When Kevin Plank started his athletic wear company Under Armour more than a decade ago, he took his gear straight to the field, winning acceptance from hard-core athletes who then made it popular with the masses.
The company is now using the same approach to bring new life to its line of men's and women's tennis apparel. Tennis is a small market but one that could help Under Armour Inc. further diversify and expand the business, analysts said.
Under Armour recently entered into an agreement with the Junior Tennis Champion Center, where it will outfit the players at the College Park facility that trains some of the best young talent in the game. Trainers, coaches and instructors also will wear the gear and test out new products for the company.
Also, the South Baltimore company says it will soon announce some new names on its list of tennis endorsements, which already includes top-ranked American player Robby Ginepri.
Under Armour sees opportunity for growth in the $200 million tennis apparel market, where it took about 4.4 percent of total sales last year, according to research company SportsONESource. Nike is the dominant player in the category with 59.5 percent of sales.
Tennis isn't a new business for Under Armour, which quietly introduced its line in 2007. But the company's retail partners, such as Dick's Sporting Goods, weren't overly excited about the line of clothing, said Tori Hanna, director of women's sports marketing for Under Armour.
And generally, tennis hasn't been a strong performer in the $24 billion sports apparel industry. Tennis apparel sales slipped last year, according to SportsONESource. Tennis equipment sales have hovered between $250 million and $260 million for the past few years, according to the Sports Marketing Goods Manufacturing Association.
"It is not a growth sport," said Matt Powell, an analyst with SportsONESource. "Not very many people are playing tennis anymore. The days of actually having to wear tennis gear to play tennis is over. You can really go on the court in a pair of basketball or gym shorts and play the game."
But he said Under Armour still has a chance at taking market share, even if small. The clothes the company makes, which wick sweat from the skin to help cool athletes, are ideal for an intense sport like tennis, Powell said.
"Part of the key for a brand to continue to grow is to diversify, and this is an opportunity to do it, though not in a major way," he said.
Under Armour also sees the sport as a key category in its business. Hanna said tennis might not be as popular as sports such as football, basketball or even soccer, but she sees the game as a sport of "influence" where players get a lot of exposure.
"The business might not be as big as some of the other sports, but they are the players who are on TV for three hours when the camera is totally on them," Hanna said.
The company doesn't expect tennis to necessarily become one of its best performers. But the company can use the sport to win over followers.
"We know we're not going to do a lot of volume, but we can build the category around the athlete," Hanna said.
Mike May, a spokesman for the Sporting Goods Manufacturers Association, said the strategy Under Armour is using for tennis is one that has brought the company success in the past.
"The key to Under Armour's success has been getting involved on the grass-roots level," May said. "It is a plan that has worked well for other products, so should work well for tennis."