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Brooks Sold to Russell

Started by Lyndon · · Last activity · 10 posts · 306 views

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General fitness, health and nutrition
Published
14 December 2004
Last activity
21 December 2004
Original author
Lyndon
Posts
10
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  1. There was a thread here some weeks ago about Brooks being put up for sale.

    A story went across the financial wires today that Brooks is being purchased by
    Russell (who makes Russell Athletic gear, among other things) for $115 million.
    The purchase is to be completed in the next month.

    Lyndon
    "Speed Kills...It kills those that don't have it!" --US Olympic Track Coach
    Brooks Johnson

  2. ....this is too bad (and not good for the running community). brooks is a
    wounded animal & getting leveraged on. it's one less player that offered a
    decent option/product to runners. it won't happen overnight but i don't see
    russel maintaining brook's business model. in all their business spaces (i.e.
    they own spaulding)...russel does not compete w/the high end of the sector.

    this tail (brooks) will not wag the dog (russel). brooks totally missed
    developing penetration in appearal whereas even saucony has done far far
    better over the past 5-6 years. in the mid 90's brooks was a much bigger
    company than saucony.....however today?...well last year saucony had more the
    50% greater sales volume than brooks. sauc had $130M-$140M. in 1995 if
    someone told you saucony would have 50% more gross annual sales than brooks in
    less than 10 years...you would have been laughed. btw expect k-swiss or
    someone else to buy saucony in '05.....

    i got back into running in '99/'00 on a pair of the first version of the brooks
    trance too, loved the shoe. just last week i bought a pair of brooks dyad 2
    for my girlfriend (this is a shoe designed for flat feet/low arch runners).
    i've not ran in brooks shoes for 4 years now.

    russell makes decent [censored]...but it's not "great". 2-3 times a year i buy (by
    the dozen) long sleeve russel cotton tops for $5 or so from campmor.com. I buy
    their tanks, their shorts...etc...but it's all mid-level stuff, decent and
    inexpensive. To my knowledge Russel does not make anything for the Mid-Upper or
    Upper end of the athletic market (strategically).

    Being a player in the shoe game today means not only keeping up w/the market
    w/shoes but also apparel. There's more money in the apparel than the shoes
    anyway. "Fabrics"....cool-max, etc...moisture wicking tops, shorts, jackets,
    etc.

    Is Brooks a gateway for Russel to get in that space immediately? No. Will
    they finance attacking this space w/the Brooks brand?....who
    knows...maybe....But I am not counting on it. It's not what they do.
    Russell's model is serving the entry level market. For example...today you
    don't see Brooks shoes in the #1 retailer of athletic shoe footwear.
    Footlocker. Russell has deep distribution w/Footlocker and you can bet going
    forward you will see those shelves w/Brooks shoes.

    But i bet the product will be "watered down" and bracketed down...quality,
    price, etc. In sum, I am saying I don't see Russell seeking to play "catch
    up" to the high end of the runner's market. That will cost too much money.
    I see Russell leveraging their in place alliances and shoving the brooks brand
    through those channels...and "re-working the line" to fit in with their in
    place and successful model.

    but don't listen to me on any of this....i am simply musing off the top of my
    head in realms and areas wherein i have little knowledge...

  3. Leafing through rec.running, I read Lanceandrew's message of 14 Dec
    2004:

    Quoted message said:

    but don't listen to me on any of this....i am simply musing off the
    top of my head in realms and areas wherein i have little knowledge...

    Why couldn't you have put that at the top of your post. I just wasted
    several minutes readng your "off the top musings." ;-)

    Phil M.

  4. Phil M. said:

    Leafing through rec.running, I read Lanceandrew's message of 14 Dec
    2004:

    Quoted message said:

    but don't listen to me on any of this....i am simply musing off the
    top of my head in realms and areas wherein i have little knowledge...

    Why couldn't you have put that at the top of your post.

    He did so, implicitly. In the "from" line.

    Cheers,
    --
    Donovan Rebbechi
    http://pegasus.rutgers.edu/~elflord/

  5. Quoted message said:

    in all their business spaces (i.e.
    they own spaulding)

    Then Brooks is doomed!

