DICK’S Sporting Goods is looking to expand its retail presence and customer engagement by offering new locations and recreational activities.
The retailer is also hoping to take advantage of the growing e-commerce market.
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Dick’s, the Pennsylvania-based sporting goods outlet chain with over 800 locations, is capitalizing on a successful year by focusing on retail growth.
According to a press release, the company grew 0.5% in Q4 of 2024 and 3.5% for the year.
A one-week shift in the fiscal 2024 calendar compared to 2023 unfavorably impacted sales comparisons by around $30 million.
Adjusted for the extra week, sales grew about 5% for both the quarter and the year.
In response to its success, Dick’s plans to invest in both its online and retail operations.
As part of its bid to capture a bigger e-commerce share, Dick’s will invest in technology and marketing.
The company also plans to expand its store concepts.
The news came from CEO Lauren Hobart during a call with analysts on Tuesday.
HOUSE OF SPORT
Last year, Dick’s opened seven House of Sport locations and 15 Field House locations.
Dick’s House of Sport is a new retail concept experience introduced by Dick’s in 2021, providing customers with facilities for recreational activity.
House of Sport locations have amenities including practice cages, golf simulators, and climbing walls.
They also host events, workshops and activities.
Dick’s Field House offers much of the same, but on a smaller scale than its House of Sport locations.
This year, Dick’s plans to open 16 new House of Sport locations and 18 Field House locations as it seeks to expand its business and expand its market share.
About 70% of these new store openings are relocations or revamps of current stores, according to CFO Navdeep Gupta.
The company also plans to focus on footwear by investing in footwear marketing and partnering with large brands.
Footwear makes up 28% of Dick’s business, according to Hobart.
Dick’s Sporting Goods expects 1-3% comp growth and sales of $13.6-$13.9 billion in the coming year, up from $13.4 billion in 2024.
Analyst Neil Saunders sees this as a sustainable expansion, crediting investments in House of Sport and Field House stores.
Saunders notes these efforts are future-proofing the brand while competitors lag, helping Dick’s attract customers from department stores and mass merchants like Target amid slowing organic spending growth.
