Berkshire Partners LLC, a Boston-based investment firm, together with New Balance Holding Inc., the investment arm of New Balance, completed the acquisition of The Rockport Company from the Adidas Group.
As reported, the business was sold for $280 million.
As part of the transaction, Drydock Footwear LLC, currently a New Balance affiliate and home to the Cobb Hill, Aravon and Dunham brands, will join together with The Rockport Company to form The Rockport Group with Bob Infantino serving as CEO.
The Rockport Group, which will remain based in the greater Boston area, will become a new stand-alone company offering quality dress and casual footwear to customers globally across four brands– Rockport, Cobb Hill, Aravon and Dunham.
New Balance Holding Inc. will be strictly an investment partner alongside Berkshire Partners LLC.
Drydock was founded in May 2011, when Infantino joined with New Balance to create an independent business focused on comfortable dress and casual shoes across the three brands Cobb Hill, Aravon and Dunham. Infantino was a former Rockport EVP prior to his 18-year run at Clarks Companies N.A., most recently president.
In an interview with Sports Executive Weekly, Infantino said Rockport Group’s biggest opportunity is in the casual and dress casual categories.
“Now that the well-established Rockport men’s business and Cobb Hill, a thriving women’s brand, are under one roof, we’re looking at a very exciting path for growth,” said Infantino. “The distribution channels for each business are very complementary, with Cobb Hill flourishing at independent retailers and Rockport succeeding in department stores and online.”
Infantino added, “We also do a big business in city to trail walking and will continue to grow our lifestyle collections that crossover into the athletic part of consumers’ lives. Our TruStride sneakers, out in Spring 2016, are one example of where you’ll see this broader style aesthetic, bringing a brown shoe interpretation to an athletic silhouette.”
Regarding specifically the Rockport brand, Infantino said the brand will be transitioning away from the Adidas technology and developing its own proprietary technology, which will be introduced in future seasons.
On the positive side, Infantino was enthused that Rockport’s male customers “have stayed with us throughout the years.” He also noted that for young men, Rockport offers a transition shoe, since these young men have grown up wearing athletic shoes. Noted Infantino, “They expect comfort in all of their footwear, including their professional shoes, so they turn to us knowing we’ll deliver the same comfort and feel.”
Meanwhile, Rockport women’s business just recently began picking up momentum with the Total Motion collection. Like its Cobb Hill brand, Rockport’s Total Motion collection are attractive to both women in their 20s as well as women in their 60s. Total Motion offers varied heel heights and built-in sports technology for all-day comfort.
“Sustaining this momentum, and eventually, snowballing it, will result from continuing to introduce pinnacle product beautiful, comfortable shoes using the best materials,” said Infantino. “Our very experienced product design and management teams are up for the challenge.”
Another recent win was the earlier spring launch of the Walk360 collection, Rockport’s most advanced walking shoe collection yet. Rockport also expects to see growth for its outdoor performance-based XCS line, introduced in fall 2014.
Rockport was founded in 1971 by father and son Saul and Bruce Katz. The duo wanted to use sports technology to make dress shoes more comfortable and lighter.
“Rockport has been in business for nearly 50 years, and it’s primed for a very exciting next half century,” added Infantino. “So, what’s next? We have quite a few exciting products and innovations coming down the pipeline, all of which will play an integral part in establishing Rockport as the world’s premier comfort shoe brand.”
Regarding distribution, having a bigger presence in outdoor retailers is part of Rockport’s long-term strategy. Added Infantino, “For now, our customers are happy finding these shoes in department stores and specialty footwear.”
Among its other brands, Cobb Hill will eventually become a collection under the Rockport brand and continue to have its own, more European personality. Rockport Group will also continue to build Aravon and Dunham, which will have their own design team and focus.
“Aravon has a very distinct consumer base. It’s a size and width business with shoes built more for accepting foot beds,” said Infantino. “Dunham is also a size and width business, offering classic silhouettes in extreme sizes and widths.”
Companywide, Infantino said the main focus will be to define the look and feel of The Rockport Group, including from what new headquarters will look like right down to the tissue paper in our shoe boxes.
“It will likely take a year or two for us to perfect our specific brand personality, but it’ll be worth the wait and it will shine through in everything, from our product to our marketing campaigns,” said Infantino.
From a product perspective, The Rockport Group will continue to build both its men’s and women’s businesses, while a new business division will be dedicated to invention, innovation and imagination, identifying new technologies and delivering products that have the potential to shake up the comfort category. Concluded Infantino, “We want to do it right, thinking hard about every move we make, so that our brand tells the story of our heritage, our commitment to innovation, and our promise to deliver comfortable, on-trend shoes for all wearing occasions.”
