As part of its initial public offering on Thursday, Amer Sports detailed plans for rising outdoor brand Salomon, including new product initiatives and branded retail expansion.
The brand’s revenue was $949.3 million in the nine months ended Sept. 30, a 35% increase compared to the prior-year period.
Originally a French brand, Salomon makes footwear, apparel, winter sports equipment, and accessories.
Salomon has seen recent success, particularly in its footwear segment, straddling the line between functional outdoor shoes and fashion.
Over 60% of Salomon’s revenue for 2022 came from footwear.
While Salomon is relatively well known in Europe, Amer Sports views brand awareness as significantly lower in Greater China and the United States.
In the EMEA region, revenue was $529.6 million for the nine-month period ended Sept. 30, 2023, up 31% compared to the prior-year period.
In the Americas, revenue was $249.1 million for the nine-month period ended Sept. 30, 2023, up 13%.
In Greater China, revenue was $91.2 million for the nine months ended Sept. 30, 2023, up 63%.
In the Asia Pacific region, revenue was $79.5 million for the nine months ended Sept. 30, 2023, up 66%.
“These markets represent strong growth opportunities as the technical performance, innovative design, and premium nature of the brand’s products, especially within footwear, align well with consumer preferences in these markets,” the company said in its SEC filing.
Although Salomon is traditionally a wholesale driven brand, as part of Amer Sports’ transformation of its go-to-market strategy, the company is increasing Salomon’s presence in the DTC channel.
Globally, Amer Sports operates 114 Salomon-owned retail stores.
In Greater China, Salomon has 30 owned retail stores and 67 distribution points, up from 13 in 2019.
The rapid adoption of winter sports in Greater China is driving Salomon winter equipment sales, according to Amer Sports.
On top of that, Salomon has access to key specialty retailers in remote mountain locations internationally where consumers buy trail running and winter sports equipment and where the customer base differs significantly from sporting good chains.
Despite still needing to build more brand awareness, Salomon has specialty niche market positioning in the United States, including recognition for its winter sports equipment.
Amer Sports said Salomon targets quality wholesale partners globally, including specialty retailers, to attract new consumers. Many of the brand’s specialty retailer partners focus directly on Salomon’s core competencies, including product expertise in hiking and trail running.
According to market research firm Circana, Salomon is the No. 2 outdoor footwear brand in the United States for the nine months ended Sept. 30, 2023, based on sales revenue.
For e-commerce, Salomon recently redesigned its website to provide an immersive brand experience, which Amer Sports says has led to increased traffic and conversion.
Salomon is leaning into its professional athlete collaboration program, including with record-setting endurance runner Courtney Dauwalter.
Salomon’s designers are also developing new Gore-Tex membranes in jackets and shoes that improve waterproofing and breathability, according to Amer Sports.
Sportstyle Salomon’s Fastest-Growing Collection
Innovation led to the evolution of Salomon’s XT-6 shoe, which was launched in 2013 and originally designed for ultra-distance trail runners under harsh conditions.
This shoe now is “the foundation of Salomon’s rapidly growing Sportstyle line, which creates a blend between function and fashion that is loved by athletes and consumers alike and represents a significant opportunity for the brand,” according to Amer Sports.
Sportstyle is the fastest growing collection in the Salomon brand with revenue over $80 million in 2022, and over $165 million for the nine months ended Sept. 30, 2023.
The company plans to increase the number of Sportstyle-focused stores in Greater China as well.
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