When you think about total game changers in the youth and young adult retail category over the past two years, there is a certain shoe manufacturer from Colorado that would most likely come to mind first. Of course we're talking about Crocs. Perhaps under the radar a little bit, but certainly benefiting from the explosive growth of organized youth sports, both team and individual, as well as the increasing number of young people who are regularly exercising and working out, you might not think of Under Armour, unless you visited a high school gym lately, because they are everywhere, which might explain how the company has gone from $20MM to $430MM in annual revenues over the past four years. Now, after creating this new category niche of apparel in the performance space (and forcing top behemoth competitors like Nike and Adidas to innovate quickly and bring a similar product link to market) Under Armour has set its sights on the other gender, and our prediction is that they will succeed. Why? For the same reasons they have been wildly successful targeting high school and college aged men who participate in organized sports or regularly work out. Guess what, the girls are doing the same thing, and in some cases, even more so. Think we're nuts? Go do a search on high school women's lacrosse, volleyball or field hockey, the three fastest growing female interscholastic sports nationally according to our latest Teen Lifestyle Report. It will be interesting to see what the new tagline is for the female line..."we must protect this house" might not resonate as much.
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