Speaking at the ICR Conference 2026, Martin Hoffmann, CEO and CFO at On Holding AG, said the Swiss footwear brand delivered a strong holiday performance, attributing it to efforts to establish a premium positioning and avoid discounting.
Hoffmann said the brand’s mission is to be the “most premium global sportswear brand,” and he calls it the company’s “superpower.” He said premiumization ultimately refers to the experience the brand offers customers that sets it apart from competitors.
“It’s an emotion that you have as a customer. towards a brand,” said Hoffmann. “So just think about brands that you perceive as premium – not as luxury, but as premium. And then think about what this does for you. Maybe you have a desire to have a product. Maybe once you have a product, it gives you a certain identity. It elevates your identity. Maybe you think about amazing brand campaigns from those brands. So, our task is to curate this feeling with the customer. But what it really does is set us apart from the mass market, where in today’s world, there’s a lot of competition. This allows us to chart our own path and not just fish in the same pond as everyone else.”
Hoffmann added that the second piece of the company’s vision is to be a “growth company,” which involves continuing to expand its addressable market.
“Ultimately, that’s about how we can bring more people into our products for a longer period of their day,” said Hoffmann. “And this has to do with growing our brand awareness, bringing products that are exciting for the customer, leading with Swiss innovation, and that premium recipe is something that we aspire to, or basically apply to all those communities that we want to be relevant with.”
He said becoming a premium-positioned brand involves continuing to invest in innovation, design, product quality, and sustainability. It also involves investments in brand ambassadors that can elevate the brand as well as prioritizing selling through premium channels.
“Discounting doesn’t fit a premium brand,” added Hoffmann. “Certain channels don’t fit our brand. Others do very well. And then ultimately, the margin power that you gain from this positioning is a strength and allows us to reinvest into the business and the team and into the innovation.”
The premium positioning helps On drive full-price selling, even during periods such as the holiday time, when many brands rely on discounts to drive revenue. Hoffmann said, “Last year, we bought a lot of amazing products, and as a result, we also had a very good holiday season. And it gives us the confidence going into 2026. The brand is hot. Our full price share is very high, and so we are actually elevating even more on the premium side.”
Hoffmann said On remains confident in its forecast, announced when it reported third-quarter results, that currency-neutral sales would grow at least 23 percent in 2026, due in part to continued momentum and the arrival of innovation in its core running category.
“We were born in running, and so we want to stay extremely relevant in running. And our aspiration is still to be the leader in running,” said Hoffmann. “And we have built amazing franchises, the Cloud Monster, the Cloud Surfer, the Cloud Runner – two of them are updating this year in 2026. So, there’s amazing innovation coming to the market.”
At the same time, On will be launching LightSpray, which uses a robotics-driven manufacturing process to build footwear uppers, with a “more commercial” running model for everyday runners. It will arrive at run specialty stores in March.
This coming October, On will also introduce the Cloud Surfer 3, which incorporates Cloudtec technology and super form cushioning. Hoffmann claimed, “No one else has been able to combine the super foams with engineering.”
Hoffmann said running remains a “very important category” that roots the brand as On extends to other sports. He said, “We always embrace that duality of performance and lifestyle and ultimately being a bigger part of your daily life. But [running is] is the life insurance of the brand. That’s how we look at it.”
Hoffman said On’s expansion into non-running categories such as tennis, outdoor and training is helping the brand reach a wider range of customers. For instance, On’s move into training, spearheaded by its partnership with the American actress Zendaya, has led to “massive growth” in share with 18-to-35-year-old female consumers. The overall apparel category has seen a boost from its move into tennis, where apparel is highly visible on and off court with its ambassadors, led by Iga Swiatek and Ben Shelton. Hoffmann said, “Our apparel business in the tennis segment is the fastest growing part of our apparel segment.”
Asked what criteria On uses as it explores entering new sports categories, Hoffmann said the brand seeks out sports that “live at its intersection of performance and lifestyle because On wants to be relevant in both areas.” Hoffmann continued, “The areas where we are in provide a lot of opportunity for growth in the near-term future. At the same time, I think we can all dream very big about what’s still out there in a lot of sports, wherever On is not yet present today. And those are all big opportunities for the future to make the brand much bigger but also more relevant with a wider base of customers.”
Asked about fashion risks, Hoffman said On is “extremely aware” of the challenges other sports brands have faced as they’ve sought to expand scale fashion categories but finds its focus on premiumization helps offset the risks.
“The performance part is the life insurance of the brand,” he said. “You win in performance by bringing innovation and by really disrupting the market, by getting the credibility for your products from people who wear the product at the highest level of competition. Or you challenge the brand in the most fashion-forward way, for example.”
Asked what the market is underestimating about On, Hoffman cited the company’s internal team, which ultimately drives the product and brand’s positioning.
“We are extremely proud of our culture and of our team,” said Hoffman. “Last year, we had 200,000 applications for like 600 hires that we did. So, we’re not only a strong consumer brand, but we are also a strong and attractive brand for talent. And, I think, this is another superpower that needs a lot of focus, and it needs a lot of work to protect that. But, ultimately, only with the right team can you keep a brand momentum hot and strong. And, I think, we are very clear about it.”
Image courtesy On
