Sporting goods retailer Decathlon to invest $111 mln in India expansion plan
BENGALURU, Aug 21 (Reuters) -French sporting goods retailer Decathlon said on Wednesday that it will invest 100 million euros ($111 million) in India over the next five years to expand its store count and manufacturing in what is one of its key markets.
The retailer, which entered India in 2009, sells a host of sports accessories ranging from footballs and yoga mats to bicycles and exercise equipment, cashing in on the growing interest in fitness and an active lifestyle.
Decathlon competes with Nike NKE.N, Adidas ADSGn.DE, Puma and local brands in India's sports goods market, which, according to industry estimates, is expected to grow 69% to $6.6 billion from 2020 to 2027.
Decathlon, known for its cavernous stores that often have a playing field attached, said it plans to increase its network to 190 stores, from the 110 stores currently. It has 1,700 stores globally.
The company makes cricket bats, most of its hockey gear as well as other products in India. Currently, 68% of its India sales are locally-made products and the company aims to boost this figure to 85% by 2026.
Decathlon is expecting to double its business in the country in the next three to five years, Decathlon India CEO Sankar Chatterjee said, according to local media reports.
Earlier this year, Decathlon said India is a priority market and expects it to be among its top five markets globally within five years.
The company's sales in India jumped 37% to 39.55 billion rupees ($471 million) in the year ended March 2023, outpacing the 1.14% sales rise at the group level, Economic Times had reported.
Decathlon's expansion plans come as billionaire Mukesh Ambani's oil-to-telecom conglomerate Reliance group is looking to launch a sports format store to compete with Decathlon.
($1 = 0.8994 euros)
($1 = 83.8920 Indian rupees)
Reporting by Hritam Mukherjee in Bengaluru; Editing by Savio D'Souza
Related Assets
Latest News
Disclaimer: The XM Group entities provide execution-only service and access to our Online Trading Facility, permitting a person to view and/or use the content available on or via the website, is not intended to change or expand on this, nor does it change or expand on this. Such access and use are always subject to: (i) Terms and Conditions; (ii) Risk Warnings; and (iii) Full Disclaimer. Such content is therefore provided as no more than general information. Particularly, please be aware that the contents of our Online Trading Facility are neither a solicitation, nor an offer to enter any transactions on the financial markets. Trading on any financial market involves a significant level of risk to your capital.
All material published on our Online Trading Facility is intended for educational/informational purposes only, and does not contain – nor should it be considered as containing – financial, investment tax or trading advice and recommendations; or a record of our trading prices; or an offer of, or solicitation for, a transaction in any financial instruments; or unsolicited financial promotions to you.
Any third-party content, as well as content prepared by XM, such as: opinions, news, research, analyses, prices and other information or links to third-party sites contained on this website are provided on an “as-is” basis, as general market commentary, and do not constitute investment advice. To the extent that any content is construed as investment research, you must note and accept that the content was not intended to and has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such, it would be considered as marketing communication under the relevant laws and regulations. Please ensure that you have read and understood our Notification on Non-Independent Investment. Research and Risk Warning concerning the foregoing information, which can be accessed here.
