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New Balance sticks to old partnership with Eland, Korean subsidiary in the works

Published: 17 Feb. 2025, 17:23 Updated: 17 Feb. 2025, 18:27

KIM JU-YEON
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New Balance's flagship store in Seongsu-dong, eastern Seoul [ELAND WORLD]

Sportswear brand New Balance extended its partnership with local fashion retail giant Eland World and will establish a subsidiary in Korea, a move expected to accelerate growth in the country, the firm said Monday.

The renewed deal between New Balance and Eland World will see Eland continue as distributor of the brand’s children’s footwear and apparel and as its primary partner through 2030, New Balance said.

The Boston-based footwear company entered the Korean market in 2008, with Eland World as its exclusive licensee and distributor.

New Balance will also launch a subsidiary that will start operations on Jan. 1, 2027. The investment is to connect more closely with Korean consumers and manage business in the country, which is a “key global market for the brand,” the firm said.

The company recognized that Korean consumers are “important early adopters of new styles and innovations […] renowned for their trend-forward influence on global fashion and lifestyle.”

"We are excited to extend our unique and important relationship with Eland World and also establish a direct brand presence in Korea,” said Joe Preston, president and CEO of New Balance, through a press release.

“This move reflects our unwavering commitment to driving strategic market share gains by staying close to our global consumers and providing innovative products and exciting brand experiences,” Preston said.

New Balance recorded over 1 trillion won ($700 million) in sales in Korea for the first time last year. It also posted $7.8 billion in global annual sales for 2024, up 20 percent on year and its highest ever.

Preston attributed the brand’s success to its positioning as a premium brand and practicing selective distribution to keep the brand’s premium image, while speaking at the National Retail Federation's 2025 Retail’s Big Show conference in January.

BY KIM JU-YEON [[email protected]]