On Holding AG (ONON) Bundle
Ever wondered about the brand making waves in the athletic world with its innovative designs and commitment to sustainability? On Holding AG (ONON), the Swiss sportswear company, has captured the attention of athletes and investors alike. But how exactly did this company, which reported net sales of CHF 2,318.3 million in 2024, rise to prominence, and what makes its business model so unique? Keep reading to discover the fascinating story behind On, its ownership structure, its mission to ignite the human spirit through movement, and how it generates revenue in the competitive sportswear market.
On Holding AG (ONON) History
Founding Timeline
Year established
The company was established in 2010.
Original location
The company was founded in Zurich, Switzerland.
Founding team members
The founding team members are:
- Olivier Bernhard
- David Allemann
- Caspar Coppetti
Initial capital/funding
Specific details regarding the initial capital or funding amounts are not available in the provided context. However, it is common for startups to rely on initial investments from founders, angel investors, or early-stage venture capital.
Evolution Milestones
| Year | Key Event | Significance |
|---|---|---|
| 2010 | Company Founded | Olivier Bernhard, a former professional athlete, partners with David Allemann and Caspar Coppetti to create a revolutionary running shoe. |
| 2012 | Launch of the Cloudracer | The Cloudracer model is launched and worn by athletes competing in the London Olympics. |
| 2013 | Expansion in Europe and North America | The company begins expanding its sales and marketing efforts beyond Switzerland, targeting key markets in Europe and North America. |
| 2014 | Launch of the Cloudflyer | Introduction of the Cloudflyer, a shoe designed for maximum cushioning and support, broadening the appeal to a wider range of runners. |
| 2018 | Roger Federer Invests | Tennis star Roger Federer invests in the company, becoming a shareholder and brand ambassador. This partnership significantly boosts the brand's global recognition and credibility. |
| 2020 | Introduction of Apparel Line | The company expands its product line to include performance apparel, complementing its footwear offerings. |
| 2021 | Initial Public Offering (IPO) | The company goes public on the New York Stock Exchange (NYSE) under the ticker symbol ONON. The IPO raises significant capital for further expansion and innovation. |
Transformative Moments
The company's journey includes several transformative moments that have shaped its growth and success:
- The creation of the CloudTec® system: This technology, characterized by distinctive cloud-like cushioning elements, set the company apart from traditional running shoe manufacturers. It offered a unique running experience that combined a soft landing with an explosive takeoff.
- The partnership with Roger Federer: This collaboration extended beyond a typical endorsement deal. Federer's involvement as an investor and active contributor to product development significantly elevated the brand's image and reach.
- The strategic decision to expand into apparel: This move allowed the company to cater to a broader range of athletic needs and tap into new revenue streams, establishing it as a comprehensive performance brand.
- Successful IPO in 2021: Going public provided substantial capital for the company to invest in research and development, expand its retail footprint, and strengthen its global marketing efforts.
These moments reflect a combination of innovative technology, strategic partnerships, product diversification, and financial milestones that have propelled the company from a startup to a globally recognized brand. For more insights into the company's guiding principles, explore Mission Statement, Vision, & Core Values of On Holding AG (ONON).
On Holding AG (ONON) Ownership Structure
On Holding AG features a dual-class share structure which impacts its ownership and control dynamics. A significant portion of the company's shares are held by its founders and key executives, giving them substantial influence over company decisions.
On Holding AG's Current Status
On Holding AG is a publicly traded company, listed on the New York Stock Exchange (NYSE) under the ticker symbol ONON. This means that anyone can buy shares in the company, and its financial performance is subject to public reporting requirements.
On Holding AG's Ownership Breakdown
The ownership of On Holding AG is distributed among various shareholders, including institutional investors, company founders, and other individual investors. The following table provides an overview of the ownership breakdown:
| Shareholder Type | Ownership, % | Notes |
|---|---|---|
| Institutional Investors | 45.88% | Includes major asset managers like Baillie Gifford, and T. Rowe Price Associates. |
| Co-Founders & Insiders (Olivier Bernhard, David Allemann, Caspar Coppetti) | Approx. 30% | Founders and key executives retain a significant ownership stake, influencing the strategic direction of the company. |
| Public and Retail Investors | Remaining balance | Consists of various individual investors and smaller funds. |
On Holding AG's Leadership
On Holding AG is guided by a team of experienced leaders who steer the company's strategic direction and operational execution. Key members of the leadership team include:
- Co-Founders: Olivier Bernhard, David Allemann, and Caspar Coppetti. They continue to play vital roles in the company's innovation, brand development, and overall strategy.
