who-owns-supreme

Who Owns Supreme?

Supreme is a brand owned by VF Corporation. The primary individual shareholder of VF Corporation is Todd Barbey and the family – heirs of its founder, John Barbey – which holds a 5.2% ownership stake and other shares included in the family trust accounts, held through PNC Bank. Ownership is then distributed across institutional investors like The Vanguard Group (10.34%), Northern Trust Corporation (6.4%), BlackRock (6.2%), and Capital International Investors (5.6%). VF Corporation generated $11.8 billion in revenue in 2022, comprising brands like Vans, The North Face, Timberland, and Dickies.

AspectDescriptionAnalysisExamples
Products and ServicesSupreme offers a range of streetwear clothing, including T-shirts, hoodies, jackets, hats, and accessories such as bags and skateboards. The brand is known for its limited-edition releases and collaborations with artists, designers, and brands, creating a sense of exclusivity and collectibility.Supreme’s primary revenue source is the sale of its limited-edition streetwear and accessories. The brand’s strategy of limited releases and collaborations generates high demand and a sense of scarcity among customers. Supreme has successfully created a strong and loyal customer base of streetwear enthusiasts and collectors.Streetwear clothing, limited-edition releases, exclusivity, collaborations, T-shirts, hoodies, jackets, hats, bags, skateboards, high demand, scarcity, customer loyalty, collector market.
Revenue StreamsSupreme generates revenue primarily through the sale of its streetwear clothing and accessories. Customers purchase Supreme products through its own retail stores and online shop. Revenue also comes from select authorized retailers and resale markets, where Supreme’s limited-edition items often command premium prices due to their collectible nature.The sale of limited-edition streetwear and accessories constitutes Supreme’s primary revenue stream. The brand’s retail stores, online shop, and select authorized retailers serve as distribution channels. Supreme’s popularity has led to a thriving resale market, where its products can fetch significant premiums, contributing to secondary revenue streams.Revenue from product sales, retail stores, online shop, authorized retailers, resale markets, secondary revenue streams, collector market.
Customer SegmentsSupreme caters to a customer base that includes streetwear enthusiasts, fashion-forward individuals, and collectors. The brand’s exclusivity and limited releases attract customers who value unique and highly sought-after items. Supreme’s products appeal to those who want to express their individuality through fashion.Supreme primarily serves streetwear enthusiasts, fashion-conscious individuals, and collectors. Its limited-edition releases and collaborations create a sense of exclusivity and desirability, attracting customers who seek unique and highly sought-after clothing and accessories as a means of self-expression.Streetwear enthusiasts, fashion-forward individuals, collectors, exclusivity seekers, unique fashion expression, desirability, limited-edition appeal.
Distribution ChannelsSupreme distributes its products through a combination of its own retail stores and an online shop. The brand’s retail locations in key fashion cities, such as New York City, London, Tokyo, and Los Angeles, serve as flagship destinations. The online shop provides access to customers worldwide, offering convenience and accessibility. Limited and controlled distribution channels contribute to the brand’s exclusivity.Supreme’s primary distribution channels include its own retail stores in strategic fashion cities and a global online shop. Retail locations in key fashion hubs serve as flagship destinations, attracting customers seeking the Supreme experience. The online shop offers accessibility to a worldwide audience. Controlled distribution channels and limited availability reinforce the brand’s exclusivity and collectible appeal.Retail stores, flagship destinations, online shop, global accessibility, limited distribution, controlled availability, exclusivity, collectible appeal.
Key PartnershipsSupreme collaborates with a wide range of artists, designers, and brands, including well-known names like Nike, Louis Vuitton, and The North Face. These collaborations generate excitement and anticipation among customers and often result in limited-edition and highly sought-after products. Supreme also partners with musicians and sponsors skateboarding events to align with its street culture identity.Collaborations with artists, designers, and brands are a cornerstone of Supreme’s business model. These partnerships create buzz and demand for limited-edition releases. Collaborations with musicians and involvement in skateboarding events reinforce the brand’s street culture identity and connect with its target audience.Artist collaborations, designer collaborations, brand partnerships, limited-edition releases, buzzworthy products, musician partnerships, skateboarding event sponsorships, street culture identity.
Key ResourcesKey resources for Supreme include its brand identity, design and creative teams, production facilities, distribution network, retail stores, online shop, and a loyal customer base. The brand’s reputation for exclusivity and collectibility is a valuable intangible asset. Investments in design and marketing are crucial for maintaining customer interest and hype around new releases.Supreme’s resources encompass a strong and distinct brand identity, skilled design and creative teams, production capabilities, a distribution network, retail stores, an online shop, and a devoted customer base. The brand’s reputation for exclusivity and collectibility serves as a valuable intangible asset, driving demand. Continuous investments in design and marketing efforts are essential for sustaining customer interest and generating excitement for new releases.Strong brand identity, design expertise, production capabilities, distribution network, retail presence, online shop, loyal customer base, exclusivity reputation, collectibility appeal, design and marketing investments, customer interest sustainability.
Cost StructureSupreme incurs various costs, including expenses related to design and production, marketing and advertising campaigns, employee salaries and benefits, retail store operations, online shop maintenance, and administrative overhead. Investments in collaborations, limited-edition releases, and marketing campaigns represent significant costs.Costs associated with Supreme’s operations encompass design and production expenses, marketing and advertising campaign costs, employee salaries and benefits, retail store operating expenses, online shop maintenance costs, and administrative overhead. The brand’s strategy of limited-edition releases and high-profile collaborations requires substantial investments in product development, marketing, and brand promotion.Design and production costs, marketing and advertising campaign expenses, employee salaries and benefits, retail store operating costs, online shop maintenance expenses, administrative overhead, collaboration investments, limited-edition release investments, marketing campaign investments, brand promotion expenses.
Competitive AdvantageSupreme’s competitive advantage lies in its ability to create a strong sense of exclusivity and desirability among customers through limited-edition releases, collaborations, and controlled distribution. The brand’s strategic partnerships with artists, designers, and brands generate buzz and anticipation, setting it apart in the streetwear market. Supreme’s brand identity, reputation for collectibility, and devoted customer base contribute to its continued success and cultural relevance.Supreme’s strengths include its mastery of exclusivity and desirability, achieved through limited releases and collaborations, which foster a sense of anticipation and demand. The brand’s strategic partnerships with artists, designers, and brands create significant buzz in the streetwear market. Supreme’s distinct brand identity, reputation for collectibility, and loyal customer base are key drivers of its ongoing success and cultural relevance.Exclusivity, desirability, limited-edition strategy, strategic partnerships, buzz creation, streetwear market prominence, brand identity, collectibility reputation, customer loyalty, cultural relevance.

