Key Challenges - Punn

Key challenges hindering the organization’s performance

Supply Chain Management

High Competition

Expanding Customer Base

High competition from established sportswear brands, like Nike and Adidas can be challenging. Decathlon must find ways to differentiate itself and offer unique products and experiences that set it apart from its competitors (Lectra, 2020). Personalised shopping experiences that other sports brands have already implemented can be one of the challenges for Decathlon. Without personalised product recommendations, Decathlon can miss their sales opportunities and have less customer loyalty.

Decathlon faces difficulties in expanding and growing its consumer base (Bhasin, 2019). Also, Decathlon's customer retention rates are very low compared to competitors in the same sporting industry, such as Nike and Adidas. Decathlon is now discovering methods to differentiate itself and deliver new and interesting products and experiences in order to attract and keep customers.

The organisation has a broad and complex supply chain that can be hard to efficiently manage. Stock shortages, delays, and higher costs can all result from inefficiencies in the supply chain. To solve this difficulty, Decathlon must discover ways to automate and improve its supply chain while still making sure that its customers receive the products that they order with the highest satisfaction and meet their needs (StudyCorgi, 2022).