In March, Topo Designs received a significant equity investment from Gart Capital Partners to mark the first time the Denver-based outdoor brand had taken on outside funding since being founded in 2008. SGB Executive talked with Topo Designs’ president Jedd Rose about the brand’s “The New Outdoor” platform and how the fresh funding will help capitalize on Topo Designs’ recent momentum.
In 2022, Topo Designs’ revenue grew over 30 percent, and the company projects strong double-digit growth for 2023 as part of a recently-hatched five-year growth strategy. Key leadership hires have been made in recent years to accelerate growth, including Matt Williams as COO from Exxel Outdoors; Rachelle Thurik, director of marketing, formerly from Nike; Sean Han, who joined as director of sales from Spyder; and Christy Bailey, director of product overseeing sustainable design innovation, formerly with Pact Apparel. Co-founders Mark Hansen and Rose continue as CEO and president, respectively.
Founded in 1993 and also Denver-based, Gart Capital Partners has invested in a broad range of consumer and retail businesses focused on closely held and family-owned businesses. Investments have included Gart Brothers Sporting Goods Company, Specialty Sports Ventures, Running Specialty Group, Bag N Baggage, Golftec, and Work World.
When did the “The New Outdoor” mission or platform arrive, and what is it? Topo Designs was founded with the fundamental belief that everyone experiences the outdoors differently. We want to get everyone outside without feeling encumbered by the traditional notions that hold them back. While we formally introduced the phrase in 2022, we’ve always lived “The New Outdoor” ethos. We’re rooted in mountain culture, but we also love exploring cities and world travel. We celebrate the idea of being able to seamlessly integrate the outdoors into daily life by offering products that help people get confidently outside on their own terms, regardless of location.
What is the brand best known for? What categories do you see the fastest growth? What else is unique about the brand that you want to highlight? Many consumers first discover Topo Designs through our pack category, and our Rover backpack has become a beloved item among brand fans. Our Rover pack draws inspiration from classic outdoor backpacks of the 1960s and 1970s and has been reimagined with distinct silhouettes, various durable materials and colors, making it adaptable for any need. The same user can carry the bag on a casual day hike, their daily commute and while sightseeing during international travel. Since 2019, we’ve sold over 158,000 Rover bags. Other fast-growing categories are our award-winning Global Travel Roller Bags and sustainably designed apparel from our Dirt Collection.
How did the partnership from Gart Capital Partners come about, and why are they ideal for your first outside funding partner? The Gart family is well-known in Colorado. I grew up shopping for outdoor gear from Gart stores, and another co-founder [Mark] also worked for a Gart store at one point. As we’ve grown the Topo Designs brand, we’ve gotten to know the Gart group through our shared Colorado connection. We kept in touch over the years, and it became the perfect time for both of us to partner to take Topo Designs to the next level. We had set criteria in mind for a partner, and the Gart team definitely checked all those boxes.
What will the funding be used for? We’ll be using this funding to build brand awareness and expand customer acquisition programs across our domestic direct-to-consumer channels. We’ll be leveraging Gart Capital’s strengths and extensive expertise in outdoor retail to expand our proprietary brick-and-mortar retail footprint across key cities, as well as to further penetrate the wholesale channel.
What’s next for Topo Designs? In addition to brick-and-mortar and wholesale channel expansion, we’re making investments in sustainable product innovations, as well as nonprofit and community-based partnerships. These programs have been core to our brand since we launched, but you’ll start to see these initiatives show up with more intention and visibility in the year ahead. For the Spring and Fall 2024 seasons, we’ll also be evolving our product lines with expanded apparel and bag designs to offer current and new customers more solutions for multi-functional lifestyles.
Photos courtesy Topo Designs