Supreme and VF Corporation

  • Streetwear Icon: Supreme is a renowned streetwear brand known for its distinctive style, limited-edition releases, and collaborations with artists and designers.
  • Part of VF Corporation: Supreme operates as a brand under VF Corporation, a global apparel and footwear company that owns a diverse portfolio of renowned brands.
  • Founder’s Heirs: The primary individual shareholders of VF Corporation are the heirs of its founder, John Barbey, who hold a 5.2% ownership stake and shares through family trust accounts, managed by PNC Bank.
  • Institutional Investors: Ownership of VF Corporation is also distributed among institutional investors, including The Vanguard Group (10.34%), Northern Trust Corporation (6.4%), BlackRock (6.2%), and Capital International Investors (5.6%).
  • Revenue: VF Corporation, with Supreme as one of its brands, achieved impressive revenue of $11.8 billion in 2022, reflecting the strength of its brand portfolio and market presence.
  • Cultural Impact: Supreme has gained significant cultural influence, particularly within the streetwear and urban fashion scene, attracting a dedicated following and global fanbase.
  • Limited-Edition Drops: One of Supreme’s distinctive characteristics is its limited-edition product releases, creating a sense of exclusivity and high demand among its customer base.
  • Brand Collaborations: Supreme is well-known for its collaborations with artists, designers, and other brands, resulting in highly sought-after and collectible products.
  • Global Appeal: Supreme’s popularity extends beyond its New York City roots, with a strong global presence and a dedicated following in various countries worldwide.
  • Brand Image: Supreme’s red box logo and iconic branding have become instantly recognizable symbols within streetwear culture and beyond.
  • E-commerce and Retail: Supreme operates both online and brick-and-mortar retail locations, creating a seamless shopping experience for its customers.
  • Streetwear Subculture: Supreme’s success is partly attributed to its ability to tap into and define the streetwear subculture, appealing to youth culture and fashion enthusiasts.
  • Celebrity Endorsements: Many celebrities and influencers, including musicians, artists, and athletes, have been spotted wearing Supreme, further boosting its cultural relevance.
  • Scarcity and Resale Value: The limited availability of Supreme’s products often leads to high resale values in secondary markets, attracting collectors and resellers.
  • Street Art Aesthetics: Supreme’s brand identity is heavily influenced by street art, graffiti, and skateboarding culture, aligning with the urban lifestyle.
  • Brand Loyalty: Supreme’s dedicated fanbase demonstrates strong brand loyalty, eagerly anticipating each new product release.
  • Integration with VF Brands: As part of VF Corporation, Supreme can leverage synergies with other brands within the portfolio, sharing resources and expertise.
  • Growth Opportunities: Under VF Corporation’s ownership, Supreme has the potential to expand its reach and product offerings, tapping into new markets and collaborations.
  • Future Outlook: With VF Corporation’s support and its established position in streetwear culture, Supreme is poised to continue its success and maintain its status as a prominent streetwear icon.

