Sales Growth Expected to Accelerate in Russia Thanks to FIFA World Cup 2018
MOSCOW, June 13, 2018 – The 2018 FIFA World Cup happening in Russia this summer has not yet impacted Russia’s sales of soccer related apparel and shoes. In the 12 months ending March 2018, soccer apparel sales in Russia remained flat, according to global information company The NPD Group. For the same period, soccer footwear sales grew by 8 percent to $55 million (USD) when compared to this period the year before. However, the same growth volumes for this segment have been recorded in Russia for the past three years.
“Soccer has always been very popular in Russia, and you are likely to find a soccer ball in almost every Russian neighborhood. The only difference between past and present trends is that in the past, soccer was typically played in regular gym sneakers, while today, given the expanded variety of product available and growth in disposable income, Russians are now buying specialized soccer footwear,” said Maria Vanifatova, country manager, Russia, The NPD Group. “Looking at apparel sales, soccer clothing with soccer club logos is typically aimed at soccer fans who wear it to support their teams. This segment is active in a very different distribution channel, as consumers often buy this type of product in souvenir shops, not in sporting goods stores; in Russia, this sales channel is still not very well-developed.”
Traditionally, the World Cup has added close to 1 percent to the sales of soccer apparel and shoes in the global markets tracked by NPD. In Europe, sales have grown even faster. For example, the 2010 FIFA World Cup increased sales of soccer apparel and shoes by 9 percent in the UK, Germany, France, Spain, and Italy. In the first four weeks of this championship, soccer ball sales increased by 30 percent in all five countries.
In Russia, these segments have significant growth potential. While in more developed countries soccer apparel occupies 3.3 percent of total sports apparel and footwear, in Russia this number is 2.7 percent. When compared to France, the sale of soccer apparel and shoes in Russia is five times smaller, and nine times smaller when compared to Germany. However, in developed countries, these segments show almost no growth outside of World Cup tournaments, while soccer apparel and shoe sales in Russia have grown by 5 percent between April 2017 and March 2018. Looking at its growth rate, Russia places fourth behind the European markets of UK, France, and Turkey.
Highlights by Country for Soccer Apparel and Shoes, April 2017 to March 2018
|Global Ranking||Market Value||% Change (Dollars)|
Source: The NPD Group
Additionally, in the 12 months ending March 2018, sales of apparel and shoes for running and cycling in Russia grew by close to 8 percent as compared to the same period the previous year. Together with soccer, running and cycling make up one of the biggest and most significant trends in total sports apparel and shoes.
“Consumers opt for simpler and less expensive brands and models, and are willing to wait for discounts and promotions,” said Vanifatova. “Currently, purchases made under promotions capture over 45 percent share of total sales.”