Athleisure is close to becoming a $500B market and on track to be $900B by 2033
　　Revenue gets the headlines, but what's more interesting are the strategies at play and who’s actually winning.
　　lululemon set the standard, but now faces major challenges, including a revenue decline in its home market and very public leadership challenges from founder Chip Wilson.
　　Despite these challenges, FY25 revenue was up 5% to $11B, though all the growth came from international markets.
　　✳️ America's ~1%
　　✳️ International +22%, China comps up double digits
　　✳️ Gross profit steady at ~$6.3B, a GM% that many major sporting goods brands would kill for.
　　In response to these pressures, the new CEO, Heidi O'Neill, appears to be aligning with Wilson, calling the product assortment 'too predictable' and planning to increase newness from 23% to 35%.
　　ALO and Vuori are key challengers to Lulu; a tough comparison given the difference in scale, but they’re surging and stealing share.
　　✳️ Vuori: $1B+ revenue, profitable since 2017, valued at $5.5B
　　✳️ Alo: $1B+ revenue, 40%+ growth at its peak
　　They also keep widening their ambitions: anyone for a $3,000 handbag from Alo? With Vuori pushing into travel, they both could be eyeing an IPO.
　　✳️ Gymshark: record revenue of $863M in FY25
　　The British brand, co-founded by then-teenager Ben Francis MBE, has delivered 13 straight years of growth and, despite a slowdown in profitability last year, has cash reserves of $50M. With more retail openings planned, CEO Francis has big plans for investing that cash to drive future growth.
　　Looking at the Sporting Goods Giants, Nike and adidas are leaning in with real intent. However, both arguably face even bigger priorities outside this segment.
　　Across these legacy players, adidas currently has the cultural momentum, while Nike is focused on transformation. Assuming Under Armour survives its current struggles, it could capitalise on lifestyle crossover thanks to its original performance credibility.
　　In contrast, SKIMS is approaching the market from a very different starting point.
　　✳️ ~$1B net sales in 2025, up from ~$145M in 2020
　　✳️ Profitable, valued at $5B, ~70% of customers are Millennial or Gen Z
　　✳️ High visibility collabs including NikeSKIMS
　　Beyond the premium, challenger and sporting goods giant brands, the value players also deserve recognition.
　　Decathlon, Fabletics and Reebok carry a lot of volume; as the premium brands create demand, these value players make it accessible at scale, completing the ecosystem.