Companies in this industry primarily sell casual, dress, and athletic shoes, including orthopedic shoes, from physical retail locations. Major US companies include Payless ShoeSource, Brown Shoe Company (which owns Famous Footwear and Naturalizer), Foot Locker, and DSW. Some shoe manufacturers, such as Nike, also have retail operations.
New styles and personal income drive demand. The profitability of individual companies depends on effective merchandising and competitive pricing. Large companies have advantages in purchasing, distribution, and marketing. Small companies can compete effectively by stocking specialty products, providing superior customer service, or serving a local market. The US industry is concentrated: the top 50 companies have about 75 percent of industry revenue.
Major products sold by shoe stores include women’s casual and dress shoes (30 percent of industry revenue); men’s athletic shoes (20 percent); men’s casual and dress shoes (13 percent), and women’s athletic shoes (10 percent). Other products include handbags, hosiery, and jewelry. Companies may specialize in men’s, women’s, children’s, or athletic shoes. Over half of all shoe retailers are family shoe stores, which offer merchandise for multiple targets.Buy Now