Intersport plans at least 100 new stores in Germany
Stationary retail is struggling in many places. Despite this, the sports retailer association Intersport plans a massive expansion in the coming years - with many new locations.
Intersport's expansion strategy, according to Germany CEO Alexander von Preen, is paying off so far. "We've already opened 14 new stores this business year - and we'll probably reach a total of 18," said von Preen. Intersport's business year runs from early October to late September, like many retail companies.
There are entrepreneurs who are starting from scratch, said the Intersport CEO. But larger retailers in the association have also opened new locations. Intersport aims to open at least 100 new stores in Germany by 2030.
To achieve its expansion goal, Intersport launched an entrepreneurship program last fall. "Finding entrepreneurs who are also enthusiastic about being active as entrepreneurs, with all the challenges that entails, has been more challenging than I expected," said von Preen. This is particularly true for work-life balance.
Intersport claims to be Germany's largest sports retailer. In the 2022/23 business year, around 700 retailers nationwide belonged to the association, with around 1,400 stores. Over 400 of these operate under the Intersport name. By 2030, the association aims to increase its turnover from around 3.5 billion euros to approximately 6 billion euros, achieving a market share of around 30%.
In the current business year, 20 stores have been completely refurbished and eight have been enlarged. Retailers have invested more than 15 million euros in modernization, refurbishment, and new locations so far. Up to 10 million euros are planned for the next business year.
Million-euro investments planned
The association's headquarters in Heilbronn is also set to receive investments. In the current and next business year, plans include expanding the logistics center and installing a new photovoltaic system, which could cost up to 20 million euros. Another 15 million euros are earmarked for digitalization, such as a new e-commerce platform.
Von Preen was cautious about the current business year's results: "The winter season was practically non-existent. While we had a very good development during the football European Championship, there was generally headwind in the market," he said. People's budgets are lower due to inflation, and many prefer to go on vacation rather than shop in cities. The insolvencies of Tennis-Point and SportScheck also affected the association, but von Preen said they were able to compensate for this.
"We've seen a market-appropriate muted development so far, and our outlook for the full year remains muted. We're simply strongly dependent on external developments and general market and framework conditions," said the manager. They grew against the market trend last year, but von Preen isn't sure if they can decouple from it in the long term.
Despite the weaker year, von Preen doesn't see the long-term goals at risk: "We've grown significantly stronger in the last two years than we had planned. And we're planning growth again for the next year. It will average out in the long run."
Despite the challenges faced by stationary retail in many sectors, the sports retailer association Intersport is investing millions in expansion, aiming to open at least 100 new stores in Germany by 2030, contributing significantly to the overall economy.
Intersport, being Germany's largest sports retailer, anticipates increasing its turnover from around 3.5 billion euros to approximately 6 billion euros by 2030, further strengthening the country's economy.
