Swiss athletic footwear brand On has made a bold move into the football world by signing superstar Kylian Mbappé, stepping into a market traditionally overseen by giants Nike and Adidas. Mbappé, who has been associated with Nike since his youth, is expected to play a key role in shaping On’s entry into this competitive space, as announced by the company on Friday.
Strategic Moves and Key Partnerships
On has also engaged with influential football figures to bolster its presence in the sport. FC Barcelona player and Swiss national team member, Sydney Schertenleib, who joined On as an ambassador last year, will now contribute to product development and testing efforts. Additionally, renowned soccer pundit Thierry Henry, affiliated with On since 2025, has been appointed as the director of football.
Analysts Weigh In on On’s Ambitious Entry
Despite the dominance of Nike and Adidas in the athletic apparel sector, analysts see potential in On’s strategic expansion. Kelly Crago and Owen Tunstill from BMO Capital Markets acknowledge the company’s impactful start with Mbappé’s signing, noting that other smaller brands like Skechers and New Balance have not yet made significant market inroads with less high-profile endorsements. However, Evercore ISI’s Michael Binetti cautions that On’s focus on fashion and performance gear may face challenges, considering the lower profit margins on cleats and licensed apparel.
Statements from On’s New Faces
Kylian Mbappé expressed his enthusiasm for contributing to On’s new ventures, highlighting the opportunity to innovate and influence the game’s future. “From the beginning, what drew me to On was the opportunity to build something entirely new together that will help shape tomorrow’s game,” he stated.
Challenges and Market Dynamics
Jefferies analysts led by Randal Konik have pointed out the significant investment On is making to penetrate the football market. However, they warn that merely securing high-profile endorsements, like Under Armour’s partnership with Steph Curry in basketball, may not ensure brand dominance. The entrenched performance credibility of brands like Nike, Adidas, and Puma remains a critical factor influencing consumer purchase decisions. “If consumers do not view [On] as a performance football brand, premium-priced football footwear will struggle to gain traction,” Konik’s team commented.
Reporting based on coverage first published by retaildive.com.