Under Armour is an American-based sports equipment company that manufactures casual and sports apparel and footwear. The company started its operations in 1996. Since then, it has become one of the largest names in the US for its products. Initially, the company offered unique synthetic fabric products, which was revolutionary at its time. It was also the reason behind the company’s early success.
Under Armour is a top name in the sports apparel industry. Under Armour’s business model allows it to sell its products for decent profits. The company operates over 350 stores that include brand and factory houses. Under Armour primarily operates in the US market, where it holds a decent market share. The company also went public after an IPO in November 2005.
Under Armour reported revenues of $5.27 billion in 2019, which was the company’s highest. It also allowed the company to generate an operating income of $236.77 million. Under Armour also made net profits of $92 million during the period, coming from a $46 million loss in 2018. Similarly, the company reported total assets of $4.84 billion and total equity of $2.15 billion in 2019.
Overall, Under Armour has a highly successful business model. However, this model is also replicable and not unique. Therefore, the company faces tough competition from various other competitors. Some of these competitors existed even before Under Armour came to the market. Under Armour’s competitors also provide customers with an alternative to the company’s products.
The list of top ten Under Armour competitors and alternatives is as below.
1. Nike
Nike is the largest sportswear, footwear, apparel, equipment, and accessories brand in the market. Nike is a US multinational corporation that is the world’s largest supplier of athletic shoes and apparel. The company also holds the highest share of the market. It started its operations in 1964 and is currently the name to beat in the market.
Nike generated revenues of $37.40 billion in 2020, although it was a drop from the $39.12 billion it made in 2019. The company also owns 384 stores in the US and 768 stores in 45 other countries. Under Armour operates in the same primary market like Nike, making both competitors and rivals.
2. Adidas
Adidas is one of the biggest and oldest names in the sportswear, footwear and casual wear market. Adidas began its operations in 1924 as a sports shoe seller. Initially, the company’s name was Dassler Brothers Shoe Factory. However, it got renamed Adidas in 1949. Currently, it is the largest sportswear manufacturer in Europe and the second-largest in the world.
Adidas is a well-known brand globally with offices in over 100 countries. The company generated revenues of $26.4 billion in 2019. Adidas also acquired another reputed brand Reebok in 2006, which further cemented its reign on the market. Overall, Adidas is one of Under Armour’s most prominent competitors.
3. Puma
Puma and Adidas had the same started, established by the Drassler brothers from Germany. However, Puma’s founder Rudolf Drassler parted ways with his broth in 1948 to found Puma. Since then, both companies have been in substantial competition, despite Adidas being the bigger brand. Despite that, Puma is a well-known manufacturer of athletic and casual footwear, accessories, and apparel.
When it comes to competition, Puma is on a similar level as Under Armour. The company generated revenues of $5.95 billion in 2019. Currently, it employs over 13,000 people globally and has distribution channels in over 120 countries. Although behind the above two names, Puma is an Under Armour competitor and alternative.
4. Fila
Fila is a sportswear manufacturer that primarily designs shoes and apparel. The company started its operations in 1911 in Italy. However, its operations span throughout the world. Currently, the company operates from South Korea and has offices in 11 countries. The company is one of the well-known names in the market, although not as popular as the above brands.
Fila generated revenues of $2.6 billion in 2019. The company is not at the same level when as Under Armour when it comes to revenues. However, it still holds a market share in the markets where Under Armour is active. Although once it was a household name, Fila has lost its popularity.
5. Skechers
A company that is identical to Under Armour in terms of operations is Skechers. Skechers started its business in 1992 with a focus on the casual footwear market. The company primarily operates in this market and is headquartered in California, US. Like Under Armour, Skechers depends significantly on the US market to generate revenues.
Skechers generated sales of $4.597 billion in 2020. However, it was a downfall from its highest revenues of $5.22 billion it made in 2019. Despite that, it is a well-known brand in the US footwear market. Although Skechers is not as active in market segments as Under Armour, both still compete in the footwear market.
6. Asics
Asics is a Japanese-based multinational corporation that manufactures sports equipment. The company started its operations in 1949 as Onitsuka Tiger. However, it later got renamed to Asics in 1977. The company offers various products, including footwear, clothing, and accessories. However, its running shoes have been the talk of the town and ranked among the top in the market.
Asics made revenues of €3.172 billion (equivalent to $3.43 billion) in 2019. However, its revenues dropped to €2.597 billion in 2020. Despite that, the company is a prominent competitor to Under Armour in various markets. Although both companies operate in similar market segments, Asics primarily focuses on its sports equipment and footwear.
7. Lululemon
Lululemon Athletica is a Canadian multinational athletic apparel retailer with headquarters in Vancouver. Lululemon started its operations in 1998 as a retailer of yoga pants and yoga wear. However, it has expanded its operations over the years to offer athletic wear, lifestyle apparel, accessories, and personal care products.
Lululemon has over 490 stores globally while also being active in the e-commerce market. The company generated revenues of $4 billion in 2019 and employed 19,000 employees in 2020. In terms of competition, Lululemon poses a significant threat to Under Armour’s business in various markets.
8. Reebok
Reebok is a British-American footwear and clothing company. The company currently operates under Authentic Brands Group since August 2021. Previously, it was a subsidiary of Adidas. Reebok manufactures and sells fitness, running, CrossFit footwear, and clothing. The company began its operations in 1958 in Great Britain but has expanded its operations to various prominent markets.
In terms of revenues and operations, Reebok isn’t a prominent brand. However, the company is well-known for its products and competes in the same markets as Under Armour. The company made revenues of €1.411 billion (equivalent to $1.6 billion) in 2020. However, these revenues were a dip from the €1.748 billion Reebok made in 2019.
9. New Balance
New Balance is an American sports footwear and apparel company. The company began its operations in 1906 and currently operates under New Balance Athletics, Inc. and New Balance Inc. New Balance is one of the leading names in the sports footwear and apparel manufacturing industry. Similarly, New Balance currently competes in the US and European markets with several prominent names.
New Balance generated revenues of $4.4 billion in 2020. The company also employed 7,000 employees. Currently headquartered in Boston, the US, the company has over 4,000 retail stores globally. Of these, over 300 are in North America, and more than 3,000 are in China. Overall, New Balance is an Under Armour competitor in several markets.
10. VF
Formerly known as Vanity Fair Mills, VF is another American company competing in the apparel and footwear market. The company commenced its operations in 1899 as Reading Glove and Mitten Manufacturing Company. The company owns 13 brands, which it categorizes into Outdoor, Active, and Work segments.
VF Corporation generated revenues of $13.8 billion in 2019. It is known as one of the leading names in the footwear industry. Over the years, the company has shifted its focus to the footwear market. However, it is still successful due to its quality products. Overall, VF is an Under Armour competitor and alternative in the footwear market.
Conclusion
Under Armour is an American-based company that offers sportswear, activewear, footwear, and clothing apparel. The company is a household name in the US and also competes in various other markets. However, it also faces significant competition in those markets. Some of Under Armour’s top competitors and alternatives are listed above.
