Foot Locker 2008 Annual Report Download - page 12

Download and view the complete annual report

Please find page 12 of the 2008 Foot Locker annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.

Page out of 99

  • 1
  • 2
  • 3
  • 4
  • 5
  • 6
  • 7
  • 8
  • 9
  • 10
  • 11
  • 12
  • 13
  • 14
  • 15
  • 16
  • 17
  • 18
  • 19
  • 20
  • 21
  • 22
  • 23
  • 24
  • 25
  • 26
  • 27
  • 28
  • 29
  • 30
  • 31
  • 32
  • 33
  • 34
  • 35
  • 36
  • 37
  • 38
  • 39
  • 40
  • 41
  • 42
  • 43
  • 44
  • 45
  • 46
  • 47
  • 48
  • 49
  • 50
  • 51
  • 52
  • 53
  • 54
  • 55
  • 56
  • 57
  • 58
  • 59
  • 60
  • 61
  • 62
  • 63
  • 64
  • 65
  • 66
  • 67
  • 68
  • 69
  • 70
  • 71
  • 72
  • 73
  • 74
  • 75
  • 76
  • 77
  • 78
  • 79
  • 80
  • 81
  • 82
  • 83
  • 84
  • 85
  • 86
  • 87
  • 88
  • 89
  • 90
  • 91
  • 92
  • 93
  • 94
  • 95
  • 96
  • 97
  • 98
  • 99

DIRECT-TO-CUSTOMERS
The Company initiated its direct-to-custom-
ers business in 1997, when it acquired East-
bay, a well-established catalog operation.
The addition of Eastbay to its portfolio of
retail store businesses extended the Com-
pany’s reach, providing the opportunity to
offer an expanded assortment of athletic
products to a larger customer base.
During the past 12 years, the Company
grew the Eastbay operation significantly by
developing and selling athletic products
through a number of Internet websites,
including Eastbay.com and Footlocker.com,
as well as a tailored website designed for
each of its store brands. Today, the Com-
pany’s direct-to-customers retail operation
is multi-branded and multi-channeled,
focused on reaching consumers through
the Internet and catalog mailings.
The Company seeks to sustain the
strong productivity measurements of its
direct-to-customers segment, including its
high profit margin rate, while also pursuing
the development of new growth initia-
tives. Identifying new initiatives for growth
through enhancements to its existing inter-
nal channels of distribution and expansion
of its partnerships with well-known third
parties is a key strategic objective for this
business. Its existing third party partner-
ships include those with Amazon.com, the
United States Olympic Committee, ESPN
and several of the Company’s key suppliers.
10