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Case Study: From the Counterculture to the Runway: How Did Birkenstocks Become Fashionable?

Case Study: From the Counterculture to the Runway: How Did Birkenstocks Become Fashionable?

From the Counterculture to the Runway: How Did Birkenstocks Become Fashionable?

Hippies wear them. Rebels, dropouts from conventional consumerism, flower children—all images traditionally associated with Birkenstocks, the clunky, cork-soled sandals that have been issuing forth from German factories for 240 years. Although the company has introduced a few variations, such as a clog or rubberized straps, the look of a Birkenstock is immediately recognizable and little changed from its humble beginnings.

All these features suggest it is a poor candidate as a fashion product. Rather than changing every season, the footwear has stayed largely the same. Rather than focusing on the appearance of the offering, the product design stems solely from considerations of comfort and orthopedic safety. Furthermore, they continue to be made in relatively expensive German factories rather than having production shipped overseas to lower the costs.
Considering these factors, it seems strange that Vogue has called Birks “sexy” and Glamour named it the shoe of the summer recently. Explanations for this newfound popularity with fashion’s elite are varied and unproven. One fashion blogger explained that after years of wearing only uncomfortable, tight, high-heeled shoes, slipping on a pair of Birkenstocks was a life-changing experiment in comfort, so she could not imagine going back. Other fashion leaders, including Manolo Blahnik—known for his sky-high heels and creative shoe designs—has offered his endorsement, asserting that as long as the wearers have nice toes and a good pedicure, the sandals can look nice.
The approval from these fashion leaders has led more and more famous people to name-drop the brand. In popular magazines that feature interviews with trendy celebrities like Keke Palmer and Lorraine Pascale, the Birkenstock name pops up as the shoe of preference on set.46
The shift certainly did not result from a conscious effort by Birkenstock though. Rather, it caught the company somewhat by surprise, because it had been doing business the same way it had for more than two centuries. It has a virtually nonexistent marketing budget, does not advertise widely, and did not pursue the endorsements it has received from fashion trendsetters. Its CEO asserts that the popularity is a reaffirmation of a basic, and seemingly outdated, marketing lesson: Build a great product, and people will seek it out on their own.
Still, the company is not immune to the appeal of being known as fashionable. Accordingly, it is happy to tout its mentions in popular media on the Birkenstock website. It also has developed a nice collection of Instagram shots that emphasize its diverse assortment of pn2e 353 options. Along with fashion shots of yodels wearing its silver sandals with high-fashion dresses, it also features hikers in remote locations, sporting its comfortable-looking, well-worn footwear.
The combination of great product and strong branding has been highly effective. Birkenstock’s sales have grown by anywhere from 40 percent to 50 percent over the past year in different regions of the world, and it estimates that it will sell 20 million pairs annually by 2020. That’s a lot of toes to show.47
Questions
1. Visit the company website (© www.birkenstockusa.com/) and identify and describe the different product lines that it markets.
2. Describe its product line breadth.
3. Review the different product categories in each of the company’s product lines. Which has the greatest depth? Which has the least?
4. How has the company positioned its brand? How does it go about communicating its position?

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