SGB WEEKLY 1142

OCTOBER 17, 2011

NEWS & INFORMATION FOR THE RUNNING & TRIATHLON MARKET

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ISSUE 1142 OCTOBER 17, 2011

Group Publisher Bill Garrels bgarrels@sportsonesource.com 303.997.7302

NEWS & INFORMATION FOR THE RUNNING & TRIATHLON MARKET

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Editor In Chief James Hartford (704.987.3450 x104) james@sportsonesource.com Senior Business Editor Thomas J. Ryan (917.375.4699) tryan@sportsonesource.com Creative Director Teresa Hartford

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Graphic Designer Camila Amortegui Advertising Sales Director Casey Vandenoever (303.997.7302) caseyv@sportsonesource.com Advertising Sales Account Manager Katie O’Donohue (704.987.3450 x110) katieo@sportsonesource.com Circulation & Subscriptions subs@sportsonesource.com Technology Chief Information Officer, Mark Fine VP Research & Development, Gerry Axelrod Manager Database Operations, Cathy Badalamenti

Brooks short film, What is Life?', launched in 2005 and wound up topping the charts on iFilm.com

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FEATURES

4 BROOKS Gets Happy 8 BAREFOOTIN' IN MANHATTAN Merrell, VivoBarefoot And Injinji Were Among The Sponsors Of The 2nd Annual New York City Barefoot Run

DEPARTMENTS

14 I AM...SGB PERFORMANCE Chris Farley, Owner, Pacers Running Stores

SGB Weekly

SportsOneSource Research SportScanInfo OIA VantagePoint SOS Research Cover photo: Barefoot Ted offered rides across Governors Island on his rickshaw, which was custom-built for NYCBR and flown-in from across the country.

(Photo credit: Keith Goldstein) SportsOneSource, LLC 2151 Hawkins Street • Suite 200 • Charlotte • NC • 28203 t. 704-987-3450 • f. 704-987-3455 www.SportsOneSource.com

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WEEK 1142 | SGBweekly.com

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B.R.A.S.H. (Brooks Running Athletic Support Hospital) booths at running expos introduces gait analysis to runners under a theme borrowed from the M.A.S.H TV show.

BROOKS GETS HAPPY

By Thomas J. Ryan

In 2001, Brooks Sports made a strategic decision to focus exclusively on running, setting the stage for the brand to become the leading footwear vendor last year in specialty run. But it took awhile to develop the brand's point of view.

The "Run Happy" theme first appeared in a short-lived campaign in early 2000, but was replaced by an ultra-serious “Respect the Run” effort in late 2002. Within a few months, the campaign was ditched after being deemed "much too straight-laced for the fun Brooks brand," according to Dave Larson, Brook's VP of marketing. Management also began to realize that a lighter approach could become a point of differentiation.

"Analysis showed us that the competition was focused on Big Sweat (running is a chore featuring serious, lonely guys, no pain/no gain, redemption in sweat) and/or Big Shoe (main image is the shoe with clever feature/benefit copy)," said Larson, who has been with Brooks since 2003. "The incredible variation in runners and the richness of the running experience was reduced to clichés. Brooks wanted to be the brand to disrupt this convention and break from the pack with a fun and celebratory brand voice.” ​The shift culminated with the 2005 launch of “Run World, Run,” a worldwide marketing campaign incorporating various artists’ interpretations of the running world. The highlight was a 90-second, Flash-animated short film, "What is Life?", that humorously depicted the life of a runner from birth to death. The short wound up going viral and topped the charts on iFilm.com.

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SGB PERFORMANCE l OCTOBER 17, 2011

​While recognizing the value in making people laugh, Brooks was also learning how to tap into the communal aspect of running. ​"Runners belong to a community and regardless of their level of ability, they are supporters of the much broader running community," said Larson. "Competitive elite runners appreciate and encourage those who run for fun, and likewise, the more casual runners embrace their more accomplished counterparts. The connective tissue is their passion for the run. ​Brooks embraces this spirit." ​At the urging of many consumers and its own employees, Brooks morphed back into its "Run Happy" messaging. Officially returning in January 2008 with a collage print campaign. "Run Happy" found its groove with its Superfans campaign. Running from

Launched in June 2010, the Cavalcade of Curiosities mobile tour has made more than 150 stops across the U.S.

