![]() On Running, the Roger Federer-backed Swiss performance brand, raised $746.4 million last month. Solo’s filing on Monday, along with that of Rent the Runway, indicates that the IPO market is still red hot. “We intend to continue to explore establishing direct operations in additional new markets, including Africa, Asia-Pacific, the Middle East and South America, where we currently serve customers through international distributors,” Solo said. It plans to enter new markets over the next three years, with a near-term and medium-term focus on Europe and Australia. market strategy to increase international sales. The company said it believes it can replicate the U.S. In fiscal year 2020, U.S.-based customers represented over 95 percent of company sales. Last year, 4.9 percent of revenue was generated from sales to Solo’s domestic retail partners. While the digitally native platform is Solo’s primary sales channel, the company also works with wholesale distribution partners. ![]() DTC fulfillment model as we expand internationally and expect to maintain delivery standards similar to those we currently employ in the United States,” the company said. “We plan to replicate our successful U.S. It is also currently expanding its largest fulfillment center, located at the company’s global headquarters near Dallas. The company operates three warehouse facilities in the U.S., and a fourth in The Netherlands. in 2020, Solo said spending is expected to continue to grow as millennials head into their peak consumption years. With millennials and Gen Z representing $1 trillion in spending power in the U.S. In addition, younger consumers between ages 18 to 44 accounted for about 50 percent of the company’s website traffic in 2020. Moreover, the Covid-19 pandemic has solidified consumer interest in the outdoors and its products, with 90 percent of consumers indicating an appreciation for outdoor spaces and 58 percent planning to invest in their outdoor living space in 2021, Solo said, citing a January 2021 survey by the International Casual Furnishings Association. sporting goods and outdoor reaction category grew 18 percent to $220 billion from 2019 to 2020, and is expected to continue growing, citing data from investment banking firm P.J. Solo sees runaway growth for the outdoor market. The brands in turn help Solo expand both customer reach and product offering. “Our disciplined acquisition strategy focuses on profitable, rapidly growing digitally-native brands with disruptive product offerings,” the company said, adding that its platform can help drive scale for acquired brands. Solo said it acquires complementary brands that it believes it can optimize through its digital marketing and supply chain platform. Another benefit of the DTC model is the ability to communicate directly with customers, which provides real-time consumer insights and lets the company control pricing, Solo noted. The filing noted that the company has a “scalable DTC platform,” and that its “plug and play” capability provides competitive advantages, “including an attractive financial profile and a unique ability to acquire and operate outdoor brands that broaden our product assortment and share our values of authenticity, product quality, and community.” The platform in turn creates a flywheel effect of rapid growth and robust free cash flow generation that allows Solo to reinvest in product innovation, strategic acquisitions and global infrastructure. Second-Quarter Net Sales Down 5% at Tapestry Solo said its brands have a history of giving back to their communities and working with organizations that support a variety of causes, whether expanding access to mental health care services or planing trees to offset carbon emissions and working to keep oceans and waterways free of pollution. “Each of these brands is amazing in its own individual way-but together we’ll be able to collectively offer a better customer journey-while doing more for the communities that built us.” “We created Solo Brands with a vision for a different approach to direct-to-consumer business-one that’s not only better for the customer, but better for the community at-large,” John Merris, CEO of Solo Brands and Solo Stove, said last month. Following the acquisitions, Solo Stove rebranded as Solo Brands. Other firms Solo recently acquired include Oru Kayak and Isle paddle boards. It expanded its outdoor lifestyle focus when it acquired Chubbies Shorts last month. Solo Brands started as Solo Stove, a camping firm focused on camp stoves and fire pits founded by two brothers in 2011. The number of Class A common stock and the price range for the offering have not yet been determined. The regulatory filing has $100 million as a listing placeholder, meaning that the size of the IPO could change. ![]() is planning an initial public offering that could see it raise in the vicinity of $100 million.
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