Glasses on the run Newsletter #51

Hi,

I hope you are all well and looking forward to some of the best sports competitions that the summer ahead of us has to offer.

What was interesting in the business of running

Nike is continuing the execution of its cost cutting efforts, aimed at saving $2 billion by the end of 2026. As part of that, it has started laying off some of its workforce in its European HQ in the Netherlands. At the same time, as already stated by Nike management earlier this year, it is investing heavily in its Air platform across a number of sports before the Summer Olympics in Paris this year (SGB Online here and here).

Dan Sheridan - the new Brooks Running CEO - continues his active media participation. In an interview with Fortune, he talks about expanding Brooks into the lifestyle market and turning it into a $4 billion brand. That is of course interesting to see because Brooks, which hit $1.2 billion in revenues last year, has been one of the few remaining brands, which focus almost entirely on the running performance market. Expanding into lifestyle however has been beneficial to a range of other brands like New Balance, Hoka, and more recently another 100-year brand - Saucony. Alongside Sheridan, outgoing CEO Jim Weber talks about how his strategy of focusing on the running performance market saved the company and what it means to be a part of Berkshire Hathaway (Fortune).

And finally, while Saucony is expanding into lifestyle, it is of course continuing to treat running as its top priority. As part of that, it signed a partnership with elite German triathlete Rico Bogen. Bogen won the 2023 Ironman 70.3 World Championship with a record breaking 3:32:22. That is the total time, which includes a 1.2-mile (1.9 km) swim, a 56-mile (90 km) bike ride, and a 13.1-mile (21.1 km) run (Endurance).

As always, thank you for reading,

Momchil