If you have read Shoe Blitz for a while, you probably know that I am no fan of Crocs. Nevertheless, you hate to see any shoe company (or any type of company for that matter) in financial trouble. And right now Crocs is definitely losing their footing.
Over the past seven years, over 100 million pairs of Crocs have been sold. In 2007, the company posted a profit of $168 million. But for 2008, an incredible reversal — a $185 million loss.
In the past two years, Crocs stock have gone from $70 a share to just about $3.
With a declining demand, due to knockoffs among other reasons, the company has had to cut jobs and close production plants. In major debt, Crocs recently laid off a third of their workforce (2,000 employees). Because these shoes are durable, people don’t buy replacements that often. And even though you can choose from more than 100 styles of Crocs (yes, they have more than just clogs) they definitely have image issues with some buyers.
Could this be the beginning of the end for Crocs? It’s definitely possible that they can get profitable again with some smart marketing and new designs, but that could be years away. And the company will likely never again see the same success that it had in the past.
If you love your Crocs, they are having a 15% off sale today only. Hop on over to Crocs.com and do your part to help them stay afloat.
Crocs Women’s Clogs ($29.99)
Croc’s Santa Cruz Slip-ons ($49.99)
Crocs Rio Sandals ($59.99)