Shares of Crocs, Inc. (NASDAQ: CROX) have been in free fall since the end of November, when the stock hit an all-time high of $75.21.After a guidance cut that sent the stock down about 50% last week, Crocs management are searching desperately for whatever it takes to get the stock to do something other than go down. Today's answer is a classic example of a garbage press release: Crocs, Inc. Announces New Retail Channel Strategy at World Shoe Association Trade Show in Las Vegas.
Crocs announced a "new retail channel strategy. . . designed to elevate the Crocs brand, create more cohesive product alignment for its retail partners and pave the way for its popular, comfortable shoes to be easily available in the wide variety of retail environments where its core customers shop."
What exactly does that entail? Crocs doesn't really elaborate. Maybe it has something to do with trying to get the products out of Costco Wholesale Corporation (NASDAQ: COST). The other part of the press release is the announcement of some new footwear styles -- upmarket Crocs priced anywhere from $54.99 to $69.99 for "a high performance boating shoe that combines Crocs lock ™ H2O pods for advanced wet traction and the Crocs Exo-Frame that wraps the foot with a protective Croslite ™ material shell for a supportive fit."
Guess investors aren't too excited: the stock is down nearly 9% as I write this.











Reader Comments (Page 1 of 1)
7-28-2008 @ 5:45PM
J2AZ said...
CROCS are done for... Just like beany babies the people who bought them realized that they are "not" cool.
7-28-2008 @ 10:20PM
Tim said...
You are exactly correct J2AZ. Crocs were a fad and that fad has faded. There were cool when no one had them but to be honest the shoe is everywhere and pretty ugly. There is nothing that can be done to revive this brand or stock.
7-28-2008 @ 10:29PM
Kha said...
Why buy Crocs when the lookalikes look the same if not better. And they cost a third of the price of Crocs. Their stock will soon be worth crap.
7-29-2008 @ 11:47AM
Huh said...
The above comments do not make sense. How is a company which is still generating more revenue this year than last year selling a past-fad product? Care to elaborate? Sales are better than ever, and you are calling it a fad... doesn't add up, sorry.
7-30-2008 @ 6:26PM
Tinkerbell said...
Huh:
Sorry we can't make it more simple for you. They thought they'd hit 41 cents a share, but they got 4 cents a share. Sounds to me like the fad isn't going the way Crocs had planned. I'm not sure why you can't see that, but it's probably because you're one of those people trying to pump the stock back up so you can make a profit. So sorry, maybe you shouldn't have invested in a silly rubber shoe fad.
They may still be selling some shoes, but any reasonable person can see the writing on the wall, fool.
8-01-2008 @ 5:46PM
gumbo koontz said...
Absoulately nothing??? Zac overlooked this aritcle below ...
Crocs, Inc. Announces New Retail Channel Strategy at World Shoe Association Trade Show in Las Vegas.
Crocs, Inc. (NASDAQ:CROX), today announced a new retail channel strategy at the World Shoe Association (WSA) trade show in Las Vegas designed to elevate the Crocs brand, create more cohesive product alignment for its retail partners and pave the way for its popular, comfortable shoes to be easily available in the wide variety of retail environments where its core customers shop. As part of this evolution, Crocs will offer Everyday, Sport and Style shoe collections featuring its technologically-advanced, proprietary Croslite™ material that enhance the performance of Crocs™ footwear styles for a range of activities from everyday leisure to active sports.
“We believe our new product segmentation strategy provides a competitive edge as Crocs builds for the future,” said Adam Baker, Vice President of Merchandising at Crocs, Inc. “This strategy allows us to tailor our product lines to better meet the needs of our retail partners as we continue to take the lead in the molded footwear category. Additionally, our technical design advantage allows us to outfit Crocs™ footwear enthusiasts with products geared directly to their interests, be it fishing pros, fashionistas or soccer moms.”
The 2009 Spring/Summer line is the first that will be available to retailers as part of the new Everyday, Sport and Style collections. The three distinct collections feature Crocs’ signature comfort combined with innovative design. Retailers can view the Spring/Summer 2009 models, as well as the full Crocs™ footwear line, by visiting the Crocs booth #13113 in the South Hall of the Las Vegas Convention Center on July 28-30.
Some of the new shoe models from the Spring/Summer 2009 line include:
Hanalei (MSRP $54.99), a lightweight wedge with a slim ergonomic design and stylish buckle offers a classic look available in four canvas colors including black, jade, stone and navy Tideline Leather (MSRP $59.99), a modern twist to the classic slip-on, the rich leather upper provides rugged durability with a unique vented midsole in four color waves including chocolate/khaki, khaki, pearl white and black Dead Ahead (MSRP $69.99), a high performance boating shoe that combines Crocs lock™ H2O pods for advanced wet traction and the Crocs Exo-Frame that wraps the foot with a protective Croslite™ material shell for a supportive fit The Crocs Spring/Summer 2009 collections will be available at retail and online at www.crocs.com beginning in January 2009.
8-01-2008 @ 5:47PM
gumbo koontz said...
Rest assured... we are gonna see more Crocs than just beach kinds and will love them!
8-01-2008 @ 5:49PM
gumbo koontz said...
I want to see and touch advanced Crocs styles before buying them. The prices are reasonalbe for quality types like Crocs with fine Crostlite material. I dont want those other brands put togehter with glues.... Inhale your brands and get high!
8-01-2008 @ 5:50PM
gumbo koontz said...
I am soo excited! Crocs at $4, hahahahhaha
8-01-2008 @ 6:49PM
Flip Weber said...
Why don't the executives of Crocs spend a bit of the two to three hundred million dollars in profits they made selling their stock, and buy back some stock. They took these profits while we as stockholders really believed they were looking out for us.
8-05-2008 @ 4:12PM
4Horsemen said...
The end is upon us!!! Just ask Cramer...
"A brief mentioning of Crocs (CROX - Cramer's Take - Stockpickr) prompted Cramer to say it is "completely and utterly finished," and it reminds him of boy-band, Hanson. "
8-19-2008 @ 12:34PM
Candide said...
Dear sweet Flip,
The only thing any company values in its shareholders are their wads of cash. There is no way the execs at Crocs gave two spits about you and your financial well-being. Why else would they let you invest in their scheme and then take your money leaving you nothing to show for it. In any sane world this would be illegal... gotta love capitalism.
9-18-2008 @ 12:29PM
Flex said...
How can a company expect to prosper when it's policy does not allow employees@ the local level to order restock? You have no idea what model,size,color,etc. is in your incoming shipment untill you open the box. This is just the tip of the iceberg,try shopping @ a kiosk, the staff must have pulled an all nighter.