Amazon is extending its takeover to sportswear

Because Amazon won’t settle until it controls every single market ever, the online retailing giant is, reportedly, gearing up to start offering its own sportswear line.

Rumors that the company might get into the workout gear game started circulating earlier this year when the company posted job listings for brand managers to help create “authentic activewear private label brands.”

They hired a brand manager for athletic wear in January.

Amazon has already been dabbling in the world of fashion, having created eight clothing brands since early last year, including a men’s shirt brand called Buttoned Down that is offered to Prime customers.

Insiders say that, while no long-term contracts have been signed so far, Amazon is negotiating with Makalot Industrials Co., a producer that makes sportswear for Gap, Uniqlo, and Kohl’s, as well as Eclat Textile Co., who provides textiles for Nike, Lululemon, and Under Armour.

Both Makalot and Eclat are based in Taiwan.

Apparently, these manufacturers are making small test batches for Amazon so they can run a trial on the concept. The fact that Amazon is working with experts in this market means they are serious about making a competitive, quality product.

Amazon currently sells about $10 billion worth of apparel, making it a serious competitor with brick-and-mortar retailers.

The workout wear market is a pretty big deal, so it would obviously be profitable if Amazon can come out with a good product. Customers are already crazy about Amazon’s online convenience and quick delivery, so they may be happy to find more options for sneakers and yoga pants.

On the other hand, private label brands that Amazon is already selling, such as Goodthreads and Lark & Ro may feel betrayed. Other sportswear brands can’t be too pleased either, with Nike reporting declines this quarter and Under Armour reducing its annual sales forecast.