Decathlon, the French company that has conquered India

In a Decathlon store in Uluberia, West Bengal, India. October 26, 2020. ALAMY STOCK PHOTO

Apart from cricket, which is said to be almost a religion in India, the country is not a great sporting nation. And despite a population of 1.4 billion, at the Paris 2024 Olympic Games, held between July 26 and August 11, India only managed to scoop six medals, not one of which was a gold. Nevertheless, over the past 15 years, Decathlon’s blue-and-white banners have proliferated throughout the country. First established in India in 2009, the French sports company now has a network of 129 stores and employs 5,700 people.

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“The sports market is expanding rapidly, with the number of sporting activities steadily increasing, driven by growing Indian participation and enthusiasm,” said Sankar Chatterjee, the CEO of Decathlon Sports India. “With an increasing focus on fitness and wellness, especially among young people, the potential for growth is immense.” According to the market research company Euromonitor, the sportswear market in India is valued at between $8 billion and $9 billion, or between €7.2 billion and €8.2 billion, and the sporting goods market at between $2 billion and $3 billion. Most estimates suggest an annual growth of 12% to 15%.

Compared with other major foreign brands, Decathlon’s attractive prices have won over the non-sporting masses. “I go to Decathlon to buy T-shirts and pants, as well as sneakers that are comfortable and cheap,” said Ramesh Bisht, a loyal customer. In 2023, the demand for fitness wear and sports equipment, unrelated to cricket and football, saw the French brand’s sales jump by 37%.

Strategic placement near local stores

“I didn’t know Decathlon was a French company because a lot of the clothes are made in India,” Bisht said. Around 68% of sales made by the Decathlon retailers in India are locally manufactured products, and the ratio is set to rise to 85%, by 2026. Currently, almost 8% of Decathlon’s products sold worldwide are produced in India, which include all cricket bats and accessories, as well as most field hockey equipment.

Decathlon has announced an investment of €100 million over five years in India, where it plans to increase the number of its stores to 190. Already well established in major urban centers, the sports brand now wants to tackle medium-sized towns such as Shivamogga (Karnataka, southwest), Gwalior (Madhya Pradesh, central) and Rajahmundry (Andhra Pradesh, southeast).

The focus is not only on strategic placement near local stores but also on its e-commerce platform and app. Decathlon has even entered the world of fast e-commerce in 16 Indian cities by sealing a contract with Zepto, a 10-minute delivery specialist. Decathlon’s success in India has attracted attention, and according to the national press, the tycoon Mukesh Ambani is considering entering the sports equipment and apparel distribution market with Reliance Retail.

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