BIRKENSTOCK goes High Fashion!

New partners, new horizons and developments in Italy

BIRKENSTOCK has been considered one of the world’s leading lifestyle brands since the early 1970s. Its success is based upon its long-standing tradition and production of now-legendary footwear, as well as the invention of the footbed. Quality, functionality and a sense of well-being – the concept of the brand, whose origins date back to 1774, works well. 

Today the former family business in its sixth generation employs more than 5,500 people and has expanded its product range, which, in addition to its world-famous sandals comprises orthopaedic special products, socks, bags and belts, to include sleep systems and natural cosmetics.

Since February 2021 BIRKENSTOCK has been majority-owned by L Catterton, the world’s largest growth investor with a focus on consumer goods industries, and the holding company Financière Agache owned by Arnault, the French billionaire family, which also holds a 97.5% stake in Christian Dior and is the majority shareholder of the world’s leading luxury group LVMH Moet Hennessy Louis Vuitton.

 

What prompted BIRKENSTOCK, a traditional family business, to make this decision?

 

Major partners, bold steps and a new course for the future

While details of the contractual agreement were not disclosed, heirs Christian and Alexander Birkenstock and their management team only entered into partnership with L Catterton and Financière Agache in 2021 following careful examination of all the options – and thus took a giant step for the 250-year-old company. “We need partners for the next 250 years who share the same strategic and long-term vision as the Birkenstock family: we have found such partners in L Catterton and Financière Agache. They bring both a deep understanding of the details of a product company, where quality is paramount, and a respect for brands with a long heritage like ours”, say the two brothers. The agreement meant the sale of the majority of the shares, but they remain as minority shareholders.

The aim of the partnership is to accelerate the growth of markets in China and India and to further strengthen BIRKENSTOCK’s leading market position in Europe and America – primarily via investments and the expansion of production, logistics and distribution. There are also plans to expand the direct-to-consumer business and e-commerce platforms.

Dior meets BIRKENSTOCK

The first fashion fusion between BIRKENSTOCK and Dior took place at the beginning of this year. Two models were reinterpreted for the “Dior Men’s 2022-2023” collection by legendary designer Kim Jones: the Milano and Tokio sandals.

The evolution of Birkenstock’s Tokio Mule is also part of the Dior by BIRKENSTOCK collection.

BIRKENSTOCK in Italy

NaturalLook – which has always been BIRKENSTOCK’s distribution partner in Italy – is convinced that this merger will pave the way for new brand developments in the country. In fact, the interest of the upper end of the market in the German brand has increased, leading to a growth in sales for NaturalLook in 2022 – also thanks to careful segmentation introduced by NaturalLook several years ago and important support in terms of services and communication.

 

 

Sources:

https://www.birkenstock-group.com/de/de/detail-presse/strategische-partnerschaft-mit-l-catterton-und-bernard-arnault/

https://www.birkenstock-group.com/de/de/detail-presse/dior-by-birkenstock-kollaboration-in-paris-vorgestellt/ 

https://www.birkenstock.com/de/1774/dior/