Market Overview

Dick's Sporting Goods Relaunches Tommy Armour Brand To Jumpstart Private Label Business

Dick's Sporting Goods Relaunches Tommy Armour Brand To Jumpstart Private Label Business

At a time when most companies are running away from the golf club business, Dicks Sporting Goods Inc (NYSE: DKS) is running toward it with the relaunch of the Tommy Armour brand.

Tommy Armour, named after a three-time major champion golfer born in the 19th century in Scotland, is a golf equipment brand that has been around the game for decades. Launched in the 1970s, Tommy Armour gained recognition in the 1980s with its 845s Irons, which went on to sell over 600,000 sets. Armour’s grandson Tommy Armour III is a former PGA tour player and carries the family name on the Champions Tour.

'This Brand Will Be A Game-Changer'

"We set out to honor the history of the Tommy Armour brand and build a product that golfers at any level would want to use," said Scott Hudler, senior vice president and chief marketing officer at DICK'S Sporting Goods. "From the early feedback we've received, these clubs are ones that you're just going to have to try to really experience the difference they deliver in both distance and feel. We think this brand will be a game-changer for any player looking to improve their game."

The move comes as Dick's heavy reliance on athletic apparel brands comes under fire as the major players in sportswear opting to grow their online business at the expense of retail partners.

The clubs were designed by BMW-owned Designworks. 

"Drawing on our experience working across a number of industries on a wide range of performance-based products enabled us to deliver unique design and technology insights for the new Tommy Armour clubs, resulting in a product which provides golfers with a truly premium experience," said Laura Robin, the California studio's director.

Private Label Growth At Dick's 

On Dick's fourth-quarter earnings call Thursday, CEO Ed Stack said the company’s private label comp growth significantly outpaced the company average. Private labels will have more space in the store than they did in the prior year, Stack said. 

“Walter Hagen [and] Slazenger have done extremely well combined. So we’re going to see more space there and less space in some of the brands that are not performing as well."

Dick's is the world's largest golf retailer, and its decision to focus on an in-house brand is an indication the retailer is taking control of its destiny in the segment. Golf is not a growing sector, sports retail analyst Matt Powell told Benzinga. 

"Private label is a great way for retailers to get share in a declining market," Powell said. 

Related Links:

Dicks Sporting Goods Will No Longer Sell Assault-Style Rifles

Adidas Continues North American Tear With 31% Sales Growth

Photo courtesy of Dick's Sporting Goods. 

Posted-In: Ed Stack Laura Robin Matt Powell Scott HudlerNews Sports Top Stories General Best of Benzinga


Related Articles (DKS)

View Comments and Join the Discussion!

UBS Revises Outlook On IAC, Parent Company Of Match And Angi Homeservices

How TrueRisk Labs Built Their AI Trading System To Generate Alpha