A Pure Running Heaven booth debuted at the Chicago Marathon.

Fun and games as part of the Cavalcade of Curiosities mobile tour.

January 2009 until mid-year 2010, the effort featured Carl and Karl Underwood as two overly-obsessed running enthusiasts. Played by the cult-comedy brothers, Jason and Randy Sklar, nine videos were produced and ran on running sites and blogs culminating in more than 4 million views. An accompanying print campaign ran in running, lifestyle and fitness publications. ​The response encouraged Brooks to delve deeper into bringing a more playful approach to its overall messaging. ​​"Our positioning is focused on our unique “secret sauce” -- we are solely dedicated to creating performance running products inspired

by runners, grounded in science, blended with art and engineered to make every run a happy run," said Larson. "We see the world as half-full, not half-empty, and take it upon ourselves to celebrate the run. As one retailer put it, 'I like Brooks because you take your product very seriously, but don’t take yourselves seriously.' " ​Run Happy has continued through different renditions such as the B.I.L.B.O. campaign, featuring “Lost-Like” characters extolling the virtues of DNA cushioning technology in hilarious yet educational videos that likewise had successful viral results. ​One of the highlights of the Superfans effort was creating the “Runbearable Lightness of Being” show at the Boston Marathon Expo in April 2009. It was a staged comedy featuring the Sklar brothers as Superfans glorifying everything running. Said Larson, "It was a sort of revivalist show with chorus, organ player, a healing all designed to pay homage to the runner. We ran the show every hour for two and a half days."​ That sent a message to the Brooks' marketing team that the envelope could be pushed much further in its bid to reach runners at the grassroots level. ​B.R.A.S.H. (Brooks Running Athletic Support Hospital) booths were introduced at several marathons (i.e., Boston, Chicago, Marine Corps) that featured gait analysis wrapped in a "Run Happy" M.A.S.H theme. With helicopter noise in the background, every few minutes a siren would sound and an actor dressed as Klinger would get on the speaker with running jokes. Podiatrists dressed as doctors would administer the gait analysis WEEK 1142 | SGBweekly.com

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NEWS alongside gurneys and tents. A distillery station dispensed Gatorade.

Participants received t-shirts and dog tags worth a chance to win prizes. ​In the same vein, Brooks brought out VIP Porta Potties at Rock ‘n’ Roll marathon events, which rewarded runners with a luxurious Porta Potty experience — toilets that flush, separate non-smelly stalls, attendants dressed in tux tees, red carpets, etc. ​At the Chicago Marathon on October 9, Brooks ran its first Pure Running Heaven promotion featuring the pearly gates of heaven and a heaven-like set with harpists, angels, cherubs all doing gait analysis for its new line of PureProject shoes. ​The most ambitious undertaking is the Cavalcade of Curiosities mobile tour. A London double-decker bus retrofitted with free gait analysis stations on the top floor and an “Arcade of Oddities” on the ground floor that features a “museum” - displays such as the world’s biggest shoe, the legendary “Bunion Boy’s” malady ​preserved and pulsating in a jar and other running wonders. Complimentary popcorn, hot dogs, games, giveaways, and raffles for bigger prizes were offered in a carnival atmosphere. ​Larson noted that running "can be intimidating" and Brooks was looking for a "less serious way" to inspire people to run but also instill lessons on proper running form and injury prevention. Said Larson, "All in all it is just gait analysis skinned in a fun way, but it is something only Brooks would do and it does put our best foot forward: expert product solutions in a fun way."

Launched in June 2010, the bus has driven around the country hitting Rock ‘n’ Roll events while stopping at local running stores and running events to put on a show for runners. A costumed Walking Jesus Lizard that walked on its DNA liquid midsole was part of the show at each Rock ‘n’ Roll expo. The tour is on its second year and has had more than 150 stops with plans to continue in 2012. ​ Brooks also continues to evolve the Cavalcade of Curiosities effort. ​It has recently been visiting high school cross country running events, such as the Paul Short XC event held in September in Bethlehem, PA, an event with over 3,000 runners. One of the primary lessons Brooks has learned is to focus on where runners are and also to encourage retailers to bring their own “spin” to the event. ​"We’ve been to many retailers who have brought in jugglers, actors on stilts, local sports medicine professionals, bra-fitters, etc. to make the event more dimensional," said Larson. ​Social media is also intertwined in everything Brooks is doing on the marketing side, especially given the success of its viral videos.

