Decathlon Boosts India Investments for Production and Retail Expansion

By siliconindia  |  Monday, 18 March 2024, 09:52:07 AM IST

Decathlon Boosts India Investments for Production and Retail Expansion
In a strategic move aimed at fortifying its position in one of its pivotal global markets, French sports retail giant Decathlon is doubling down on investments in India. Barbara Martin Coppola, the Global CEO of Decathlon, emphasized India's significance as one of the company's "most important" markets worldwide and highlighted the nation's rapid emergence as a crucial manufacturing hub for the brand. 
With a robust growth trajectory in India, Decathlon anticipates sustaining its impressive momentum, leveraging the country's burgeoning sports culture and expanding economy. Coppola expressed admiration for India's evolving sports landscape, particularly noting the increasing enthusiasm for sports among the middle class. She underscored the palpable energy witnessed at Decathlon's stores and affirmed India's status as a major market for the brand.
Decathlon's investment strategy encompasses ramping up local production, augmenting retail networks, and enhancing local sourcing capabilities. The company aims to accelerate the production of various sports goods, including bicycles, backpacks, tents, and textiles, tapping into India's manufacturing prowess. Moreover, Decathlon plans to elevate local sourcing to 85% within the next two years, capitalizing on India's rich ecosystem and skilled workforce.
Coppola lauded India's digital prowess and highlighted the nation's creative prowess and manufacturing expertise as compelling factors for Decathlon's global operations. She emphasized the brand's commitment to fostering indigenous production and leveraging India's dynamic sports industry landscape.
The surge in sports participation across Indian society, driven by factors such as rising incomes and increased accessibility to sporting avenues, has been a significant growth driver for Decathlon. The brand witnessed a paradigm shift in sports engagement, with a notable increase in participation rates, particularly among the middle class. This trend is further propelled by increased discretionary spending on sports and leisure activities.
Decathlon's commitment to delivering a seamless omni-channel experience is underscored by the success of its app, which garnered nearly 29 million downloads in India. The brand's holistic approach encompasses not only retailing sports goods but also providing spaces for sports-related activities at its stores, enriching the overall customer experience.
As the official partner of the Paris 2024 Olympics, Decathlon expresses enthusiasm for India potentially hosting future international sporting events. Coppola affirmed Decathlon's support for India's bid to host the Olympics in 2036, reflecting the brand's alignment with India's burgeoning sports aspirations.
Decathlon's journey in India, which commenced in 2009, has been marked by sustained growth and strategic expansion. The company's sales in India for the fiscal year ended March 31, 2023, reached Rs 3,995 crore, registering a commendable 37% growth trajectory.

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