Formerly bankrupt clothing chain will open 200 stores in 2025
The popular brand is coming back with a pop.
If you're into staying active — or perhaps it was your New Year's resolution to get more fit in 2025 — you're in luck.
The average U.S. consumer is spoiled for choice in the athletic apparel market nowadays.
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Athleisure, as it's commonly referred to, has grown considerably in recent years. Based on many recent estimates, The market is worth between $338 billion and $403 billion.
By 2030, it's anticipated to nearly double in size to over $620 billion.
Much of this growth can be attributed to the past several years.
During COVID-19, when folks began to work at home and tended to have more free time, they turned to outdoor activities, like jogging or cycling. COVID-19 also made many of us more health conscious, and many people picked up new hobbies to stay fit.
COVID-19 also meant fewer people were going into the office, which meant business casual became a thing of the past. Gone were slacks, chinos, and button-downs.
Here to stay: sneakers, leggings, hoodies and sweatpants.
This allowed the giants in the athleisure space to get even bigger. New Balance, for example, nearly doubled its pandemic-era sales, and in 2023, it saw a 97% increase in revenue over the previous four years. Shutterstock
Athleisure continues to grow
As much of the retail space consolidates, with large corporate giants gobbling up smaller competitors, the athleisure space is nearly the opposite.
Brands both big and small, incumbents and upstarts, continue to gain traction amongst a diverse cohort of consumers based on desires, activities and needs.
That's because it's now easier than ever for an athleisure brand to gain followings, thanks to social media and an increasing consumer willingness to interact with direct-to-consumer models.
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Customers are also willing to pay a little extra or wait a little longer for their orders to arrive for their chosen activity's accompanying workout gear. As workouts gain more tribal-style followings, so too do their associated brands.
Lululemon's direct to consumer segment accounts for over half of net revenue as of 2024. And e-commerce sales made up 41% of total revenue in its most recent quarter.
Athleisure shoppers like feeling like they're a part of something. So they're willing to wait the extra 5-7 days for shipping, or go into a brick and mortar store to shop around for the latest drops, because it feels like an extension of their chosen sport or activity.
Skechers planning major expansion
And now, the formerly troubled Skechers brand is planning for similar success.
The sneaker company, which filed for bankruptcy in 1998, has been on something of a comeback tour in recent years.
Skechers recorded record revenue in 2024 — $8.97 billion — a 12.5% increase from the year prior.
It's also inked high profile partnership deals with legendary sports stars like English footballer Harry Kane, opened new experiential stores, and now plans to open as many as 200 stores in 2025 alone.
As of February, Skechers has already opened 14 new company-owned stores but foresees opportunity to open 180-200 throughout the year.
“With the breadth of our product and global reach, Skechers’ branded stores, both concept locations and quality malls, outlets and big box stores in high-traffic areas continue to drive awareness and purchase intent,” said David Weinberg, EVP and COO of Skechers during the most recent earnings call.
“While we remain focused on our core business, we believe our performance division with basketball, soccer, golf, running and pickleball footwear will become an increasingly important part of our growth story globally,” he added.
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