why hoka and on are winning in running shoes while nike faces declines

as a dedicated runner for over 15 years and a passionate sneaker collector, i’ve seen the running shoe market transform in ways i never imagined. my journey began with the nike pegasus—an iconic shoe that marked the start of my running adventure. despite initial resistance to switching brands, my transition to trail running and eventually to new balance, opened my eyes to the critical importance of comfort and technical features in running footwear.

the rise of hoka and on

in recent years, brands like hoka and on have seen impressive growth, while nike has faced some significant challenges. nike’s fourth-quarter earnings report showed a 1.7% drop in revenue, marking the company's slowest sales growth in 14 years. this decline contrasts sharply with the rising popularity of hoka and on, both of which have carved out substantial niches in the market through innovation and strategic engagement.

hoka, known for its distinctive cushioning technology, has been a game-changer in the industry. the brand’s commitment to comfort is evident in its latest products, like the skyward x and mach 6. the skyward x features a plush midsole with carbon elements, ideal for daily runs and extended distances, while the cielo x1 and mach 6 cater to specific running needs with advanced design features like carbon fiber plates and foam midsole for optimal energy return.

on has also made significant strides with its unique cushioning technology and sleek design. the cloudstratus, for example, offers a soft landing and powerful push-off, appealing to both casual runners and competitive athletes. the brand’s emphasis on continuous improvement and consumer feedback has solidified its growing popularity in the market.

strategic retail expansions and social media savvy

hoka and on are not only excelling in product innovation but also in expanding their reach through strategic retail expansions and effective use of social media. hoka, for instance, recently opened flagship stores in paris and new york. these new locations are more than just retail spaces; they are designed to create a global connection with consumers. the new york store’s opening event, which featured a collaboration with influencer dude with sign, garnered 1.2 million impressions, demonstrating the power of engaging with the community through social media. similarly, hoka’s paris flagship store saw impressive engagement with 515,000 people interacting with dedicated social media posts.

on’s strategic expansion efforts include a strong emphasis on building physical and digital communities. by investing in retail spaces and leveraging social media platforms, both brands are creating immersive experiences that resonate with their audience and foster brand loyalty.

tracksmith: mastering branding and storytelling

among the rising stars in the running shoe market, tracksmith stands out for its exceptional approach to branding and storytelling. i really like tracksmith, so much i’ve talked about them and their incredible storytelling in a previous blog. unlike nike, which has struggled to resonate with the running community, tracksmith has excelled by speaking directly to "real runners" through both product innovation and content that genuinely reflects their audience’s experiences.

tracksmith’s marketing strategy is a masterclass in “storytelling over selling.” they understand that effective marketing goes beyond pushing products; it’s about connecting with the core audience on a deeper level. one of their standout examples is a one-hour, 23-minute asmr-style video of a woman running.

this video captures the subtle sounds of running—the crunch of the road, the rhythm of breathing—immersing viewers in the runner's experience. for many, including myself, this video was more than just a marketing piece; it was a reflection of our own running journeys.

tracksmith’s content isn’t just beautiful and poetic; it’s also strategic. the brand’s approach focuses on creating high-quality, relatable stories that resonate with their audience. this storytelling technique has contributed to a remarkable 280% growth over three years, demonstrating the power of authentic engagement.

marketing and branding insights

tracksmith’s success highlights the importance of aligning a brand’s marketing strategy with the values and experiences of its core audience. for those unfamiliar with the terms, a core audience consists of individuals most likely to support and buy from a brand, while a target audience is a specific segment of a broader market. tracksmith excels at appealing to its core audience—runners who understand and appreciate the nuances of their sport.

the brand’s content strategy emphasizes creating stories that set the stage for their products to shine. by making the product and its user the hero in their narratives, tracksmith has built a strong, loyal community. this approach reflects what the print industry calls the “pass-along rate”—creating content so compelling that it’s worth sharing with others who are also in the target audience.

last year, tracksmith launched its first shoe, designed for everyday training. unlike the exaggerated cushioning of competitors like on and hoka, tracksmith’s shoe offers a minimalist profile with a plush footbed for cushioning and energy return. this understated yet effective design has made it a top-seller, contributing significantly to the brand’s revenue. their upcoming launch of a carbon-plated shoe for race days further demonstrates their commitment to catering to both casual and competitive runners.

conclusion

in conclusion, the running shoe market is witnessing a transformative shift, with hoka and on leading the charge in innovation and community engagement, while nike grapples with its traditional dominance. tracksmith’s exceptional branding and storytelling showcase how staying true to a brand’s core audience and creating meaningful connections can lead to remarkable success. as a marketer and runner, it’s inspiring to see how these brands are reshaping the industry and setting new standards for what it means to truly connect with consumers.