Vans has officially announced the upcoming release of an ambitious brand extension: LXVI. The name-comprised of the roman numerals for the number ’66,’- is a tribute to the brand’s founding year, 1966. The new line pulls Vans into a whole new market- one currently dominated by the likes of Nike and adidas- as it launches a footwear collection tailored to the ‘every-day’ action sports enthusiast.
Vans President Kevin Bailey emphasized that currently, action sports have found themselves integrated into the daily life of youth, alongside traditional sports. No longer does the notion of an action sports athlete invoke the traditional idea of rebellion: more than ever, kids are riding home from basketball practice on their skateboards; or hanging up their cleats once the snow falls to focus on snowboarding. Bailey stated that LXVI is where ‘traditional sports meet action sports.’ The line boasts new performance aspects, including a raised heel that imitates the feel of an athletic shoe, collar cushioning, new seamless stitching, and a flexible sole.
In addition, Vans has announced new partners in distribution: LXVI’s five designs- the Graph; the Secant; the Inscribe; the Variable; and the Ortho- will debut at select Foot Locker stores, and select specialty lifestyle retailers. The line will also be available in select Vans retailers and online at Vans.com
As part of the roll out, Vans is doing a “consumer reveal” for the product and a teaser campaign and will not release any images of the product until June 28.
VF Corporation, parent company of Vans, held an investors meeting today, June 14, 2012, at the House of Vans event space in Brooklyn, NY. Vans gave in-depth insight as to what they expect in the coming five years: revealing its plan to add $1 billion in revenue- up to $2.2 billion- to the brand by 2016, marking a compound annual growth rate (CAGR) of 13%. Vans President Kevin Bailey underscored the brand’s market strategy, outlining a 4-point plan that entails connecting strongly with the consumer, launching innovative products, continuing and pushing geo-expansion, and through direct-to-consumer distribution.
As far as each region is concerned, Vans is looking to grow their EMEA (Europe/Middle East/East Africa) by $350 million- an 18% CAGR- with the majority coming from the footwear category. The brand has seen strong results from its UK market, and is moving forward with the goal of taking that market model and using to open new doors and encourage growth in places like Scandinavia, Italy, France, and Germany. In the Asia/Pacific region, China has been in the spotlight, as the brand seeks to build a strong consumer connection and identify with the chinese youth’s individual trends and values. This region is forecasted to contribute $170 million towards the $1 billion target. The Americas are looking to continue their streak as Vans strongest market, projected to bring in around half of the $1 billion, 10% CAGR. $360 million of this revenue is looking to come from footwear, leaving $120 million to apparel. The brand is focusing their efforts on specifically tailoring their products and distribution destinations to each particular area they launch in, differentiating between where trend setters seem to reside and shop, versus a more emulator-type consumer.