// Asics is set to scale back retail supply deals as it reassesses its customer relationships
// The sporting retailer is following similar moves made by Nike and Adidas who have both looked to direct-to-consumer sales to boost profits
Asics will be ending its supply agreements with hundreds of small UK retailers from next year, in a similar move to Nike and Adidas who have ditched smaller outlets in favor of big chains and selling direct online in recent months.
In a letter seen by the Guardian, Asics said it was halting supplies after “reassessing the relationship with many of our customers”.
It is a hefty blow to hundreds of specialist retailers already suffering from rising costs and weakening demand since the pandemic surge in sales of sports kit.
According to the title, some larger independent retailers have been cut off by Asics, which sent out emails last month, but other smaller ones have been left in place leaving stockists left to wonder as to the criteria Asics has used to slim down its distribution.
Fellow sporting giants Nike and Adidas both stopped supplying many smaller outlets to focus on their own stores and websites or major chains such as Sports Direct and JD Sports in the UK.
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One independent running shop owner told the Guardian that while she had been kept on by Asics Nike had recently told her it would stop selling her its running spikes, leaving few alternatives.
“They want to push everybody to their online store,” she said.
While Euro Sports owner Dipu Patel told the title that when he received an email from Asics telling him it would no longer supply him with trainers, it was the latest hammer blow to hit the independent retailer.
Sales of the Japanese footwear brand, comprise 40% of Patel’s footwear sales at his sports shop in Swiss Cottage. Patel received an email last month telling him supplies would be halted from January.
“It’s a shock to the system,” he said. “We will be losing [Asics] customers – they will buy it online. [Asics] have used us as a stepping stone to be where they are and then are going to sell direct.”
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