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fitness coming out of the pandemic is also believed to still be leading more people to run regularly. Stichter said, "When people get involved in running, there's a sticky customer base and they tend to repurchase over and over." She further sees the overall run footwear category benefiting from the "premiumization of price points" tied to the emergence of "super shoes," or carbon- plated running shoes. Not only are these models incentivizing runners to purchase more pairs but to also pay up for innovation. "eir price points are typically over $200," noted Stichter. "You wouldn't typically see an everyday runner buying a shoe at that price point, but we're seeing more and more consumers willing to trade up for a shoe you would get if you were a real elite marathoner but built more for the everyday runner." e max cushioning trend, now embraced by most brands aer being pioneered by Hoka, also fits squarely within the broader comfort footwear trend, increasing the appeal and overall growth opportunity of running styles for everyday wear. "People are just wearing these max cushioning shoes," remarked Chris Nardone, who covers Deckers, On, Nike and Skechers for Bank of America (BOFA). "It goes from high school and college kids all the way up to grandparents. I think the category is definitely here to stay." Sam Poser, who covers Deckers, Nike, On and several other footwear stocks for Williams Trading, argues the overall run footwear category is foremost being boosted from the "huge comfort phase." He said, "e most comfortable sneakers are running shoes, no matter who makes it." He believes the wide majority of individuals are using running styles not for running but for walking, including increasingly wearing them to work or out socially to feed an outsized broader opportunity in run. Poser said, "When they're crossing over into multi-use, that's when things get really good. I think we're seeing a lot of that." Run Specialty Seen As Critical To Brand Credibility Poser suspects run specialty, with its run-centric focus, is seeing less of a benefit than other retail channels from people looking to purchase running shoes generally for walking. However, he believes specialty run remains critical in helping people learn about and try on product, even with the major shi to online selling. "e best brands recognize they have to sit next to their other competitors to win," said Poser. "at was one of the mistakes that Nike made." Indeed, Nike, as well as Adidas, have recently recommitted to the run specialty channel to better establish themselves in the run category, and several other brands, including Skechers, Cra, Diadora and Salomon, have been making major investments in performance run in recent years. Stichter believes run specialty remains the industry's primary "customer acquisition vehicle." She believes that although its maximal construction was clearly unique, a large part of Hoka's success is because they prioritized run specialty early on and likely also benefited as Nike reduced focus on the channel. "Where it becomes really important is getting that new customer in the door and getting them in your shoes, particularly for that new kid on the block," said Stichter. "ey can eventually repurchase online, but I do think [run specialty's] still important just in terms of customer acquisition." BOFA's Nardone believes the run specialty channel "is still just as important, if not more important" than in the recent past because the runner is overwhelmed by the wide range of choices available. He said, "More competition among brands gives the consumer more of a need to go there than to just shop at one of the more generic sporting goods stores, where maybe the education process is not nearly as intense." He further expects run specialty to benefit as hyper-competition among brands brings a constant stream of fresh innovation to shoe walls. However, he also believes that taking a page from the channel's dominant players, Hoka and Brooks, more brands are investing in properly servicing specialty run accounts to better support sales at specialty run. is includes sending out reps to train staff on the latest shoes and updates as sportstylemag.com • sportstyle January/February 2025 • 9 "More competition among brands gives the consumer more of a need to go [to a run specialty store] than to just shop at one of the more generic sporting goods stores, where maybe the education process is not nearly as intense." CHRIS NARDONE, BANK OF AMERICA "When people get involved in running, there's a sticky customer base and they tend to repurchase over and over." JANINE STICHTER, BTIG

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