Foot Locker’s Revenue by Sales Channel (2016-2021)

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This statistic highlights Foot Locker’s Revenue by Sales Channel, split between Stores, and Direct-to-Customers, reported on a quarterly basis from Q1 2016 onwards.
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This statistic highlights Foot Locker’s Revenue by Sales Channel, split between Stores, and Direct-to-Customers, reported on a quarterly basis from Q1 2016 onwards.

Foot Locker’s Revenue by Sales Channel

Foot Locker generates most of its revenue from stores. In Q3 2021, 80% of the revenue was generated from the sales of the products at stores, while only 20% of the revenue was generated from direct sales to the customers. The company’s total revenue grew from $2,106 million in Q3 2020 to $2,189 million in Q3 2021, marking a 4% growth on a year-on-year basis. However, total revenue went down from $2,275 million in Q2 2021 to $2,189 million in Q3 2021, marking a dip of 3.7% on a quarter-on-quarter basis.

The store’s channel generated significant increases for both the quarter and year-to-date periods, which was a result of the temporary closure of stores across all of the company’s banners around the world during the first half of 2020, partially offset by a decline in the direct-to-customer channel as shopping navigated back to physical locations. The digital penetration declined as compared with 2020, yet the penetration is higher than historical levels. The company continues to leverage the technology platforms to enhance the digital experience. The significant improvement also reflected increased consumer demand for exciting and new product offerings and the effect of government stimulus.

Foot Locker’s revenue is bifurcated into the following sales channels:

Revenue by Sales Channel Q3 2020 Q2 2021 Q3 2021 Contribution in Q3 2021
Stores $1,656.00 $1,817.00 $1,756.00 80%
Direct-to-customers $450.00 $458.00 $433.00 20%
Total $2,106.00 $2,275.00 $2,189.00 100%

(All values are in millions, apart from percentages)

Stores

Store sales are primarily fulfilled from the store’s inventory, but may also be shipped from any of the distribution centres or a different store location if an item is not available at the original store. As on October 30, 2021, the company operated 2,956 stores globally.

Sales by the stores constitute a major part of the total revenue for the latest quarter, accounting for 80%. In Q3 2021, the company generated $1,756 million from the stores. This marked a 6% growth in revenue as compared to $1,656 million in Q3 2020, on a yearly basis. However, it decreased by 3.3% as compared to $1,817 million in Q2 2021, on a quarterly basis.

Direct-to-Customers

Direct-to-customer orders are generally shipped to customers through distribution centres, but may also be shipped from any store or a combination of distribution centres and stores depending on availability.

Sales through the Direct-to-Customers channel constitute a smaller share of the total revenue, accounting for 20%. Revenue generated through the direct-to-customers channel in Q3 2021 stood at $433 million, which was 3.7% less, as compared to $450 million in Q3 2020, on a yearly basis. In addition, it also declined by 5.4% as compared to $458 million in Q2 2021, on a quarter-on-quarter basis.

About Foot Locker Inc

Foot Locker, Inc. is a worldwide leading manufacturer of sportswear and footwear under brands such as Foot Locker, Lady Foot Locker, Kids Foot Locker, Champs Sports, Eastbay, WSS, Footaction, and Sidestep. Foot Locker Inc. and its subsidiaries operate primarily in mall-based stores, as well as stores in high-traffic urban retail areas and high streets, in 27 countries including the United States, Canada, Europe, Australia, New Zealand, and Asia. The company aims to stimulate and empower youth culture around the world, by powering a shared passion for self-expression and creating unbeaten experiences at the heart of the global sneaker community.

Foot Locker Company is headquartered in Los Angeles, California. The company completed the acquisition of WSS during its third quarter. Warehouse Shoe Sale (WSS) is a retail chain of the shoe store that operates in 92 retail outlets around the world. The company uses its omnichannel proficiency to cover the difference between the digital world and physical stores, including order-in-store, buy online and pickup-in-store, and buy online and ship-from-store, together with e-commerce.

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