Foot Locker, Inc. is a major player in the global fashion industry and has become the world’s largest retailer of sports footwear and related apparel. The company was founded on March 16, 1974 by two brothers-in-law, Richard James “Jim” Foot (born September 4, 1942) and Kenneth H. Smith (born October 7, 1941), who opened their first store in downtown Seattle, selling running shoes. They built a chain that currently has over 3,000 stores across the United States and employs over 30,000 people. people around the world!
Company Story: For those unfamiliar with the brand, I will introduce it here briefly – read on for more details about its history! It was originally called Runners Point USA before being renamed to Foot Locker Inc. in 1983 because of the popularity of their stores and products. In 1991, Foot Locker was first listed on the NASDAQ (symbol: FL), becoming one of the most popular American brands with its own TV show! In 2003, they opened a new global headquarters and moved to New York City from Connecticut, which had been the home of the company for over 30 years.
Another interesting fact about the Foot Locker is that it has always been considered a place to buy Nike shoes at wholesale prices… and that’s no coincidence! At a time when Michael Jordan became famous for his successes with the Chicago Bulls, Jim Gatto signed a $ 500 million deal between Nike and Florsheim (Gatto served as CEO of both companies) and made sure the brand was available at Foot Locker stores .
Even though Nike is still one of the most popular brands, other companies like Adidas and Under Armor are also on the shelves! Some non-sport brands like Vans and Converse are also worth mentioning – as they are all part of what makes this company so special (and successful). In 2016 alone, Foot Locker had over $ 12 billion in revenue with an estimated total net income of nearly $ 700 million in fiscal 2017. This shows how much potential the company has to continue growing … But only time will tell if the new management will be able to maintain these impressive results!
In 2003, Jim and Kenneth retired from active management but remained involved as directors and consultants. Jim Foot died on September 11, 2007 at the age of 64 of brain cancer. On December 19, 2008, Foot Locker acquired The Finish Line Inc. for $ 558 million in cash… .. And just a month later, Foot Locker Kids was also purchased!
In 2012, former chairman and CEO Matthew S Smith was replaced by Richard Johnson after his unexpected departure for “personal reasons.” In 2015 (October), Jeffrey P Ewers took over as President and CEO after serving as Chief Operating Officer from 2014. It looks like he’s been doing quite well so far – which means there’s still hope for this company!
Foot Locker has nearly 3,300 retail outlets in 26 countries around the world – making it one of the largest American retailers! While their products mainly focus on sports footwear, they have expanded into other areas as well, such as sportswear and accessories (including watches).
What about the competition? Within the US alone, Foot Locker has many direct rivals, including Finish Line Inc. – which is its main competitor in North America with over 1,000 stores located in 21 states. Another retailer worth mentioning is Champs Sports, which operates under a different name Footaction USA… .. Interestingly, the two companies were merged in 1997 and then separated again!
The future of Foot Locker, Inc. is doing well as the company recorded a 17% increase in revenues in 2016. This year is expected to be another successful year, with some new stores planned around the world!