How On Reshaped Performance Footwear Brands — Transcript

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1. 0:00we've all heard of nike adidas new
2. 0:02balance and ultra but what about on
3. 0:06just like the rest of these brands on is
4. 0:08a performance running company that sells
5. 0:10millions of shoes to customers across
6. 0:12the world unlike its competitors however
7. 0:15undifferentiated itself from day one
8. 0:17with a unique origin story
9. 0:19here we'll explore that story but we'll
10. 0:21also dive into why on is a role model
11. 0:23for up and comers that are navigating
12. 0:25markets already saturated with legacy
13. 0:27brands
14. 0:29let's start with olivier bernhardt ons
15. 0:31founder and ceo until his mid to late
16. 0:34thirties bernhard was a successful
17. 0:36triathlete and ultraman runner with two
18. 0:38world championships under his belt
19. 0:40at the height of his career bernhardt
20. 0:42was bringing in as much as 150 000 per
21. 0:45year and it took his rising age plus
22. 0:48three kids to slow him down
23. 0:50at age 37 he gave up his professional
24. 0:53career to move on to greener pastures
25. 0:55but that didn't stop his competitive
26. 0:57spirit
27. 0:58beyond his last professional race
28. 1:00bernhard kept running training and
29. 1:02strategizing a return to the sport
30. 1:04just not in the same capacity
31. 1:07i was always thinking about not only
32. 1:08another running shoe but another running
33. 1:10feeling bernhard told cnbc last year
34. 1:14achieving this feeling wouldn't come as
35. 1:15naturally as bernhard would have hoped
36. 1:17with the help of a local swiss engineer
37. 1:20early adaptations of on's running shoe
38. 1:22came to fruition
39. 1:24by attaching pieces of rubber hose onto
40. 1:26the bottom of existing running shoes and
41. 1:27hitting the streets reinhardt knew
42. 1:29immediately that this was the sensation
43. 1:31other runners would love
44. 1:33then came casper kapetti and david
45. 1:35allenman two like-minded young
46. 1:37entrepreneurs who helped bernhard bring
47. 1:39together the financials of the business
48. 1:41with the design of the shoe and the
49. 1:43marketing of the idea
50. 1:45in just six months the three of them
51. 1:47took on from an idea to a prototype and
52. 1:49more recently a company that raised over
53. 1:51740 million dollars for its ipo in 2021
54. 1:56but how does this happen
55. 1:57who's to say there isn't the same
56. 1:58potential for every startup in the
57. 2:00athletic footwear space
58. 2:02before we get ahead of ourselves we
59. 2:04should clarify that on did a lot of
60. 2:05things right in order to get ahead of
61. 2:07its competitors starting with the design
62. 2:09of the shoe
63. 2:10unlike nike or adidas or any other
64. 2:12running brand on uses what they call
65. 2:15their cloud tech technology to imitate
66. 2:18running on clouds an attempt at
67. 2:20providing a more comfortable elastic
68. 2:22running experience
69. 2:24but how well does this technology
70. 2:25perform
71. 2:26well you'll have to try for yourself but
72. 2:29one thing's for certain it's caught the
73. 2:30attention of performance runners as well
74. 2:32as enthusiasts across the planet
75. 2:35next on found athletes that weren't just
76. 2:37willing to sign on with the brand but
77. 2:39garner increased popularity through
78. 2:41their relationship with the company
79. 2:43take on's recent partnership with roger
80. 2:45federer in october 2019 the swiss
81. 2:48professional tennis player and 20-time
82. 2:50grand slam champion
83. 2:52joined on with the mission to develop
84. 2:53the athlete's spirit at the core of
85. 2:55ian's high performance culture
86. 2:58that might be a little vague but federer
87. 2:59has lived up to that mission in numerous
88. 3:01capacities
89. 3:02in july 2020 federer held an event
90. 3:05called roger live through an interactive
91. 3:08video stream that showed off on
92. 3:10technologies paired with federer's
93. 3:11newest shoe the roger center report
94. 3:14since then the partnership launched the
95. 3:16roger pro a customizable tennis shoe
96. 3:19built for play across varying surfaces
97. 3:21as well as numerous marketing campaigns
98. 3:23that feature federer's personal journey
99. 3:26and inspiration for the shoe's design
100. 3:28sounds like a successful one-off
101. 3:29partnership
102. 3:30but federer isn't the only athlete to
103. 3:32sign with on as the company boasts an
104. 3:34entire catalog of runners cyclists and
105. 3:37tri athletes who partnered with the
106. 3:39brand across these digital platforms
107. 3:42okay so a lot of brands namely
108. 3:44performance brands successfully partner
109. 3:47with professional athletes in order to
110. 3:49raise consumer awareness and turn heads
111. 3:51yet on's recent success has more to do
112. 3:53with its unique value proposition and
113. 3:55less to do with the number of
114. 3:57partnerships it takes on
115. 3:59according to bernhardt on was created to
116. 4:01change the world of running through soft
117. 4:03landings and hard take-offs
118. 4:05and convincing consumers that this
119. 4:07unique shoe design was worth their money
120. 4:09was only half the equation as the
121. 4:11company knew retailers were hard-pressed
122. 4:13to carry running shoes that weren't at
123. 4:15the caliber of nike adidas or new
124. 4:17balance because of this the team and on
125. 4:20visited countless retailers in an effort
126. 4:21to demonstrate the brand's value backed
127. 4:23by its innovative design you know they
128. 4:26didn't buy in and they not at the end
129. 4:28they would not say
130. 4:29you know give me the order format i
131. 4:31order 50 or 100 shoes they often said oh
132. 4:33i think about it and we all know what
133. 4:35that means right
134. 4:37but instead of giving up on them
135. 4:38reinhardt asked these retailer leaders
136. 4:40if they'd like to run with the shoe then
137. 4:42they started asking questions
138. 4:44according to bernhardt they said
139. 4:46oh i actually like the landing why is
140. 4:48the landing so soft
141. 4:50so it was much easier for us to answer
142. 4:52the questions they had about our
143. 4:54technology instead of trying to sell
144. 4:56them our technology
145. 4:58and from here we can recognize that on
146. 5:00is no less a technology company than it
147. 5:02is a performance brand capable of
148. 5:04reframing the way consumers and athletes
149. 5:06think about taking their first steps in
150. 5:08a new pair of shoes
151. 5:10more brands are finding ways to up their
152. 5:12game with technologically back design
153. 5:14but on demonstrates to us all that
154. 5:16experimental marketing strategies like
155. 5:18the one we just heard about aren't the
156. 5:19exception but the rule in the world we
157. 5:22live in