Stephen Curry is by far one of the best shooters in NBA history. Lately however, 3-pointers aren’t the only things he’s been sinking. Earlier today, Under Armour CEO Kevin Plank reported disappointing sales of the Curry 3.
Kevin Plank during Thurday’s early morning call:
“Our success in basketball hasn’t been without its learning. As we launched the Curry 3 late last year, our expectations continued to run high. And while the 3 played very well on court for Stephen Curry and our athletes, a sluggish signature market and a warm consumer reception led to softer than expected results.
“This has created an inventory imbalance that we are working through. One that, yes, is baked into our full-year outlook which hasn’t changed and, most importantly, yielded lessons we’re applying ahead with the Curry 4 and beyond.
Sales of the Curry 3 continue to rise, but not as expected. With a lackluster design and higher price point, the sneaker struggled despite the Warriors success. Two years ago when they released the Curry One, the price point was only at $120.00 USD. They quickly raised it up each year until it reached the $140.00 USD mark with the Curry 3. The success of the first two Curry sigs did so well in the market and that also because of Curry’s success on court. Newly acquired Kevin Durant drew out the spotlight for Steph and his momentum as a brand.
As you can see above, December 2015 was the peak of Under Armour footwear. Shortly after, the interest plummeted. In November, they lost a staggering $600M of its value as Foot Locker CEO Dick Johnson stated that the sneaker started a little slower than the previous models.
In the last quarter, footwear sales were only up 2 percent compared to last years 64 percent increase. The brand however is looking ahead with confidence as the company shares rose 7 percent in early trading.
CEO Kevin Plank also said that they would focus more strategic releases and drops for the Curry brand, limiting sneakers and having more exclusivity commenting:
“With respect to number of color offerings, scarcity, exclusive and cadence of launches to drive more consistent engagement and results.
We at Kicksologists believe that Under Armour will bounce back as the new Curry 3ZERO model looks promising. As long they continue to push great product and invest in better technology, the success will come. Looking into other athletes to join their UA team is also crucial. Having all your eggs in the Curry basket is risky as he has been known to catch the injury bug in the past. Adding maybe a couple more legit NBA All-Stars to their squad would increase visibility and establish a better foundation for the future.