On, the Swiss sports shoe brand, is experiencing tremendous success in the global market. In just 13 years, it has become a major player, competing with industry giants like Nike, Adidas, and Puma. On’s growth is unparalleled, with a nearly 50 percent increase in revenue from June to September this year, reaching 481 million Swiss francs. The company’s profitability is also impressive, with a profit of 59 million Swiss francs, surpassing the previous year’s earnings.While other competitors like Nike and Under Armour are struggling with disappointing numbers and a decline in consumer demand, On is thriving. The company attributes its success to its innovative and high-performance sneakers, such as the Alphafly, Rocket, and Cloudmonster models. These sneakers, known for their thick soles, cater to the growing trend of runners seeking greater athletic achievement.On’s headquarters in Zurich’s Kreis 5 is buzzing with excitement as the company celebrates its strongest quarter ever. In contrast, Adidas is dealing with the fallout from the antisemitism scandal involving brand ambassador Kanye West and is left with unsold Kanye sneakers worth over one billion euros.The leadership team at On, including the three founders and co-CEOs Marc Maurer and Martin Hoffmann, faces the challenge of managing the company’s rapid growth while meeting high expectations. Despite concerns about the strong Swiss franc, diminishing purchasing power, and a potential recession, On remains unfazed. The company’s CFO, Hoffmann, cautions against overly optimistic expectations for the final quarter but emphasizes On’s long-term vision. By 2026, On aims to double its revenue to nearly 3.6 billion Swiss francs and enhance profitability. The ultimate goal for On’s marketing professionals is to become the most exclusive sports brand in the world.To achieve this, On plans to position itself as a luxury product, targeting less price-sensitive customers. The company has already ventured into the luxury segment with its collaboration with fashion brand Loewe on the Cloudtilt shoe. This success has prompted further investment in marketing and brand image. On intends to establish its own stores in major cities like New York, London, and Miami, focusing on direct sales to end customers through online channels.While On’s ambitious plans and the high salaries of its executives have sparked some controversy in Switzerland, the company remains confident in its long-term success. It emphasizes that the recent stock sales by executives represent only a small portion of their overall holdings. On is determined to become the Rolex of the sports shoe industry, even as it faces competition from brands like Hoka.As the trend for chunkier and more expensive running shoes continues, On is expanding its product range to cater to different sports. With its impressive growth trajectory and unwavering vision, On is poised to make a lasting impact in the sports shoe market.
This News Article was automatically generated by Bob the Bot (AI)
This News Article was automatically generated by Bob the Bot (AI)
| Information | Details |
|---|---|
| Geography | Europe |
| Countries | |
| Sentiment | positive |
| Relevance Score | 1 |
| People | None |
| Companies | None |
| Currencies | None |
| Securities | None |