Said Larson, "Our staff is continually tweeting and posting on Facebook and we have more than tripled our Facebook fans in the last six months. All of our communication has a Run Happy vibe and is about encouraging our Brooks faithful to interact with us in a unique and fun way. The goal is to ensure that anything we do from in-store

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Brooks' VP of marketing, Dave Larsen.

presentation to broadcast is shouting the Brooks message with this unique voice."​ Indeed, due to the fragmented nature of TV and the increased use of DVR and Tivo, Larson believes the future is in digital advertising.

Added Larson, "We will probably be in TV at sometime in the future, but we feel we can make a bigger and more measureable dent with digital communication at this stage." ​Going forward, Larson said Brooks' growth has allowed the company to devote more resources to getting its message out in front of runners. Its sponsorship of the Rock ‘n’ Roll Marathon Series, which started in 2010, will continue with 25 events set for 2012. Said Larson, "That's hitting over 480,000 runners, most of them new to the sport at any given race."

The Cavalcade bus tour, B.R.A.S.H. and Pure Running Heaven elements will also all be continued in 2012. ​Brooks recently orchestrated PureProject in-store launch parties timed across the nation for the October 1 launch of the collection.

With word of mouth and retailer support driving Brooks' market share gains, an emphasis on consumer-facing marketing efforts will be added to its present strategy. ​"We feel that the message is right, but we need to get in front of more eyeballs so you’ll see a dramatically increased media budget going forward," said Larson. ■

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The starting line at the 2nd Annual New York City Barefoot Run. (Photo credit: Keith Goldstein)

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BAREFOOTIN' IN MANHATTAN Merrell, VivoBarefoot and Injinji were among the sponsors of the 2nd Annual New York City Barefoot Run

By Thomas J. Ryan

T

he barefoot movement in all its extremes was on display at the 2nd Annual New York City Barefoot Run (NYCBR) held the last weekend in September.

The biggest names behind the barefoot movement attended the event while an increasing amount of sponsors, including Merrell, ironically found themselves helping fund an event where several in the crowd advocated wearing no shoes.

"The 2nd Annual NYCBR was an enormous success," said Maggie Durant, who cofounded the event with her brother, John. She described the event as, "An unmatched line-up of the barefoot running pioneers who sparked the revolution, and the most passionate barefoot runners who fuel its growth." The two have already started making plans for next year. ​Despite only two months of planning, the first NYCBR took place in October 2010 attracted two sponsors – VivoBarefoot, the U.K.-based minimal shoe maker, and Tip Top Shoes, the iconic Upper West Side NYC store and 265 participants. This year's participation reached over 400 from 11 countries. Its list of sponsors also grew to include Merrell, sockmaker Injinji and the NYC run-and-tri chain, Jack Rabbit Sports – as well the VivoBarefoot and Tip Top Shoes returning.

After a meet-and-greet at a local pub for early arrivers on Friday night, the weekend started with a series of running clinics held throughout the day on Saturday at Battery Park.

Saturday night featured the Barefoot Party sponsored by Merrell at South Street Seaport with beer and wine, a mini-expo for the sponsors and barefoot book sellers, and talks from a panel of barefoot experts.

The actual Barefoot Run took place Sunday on Governors Island. With no set length, participants were encouraged to sprint, jog or walk while exploring the barefoot experience.

About half of the participants wore minimal shoes (FiveFingers, Merrell, etc.) while the rest went shoeless. Other events on Sunday included the first NYC Barefoot Kids' Run, rickshaw rides sponsored by Luna Sandals that proved particularly popular, and a late afternoon beer garden sponsored by Injinji.

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Starting line for the first Barefoot New York City Kids’ Run at this years event.

