
Under Armour Turns to 73-Year-Old Sports Icon to Sponsor New Line
NEW YORK (TheStreet) -- Under Armour (UA) - Get Report has had a knack for spotting young, emerging sports talent such as golf's Jordan Spieth and the NBA's Stephen Curry to successfully market its tight-fitting compression shirts and brightly-colored sneakers.
However, the athletic wear maker is banking its next big product launch on interest in a 73-year-old legend whose last competitive sporting event was some 24 years ago. At an event on Wednesday held at legendary boxing gym Gleason's in Brooklyn, New York attended by TheStreet, Under Armour previewed its first line of training apparel inspired by the sport's biggest icon, Muhammad Ali.
The publicity arrives on the 40th anniversary of what many boxing fans say was Ali's greatest professional fight known as the "Thrilla in Manila." Taking place in the Philippines on Oct. 1, 1975, the battle for the heavyweight title held by Ali against former champ Joe Frazier was a grueling 14-round bout that Ali won.
"Mohamed Ali transcends sports, and is someone who embodies the Under Armour brand -- he was an underdog, he was fearless," said Glenn Silbert, senior vice president for men's apparel at Under Armour. Added Silbert, "Ali is also a global icon."
It's Ali's global notoriety that Under Armour is likely seeking to tap into to sell more of its performance clothes overseas -- international sales represent just 6% of Under Armour's total business.
The Muhammad Ali collection includes pants, jackets and shirts for men, women and kids.
The products will arrive Nov. 1 at Under Armour's 21 "brand house" stores worldwide, which are Under Armour's own retail stores where the company often debuts exclusive products and tests its latest innovations before wider distribution.
They will also be available online and at select wholesale partners, according to Silbert, who did not divulge the names of the partners. Sweatshirts, hoodies and t-shirts for men, women and kids are noticeably no frills, almost resembling period correct training clothes from Ali's heyday in the 1970s.
Shirts donned inspirational sayings inspired by Ali, like "I'm a bad man" and "I'm going to show you how." A pair of white and black hightop sneakers reads "I'm the greatest" on the tongue.
"We wanted to imagine what Ali would be wearing today if Under Armour was outfitting him," said Silbert about the product line's design.
More Ali-inspired products are on tap for 2016. Said Silbert, "we want to capture moments of his life with each new product launch."
One big moment in Ali's life that Under Armour will seek to capitalize on is the Olympics, which will kick off next year in Rio de Janeiro, Brazil. At the 1960 Summer Olympics held in Rome, Ali, who was then known as Cassius Clay, won the light heavyweight gold medal. Then, in 1996, while battling the effects of Parkinson's Disease, Ali lit the flame at the 1996 Summer Olympics in Atlanta, Georgia.
A nine-year old boxer wearing Under Armour's newest collection shows off his jab.
The Ali training-focused products unveiled on Wednesday by Under Armour represent the first in partnership with Authentic Brands Group, which purchased Ali's estate and licensing rights in 2013 for an undisclosed sum. In February of this year, Under Armour released a limited edition graphic T-shirt inspired by Ali, and then a lifestyle apparel collection in March under the "Roots of Fight" moniker.
If the first Ali training collection proves successful in the lead up to the 2016 Summer Olympics, it will join new basketball sneaker and golf apparel franchises (Curry and Spieth) that are helping to power Under Armour's sales, and stock price. Year to date, Under Armour's sales have surged 27%, while the stock has gained an impressive 42%. Shares of rival Nike (NKE) - Get Report have risen 28% this year.
Under Armour's new Ali collection will go toe to toe with increased competition in the training category. Nike is currently looking to expand in the training sneaker category, recently releasing the MetCon 1 to compete with Reebok's successful licensed Crossfit sneaker.
In terms of sportswear, both Nike and Under Armour continue to be at war in striving to offer the latest moisture-wicking material or other technology designed to enhance athletic performance. Even The North Face owner V.F. Corp. (VFC) - Get Report is taking aim at the training apparel market in its bid to become a year-round brand.