- Martin Hoffmann: Serves as the Chief Financial Officer.
Understanding who owns and leads On Holding AG provides valuable insight into the company's governance and strategic priorities. For more detailed insights into On Holding AG's investor profile, you can explore: Exploring On Holding AG (ONON) Investor Profile: Who’s Buying and Why?
On Holding AG (ONON) Mission and Values
On Holding AG aims to revolutionize the running experience through innovation and sustainability. The company is committed to high performance, transparency, and community engagement.
On Holding AG's Core Purpose
Official mission statement
On's mission statement is: 'To ignite the human spirit through movement, creating high-performance products delivered with an unwavering commitment to transparency and sustainability.'
- Igniting the Human Spirit: Encouraging people to embrace movement and physical activity.
- High-Performance Products: Developing innovative and effective athletic gear.
- Transparency: Operating with openness and honesty in all business practices.
- Sustainability: Minimizing environmental impact through responsible manufacturing and materials.
Vision statement
While a specific formal vision statement may not be publicly available, On's overarching vision can be inferred from its actions and communications:
- Innovation Leadership: To be the leading innovator in running and athletic footwear and apparel.
- Global Community: To build a global community of athletes and enthusiasts connected by a shared love for movement.
- Sustainable Practices: To set a new standard for sustainability within the athletic industry.
- Enhanced Performance: To continuously improve athletic performance through cutting-edge technology and design.
Company slogan/tagline
On has used several taglines that reflect its brand ethos:
- 'Run on Clouds': This tagline highlights the unique cushioning technology in On shoes, designed for a comfortable running experience.
- 'Dream On': Encourages athletes to pursue their dreams and push their limits.
To learn more about the investors of On Holding AG, check out this profile: Exploring On Holding AG (ONON) Investor Profile: Who’s Buying and Why?
On Holding AG (ONON) How It Works
On Holding AG operates by developing and distributing performance sports footwear, apparel, and accessories engineered for running, training, and outdoor activities. The company focuses on innovative designs and technology to enhance athletic performance and comfort.
On Holding AG's Product/Service Portfolio
| Product/Service | Target Market | Key Features |
|---|---|---|
| Running Shoes | Runners of all levels, from beginners to professional athletes. | CloudTec® cushioning technology for soft landings and explosive takeoffs, Speedboard® technology for energy return, and sustainable materials. |
| Apparel | Athletes and active individuals seeking performance and comfort. | Moisture-wicking fabrics, ergonomic designs for freedom of movement, and weather-resistant materials. |
| Outdoor Gear | Hikers, trail runners, and outdoor enthusiasts. | Durable construction, waterproof membranes, and specialized outsoles for superior grip on varied terrains. |
| Training Shoes | Fitness enthusiasts and gym-goers. | Stable platforms, responsive cushioning, and breathable materials for high-intensity workouts. |
On Holding AG's Operational Framework
On Holding AG's operational framework is built around several key elements:
- Innovation and Design: On Holding AG heavily invests in research and development to create cutting-edge footwear and apparel technologies. Their signature CloudTec® technology, for example, provides a unique cushioning system that adapts to each runner's individual stride.
- Manufacturing and Supply Chain: The company partners with select manufacturers to ensure high-quality production. They also focus on sustainable practices, using recycled materials and minimizing waste.
-
Distribution and Sales: On Holding AG distributes its products through a multi-channel approach, including:
- Direct-to-consumer (DTC) channels: Online store and physical brand stores.
- Wholesale partnerships: Collaborating with retailers and specialty stores.
- Marketing and Branding: On Holding AG employs a marketing strategy that emphasizes the brand's Swiss engineering, innovative technology, and performance benefits. They engage with athletes, influencers, and running communities to build brand awareness and credibility.
To gain more insights into the company's values, check this link: Mission Statement, Vision, & Core Values of On Holding AG (ONON).
On Holding AG's Strategic Advantages
On Holding AG has several strategic advantages that contribute to its success:
- Innovative Technology: CloudTec® cushioning and Speedboard® technology provide a unique running experience, differentiating On Holding AG from competitors.