    Quoted message said:

    i got back into running in '99/'00 on a pair of the first version of the
    brooks
    trance too, loved the shoe. just last week i bought a pair of brooks dyad
    2
    for my girlfriend (this is a shoe designed for flat feet/low arch runners).
    i've not ran in brooks shoes for 4 years now.

    Brooks are great if you like a soft, squishy shoe with a relatively short life.

  6. Quoted message said:

    wherein i have little knowledge...

    Why couldn't you have put that at the top of your post. I just wasted
    several minutes readng your "off the top musings." ;-)

    Phil M.

    I agree! He must've "had tea" with our resident psycho Virginhag. A long post
    like that, then at the end "I don't know jack about what I just wrote"???
    [censored] me off!

  7. "Lanceandrew" <[email hidden]> wrote in message
    news:[email hidden]...

    Quoted message said:

    ...this is too bad (and not good for the running community). brooks is a
    wounded animal & getting leveraged on. it's one less player that offered
    a
    decent option/product to runners. it won't happen overnight but i don't
    see
    russel maintaining brook's business model. in all their business spaces
    (i.e.
    they own spaulding)...russel does not compete w/the high end of the
    sector.

    this tail (brooks) will not wag the dog (russel). brooks totally missed
    developing penetration in appearal whereas even saucony has done far far
    better over the past 5-6 years. in the mid 90's brooks was a much bigger
    company than saucony.....however today?...well last year saucony had more
    the
    50% greater sales volume than brooks. sauc had $130M-$140M. in 1995 if
    someone told you saucony would have 50% more gross annual sales than
    brooks in
    less than 10 years...you would have been laughed. btw expect k-swiss or
    someone else to buy saucony in '05.....

    The reason Saucony does more sales volume is because they sell a ton of
    retro shoes in mall and department stores to kids. Brooks OTOH sells only
    technical running shoes and clothing primarily in running specialty shops.
    They made the decision a few years ago to ditch the low end stuff and stick
    with what they do best and that's selling higher end shoes in shops where
    the employees are somewhat knowledgeable about their products. Go to your
    local running shop and ask them about Brooks and I'll bet it's one of their
    better selling brands. They own the motion control category and the
    Adrenaline is one of the best stability shoes out there. They're also making
    inroads into the racing market by sponsoring the Hanson's racing team and
    the NCAA cross country nationals. I don't know what the Russell deal will
    mean to Brooks but I know in the past few years they have become a major
    player in running specialty shops in a lot of places and I can't see Russell
    scrapping all that.

    Jim Johnson

  8. "Donovan Rebbechi" <[email hidden]> wrote in message

    Quoted message said:
    Phil M. said:

    Leafing through rec.running, I read Lanceandrew's message of 14 Dec
    2004:

    Quoted message said:

    but don't listen to me on any of this....i am simply musing off the
    top of my head in realms and areas wherein i have little knowledge...

    Why couldn't you have put that at the top of your post.

    He did so, implicitly. In the "from" line.

    hahaha :-)

    cheers,
    --
    David (in Hamilton, ON)
    www.allfalldown.org
    www.absolutelyaccurate.com

  9. ----- Original Message -----
    From: "Jim Johnson" <[email hidden]>

    Quoted message said:

    The reason Saucony does more sales volume is because they sell a ton of
    retro shoes in mall and department stores to kids. Brooks OTOH sells only
    technical running shoes and clothing primarily in running specialty shops.
    They made the decision a few years ago to ditch the low end stuff and
    stick

    I beg to differ on the low end stuff with Brooks...when I was selling shoes
    in a sports store not too long ago, I was the King of the 19.99-29.99 Brooks
    court shoes, hikers, and cross trainers. Not to mention their $29.99 to
    $49.99 nylon running suits. Heck, even yesterday whilst out shopping for
    some new workboots, I was debating between a pair of nice steel toes, or
    $24.99 Brooks hikers. And that was in a department store. And that was in
    Canadian funds.

    JerryB

  10. Quoted message said:

    I beg to differ on the low end stuff with Brooks...when I was selling shoes
    in a sports store not too long ago, I was the King of the 19.99-29.99 Brooks
    court shoes, hikers, and cross trainers.

    Hey stupidaxx, he said "TECHINAL RUNNING SHOES" not play shoes.

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