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The athleisure boom continues. Los Angeles-based activewear brand Alo Yoga lands in the UK this week as part of a major international retail expansion that will see it open a total of 100 stores — averaging at around one per week — across Europe, Asia and the US. The new store, on King’s Road in London, will be its first European outpost.
The brand, launched online in 2007 by childhood best friends Danny Harris and Marco DeGeorge, is also looking to open a European office to further its expansion in the region, says Harris. Meanwhile, it is pulling back from wholesale to focus on its DTC channels, amid soaring growth. Direct-to-consumer represents 98 per cent of the business and Alo already operates 71 stores globally, across the US, Canada and the Middle East, according to the company. Sales hit $1 billion in 2022, according to the Wall Street Journal (the company declined to share 2023 revenues).
“We’re so excited to build and inspire a community in the UK,” says Harris. “Our retail expansion model continues to focus on convenience, guest experience and community as we introduce Alo to our newest markets. Our stores are our proof of concept and show our current community and new customers what we’re about.” He adds that London has an “incredible” fitness scene, making it the perfect first destination for Alo in Europe.
After a pandemic boom, sports-inspired fashion was valued at $88.5 billion in 2022 and is set to outgrow performance wear (valued at $97.6 billion in 2022) by 2027, per Euromonitor. It’s a saturated space, dominated by incumbents like Nike and Adidas, plus fast-growing challenger labels like Lululemon and up-and-comers like Tala or Gymshark — both of which were launched in the UK. However, Alo benefitted from lockdown store closures, which evened the playing field, says Harris. “It left us with one store, which was the website. So, there was no difference between a brand that had 2,000 stores or 10. People took time to choose a brand and they chose us.”
The King’s Road store opening on 17 November will sell Alo’s various collections, from performance to athleisure. It will be followed by two more stores in London by the end of 2024, one on Brompton Road and a flagship on Regent Street. The latter, opening summer 2024, will include an Alo Wellness Centre, complete with a gym, yoga studio and recovery tech like infrared saunas and cryotherapy. Already available in New York and LA, the wellness centres underline Alo’s focus on wellness over sport, Harris says. “Alo isn’t just about being on the court or on the field, kicking a soccer ball. This brand is about you as an individual and getting to be the best version of yourself,” he explains.
Alongside the retail expansion, Alo has launched multiple new categories, including ingestibles, footwear, skincare and, most recently, fashion line Alo Atelier, which retails from £265 for a skirt to £1,200 for a cashmere cardigan. The brand motto is “studio to street” and the brand aims to create a whole wardrobe, says VP of design Abby Gordon. “I love that something can transcend different moments in people’s lives,” she says. Many rivals are experimenting with fashion-led collections, but tend to focus on casualwear or office apparel rather than evening looks or luxury fabrics.
As work and lifestyle landscapes have become blended, wardrobes have followed suit. And the lines separating our outfits aren’t just blurred, they’ve been wiped away, says Kristen Classi-Zummo, apparel industry analyst at market research firm Circana (formally NPD Group). “With these lanes wide open, it gives activewear the opportunity to play in the lifestyle space. Shifting from outfitting for specific events to embracing a versatile lifestyle is a trajectory for growth — one that is embraced, and proved effective, by brands like Alo.”
Alo Atelier elevates the brand, Harris says. However, some users have taken to TikTok to criticise its elevated price points. Harris hasn’t seen the TikToks, but argues that Alo has something to say in high-end fashion. “I’ve seen many times a luxury brand do performance, why shouldn’t a performance brand do luxury? If your studio to street messaging is atelier-type fashion, fantastic. If your street is more performance or streetwear, also fantastic.”
Alo has also carved out its own path when it comes to raising brand awareness. While other brands have cooled on the metaverse, for example, it’s driving real success for Alo with Gen Z, Harris says. The brand has spaces in platforms including Roblox and The Sandbox, where participants can wear Alo to do virtual yoga. The Roblox space alone has seen over 100 million visitors, Harris says, adding that currently there’s more Alo garments being worn in the metaverse than physically. By completing yoga in the experience, users can earn robux to spend on Alo products.
Rather than sponsoring athletes or teams, Alo has invested heavily in celebrity marketing, including ambassador Kylie Jenner and regular wearers such as models Bella Hadid and Hailey Bieber. The brand’s LA headquarters, the original Alo Wellness Centre, is regularly home to celebrities, who attend to train or do recovery therapy like cold plunge, while its Instagram features stars like Blackpink’s Jisoo wearing Alo pieces. “Alo is at the intersection of not just performance and wellness but also fashion and music,” says Harris.
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