Related To VF Corporation

VF Corporation Revenue

vfcorporation-revenue
In 2020, VF Corporation generated revenue of $10.49 billion. The company experienced a decline in revenue in 2021, with total revenue falling to $9.24 billion. This represented a decrease of approximately 11.9% compared to the previous year. However, VF Corporation saw a strong rebound in revenue in 2022, with total revenue reaching $11.84 billion. This marked an increase of approximately 28.1% compared to 2021. The significant increase in revenue in 2022 suggests a recovery from the challenges faced in 2021, and the company’s revenue surpassed its 2020 level. Overall, the trend in revenue for VF Corporation over this three-year period indicates a temporary dip in 2021, followed by a robust recovery in 2022.

VF Corporation Revenue By Channel

vfcorporation-revenue-by-channel
In 2022, VF Corporation generated revenue from three primary sources: Wholesale, Direct-To-Consumer, and Royalty. The company’s Wholesale revenue was the largest contributor, amounting to $6,371,190,000 (or approximately $6.37 billion). This represents the revenue generated from selling products to wholesalers, retailers, and other business partners. The second-largest source of revenue was Direct-To-Consumer, which amounted to $5,404,075,000 (or approximately $5.40 billion). This represents the revenue generated from selling products directly to end consumers, typically through the company’s own retail stores, e-commerce platforms, and other direct sales channels. The smallest source of revenue was Royalty, which amounted to $66,575,000 (or approximately $66.58 million). This represents the revenue generated from licensing the company’s brands, trademarks, or intellectual property to third parties in exchange for royalty payments. Overall, the majority of VF Corporation’s revenue in 2022 came from its Wholesale and Direct-To-Consumer segments, with Wholesale being the largest contributor. Royalty revenue, while smaller in comparison, still contributed to the company’s overall revenue.

VF Corporation Revenue By Type

vfcorporation-revebye-by-product
In 2022, VF Corporation generated revenue from three primary business segments: Outdoor, Active, and Work. The company’s Outdoor segment generated revenue of $5,327,568,000 (or approximately $5.33 billion). This segment includes products and brands related to outdoor activities, such as hiking, camping, and adventure sports. The revenue from this segment represents sales of outdoor apparel, footwear, and equipment. The Active segment generated revenue of $5,380,338,000 (or approximately $5.38 billion). This segment includes products and brands related to active lifestyles, such as athletic wear, fitness, and sports. The revenue from this segment represents sales of activewear, athletic footwear, and related products. The Work segment generated revenue of $1,133,149,000 (or approximately $1.13 billion). This segment includes products and brands related to workwear and occupational safety. The revenue from this segment represents sales of workwear, protective clothing, and safety footwear for various industries and professions. Overall, the majority of VF Corporation’s revenue in 2022 came from its Outdoor and Active segments, with both segments contributing similar revenue levels. The Work segment, while smaller in comparison, still contributed significantly to the company’s overall revenue.

Related Visual Resources

Slow Fashion

slow-fashion
Slow fashion is a movement in contraposition with fast fashion. Where in fast fashion, it’s all about speed from design to manufacturing and distribution, in slow fashion, quality and sustainability of the supply chain are the key elements.

Patagonia Business Model

patagonia-business-model
Patagonia is an American clothing retailer founded by climbing enthusiast Yvon Chouinard in 1973 who saw initial success by selling reusable climbing pitons and Scottish rugby shirts. Over time Patagonia also became a fashionable brand also for its focus on slow fashion. Indeed, the company sells high-priced clothing items built to last which it will repair for free.

Patagonia Organizational Structure

patagonia-organizational-structure
Patagonia has a particular organizational structure, where its founder, Chouinard, disposed of the company’s ownership in the hands of two non-profits. The Patagonia Purpose Trust, holding 100% of the voting stocks, is in charge of defining the company’s strategic direction. And the Holdfast Collective, a non-profit, holds 100% of non-voting stocks, aiming to re-invest the brand’s dividends into environmental causes.

