New Balance ranked third in the performance footwear category in the year ending June '18GETTY IMAGES
New Balance CEO Rob DeMartini said that he plans to maintain the company's current strategy, as it has moved "beyond its footwear roots to offer a wide range of active apparel ... as well as equipment and gear for sports," according to Jean Palmieri of WOMEN'S WEAR DAILY. New Balance ranked third in the performance footwear category in the year ending June '18, and by continuing to "focus on performance above all, the brand has become as hot among the streetwear set as many of its larger peers, especially in Japan, where it is the market leader in lifestyle." As Japan goes, so "often goes the rest of Asia, especially China." While New Balance "continues to be private -- and according to DeMartini, will remain that way -- the company has grown substantially over the years." New Balance "aims for sales" of more than $7B worldwide by '23. DeMartini: "We had $1.5 billion in sales in 2007 so that’s about 10 percent growth a year. Right now, we have 4 percent market share globally, so gaining just one point gets us to $7 billion. It won’t be easy and we know nobody is going to hand it to us, but we can get there." Palmieri notes what New Balance "doesn’t do is pay people to endorse its product." It does have a roster of athletes who endorse the brand and whom New Balance Dir of Int'l Marketing Jeff McAdams said are “critical to our success." On the college level it "supports several schools," including all sports at the Univ. of Maine (WWD.com, 8/14).
