Getting your product into market
The mainstream sports apparel and footwear market is highly competitive. It will be challenging to compete with established premium and discount brands.
New Zealand companies may have more success targeting niche markets in apparel and footwear in activities such as rugby, netball, sailing and adventure sports where New Zealand has sporting credibility.
For sporting goods, retailers and buying groups recommend dealing directly with themselves as opposed to distributors and agents. The competitive environment is so strong that additional channels will diminish price competitiveness and rule out market entry in most instances.
Using agents and distributors is however recommended if your targeted customers are institutional buyers such as schools, local government, recreation and aquatic operators, clubs and associations.
Institutional buyers typically seek to source products from the wholesaler or importer. This is a highly cluttered and competitive segment dominated by niche players, typically specialising in a particular sport.
There is a small number of general multi-sport distributors that may be a worthwhile starting point for exporters to consider.
Successful market entry into the sporting goods retailer market will most likely be driven by new and innovative technologies and less likely on the basis of brand or fashion strength.
Regulations
There are no major regulatory or licensing restrictions or difficulties affecting sport goods and equipment.
Opportunities
- Sport equipment and hardware may present an opportunity for New Zealand manufacturers as it is an underdeveloped area for specialist retailers and does not have the same clutter and competition that has emerged within clothing and footwear. Scope exists to develop house brands in equipment for premium and speciality sport retailers seeking to own specialist categories.
- In sporting goods, there are options for licensing technologies to established sports brands that have the financial resources and distribution penetration with retailers. Alternatively, there may be opportunities to work directly with retailers who want to develop their own exclusive product lines, particularly in the sport hardware and equipment sector.
Challenges
- Counterfeiting is a major issue for the entire sporting goods industry and Australia is second only to the United States in terms of imported counterfeit sporting goods.