Fast Fashion

fast-fashion
Fash fashion has been a phenomenon that became popular in the late 1990s and early 2000s, as players like Zara and H&M took over the fashion industry by leveraging on shorter and shorter design-manufacturing-distribution cycles. Reducing these cycles from months to a few weeks. With just-in-time logistics and flagship stores in iconic places in the largest cities in the world, these brands offered cheap, fashionable clothes and a wide variety of designs.

Inditex Empire

inditex-fast-fashion-empire
With over €27 billion in sales in 2021, the Spanish Fast Fashion Empire, Inditex, which comprises eight sister brands, has grown thanks to a strategy of expanding its flagship stores in exclusive locations around the globe. Its largest brand, Zara, contributed over 70% of the group’s revenue. The country that contributed the most to the fast fashion Empire sales was Spain, with over 15% of its revenues.

LVMH Business Model

lvmh-group-business-model
LVMH is a global luxury empire with over €79 billion ($83 billion) in revenues for 2022, spanning several industries: wines and spirits, fashion and leather goods, perfumes and cosmetics, watches and jewelry, and selective retailing. It comprises brands like Louis Vuitton, Christian Dior Couture, Fendi, Loro Piana, and many others.

Kering Business Model

kering-business-model
Kering Group follows a multi-brand business model strategy. The central holding helps the brands and Houses part of its portfolio leverage economies of scale while creating synergies. At the same time, those brands are run independently. Kering is today a global luxury brand that made over €20 billion in revenue based on this multi-brand strategy. Within Kering Group are brands like Gucci, Bottega Veneta, Saint Laurent, and many more—the primary operating segments based on luxury and lifestyle.

Kering Brands

kering-brands
Kering is a luxury goods multinational founded in France by François Pinault in 1963. The company, which initially specialized in timber trading, grew via acquisitions and was listed on the Paris Stock Exchange in 1988. Two years later, Kering merged with a French conglomerate interested in furniture, department stores, and bookstores.

Ultra Fast Fashion

ultra-fast-fashion
The Ultra Fashion business model is an evolution of fast fashion with a strong online twist. Indeed, where the fast-fashion retailer invests massively in logistics and warehousing, its costs are still skewed toward operating physical retail stores. While the ultra-fast fashion retailer mainly moves its operations online, thus focusing its cost centers on logistics, warehousing, and a mobile-based digital presence.

ASOS Business Model

asos-business-model
ASOS is a British online fashion retailer founded in 2000 by Nick Robertson, Andrew Regan, Quentin Griffiths, and Deborah Thorpe. As an online fashion retailer, ASOS makes money by purchasing clothes from wholesalers and then selling them for a profit. This includes the sale of private label or own-brand products. ASOS further expanded on the fast fashion business model to create an ultra-fast fashion model driven by short sales cycles and online mobile e-commerce as the main drivers.

Real-Time Retail

real-time-retail
Real-time retail involves the instantaneous collection, analysis, and distribution of data to give consumers an integrated and personalized shopping experience. This represents a strong new trend, as a further evolution of fast fashion first (who turned the design into manufacturing in a few weeks), ultra-fast fashion later (which further shortened the cycle of design-manufacturing). Real-time retail turns fashion trends into clothes collections in a few days or a maximum of one week.

SHEIN Business Model

shein-business-model
SHEIN is an international B2C fast fashion eCommerce platform founded in 2008 by Chris Xu. The company improved the ultra-fast fashion model by leveraging real-time retail, quickly turning fashion trends in clothes collections through its strong digital presence and successful branding campaigns.

Zara Business Model

zara-business-model
Zara is a brand part of the retail empire Inditex. Zara is the leading brand in what has been defined as “fast fashion.” With almost €20 billion in sales in 2021 (comprising Zara Home) and an integrated retail format with quick sales cycles. Zara follows an integrated retail format where customers are free to move from physical to digital experience.

Wish Business Model

wish-business-model
Wish is a mobile-first e-commerce platform in which users’ experience is based on discovery and customized product feed. Wish makes money from merchants’ fees and advertising on the platform, and logistic services. The mobile platform also leverages an asset-light business model based on a positive cash conversion cycle where users pay in advance as they order goods, and merchants are paid in weeks.

Poshmark Business Model

poshmark-business-model
Poshmark is a social commerce mobile platform that combines social media capabilities with its e-commerce platform to enable transactions. It makes money with a simple model, where for each sale, Poshmark takes a 20% fee on the final price for sales of $15 and over and a flat rate of $2.95 for sales below that. Its gamification elements and the tools offered to sellers are critical to the company’s growth as a mobile-first platform.

Read Next: Zara Business Model, Inditex, Fast Fashion Business Model, Ultra Fast Fashion Business Model, SHEIN Business Model.

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