Footwear Insight

6 • Footwear Insight ~ November/December 2024 footwearinsight.com O rthoLite subsidiary Cirql has launched Cirql Zero, a new industrially compostable, biodegradable foam innovation for footwear brands. Cirql's goal is to offer footwear brands comprehensive solutions that address both the production and end-of-life phases of footwear materials, emphasizing biodegradability, recyclability, manufacturing adaptability and scalability. Cirql's two end of life solutions include: fully recyclable with rTPU30, which contains 30% post-consumer recycled content, and biodegradable/ industrially compostable with Cirql Zero. Cirql Zero launched at ISPO Munich in early December and was honored with the ISPO BrandNew Award in the Sustainability category. At ISPO, Cirql Zero made its debut midsole in a concept shoe called the "Disappearing Shoe," designed and developed by the Cirql team. Cirql Zero uses a proprietary polymer compound made via supercritical foaming with inert gases. It offers a lightweight, comfortable, and resilient midsole solution that can be customized for multiple footwear categories, from athletic to luxury. e patent-pending innovation can be 'tuned' to meet the design specs required by footwear brands. At the end of the product's life, Cirql Zero exceeds the industrial compostability testing standard of 90% degradation in 180 days. It will be fully compostable in industrial composting. Cirql Zero also offers manufacturing versatility — the midsole foam can be produced using supercritical foaming (SCF) technology in an autoclave process, which makes it is accessible to a broad range of manufacturers. n Cirql Launches New Biodegradable Foam INNOVATION BUSINESS Concept shoe featuring Cirql Zero THE FOOTWEAR EYE WHAT WE LEARNED FROM FOOT LOCKER'S Q3 RESULTS D espite failing to meet its financial targets in Q3 and simultaneously lowering its FY24 outlook, Foot Locker is vowing to stay the course with its 'Lace Up Strategy' and stand behind its largest vendor partner in Nike. Period results were marred by an elevated and widespread promotional environment, something the company did not anticipate some three months ago. Foot Locker president and CEO Mary Dillon recently told analysts that aspects of the retailer's 'Lace Up' plan, including refreshed and reimagined doors and a new mobile app for its digital business, are working well. Most of Foot Locker's banners had higher comparable sales during the period ended Nov. 2; the WSS business had 'meaningful gross margin expansion,' and the year-over- year inventory level was down by 6 percent as most banners recorded comparable sales gains during the period. While brands such as Adidas, New Balance, On, Hoka, UGG and Asics had strong double- digit growth for Foot Locker in Q3, the retailer's Nike business was so. But that trend is projected to reverse in Q4 as the retailer benefits from a favorable launch calendar from the Swoosh. "Over the long-term, we have full confidence in our largest partner and the strength of our partnership… in how Nike is positioning the brand for the future, and how that will benefit the category, the industry, and Foot Locker," Dillon commented. Foot Locker intends to continue investing in its Home Courts concept with the Swoosh with plans to have 100 in place by 2026. Additionally, the company is expanding its Foot Locker Reimagined concept and store refresh blueprint. e Foot Locker Reimagined concept is being earmarked to represent 20 percent of the retailer's global square footage by 2026, up from 17 percent currently. n

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