Word: markets
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Dates: during 2000-2009
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Polegato's timing might not be as bad as it seems. While footwear in general, and especially luxury shoes, has suffered in the recession, athletic shoes have not taken as hard a hit. In fact, after the $17.5 billion U.S. athletic footwear market saw flat sales in '08, sneakers are actually up 6% so far this year, according to SportsOneSource, a research firm. Further, while the overall golf business is stuck in the rough - U.S. equipment sales, for example, have dropped 9% this year - spikes have sold relatively well. In the United States, the $500 million golf shoe market...
Despite this favorable environment for golf shoes, GEOX's success is no gimme. First, the shoes are expensive, ranging from $160-200. Some golf shoes in the market cost even more, but that's still a steep price during down times. Plus, golf is a crowded marketplace; in the U.S., for example, Nike owns 56% of the market. With Tiger Woods returning to the course, in his usual Swoosh-clad clothes, an upstart like GEOX is unlikely to make a serious dent. "It's not like the industry is crying out for a new brand or a new idea," says...
...reason that social networks will never do well financially is that they break from the successful model that has brought so many marketers to the internet. Display advertising can be targeted by subject. Financial advertisers run messages on AOL Finance (TWX) and TheStreet.com (TSCM). They avoid sites for children's video games. Search sites like Google refined the model by allowing advertisers to buy search engine results pages. The Google results' pages for the search "heart doctors in New York City" is probably the best place in the world for heart doctors in New York City to market themselves...
...this means fashion lovers are cutting back on spending. "Right now we are seeing signs of de-premiumization - meaning that shoppers are trading down for cheaper items," says Victoria Grankina, a retail analyst at leading Russian investment bank Troika Dialog. "Overall, the luxury market really struggled in December and January, since the consumer was feeling quite under the weather. In March, we have been seeing some signs of stabilization, but we are not sure this is a trend. No one can predict when this will end." (See pictures of Paris couture...
...informal body that groups together not just the leading advanced industrial economies, who have their own club in the G-8, but also "emerging market" nations such as India and China, together with middle-income economies such as South Korea and Mexico. Together, the 19 nations (plus the European Union, which explains the 20 - though the World Bank and IMF are also members of the G-20, just to confuse things) account for about 90% of world GDP, 80% of world trade and two-thirds of the world's population...