Vans is throwing its classic sneakers in a blender. The iconic skate brand is making bold moves to regain relevance in a rapidly evolving market. Through its new premium line, OTW by Vans, the company is attempting to refresh its image and attract a younger audience while confronting the reality of declining sales.
After experiencing significant growth during the streetwear surge of the late 2010s, Vans found itself struggling as consumer tastes shifted towards other footwear brands like Nike and newer challengers. The brand’s reliance on a few classic models left it vulnerable, leading to two years of double-digit sales declines. To counteract these challenges, Vans is now focusing on innovation and creativity in its product offerings.
The introduction of OTW by Vans, launched in February, represents a critical pivot for the brand. This new line aims to push the boundaries of Vans’ traditional offerings, infusing modern designs and unexpected elements into its classic models. The creative director, Ian Ginoza, emphasizes the desire to provide consumers with a new perspective on what Vans can be.
One notable product from the OTW line is the reimagined Old Skool, outfitted with innovative materials and new design features. Equipped with rugged Vibram hiking soles and Dyneema fabric uppers, this shoe retains the classic silhouette while appealing to modern sensibilities. The OTW Old Skool 36 Trail serves as another example with technical enhancements that elevate its function and style.
Furthermore, collaboration has become a cornerstone of Vans’ revitalization strategy. A standout partnership with emerging streetwear label Satoshi Nakamoto saw the OTW Old Skool Reissue 36 adorned with striking pearl embellishments, generating buzz and selling out instantly. The secondary market has also seen values for these shoes soar, with resales reaching upwards of $1,000—showing that there is a demand for innovative, fashion-forward designs.
Vans’ parent company, VF Corp, has recognized the urgent need for change. With the hiring of Sun Choe, previously the chief product officer at Lululemon, as its new global brand president, the brand is positioning itself to embrace a more innovative culture. According to analyst John Kernan, Choe has a track record of scaling creative strategies, something that Vans has historically struggled with.
Despite these promising developments, the journey towards a full recovery is still a long one. Vans has cleaned up its wholesale channels and initiated changes like reducing its SKU count, yet the brand continues to face a tough competitive landscape. Although the pace of sales decline has lessened, eliminating outdated practices and focusing on e-commerce and digital growth remain crucial for Vans’ long-term success.
Market dynamics have shifted, and Vans must reconnect with its core audience—especially the young consumers who shop at retailers like Foot Locker. Data from Piper Sandler’s semi-annual Taking Stock With Teens survey revealed a concerning trend, with Vans falling out of the top ranks for U.S. teens’ footwear preferences, now below brands like Ugg and New Balance.
The Vans Knu Skool, originally released in the late 1990s and reintroduced in 2022, stands out as one of Vans’ most popular recent franchises. Its success ties in with the resurgence of wider-leg bottoms in fashion, appealing to a demographic seeking both nostalgia and style. As consumers gravitate towards affordable yet stylish options, the Knu Skool checks multiple boxes that resonate with today’s market demands.
In summary, while Vans is taking substantial steps to reinvent itself through innovative product design, strategic collaborations, and leadership changes, the brand still faces hurdles in revitalizing its charm and market share. The road ahead will require not just creativity in product offerings, but also a clear understanding of evolving consumer preferences to engage a new generation of fans while maintaining its heritage.
