Secondary research
Companies in the sporting goods industry specialize in sporting goods, athletic and
fitness clothing, fitness equipment, and fitness accessories. The demographic to go into
these stores can be influenced by the activity level of the individual or their own comfort
level if they are trying to achieve a better level of physical fitness and appearance. In
order to encourage and increase the amount of their customer’s base and strengthen
existing loyalty two extensions can be developed by the sporting goods industry.
A huge opportunity is to create or enhance the use of downloadable applications to
partner with their rewards programs. Due to Dicks Sporting Goods already having an
application that partners with their rewards program we will use them as our primary
example from the industry. Dick’s Sporting Goods rewards program is called Scorecard.
The application provides access to your rewards, points, account, and preferences. It
also gives you the option to shop directly from your device. But what if it did more? If
Dicks Sporting Goods could enhance the application to have more access while in the
store for convenience, group options to create training clubs for scorecard members,
and access to reputable coaches or physical trainers. The enhancement for in store
use, while simple, could allow scorecard member’s to scan their card for fitting room
access. This current process is to push a button next to the door handle that summons
a team member to come and unlock the fitting room. By allowing you to scan your card
to gain access it would eliminate the need for you to wait for a team member to come
unlock the fitting room. As an added security measure to have your scorecard to have
this access you would need to have a team member validate the card with a legal photo
id to prevent anonymous scorecard registration. Dick’s Sporting Goods can create
private sales for individual scorecard members. Dick’s knows what their scorecard
member buys, how often they buy it, and how much of it they buy once they have them
in the store. This allows the opportunity to tailor an exclusive opportunity for individual
scorecard members. The scorecard app notifies the member with a personalized
message for an exclusive discount “just for them” on Under Armor athletic wear for a
window of time. Provides a sense of value to the member and that their loyalty is not
only appreciated, but rewarded with personalized rewards just for them.
Create social training groups in the scorecard to allow scorecard members to leader
boards, personal records from races, and fitness progress. Creating a social platform for
scorecard members to have access to workouts and events. This creates a group of
people who already shop at Dicks to build a bond together and opens the possibility of
them encouraging their social circle to also join in Dicks Sporting Goods scorecard so
they can also participate. This increases Dick’s loyal customer base and increases the
amount of data of the individuals in that stores demographic.
The extensions of the retailor can also be on a broader scope of the community. A call
to action for all Americans has been to be more active and eat more vegetables. For
some Americans the question may be “How do I get more active?” when all you see is
an abundance of leagues for adolescents and not adults. Combine that with the poor
food choices and we have a huge market of individuals that need help not only getting
active, but needing help in nutritional food choices. Dick’s Sporting Goods could easily
leverage a solution to these needs to increase traffic into their stores and adding
another dynamic to their already strong brand by building a recreational fitness leagues,
nutritional cooking classes, lab work, and assessments for adults. They can diversify
these leagues by the level of activity the person desires or specific to fitness goals.
Emphasizing the fact that it is diversified by activity levels will be key in encouraging all
fitness levels into the programs. An untapped market is those that say, I can’t or I am
not good enough, getting these individuals to participate and continue to participate will
be a huge win in terms of growing customer base. Dick’s Sporting Goods could also
align coaches or trainers for these groups. For example, if a participant was looking for
a couch to 5k fitness group or advanced marathoner they would have online access to
sign up with that specific group and have a coach to provide guidance in the training. To
help keep operating cost at a minimal, tier the amount of involvement of the coach
based off a membership dues of the participant. Increasing activity is important, but you
cannot out work poor nutritional intake. To help participants win outside of providing
activity options is to successfully launch a program similar to Publix’s Aprons program
create a spin off call Eat to Live. This would offer participants to sign up to learn how to
make healthy choices at the grocery store and offer options to learn what to do with the
food after they get home from the grocery store. Depending on generational cooking
what they learned to do at home may include cooking with lard or a lot of fried foods.
This would provide a complete nutritional package for the individual and can also be
tiered out by level of cost. Nutritional needs of someone attempting to participate in a
figure show are far different from an individual training for a marathon.
The final dynamic to this package would be creating an area that would allow to track
for progress a Health Dashboard. This would show how an individual’s progress is
trending through their fitness goals. To do this Dick’s Sporting Goods would have to
dedicate a small area that would allow for assessments and lab testing. The
assessments would fall into weighins, body fat analysis, measuring flexibility, and
metabolic zone testing to get the maximum out of your training by knowing your specific
metabolic zones. In addition, the onsite lab testing provides easy access to cholesterol
levels, iron levels, and glucose levels to monitor health scores. This again falls back to
tracking progress of the participant to keep them motivated and continuing to participate
in the programs. This additional service scapes has the potential to drive a customer
type that may normally over look Dicks Sporting Goods. It also has the strong potential
to increase the traffic of those that are already dedicated to fitness.
While one of these service scapes is an application and the other provides more
tangible services they can still easily connect providing easy, convenient access to
health scores, and abilities to sign up to participation groups.
Creating these new merchandising strategies will provide a new dynamic to the sporting
goods industry beyond just sporting goods, athletic and fitness clothing, fitness
equipment, and fitness accessories. It will provide a more social engagement and
convenience of monitoring fitness. Transitioning what is known today as a retailor
clothing store to more of a unique service scape with multiple services that will provide
the opportunity for market growth and expansion.