4' KEY VALUE DRIVERS

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4. KEY VALUE DRIVERS
TU DAI VITA ALLO SPORT
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BUSINESS CYCLE
Logistics
Marketing
Distribution
Purchasing
Distribution channels communicate customer needs
TU DAI VITA ALLO SPORT
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SUPPLIERS

• Strong buying power thanks to leading market
  position and purchase volume
• 240 quality suppliers, including leading sports
  goods producers and local suppliers to satisfy
  specific local needs
• Annual or semi-annual re-negotiation of
  contractual terms
• Systematic control of productivity by supplier

Leading sporting goods manufacturers
NIKE
Local Suppliers
TU DAI VITA ALLO SPORT
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LOGISTICS DIRECT DELIVERY

• All products sold in Italy, and the majority of
  products sold internationally, are delivered
  directly
• Direct delivery results in a significant
  reduction in the cost of logistics
• High level of control and efficiency

Suppliers
Cesena warehouse
Suppliers
On-line customers
Selected products to stores in Eastern Europe
Direct delivery

• 3,700m2 warehouse in Cesena
• Quick and efficient delivery to stores and
  on-line customers

Stores
TU DAI VITA ALLO SPORT
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MARKETING STRATEGY AND TOOLS

• Focus on retail marketing
• Mix of channels to deliver marketing messages
• Distinctive values highlighted
• quality
• modern
• dynamic
• fun
• athletic lifestyle
• innovative

TU DAI VITA ALLO SPORT
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SUCCESSFUL DISTRIBUTION

• The success of Giacomelli Sports distribution is
  due to four key elements

TU DAI VITA ALLO SPORT
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STRATEGIC STORE LOCATION
Shopping centres
(90)
Historical centres
(10)

• High traffic
• High visibility
• Barriers to entry
• Short break even period

TU DAI VITA ALLO SPORT
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UNIQUE STORE FORMAT CONCEPT

• Corners
• Basketball courts
• Roller blading ramps
• Athletics tracks
• Climbing walls
• Multimedia
• Internet points

• Stimulation to shop
• Customer satisfaction
• Customer involvement
• Test products
• Fun
• Customer loyalty

Achieves
TU DAI VITA ALLO SPORT
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WIDE PRODUCT RANGE

• Offer of a wide range of sporting goods
• More than 30,000 different products
• More than 130 brands
• 30 different sports covered

TU DAI VITA ALLO SPORT
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EXCELLENT PRICE-QUALITY RATIO
Price positioning aimed at presenting competitive
price/product value relationship
Customer perception of excellent price/quality
ratio is sustained also through so-called
category killers
Competitive pricing on branded goods due to
enhanced buying power
TU DAI VITA ALLO SPORT
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5. ON-LINE SALES
www.giacomellisport.com
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WWW.GIACOMELLISPORT.COM

• December 1999 - Opening of Giacomellisport.com
• Initial strategy - focus on B2C
• Direct management of website operating
• in Italian, French and German
• Current industry leader in Italy
• High level of customer service
• Easy to navigate and simple purchasing process

www.giacomellisport.com
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INTEGRATION BETWEEN RETAIL AND ON-LINE
DISTRIBUTION

• Complements products offered off line
• Broadens potential customer base
• Tool for understanding customers and monitoring
  customer needs
• Customer service extended
• to off line customers
• Internet points in stores
• Alternative sales channel

www.giacomellisport.com
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KEY STATISTICS
Unique visitors
Page views
432
505
Revenues
1,024
www.giacomellisport.com
Source Webtrends