What was changed
Champion, an athletic brand founded in 1919, became a 1990s icon and then faded. In the mid-2010s, streetwear and luxury fashion made its script logo and reverse-weave sweatshirts desirable again, and demand outstripped what HanesBrands was supplying.
HanesBrands responded with a coordinated global strategy to elevate Champion: premium positioning, international expansion and direct-to-consumer investment. In 2018 global Champion sales excluding the U.S. mass channel reached $1.36 billion, up from about $1 billion in 2017.
In Q4 2018, Champion revenue rose more than 50% in constant currency outside mass retail, and the International segment became HanesBrands' largest on a run-rate basis.
What it achieved
Champion global sales outside mass retail grew from about $1B in 2017 to $1.36B in 2018; Q4 2018 constant-currency Champion revenue ex-mass rose over 50%.
Why it worked
HanesBrands treated Champion as a growth brand, not a legacy label, and gave it marketing investment.
It expanded Champion in Europe and Asia, where streetwear demand was strongest.
Premium positioning outside mass retail protected the brand's fashion credibility.
Consumer-direct channels — company stores and online — grew 23% in Q4 2018, capturing demand directly.
What can be applied
A dormant heritage brand can be scaled when demand returns if the owner elevates positioning and expands distribution — HanesBrands invested globally instead of just restocking the mass channel.
Aftermath
Champion's momentum continued into 2019, with HanesBrands guiding to double-digit Champion growth outside mass retail each quarter and using the brand as the centerpiece of its diversification strategy. The revival showed that an old logo can become a growth engine when the owner moves quickly when culture turns.
FOLLOW THE EVIDENCE
The sources
- HanesBrands Q4/full-year 2018 results press release (8-K EX-99.1) — Champion ex-mass sales $1.36B in 2018, up from about $1B in 2017 sec.gov
- Motley Fool — Hanesbrands Reports Strong Holiday Sales Growth (Feb 2019) fool.com
- Fox Business — Hanesbrands' Champion Brand Is Killing It (Dec 2018) foxbusiness.com