Why Foot Locker CEO Mary Dillon Says the DTC Craze Won’t Leave Retailers in the Dust

Foot Locker is still bullish on its role in the broader sneaker and footwear ecosystem, despite brands shifting their attention towards DTC ambitions and a weak first quarter. “I’ve seen this movie before,” Foot Locker CEO Mary Dillon said at a session during the Bernstein 39th Annual Strategic Decisions Conference on Wednesday, referencing her experience at the helm of beauty retail chain Ulta. When beauty brands like Glossier and Kylie Cosmetics narrowed in on DTC models, people initially expressed concern about Ulta’s ability to compete as a retailer. Eventually, Dillon explained, these brands realized a wholesale retail presence was necessary as well if they wanted to capture consumers in different channels. “Now, [Glossier is] distributed at Sephora. And Kylie came to Ulta, because you reach a point where that’s not enough,” Dillon said. “And that’s just kind of the reality.” This story, she said, is true for footwear as well. While some major brands like Nike and Adidas have focused on their direct channels and turned away from wholesale partnerships in recent years, many have recently come to realize that these channels and partners are key to a robust omnichannel strategy. For example, Foot Locker last year said the amount of Nike product

Follow Footwear News on Twitter or become a fan on Facebook.

from Footwear NewsFootwear News https://ift.tt/lHsMr8I