(Photo credit: Keith Goldstein)

The star participant was Christopher McDougall, the author of the best-seller, Born To Run, that is widely credited with inspiring the barefoot movement. He spoke as a guest on the panel of "Kudus," or barefoot experts, Saturday night. Other speakers on the barefoot all-star lineup included: • Dr. Daniel Lieberman, the professor of human evolutionary biology at Harvard University whose research gained notoriety for demonstrating the benefits of a forefoot strike over a heel strike; • Barefoot Ted, a featured athlete in Born to Run and founder of Luna Sandals; • Lee Saxby, renowned running coach of barefoot technique; • Jason Robillard, the founder of Barefoot Running University and author of The Barefoot Running Book; • Erwan Le Corre, the founder of MovNat, a method for training in natural movement; • Barefoot Ken Bob, who founded TheRunningBarefoot.com in 1997 and has run 77 marathons barefoot; • Michael Sandler, chief coaching officer of RunBare and author of Barefoot Running; • Daniel Howell, professor of human anatomy at Liberty University and an outspoken advocate of barefoot living;

• Esther Gokhale, founder of the Gokhale Method, a process of restoring pain-free posture and movement; • Mark Cucuzzella, a professor of Family Medicine at West Virginia University School of Medicine who opened the nation’s first minimalist shoe store, Two Rivers Treads, in Shepherdstown, WV, in 2010; • John Durant, co-founder of the NYBRC, founder of Barefoot Runners NYC, and author of the health and fitness blog at Hunter-Gatherer.com.

Directly opening up the floor to questions rather than offering a formal presentation, McDougall downplayed a few concerns around shod running, including risks around toxins as well as running in urban settings. He noted that over the last year he had run barefoot from Brooklyn to Harlem. He also addressed the Tarahumara Indians profiled in his book and told the audience that a movie based on his book could start filming this spring.

Asked how his experience changed his life, McDougall, a stout 6'3; said "In a real simple way. For years people and doctors would eye me up and down and say, 'Dude. Why are you even running in the first place? Look at the size of you. You're like Shrek! A body your size shouldn't be running up and down.' I always hurt and I was always told that's what you should expect. So I accepted that and

I stopped running and I did things more like ride the bike. But what was happening was I was getting beer-heavier and grouchier and grouchier."

He pointed to an analogy that wild animals put in captivity often develop mood ​swings and sexual dysfunctions. Once they go back to nature, they start to reproduce and eat well and their mood stabilizes.

"That's essentially what happened to me," said McDougall. "I got the use of my legs back. I was able to run and move my body and not feel that this was some risky operation. For me, it changed everything."

Asked if he was on the "hit list" of the major shoe companies, McDougall joked, "You know something, minimalist as a genre didn’t exist two years ago. It's now a $1.7 billion industry. I'm waiting for my fruit basket from Nike."

He did note that when the book first came out in January 2008, none of the major shoe companies "wanted to have anything to do with me" and only Curt Munson, the owner of Playermakers in Okemos, MI, reached out on the retail side. "Curt makes his living selling running shoes and when he hears something that challenges his ideas, he listens," said McDougall.

On the bright side, McDougall was enthused about the new minimal designs coming out, mentioning New Balance and Merrell's efforts. He was still concerned that the minimalist approach is being led by product rather than around education.

"It's not the footwear at all, it's about learning a different form," said McDougall.

"Once you learn the form, you can run in army boots if you want to. Everybody here today will be talking to you endlessly about form.

Unfortunately, if you go to stores what you're going to hear about are new products. It’s just a product focus and it should be on the form."

Many of the other talks on Saturday night focused around education, including lessons in transitioning to barefoot as well as research around barefoot running and forefoot striking. Other topics included improving posture, whether more gyms would eventually allow bare feet on treadmills, and why the barefoot movement

is so far heavily-skewed toward men. The evening also worked as a celebratory event of the thriving movement for a few who have been running barefoot for over 20 years and those committed to a barefoot lifestyle as well as the many newcomers pumped up about the barefoot technique.

The NYCBR comes as an increasing number of barefoot lectures and running clinics inspired by barefoot fascination have been significantly cropping up around the country. Barefoot-themed runs remain a rare occurrence and the NYCBR could have been the largest ever barefoot run and more certainly the best-sponsored one.

Jim Zwiers, president of Wolverine World Wide's Outdoor Group, who attended the event along with the majority of Merrell's executive team, agreed that the NYCBR clearly attracted "the zealots" of the movement. He said Merrell wanted to remain at the forefront of the emerging movement. ​"The barefoot movement just continues to grow," said Zwiers. "We see it not only with the enthusiasts but also the total population coming around to focus not only on barefoot but also on better form in their running and their movement. We think it's the start of something much bigger."