- Strong Brand Identity: The Swiss-engineered design and focus on performance resonate with athletes and active individuals.
- Premium Product Positioning: On Holding AG positions itself as a premium brand, attracting customers who are willing to pay for high-quality and innovative products.
- Multi-Channel Distribution: A combination of DTC channels and wholesale partnerships allows On Holding AG to reach a broad customer base.
- Sustainability Initiatives: Commitment to using recycled materials and reducing waste aligns with growing consumer demand for eco-friendly products.
On Holding AG (ONON) How It Makes Money
On Holding AG primarily generates revenue through the sale of its performance footwear, apparel, and accessories. These products are designed for running, training, and other outdoor activities, targeting both professional athletes and recreational enthusiasts.
On Holding AG's Revenue Breakdown
On Holding AG (ONON) generates revenue through various channels, with a significant portion coming from wholesale and direct-to-consumer (DTC) sales. Based on the 2024 fiscal year:
| Revenue Stream | % of Total | Growth Trend |
|---|---|---|
| Wholesale | 57.5% | Increasing |
| Direct-to-Consumer (DTC) | 42.5% | Increasing |
On Holding AG's Business Economics
On Holding AG's business economics are characterized by premium pricing and a focus on innovation. Key aspects include:
- Premium Pricing: On Holding AG positions its products in the premium segment of the athletic footwear and apparel market, allowing for higher profit margins.
- Innovation and Technology: The company invests heavily in research and development to create innovative products with unique technologies, such as the CloudTec® cushioning system.
- Brand Building: On Holding AG focuses on building a strong brand identity through marketing and sponsorships, enhancing perceived value and customer loyalty.
- Global Expansion: Expanding into new markets and regions to increase its customer base and revenue streams.
On Holding AG's Financial Performance
On Holding AG has demonstrated strong financial performance in recent years, marked by robust revenue growth and improving profitability. Here are some key highlights:
- Revenue Growth: In fiscal year 2024, On Holding AG reported a 30% increase in net sales compared to the previous year, reaching approximately CHF 1.79 billion.
- Gross Profit Margin: The company maintains a healthy gross profit margin, which stood at 58.5% in 2024, reflecting its premium pricing strategy and efficient cost management.
- Net Income: On Holding AG achieved a net income of CHF 91.5 million in 2024, showcasing improved profitability.
- Direct-to-Consumer (DTC) Growth: The DTC channel has shown substantial growth, with a 39.3% increase in sales in 2024, indicating the effectiveness of its online and branded retail strategies.
For more detailed insights into the company's financial health, you can explore this analysis: Breaking Down On Holding AG (ONON) Financial Health: Key Insights for Investors
On Holding AG (ONON) Market Position & Future Outlook
On Holding AG is strategically positioned for continued growth, leveraging its innovative footwear technology and expanding global presence. The company's future outlook appears positive, driven by increasing demand for its performance-oriented products and effective marketing strategies. More information can be found here: Exploring On Holding AG (ONON) Investor Profile: Who’s Buying and Why?
Competitive Landscape
| Company | Market Share, % | Key Advantage |
|---|---|---|
| On Holding AG | ~1.5% | Innovative Speedboard® technology and distinctive design. |
| Nike | ~15% | Extensive brand recognition and diverse product portfolio. |
| Adidas | ~12% | Strong global presence and established supply chain. |
Opportunities & Challenges
| Opportunities | Risks |
|---|---|
| Expanding into new geographic markets, particularly in Asia-Pacific, to capitalize on growing demand for athletic footwear. | Intense competition from established players with greater brand recognition and resources. |
| Developing new product lines and technologies to cater to a broader range of consumer needs and preferences, such as apparel and accessories. | Fluctuations in raw material costs and supply chain disruptions could impact profitability. |
| Enhancing its direct-to-consumer (DTC) channel to improve margins and build stronger customer relationships. | Changes in consumer preferences and fashion trends may require rapid adaptation and innovation. |
Industry Position
On Holding AG has carved out a unique niche in the athletic footwear market by focusing on innovation and sustainability.
- The company's focus on performance running shoes with its patented CloudTec® technology sets it apart from many competitors.
- On is increasingly recognized for its commitment to reducing its environmental impact through sustainable materials and production processes.
- Strategic partnerships with retailers and athletes enhance brand visibility and credibility.
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