On Holding is expanding its retail presence by opening a new store in its American hometown.
The Swiss running brand on Wednesday announced the upcoming opening of its new store in Portland, Ore., which will be located on NW 23rd Avenue, just a mile from the company’s headquarters in the Americas. It will be On’s only location in the Oregon city that is also home to the headquarters of rivals Nike, Adidas, Under Armour and Lululemon.
The 3,400-square-foot store mark’s On’s largest retail floor space in the U.S. and is the first location to showcase the brand’s new store design system that can be adapted and rearranged based on shopper preferences. The store opens on Saturday, Feb. 24 and will replace On’s original Portland store that opened in 2016.
The new store opens as other major retailers like REI, Walmart and Nike wind down their stores in Portland amid waves of crime.
Watch on FN
“We have deep roots in this city and are committed to investing in this community,” said Britt Olsen, On’s general manager of the Americas and head of global commercial strategy, in a statement. “We came to Portland in 2013 with just three team members and today, we have more than 260 employees across nearly every function. Portland not only offers an incredible art and food culture, but its accessibility to the outdoors – for all forms of movement – is unbeatable. We’re thrilled to finally have a store in this city that reflects the dedicated community we’ve built here for the last 11 years.”
The new store, which is situated on one of Portland’s most vibrant shopping streets, will feature On’s signature “Magic Wall” structure, which allows shoppers to immediately try on shoes they see in store via hidden drawers holding full size runs. The store is also outfitted with interactive displays that explain On’s footwear technology.
The new store opening is in line with On’s stated goal to expand its direct-to-consumer presence via e-commerce and owned retails stores. On currently operates 32 stores around the globe, including 22 stores in China. On plans to open 15 to 20 more stores in 2024 and expects to keep up an annual pace of between 20 and 25 store openings starting in 2025.
In its most recent third quarter, On said it would add fewer additional wholesale doors moving forward as it looks to have DTC sales outgrow wholesale.
On raised its full year sales outlook in November and expects sales to grow 46 percent to 1.79 billion Swiss francs. This assumes a 21 percent growth rate in Q4, driven by DTC strength. The wholesale growth rate in Q4 is expected to be in the high single digits due to “transitory impacts” from early holiday shipment of orders in Q3, closures in EMEA and challenging year-over-year comparisons.
