Episode Summary
Executive Summary: On co-founder/co-CEO David Allemann argues that On’s rise comes from innovation-led premium positioning, not mass luxury or discounting. The company is betting that sports have moved to the center of society, that movement is a cultural and mental-health driver, and that bold product, retail, celebrity, and sustainability bets can make On the most premium global sports brand of the future.
Main Topics: On’s brand strategy: premium, innovation-led, global (Priority: 5/5): Allemann defines On as a premium sports brand built on design and technological innovation, aiming to create emotional and functional excitement rather than chase luxury scarcity or pure scale. Sports as a cultural shift toward the 'movement class' (Priority: 5/5): He argues sports have moved from weekend activity to the center of society, replacing a consumption-focused 'leisure class' with a movement-oriented class valuing vitality, longevity, and experience. Founder-led execution and leadership changes (Priority: 4/5): The discussion covers On’s partnership-based leadership model, the move by Allemann and Casper to become co-CEOs, and how founders help keep the company focused on the next growth engine while operating the current business precisely. Retail expansion as brand expression and growth engine (Priority: 4/5): On’s physical stores are described as strategic brand anchors in city centers and a way to fully express apparel, while also lifting community engagement and sales across channels. Product innovation and radical manufacturing (Priority: 5/5): Allemann highlights On’s disruptive design history, from early garden-hose prototypes to LightSpray, a robotic process that dramatically compresses shoe manufacturing and lowers emissions. Celebrity partnerships and organic brand building (Priority: 3/5): He explains how relationships with Roger Federer and Zendaya emerged organically through product exposure and shared context, reinforcing On’s brand without a traditional endorsement model. Sustainability as an innovation outcome (Priority: 4/5): Sustainability is framed as a core Swiss value and a result of engineering choices, including reduced-carbon production and recycled foam inputs from captured emissions.
Key Arguments: On is not trying to be the biggest sports brand, but the most premium global sports brand built on innovation and design. The rise of sports in everyday life creates a new 'movement class' that values activity, health, and experience over ownership and status. Luxury scarcity is less relevant than accessible premium innovation; On seeks to bring advanced products to more people. Founder involvement matters because scaling a company requires both operating discipline and the ability to keep inventing the next growth engine. Retail stores are not just branding assets; they are physical platforms for community, apparel expression, and channel-wide sales lift. Radical product development requires taking risks on ideas that initially sound crazy, then surrounding them with engineering and scientific talent. Sustainability can be embedded in performance innovation, rather than treated as a separate marketing message. Celebrity partnerships worked because they began organically from actual product use and mutual creative fit, not just paid endorsements.
Data Points: Company age described as: 16 years - Allemann refers to On as a '16-year overnight success.' Revenue in 2025: past $3 billion - The host notes On's revenue has steadily climbed past this level in 2025. Stores open: more than 80 - Allemann says On has expanded to over 80 stores. Apparel growth: more than 50% year over year - He says apparel is growing rapidly as part of On’s expansion. LightSpray manufacturing time: 3 minutes - A robotic arm sprays a shoe in minutes, replacing a 200-step process. Manufacturing steps replaced: 200 steps collapsed into one - LightSpray replaces a traditional multi-step shoe assembly process. CO2 footprint reduction: more than 75% lower - Allemann says the light-spray shoe has a much lower footprint than conventional production. Innovation pipeline: 50 to 100 ideas - He says the company may have this many ideas in the pipeline at any given time. Original leadership group: 3 founders, later 5 partners - On started as a partnership and later expanded its leadership team.
Pivotal Quotes: "“The plan is to be the most premium global sports brand, really based on innovation, but also on design.”" — David Allemann: Defines On’s long-term positioning and brand ambition. "“Health is the new wealth.”" — David Allemann: Explains the societal shift behind rising demand for sports and movement-focused brands. "“We took a conscious decision to embrace a lot of risk and say, hey, it sounds crazy, but crazy is good because the night is always the darkest before dawn.”" — David Allemann: Describes On’s willingness to pursue radical product innovation like LightSpray.
Implications: The conversation suggests sports brands that combine innovation, design, community, and sustainability can win share from legacy players. For founders, it’s a reminder that scale works best when paired with disciplined execution and a willingness to keep reinventing.
About Masters of Scale
On Masters of Scale, iconic business leaders share lessons and strategies that have helped them grow the world's most fascinating companies. Founders, CEOs, and dynamic innovators join candid conversations about their triumphs and challenges with a set of luminary hosts, including founding host Reid Hoffman (LinkedIn co-founder and Greylock partner). From navigating early prototypes to expanding brands globally, Masters of Scale provides priceless insights to help anyone grow their dream ente...