Decathlon is a well-known and successful sporting chain store in France and Europe. It is a major French sport goods manufacturer and the leader in the market of the retail trade of sporting articles, with stores located throughout the world. From a marketing strategy point of view, this company is really interesting to study because its strategy is outstanding. The group has maintained this leadership thanks to a long-term growth and a strong management policy. It has shown innovation in diverse sectors, dashing into the creation of lines of technical clothes and sport wear as well as in sports equipment. Decathlon has implemented a unique strategy creating its own brands and communicates with original commercials. The task of Decathlon is to develop the health of the sport, and to satisfy sportsmen from beginners to experts. In that regard, the company's aim is to create desirability and make the pleasure and benefits of sport available to everyone. Overall, its strategy is out of the ordinary and successful. We will analyze the success of the company and look into its future course of action and challenges.
[...] Today, the Decathlon brands account for 70% of the products in the stores. However, the ambition of the company is to propose much more Decathlon brands at affordable prices with a best quality. Each brand has the same objectives: - To be accessible to everyone from the beginner to the sport lover. - Respect the environment - Sell products with a best value for money Overall, the goal of Decathlon is to satisfy all the people who may need sport equipment and give them some advice. [...]
[...] In order to ensure continued success in the future Decathlon will need to leverage new opportunities: the development of the e-commerce and globalization. Decathlon is indeed facing a more competitive market and has to maintain its position. First, the company will have to develop its purchase website because the e-commerce is a growing and has a continuous trend. The online purchase are taking more importance and Decathlon should take it into account to propose more variety of products on its website as well as online [...]
[...] Secondly, Decathlon has leveraged economics opportunities. France is to be considered as the biggest European market. Between 2002 and 2006, sport spending of French households has increased from 13.4 billion to 15.7 and today it represents of final consumption. According to the observer Cetelem 2009, the average budget of European households is weakening but French one remains the highest with per household. In addition, decathlon has leveraged the opportunity of a growing number of employments in the sport sector. The recent crisis seems to have benefited to Decathlon because customers give priority to cheaper quality products than big international brands (sales growth rate went from to 10%). [...]
[...] The key formula for success of Decathlon is to sell high quality sport goods at low prices, which explains why Decathlon is so competitive. It's also linked to its strategy. The vertical integration strategy has allowed Decathlon to propose a large variety of products accessible for everyone. It products its own fabrics and materials, it develop its own label recognized by the European standards, proved and tested by private laboratories. As there is a complete mastery from A to it allows Decathlon to realize economies of scale. [...]
APA Style reference
For your bibliographyOnline reading
with our online readerContent validated
by our reading committee
