MUMBAI: French sporting goods retailer Decathlon has garnered more revenue than older local rivals such as Adidas, Nike or Puma in FY18, paced by broader awareness about fitness in the country and adoption by the average Indian of sporting disciplines other than cricket.
With revenue of Rs 1,278 crore for the year to March 2018, Decathlon has also become India's second-largest single-brand retailer after Xiaomi. It also made a profit of Rs 33.8 lakh, the first in India for the retailer that began operations in the country about a decade ago. In FY16-17, the brand had a net loss of Rs 53.1 crore on revenue of Rs 925 crore, reflecting a 38% jump in FY18 sales, regulatory documents sourced from research platform Veratech showed.
"Decathlon has lower-end price positioning and targets consumers who see valuefor-money as more important than brand image. In doing so, it appeals to a wide range of age groups, and more to participants in sporting and outdoor activities, as opposed to consumers buying sportswear as fashion statement," said Alexander Göransson, consultant at Euromonitor International, which pegged the Indian sports goods stores market at $2.6 billion in 2018.