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Dick’s Sporting Goods looks like it is getting the e-commerce aspect of retailing figured out, recovering from the COVID-19 pandemic in a major way with a near-tripling of its online sales—194 percent growth—during the second quarter of 2020. The e-commerce growth sparked net sales of $2.71 billion and earnings of $276.8 million, both quarterly records.
In a company earnings call, CEO Edward Stack said more than 75 percent of e-commerce sales were serviced by the company’s stores, illustrating the commitment Dick’s has made toward improving in-store fulfillment throughout the pandemic.
“This included curbside pickup where we focused on improving speed and convenience, and the athlete response remains very strong,” Lauren Hobart, president and director of Dick’s Sporting Goods, said during the call. “E-commerce merchandise margin expanded meaningfully, which along with higher penetration of curbside and BOPIS sales drove a significant improvement in e-commerce gross margin. We also continue to reduce delivery times to our athletes, even as e-commerce demand remained at unprecedented levels. This success online is a direct result of the technology and fulfillment investments we have made over the years, as well as better integration of our digital and store channels, as we work to relentlessly improve the athlete experience, enhance our profitability and build the best-in-class omnichannel platform.”
Curbside contactless pickup was first implemented across Dick’s stores in April when lockdowns were at their peak. But four months later, Hobart noted that the company believes “curbside is here...