Earlier today ClatetandHugh ran a story about SportsDirect.com selling Thames Ironsworks adult shirts at almost 40% discounts from what the club charge in the Club megastore and online.
A source close to the Club Megastore defended the club’s pricing strategy by telling us tonight:
“SportsDirect clearly only have limited stock left over as seen by the fact they are only showing Small and medium sizes in stock so they are probably very much looking to clear the line out to make room for other product as most retailers do even more so ahead of new calendar year, I know they won’t be getting this shirt back in stock so not having the more popular (L & XL) sizes in stock will only disappoint many and therefore would explain their “Must Go” labelling.
Secondly it is widely known the SportsDirect business model is to entice shoppers in to try to encourage and maximise sales on their own product which has 90%+ margins so if they make the decision to make a loss of £3.20 on this product (after VAT) which is what they are doing at the current Umbro cost prices then good luck to them but I can assure you this is not a business model any other sports shop or Premier League football club would see as commercially viable.”