What Analysts Think of Lululemon's Deal With Peloton

Welcome back to FN Daily, where we break down the biggest stories happening in footwear and retail.

Today we look at executive moves at Ecco USA and Salomon, as well as the new deal between Peloton and Lululemon.

Here's what you need to know.

Will Lululemon’s New Deal With Peloton Be a Game Changer?

Lululemon Athletica Inc. and Peloton have inked a five-year deal, under which the athleisure brand becomes the primary athletic apparel provider for the connected fitness company. Lululemon will also discontinue sales of its Mirror device by the end of the year as it turns to Peloton to become its exclusive provider of digital fitness content.

On a broad level, analysts said the new deal represents wins for both parties and offers certain strategic advantages. Mainly:

• Lululemon frees itself from its struggling digital fitness content business
• Peloton finds a new premium source for its apparel business
• Both brands leverage each other's large audiences to build brand awareness

The caveat: It is likely that many Peloton users already wear Lululemon attire. Plus. it remains to be seen how many Lululemon consumers become convinced to sign up for Peloton's fitness content.

Ecco USA Names New Interim President as CEO Tom Berry Exits

Ecco USA confirmed to FN that Deniz Erda is stepping in as interim president of Ecco USA, effective immediately. He replaces Tom Berry, who joined the company in January 2022 as president and CEO.

Erda most recently served as SVP and GM for Ecco Middle East & Africa.

The company said in a statement, "The U.S. remains a key market for Ecco. This change demonstrates Ecco Global’s clear commitment to the brand’s success in this market and our ambitions of a return to mutual profitable growth."

Part of a trend: Since the start of the year, more than dozen major shoe brands and retailers have ushered in a new CEO to their ranks, including VF Corp., Wolverine Worldwide, Academy Sports & Outdoors, Under Armour, Adidas, Designer Brands, Converse, Pacsun, Kohl’s, Bloomingdale’s, Belk and others.

Salomon Taps Hoka Veteran Steve Doolan as President of the Americas

Salomon has hired Steve Doolan as its president of the Americas. He will lead Salomon’s Americas business from its regional headquarters in Ogden, Utah.

The newly appointed executive will be responsible for driving strategy, operations and growth within the region and serving as a key member of the executive board for the brand, according to Salomon. He is set to start on Oct. 23.

Experience in footwear: Doolan joins from Deckers Brands’ star running label Hoka, where he held a variety of strategic commercial, business development and sports marketing roles over the past five years. Most recently, he served as VP and GM of Hoka U.S. and has held other titles like VP of global commercial strategy and sports marketing; senior director of global commercial strategy; and director of strategic accounts.

Need more shoe news?

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• Legislators Reintroduce SHOP SAFE Act to Curb Online Counterfeits
• Cougar Shoes Revamps Its Winter Boots With New Micheline Tires Capsule
• Schutz Expands Into Sneakers With Bold and Glitzy Collection

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