Mavic Owner Amer Sports’ Omni-Channel Distribution Proves Successful
HELSINKI, Finland – Changing consumer shopping habits and practices have led to a transformation in Amer Sports’ Go-to-Market strategy. For all its brands, including Mavic and ENVE, the company developed a tailor made omni-channel distribution strategy. In the webshops of some brands products are sold online, while others refer to local retailers.
The objectives of Amer Sports’ omni-channel strategy are clear “in accelerating B2C, the target is to double sales over the next three years by driving traffic, conversion and basket size shopping across retail and ecommerce,” explained Amer Sports’ Chief Commercial Officer Michael White.
“Our brands are growing their Direct-to-Consumer sales as consumers increasingly seek to engage directly with brands and receive personalized product and service offers. Over the past year, we have re-organized into ‘Amer Sports Omni’, bringing together wholesale and B2C,” said White. For the brand ENVE this resulted in direct sales online, while Mavic customers are directed to their local store,
Omni-channel development at Amer Sport
According to Michael White “A lot of business was based previously on good relationships with retail customers. Today, we are a modern, professional sales organization driven focused on selling in as much as possible. We put a lot of effort in sell-through, which is highly attractive to our retail partners. We have also made the change from offering mass assortments to dealers to segmentation, which ensures the right consumer offer.”
Amer Sports Omni Now operational
The evolving consumer and the changing commercial landscape have led to significant changes which the whole company has embraced. Now Amer Sports approaches the consumer in an omni-channel way, driving the company’s own retail and the rapid growth of own ecommerce, while at the same time allowing the consumer to purchase how and when they want.
“We do not mind where our customers buy. Similarly, we can leverage our marketing, commercial campaigns and events such that they benefit all of our channels,” explains White.
‘Identifying winning retail accounts is critical’
Michael White is also clear about the company’s dealer strategy “Some retailers are struggling, but others are doing well. Our role is to identify those winning accounts and then set up strong teams and joint business plans so that we grow with those accounts. High quality specialist accounts also continue to be important for our brands.”
“To be successful in the new omni-channel world, we have made five strategic choices:
1. be found online
2. win at winning accounts
3. focus on the best specialists
4. accelerate B2C
5. provide exceptional consumer experience
Our consumers like the high service, high advice environment that the best specialists can provide.”
Accelerating B2C further by own stores
The target for Amer Sports brands is to open 25 new stores annually. The company has set the E-com growth rate target at 30% CAGR. In softgoods, 25% of sales already come from B2C, and in China, the share of B2C is 2/3. In the first half of 2017, B2C already contributed 200 basis points to sales growth and 50 basis points to gross margin.
“First we used events and our own retail stores to drive traffic, but now we also make extensive use of online search, social media, and digital dialogue to drive ever more consumers to our sites. We already have millions of contacts in our database, and we will multiple that by four in next three years. We have mobilized the whole Go-to-Market organization for that task. At the same time, we want to give consumers a frictionless experience on our websites as well as a great experience when they go to our stores or events.”
“Our portfolio enables scale and synergy in areas such as key account negotiations and sales management as well as in back office functions such as finance and HR. We plan to continue to grow the business in a healthy and sustainable fashion whilst improving our productivity,” White summarizes.