Sports Direct - bucking the high street trend.
Sports Direct - bucking the high street trend.
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Discussion

Victor McDade

Original Poster:

4,395 posts

212 months

Tsippy

15,078 posts

199 months

Thursday 14th July 2011
quotequote all
I guess that if you look at the demographic who purchase sports fashion clothing, they aren't suffering from increases in living costs and reduction in wages / loss of jobs. So it makes sense smile

anonymous-user

84 months

Thursday 14th July 2011
quotequote all
Mike has always looked after his staff. When he floated the company he gave selected long term senior employees 5 million pounds each. He's a shrewd and clever businessman and it's no surprise that his business is emerging well from the downturn.

Esseesse

9,027 posts

238 months

Thursday 14th July 2011
quotequote all
Tsippy said:
I guess that if you look at the demographic who purchase sports fashion clothing, they aren't suffering from increases in living costs and reduction in wages / loss of jobs. So it makes sense smile
+1 Beat me to it.

thinfourth2

32,414 posts

234 months

Thursday 14th July 2011
quotequote all
Tsippy said:
I guess that if you look at the demographic who purchase sports fashion clothing, they aren't suffering from increases in living costs and reduction in wages / loss of jobs. So it makes sense smile
Strangely enough this lot are doing very well also

http://www.michaelpage.co.uk/client-profile/5219/b...

EDLT

15,421 posts

236 months

Thursday 14th July 2011
quotequote all
Tsippy said:
I guess that if you look at the demographic who purchase sports fashion clothing, they aren't suffering from increases in living costs and reduction in wages / loss of jobs. So it makes sense smile
yes

Everyone knows that people with jobs go to the gym in a suit.

Mojooo

13,291 posts

210 months

Friday 15th July 2011
quotequote all
unrepentant said:
Mike has always looked after his staff. When he floated the company he gave selected long term senior employees 5 million pounds each. He's a shrewd and clever businessman and it's no surprise that his business is emerging well from the downturn.
Sadly that isnt reflected for ground staff - its a company that I have seen critcised a lot for paying low wages and working shop staff very very hard - but I spose most of them are young and don't matter.


anonymous-user

84 months

Friday 15th July 2011
quotequote all
Mojooo said:
unrepentant said:
Mike has always looked after his staff. When he floated the company he gave selected long term senior employees 5 million pounds each. He's a shrewd and clever businessman and it's no surprise that his business is emerging well from the downturn.
Sadly that isnt reflected for ground staff - its a company that I have seen critcised a lot for paying low wages and working shop staff very very hard - but I spose most of them are young and don't matter.
They all just got a 44k bonus!!

Mojooo

13,291 posts

210 months

Friday 15th July 2011
quotequote all
unrepentant said:
They all just got a 44k bonus!!
I believe they can earn up to double their salary - which might not be much if you are a 17 year old on min wage and a 0 hour contract and working on the whims of what they will give you (according to what I have read!)

ClassicMercs

1,703 posts

211 months

Friday 15th July 2011
quotequote all
From the Times article it seems clear its only about 10% of staff - permanent staff with at least a year under their belt. So - only good for some.

Terrible stores - cramped - safety hazard - doubtful quality on some own brand stuff - and teenage kids chatting to their mates and not the shoppers.

But yes - their key market isn't as affected by inflation as the main population, as long as the younger folks have jobs of course, based on all the youth unemployment data.

VeeFour

3,339 posts

192 months

Friday 15th July 2011
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Will be interesting to see the real value of those shares when they sell them in 12 months time - we've seen some very large companies go from profitable to bust in that timescale.

clonmult

10,529 posts

239 months

Friday 15th July 2011
quotequote all
ClassicMercs said:
Terrible stores - cramped - safety hazard - doubtful quality on some own brand stuff - and teenage kids chatting to their mates and not the shoppers.

But yes - their key market isn't as affected by inflation as the main population, as long as the younger folks have jobs of course, based on all the youth unemployment data.
I'm surprised that the safety hazard issue of their stores hasn't ever been discussed. Way too cramped, stock literally up to the ceiling, getting around the store with a toddler and buggy is almost impossible. Never anywhere near enough staff to help out with the shoe sales. And they never have a decent selection of cycling kit in stock, thats only ever available on-line.

But you can't argue with their prices, and its no big surprise that they're doing good business.

Balmoral Green

42,561 posts

278 months

Friday 15th July 2011
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Awful chanted slogan at the end of their TV ads though. They must have gone to a bottom division football match and got the fans to sing after losing the match, in the rain, and in the cold, with the pub shut, and no pies. It's such a dull boring dreary rendition "Sports direct dot com" frown

voyds9

8,490 posts

313 months

Friday 15th July 2011
quotequote all
Also no shareholder dividend.

If your shares had gone up 128% and you got no dividend would you hang on to them or cash them?