. Foot Locker does a fairly good job of avoiding bad press. From other reasearch I have done it looks like Foot Locker is actually the number one athletic footwear and apparel retail store chain in the world. They cover all sports from basketball to tennis to running. Their website says they have 1,911 stores in 21 different countries (with the inclusion of the 1,171 in the U.S.). Also from what I have gathered there are many other stores that fall under the ubrella that is Foot Locker INC.  Those companies are: Lady Foot Locker, Kids Foot Locker, Footaction, Champs Sports, Eastbay, and CCS (skater store). Foot Locker is not simply one retail store, it is a massive company that has its hand in every bit of the atheltic retail industry. I found one crisis in my last blog (the lay-offs) and how they dealt with it (philanthropy/pushing Lady Foot Locker), and I am sure to find more of their PR efforts as my Google Alerts and media scanning continues.

Posted by: rosebc | February 10, 2011

First look into the company

From what it looks like Foot Locker does some philanthropy work schools, giving them discounts to shop there; in my eyes that is some good PR. The biggest “crisis” that I have found they have had in the recent futur came in 2010. They announced that they had to close down 117 stores thus cutting 12o jobs. In what seemed to be an effort to bolster some good PR, the company announced they would focus more on their female customers while improving their work with their Lady Foot Locker stores and the marketing strategies across the Foot Locker brands. From what the New York Company said, those reorganizations and job cuts are saving them 10 million dollars a year. Really Foot Locker? Is that how you are going to try and swing that? “Our stores were under-performing so we now have more time to focus on new endeavours”, I wouldn’t mind focusing on a new endeavor of saving 10 million dollars a year either. Those stores and employees need a better answer than that I think, this company might be very interesting to follow as the semester goes on.

Posted by: rosebc | February 10, 2011

Hello world!

Welcome to WordPress.com. This is your first post. Edit or delete it and start blogging!

Categories