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Inside Foot Locker's Scaling Strategy for Smaller Sneaker Brands

Inside Foot Locker's Scaling Strategy for Smaller Sneaker Brands

Even for a category as innovative as the sneaker world, the mainstream heavyweights — Nike, Puma, Adidas and the like — still dominate social conversations and take up major shelf space. Yet that hasn't stopped a wave of smaller brands from competing to gain momentum in the market, and retailers are capitalizing on the moment.

The latest example comes this week, with Foot Locker set to become the exclusive U.S. retail launch partner for Salomon, effective July 19. Though the Amor Sports-owned brand has been around for decades, in recent years it's picked up traction thanks to its fashionable yet high-performance styles, celebrity endorsement and buzzy collaborations with fashion labels like MM6 Maison Margiela and Sandy Liang.

For Foot Locker, it was the perfect brand with which to join forces, per Michelle Wang, SVP and chief merchant at the retailer. "I think you see it all over the feet on the streets in New York City," she tells Fashionista.

But Salomon isn't the first label in which Foot Locker has invested in an effort to boost its profile in the footwear market. Years ago, the retailer was a key figure in strengthening New Balance's positioning. To date, it also sells On, Saucony, Havaianas, Ryka and Merrell in its lineup. The key to successfully scaling smaller labels lies firstly in identifying the target audience and meeting them where they are, Wang says.

Photo: Courtesy of Foot Locker

"Over the last few years especially, the consumer has changed," she explains. "There's just more opportunity for brands to establish themselves in the way that they're connecting with different customers... The closet is now more diverse than it ever has been, but every brand has its own journey."

In the case of Salomon, it was important that Foot Locker attract the style-savvy shopper. "[The brand] has a very important space in the street style industry in the way that they've developed and the way they've curated and the collaborations they've even developed in the space and how that now is haloing onto the feet of many," Wang says.

Of course, social media buzz also plays into brand image and relevance. In such an overcrowded online world, where it's difficult for labels to cut through the noise, create original content and build loyal communities, Foot Locker pays close attention to how much organic social media traction new prospects gain. It's crucial that a label's online identity coherently reflects its brand values and product offerings.

In other words, authenticity is key, Wang says. "Authenticity is probably the most overused — but the most accurate — word when you start to describe consumer connection in a world where social media is so constant and saturated."

Photo: Courtesy of Foot Locker

The work doesn't stop once Foot Locker onboards a new brand; next, it's a matter of spreading awareness and supporting growth initiatives. This takes shape through putting together marketing campaigns, identifying unique merchandising strategies and eyeing category expansions.

As the retailer begins its Salomon rollout, it is tapping into immersive experiences as a way to acquire community interest: Starting Aug. 1, it's hosting a farmer's market activation in NYC's Union Square.  The public event aims to bring together community and product discovery.

"[The activation] is a great example of showing, as we start to develop paths for any brand that we grow, whether large scale or small scale, that we're doing it in the most authentic way possible with the consumer in mind first," Wang says.

While ultimately there are no guarantees on how well scaling a smaller brand will go, the one constant each success story has is that they stayed true to themselves and their brand messages.

"They don't look for what's next and how to shift to what's next," Wang continues. "The brands that do it the best understand their heritage and understand how to blend their heritage into culture. And so to me, no matter large scale or small scale, the brands that find those two intersections of heritage and culture have really been able to succeed beyond others."

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* This article was originally published here

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