Besides sponsoring the Saturday night party, Merrell brought in key barefoot and running bloggers, editors and influencers from different backgrounds to the event.

Zwiers liked that the event's particular focus was on education. Since the launch, Merrell has sponsored clinics at stores, established a separate microsite focusing on education, and is working with Jason Robillard, one of the event's kudus, to develop educational materials to help people safely transition to minimalist shoe running.

At NYCBR, Merrell handed out metronomes that count running pace.

"It's really about education for us," said Zwiers. "Form comes first and then the products and the tools that come with running in the proper form come second. This was a pretty natural event for us."

At Injinji, Deirdre Mahoney, marketing director, admitted that there were times during the event weekend when she wondered if this was an appropriate place for the sock maker, especially with some people attending living an entirely barefoot lifestyle. But the messaging and the interactive elements of the weekend worked for Injinji.

"We are always trying to get out there and educate runners and athletes about WEEK 1142 | SGBweekly.com

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NYC Barefoot Run group photo. Photo courtesy of Keith Goldstein

the foot health and performance benefits to our 5 toe sleeve designed socks," said Mahoney. "Barefoot running embraces similar messaging. Injinjis offer natural movement and barefoot-like feel inside any shoe but with the added protection of a sock interface.

If men and women, who are hardcore barefoot runners and live in cold and/or rough terrain, are going to put anything on their feet it makes sense to start with Injinji. We also have a unique product that you must experience. Being able to insert ourselves into running clinics, Merrell & VivoBarefoot product testing and expo education was helpful."

Mahoney also liked the format of the weekend that ran from integrating running clinics with expo, panels, social time and a run. She said, "Personally I’m used to events being more “turn-key” and structured. I do think the NYCBR may need a little more of that in the future to continue to get the sponsors to come on board and support. I have to give them credit for wanting it to be laid back while still be organized of course. The highlight is always speaking with such passionate runners and that’s what it is all about for us at Injinji."

VivoBarefoot has been a sponsor of several of Chris McDougall’s “Naked Tour” events this year, as well as the Barefoot Runner Society’s International Barefoot Running Day held in May. It also tries to reach out to runners that are not already ​involved in the barefoot movement by offering education and outreach at traditional running races. ​Galahad Clark, owner of Terra Plana, the parent of VivoBarefeet, said he particularly liked NYCBR because it offered many opportunities to reach participants beyond putting a logo on a banner. Said Clark, "In our case, we were able to bring along Lee Saxby and our coaches to help participants learn proper barefoot running technique, in addition to showcasing our Autumn Winter 2011 collection and having people try on shoes while interacting with our team. Typically, when sponsoring events, there’s little room to make a difference but here we felt like we were part of the program and not just funding."

Clark was likewise concerned about newcomers getting injured and earlier this year launched a formal program with Saxby to run clinics at running events. Clark said he was thrilled to see the barefoot movement catch on to a more mainstream audience. "It’s taking time 12

SGB PERFORMANCE l OCTOBER 17, 2011

to grow but people are starting to understand that barefoot is best and the importance of proper footwear, offering maximum proprioception with maximum protection, is an integral part of development and injury reduction," said Clark.

Jack Rabbit Sports was sponsoring the event along with the Hamptons Marathon/Half Marathon and the Westchester Triathlon over that weekend. Owner Lee Silverman described NYC barefoot run as more of an event or a gathering than a traditional race.

"It's like Burning Man for the Minimalist runner crowd," said Silverman. "We sponsored it because while we don't believe the hype around minimalism, we do believe that running in minimalist shoes or barefoot is a great way to get in touch with your body and to remember what a joy it is to run."

Silverman said minimalist shoes have become a measurable percentage of its sales and an even larger percentage of its staff's conversations with runners during the fitting process. He suspects it will continue to be an "early adopter" movement, not a mainstream movement. He remained concerned about the messages the trend is sending.

"For 15+ years, runners have known that footwear technology can help reduce the likelihood of injury if you choose the right shoe," says Silverman. "The advertising for minimalist shoes is that 'less is better,' which means runners are putting less value on the protection that's available in regular running shoes. That will inevitably lead to more injuries and fewer runners, and that's bad for our industry and for the overall health of the country."

