Milestone deal reached with Athlete’s Foot
Milestone Sports’ Milestone Pod will soon be available in Athlete’s Foot stores – representing one of the largest retail deals the company has done to date.
The company, which is being taken over by Victory Mines (ASX:VIC) as part of a reverse takeover, told its shareholders that it would start a trial with the retailer – focusing on three of its largest stores in the country.
Athlete’s Foot has already ordered 2000 Milestone Pod units for a one-month trial.
The trial will involve the sale of the pods to customers, and the subsequent use of the MilestoneConnect platform to re-engage customers.
The platform is able to harness data gathered from the shoe-fitted pod, meaning that retailers will have an insight into running patterns of the customer.
This opens up a raft of engagement opportunities including giving the runner feedback on their running style, and knowing the optimal time to send customers a loyalty offer.
In contrast, engagement with a customer traditionally stops once the pair of shoes leaves the store.
The deal with Athlete’s Foot gives VIC a great degree of validation, a point Milestone’s CEO, Yaron Garmazi, was keen to make this morning.
“The trial is a clear validation of the demand and appeal for both the MilestonePod and a platform to enhance customer engagement, increase loyalty and ultimately drive sales,” he said.
VIC told shareholders that a successful trial was expected to lead to an enhanced in-store loyalty program integrated into all stores nationally.
There is even the possibility, VIC said, of there being a branded mobile application integrated with the Athelete’s Foot ClubFoot loyalty program.
Investors should note that this is not a guarantee – always consult a professional before deciding whether or not to invest.
Director of multichannel at Athlete’s Foot parent company RCG Corporation, Mark Teperson, said the franchise was excited by the marketing platform the technology provided.
“The platform creates a fantastic value exchange with our customers,” he said. “Providing valuable running data and insights to improve their run, at the same time allowing The Athlete’s Foot to understand customer activity and meet their needs in a richer way than ever before.
“The affordability of the MilestonePod makes it an attractive product for consumers and the unique metrics it delivers will be popular among runners.”
The unit’s affordability was at the centre of a deal struck with LaTrobe University in Melbourne for the university to use the MilestonePod in a research program.
The pod will be used by volunteers who are starting out on a beginning running program, measuring things such as rate of impact, cadence, and foot strike.
The benefit for the university is that the pod can be worn outside of the lab – meaning it will get much more real-world data than is usually the case in studies of this nature – where the subjects are usually run around on treadmills.
About Victory Mines (ASX:VIC) and Milestone Sports
VIC is in the middle of a reverse takeover of Milestone Sports, which has developed a shoe-worn sensor which is designed as a clip-and-go solution, which measures metrics such as foot strike, cadence, rate of impact, and leg swing.
This differs from other similar products on the market as it actively measures these metrics to give the user feedback on running style – instead of simply using GPS data to tell a user how far they’ve run.
The upshot is that Milestone is able to use its analytics platform to tell a user how to improve their run and diagnose problems rather than simply telling a user how far they’ve run.
Milestone has also opened the system up to retailers, meaning they will have insight into when a user may potentially need a new pair of running shoes – giving the retailer another shot at creating a loyal customer rather than losing them entirely after the first transaction.
It recently announced a move into the $116 billion healthcare market – aiming to use its tech to predict falls for at-risk people.
VIC says it is confident that by analysing the data from the device it would be able to accurately predict when a person is at risk of a fall.
This can then be sent as an alert to a healthcare provider.
VIC told its shareholders at the time that in the US alone the indirect cost of falls in 2013 reached up the $US30 billion ($A40.16 billion), according to the US Centres for Disease Control and Prevention.