Sports apparel scores big in malls
FansEdge founder Kevin Bates admits he's not one of those over-the-top sports fans.
Yet, the Highland Park resident operates one of the fastest-growing licensed sports apparel companies on the Internet.
Bates' latest entrepreneurial game plan involves mixing the Internet operation with mall locations. He launched his first such store at Westfield Fox Valley in Aurora. The shop carries an array of team merchandise from jerseys to tailgating essentials.
"We're bringing the dot-com feel to the store," said Bates, 40. "With the opening of this store, FansEdge has truly become a multichannel retailer. We have merged our strong Internet presence with our retail capabilities to become a leader in the marketplace."
Bates started FansEdge in 1998 and then pushed it through tough economic times. It took off running five years later when Dreams Inc., a leader in the licensed sports products industry, bought it.
Bates, who watched the Chicago Cubs and Bears while growing up, was named president of the retail division. His division continues to win sales and is the fastest-growing part of the company. The sports site was named No. 39 in a list of fastest-growing Internet retailers. The ranking, published in the 2008 edition of Internet Retailer's Top 500 Guide, marks a jump of more than 70 spots - from 289 to 216 - on the list. Carrying 180,000 different products, FansEdge joins such names as Abercrombie & Fitch and Circuit City.
To accommodate the continued growth, Dreams' retail division expanded its operations from Niles to Northbrook less than two weeks ago, moving into the former Crate & Barrel headquarters building at 725 Landwehr Road. The 207,000-square-foot facility provides warehouse space equal to more than three times that at the company's Niles location, said David M. Greene, senior vice president of Dreams, which is based in Plantation, Fla.
Dreams launched in 1980, with its Field of Dreams retail stores opening in 1990. Woodfield Shopping Center houses a Dreams store. Nearly 10 years ago the company acquired Mounted Memories, a framer of jerseys, footballs and other collectibles. "We keep growing," Bates said. He expects the company to do $70 million in sales this year.
While the Internet site at www.fansedge.com has fostered explosive growth, Bates realizes that "a lot of customers still enjoy going into a store." With FansEdge operating now in Aurora, he plans to expand to other area malls later this year. "Chicago is our start," Bates said.
The new 2,500-square-foot Aurora store features licensed apparel, memorabilia and collectibles, as well as blankets.
The shop includes state-of-the-art interactive kiosks for customers to order merchandise. Shoppers may select items for various sports teams in different colors, sizes and styles simply by using the computer kiosk. The kiosk then transmits a purchase order and, depending on the item, arranges for it to be delivered to the store or the customer's home within 24 hours.
Developing and operating other entities' fan shops is another way Dreams is growing. Football.com, Magesticathletic.com and Sportingnews.com are among the fan sites Dreams manages. "We build a custom site that carries our product," Bates said.
The aforementioned Web sites are all different. He launched the business 10 years ago, based on the growing interest in sports merchandise and the start of the Internet boom. "I found that 80 percent of sports fans couldn't find what they were looking for," Bates said. "I knew the Internet would solve the problem." He really enjoys that he can wear jeans and sandals to work, noting that "sports are woven into so much of people's lives."
Correction: The date of the Arboretum of South Barrington's job fair was incorrect in my column last week. The fair will be from 8 a.m. to 5 p.m. July 21 at the Chicago Marriott Northwest in Hoffman Estates. For more information, call (847) 421-3203, or visit www.thearboretum sb.com.
kmikus@dailyherald.com