After setting up shop in Miami’s Design District last December, Birkenstock has revealed that Austin and Nashville are up next on its store opening list.
The brand is steadily expanding its retail presence as it builds the year-round business, diversifies the product mix and seeks new growth avenues in its first year as a public company.
“Our physical stores have been incredibly important. They’re great laboratories to learn from,” said David Kahan, CEO of Birkenstock Americas. “Our history is in true sit-and-fit environments. Having the ability to interact with our brand fans and share the energy of the product is incredible.”
Nashville and Austin have been hotspots for many fashion brands in recent years — and Kahan sees big opportunity for Birkenstock, which currently five other U.S. locations. The Austin store on South Congress Ave. will debut in June, while Nashville will follow later in the year.
“We’re following where people are living, working and shopping,” Kahan said. “It’s natural to be in growing cities where you have a younger demographic intersect with our brand. It’s not just about New York and L.A. Other cities are becoming hubs for fashion, innovation and creativity.”
Outside of those two major openings, Birkenstock is also experimenting with a new retail format — a self-service hybrid model. Customers can shop independently to find their own style and size, but staff will be on site to assist with fittings.
The first hybrid store opened in Sevierville, Tenn. this week, while another door in Westgate, Ariz. will debut later this month. “The two locations were chosen based on research that showed population increases in ‘exurban’ locations — areas that often feature outdoor lifestyle centers,” Kahan said.
The model centers around the brand’s strategy to meet more consumer demand for accessibly priced product. For example, Birkenstock’s EVA collection — which retails form $35 to $60 — will be stocked at these locations. A curated assortment from the wider collection will also be available.
As the company grows its brick-and-mortar presence, its also continuing the build the digital business and reinforcing relationships with wholesale partners. “Our distribution strategy is incredibly balanced,” Kahan noted.
The 250-year-old German footwear brand reported record revenue in the first quarter of 2024. In the period, net revenues rose 22 percent to 302.9 million euros ($328.5 million at current exchange) in the first quarter, up from 248.5 million euros ($269.4 million) the same time last year.
This month, the brand teamed up with Nordstrom as part of the retailer’s “Make Room for Shoes” campaign. Four silhouettes and color combos are available exclusively at Nordstrom.com, Birkenstock.com, and Nordstrom and Birkenstock stores in the U.S. — for a limited time.
