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Segment and Enterprise-wide Information
 6 Months Ended
Jun. 30, 2019
Segment Reporting [Abstract]  
Segment and Enterprise-wide Information SEGMENT AND ENTERPRISE-WIDE INFORMATION

We have two operating segments, Direct and Retail. There were no changes in our operating segments during the six months ended June 30, 2019.

We evaluate performance using several factors, of which the primary financial measures are net sales and reportable segment contribution. Contribution is the measure of profit or loss, defined as net sales less product costs and directly attributable expenses. Directly attributable expenses include selling and marketing expenses, general and administrative expenses, and research and development expenses that are directly related to segment operations. Segment assets are those directly assigned to an operating segment's operations, primarily accounts receivable, inventories, goodwill and other intangible assets. Unallocated assets primarily include cash and cash equivalents, available-for-sale securities, derivative securities, shared information technology infrastructure, distribution centers, corporate headquarters, prepaids and other current assets, deferred income tax assets and other assets. Capital expenditures directly attributable to the Direct and Retail segments were not significant in any period.

Following is summary information by reportable segment (in thousands):
 
Three Months Ended June 30,
 
Six Months Ended June 30,
 
2019
 
2018
 
2019
 
2018
Net sales:
 
 
 
 
 
 
 
Direct
$
20,834

 
$
34,824

 
$
67,548

 
$
106,025

Retail
37,453

 
39,185

 
74,274

 
82,178

Royalty
717

 
1,489

 
1,582

 
2,108

Consolidated net sales
$
59,004

 
$
75,498

 
$
143,404

 
$
190,311

Contribution:
 
 
 
 
 
 
 
Direct
$
(6,334
)
 
$
739

 
$
(10,876
)
 
$
12,030

Retail
(247
)
 
3,568

 
(969
)
 
7,489

Royalty
717

 
1,488

 
1,582

 
2,105

Consolidated contribution
$
(5,864
)
 
$
5,795

 
$
(10,263
)
 
$
21,624

 
 
 
 
 
 
 
 
Reconciliation of consolidated contribution to (loss) income from continuing operations:
 
 
 
 
 
 
 
Consolidated contribution
$
(5,864
)
 
$
5,795

 
$
(10,263
)
 
$
21,624

Amounts not directly related to segments:
 
 
 
 
 
 
 
Operating expenses
(79,550
)
 
(4,593
)
 
(85,318
)
 
(9,725
)
Other expense, net
(55
)
 
57

 
(488
)
 
23

Income tax benefit (expense)
6,725

 
(252
)
 
8,841

 
(2,775
)
(Loss) income from continuing operations
$
(78,744
)
 
$
1,007

 
$
(87,228
)
 
$
9,147


There was no material change in the allocation of assets by segment during the six months ended June 30, 2019, and, accordingly, assets by segment are not presented.

The following customers accounted for 10% or more of total net sales as follows:
 
Three Months Ended June 30,
 
Six Months Ended June 30,
 
2019
 
2018
 
2019
 
2018
Amazon.com
20.9
%
 
12.3
%
 
12.1
%
 
*
Dick's Sporting Goods
*
 
11.0
%
 
*
 
10.6
%
*Less than 10% of total net sales.