Playmaker's Munson, who was a guest of Merrell at NYCBR, wants to stay on top of a trend he thinks is both growing and healthy for the industry.

"We're asking more questions than ever before, which is really important," said ​Munson. "Every industry needs someone to say 'Hey let's check how we're doing?' We should be accountable. Running and walking are the two most significant forms of exercise in the world today and yet they've been the least studied, practiced and perfected.

As Chris (McDougall) says, it's not so much barefoot or the shoes but knowing the art of running and then choosing your weapon." ■

EVERY JOURNEY BEGINS WITH A GREAT JOB.

HAVE YOU LANDED YOURS?

FOR INFORMATION CONTACT 704.987.3450 OR SPORTSJOBS@SPORTSONESOURCE.COM

JOB

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I AM... SGB PERFORMANCE

CHRIS FARLEY Owner, Pacers Running Stores

PROUDEST ATHLETIC MOMENT? My last race running for the University of Virginia.

WHAT MIGHT HAVE SET THE STAGE FOR YOUR CAREER? Even at a young age

being an entrepreneur was natural for me. My older brother and I had a lawn mowing business when I was a teenager. We did the marketing, the sales, the actual work, and the accounting. The process was pretty simple, but I was so excited that as long as we did a good job, people would tell their friends. Next thing you know, my brother and I were working every day of the summer.

HOW DID YOU GET INVOLVED WITH PACERS? I managed the Pacers store

starting in 2001 when it was a one-door operation in Alexandria, VA for the previous owner. I quickly realized it was my calling. I wanted to franchise another store or open up my own with the peanuts that I had saved since I had graduated college in 1998. After not finding the location or situation that was right for both the previous owner and me, he asked if I was interested in buying it from him. I was shocked. This was a store that had been in business for 12 years and was one of the most successful in the D.C. area. I knew I was going to need some reinforcements.

WHAT DID YOU DO? I put together a PowerPoint presentation, cut my hair,

and set up a meeting with my parents. Having worked for 25 years to pay off their house, to say they are ultraconservative is an understatement. I was 27 years old and neither of my parents had any retail experience, but I presented my case with more passion than anything I had done in my life to that point and they said, “Yes.” They mortgaged their house and trusted that I wouldn’t screw it up. Eight years, endless amounts of passionate work, and five stores later, we are all glad they took the leap of faith.

ARE THEY STILL HEAVILY INVOLVED IN THE BUSINESS? They both play major roles. My dad is in charge of bookkeeping. My mom has more energy than some of my employees half her age and works the floor among many other duties. They both have an uncanny ability to just “make it happen” no matter

what. Fortunately for me, that attitude was contagious. They also both had their own businesses when I was growing up. My dad had his own software development company and my mom owned her own business painting houses. They’ve been great mentors.

WHY HAS PACERS HAS BEEN SUCCESSFUL? We have stayed focused on

inspiring people to run and walk, the vehicle we believe is the best ​way to get or stay in shape. We accomplish that mission by offering expert personalized service in our stores, but also offering customers an outlet to use their new purchased shoes, apparel, and accessories. We have 40 different free fun runs a week that we offer throughout the D.C. metro area. We also own and operate 18 road races that are premiere events in the D.C. area.

WHAT ACTIVITIES DO YOU PARTICIPATE IN NOW? I run two marathons a year.

I’ve run each day of 2011 for at least 30 minutes. I believe firmly in leading by example.

WHO IS THE BUSINESS PERSON YOU ADMIRE MOST? My business partner

Kathy Dalby of Pacers Events. She is best in class and has great life balance.

IF MONEY WERE NO CONCERN, WHAT WOULD YOU BE DOING? Coaching running to adults and kids.

HOW WOULD YOUR FRIENDS DESCRIBE YOU? Passionate THREE PEOPLE IN THE WORLD ALIVE OR DEAD YOU WOULD WANT TO HAVE DINNER WITH. Patrick Lencioni, my favorite author; Pat Tillman, former NFL football player who died in Iraq; and Thomas Jefferson, founder of UVA. All three seem to be positive influencers who share similar values of community service.

ADVICE TO SOMEONE LOOKING TO GET A JOB IN THE RUNNING INDUSTRY. Think

about what pursuit in the running business you can be authentic about. It will never work trying to fake it.

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