VANCOUVER, BC, Oct. 26, 2021 /PRNewswire/ - RYU Apparel Inc. (TSXV: RYU) (OTCQB: RYPPF) (FWB: RYAA) ("RYU" or the "Company"), a creator of award-winning urban athletic apparel, is pleased to provide an update on the execution of its omni-channel strategy – a key driver of the Company's previously announced four-pillar growth model.
Led by a combined sales leadership team who have been instrumental in growing high-value consumer brands in the sports and lifestyle apparel sector, such as Under Armour (NYSE:UAA) Roxy, Quicksilver, Van's, Outdoor Research and Saxx underwear, the company's omni-channel strategy is driving brand and team activations with positive markers across RYU's three locations (Toronto, Vancouver, and New York).
The Company's four-pillar strategic growth strategy, set in motion under the guidance of COO Rob Blair, includes RYU's governing mantra "Movement Matters" – an all-encompassing brand philosophy covering consumer facing assets as well as how the Company recruits talent and executes its vision. Under this brand and design ethos, RYU has now opened its Vancouver, Toronto and Williamsburg store locations, expanded its floor sales team and has begun piloting a new retail guest experience. At the first outset, and through the launch of its Premium Printed T-Shirt Collection, Golf Shirt and new Vapor Apparel collection as well as its recent "So Long To Summer" marketing campaign, retail has demonstrated positive success markers across channel.
Q3 to Q4 Performance Growth*
Alongside brick and mortars continued improvement, driven by 3:1 return on ad spend (ROAS) through new integrated campaigns, RYU's eCommerce has recently experienced positive trends during the last 15-day period of Q3
Led by newly hired Social Media Manager Travis Roberson, who has worked with world renowned brands such as Red Bull, Monster and social media star JustDustin, RYU's own social media has seen engagement spikes across channel as well.
As RYU's Omni-Channel trajectory continues, RYU remains focused on improving its go-to-market operational processes to increase speed and frequency of new product rollouts.
RYU's eCommerce division is nearing completion of an in-depth audit and restructuring of key performance indicators on traffic, conversion rates, search engine optimization (SEO), and search engine marketing (SEM). With advanced analytics and through monitoring acquisition channels, sales funnels, and consumer behavior, the RYU team expects to meet and exceed brand and sales metrics moving forward.
The Company's new retail strategy remains on path for a 2023 launch, with a smaller footprint experience that allows for a seamless omni-channel "click and collect" model. The model will allow for geographic customization in design from the consumer data collected via the Company's eCommerce initiatives. This model is expected to increase productivity, targeting $1,500-$2,500 sales per sq. ft. with lower comparative overhead, placing the Company on a path to achieve its targets of >70% gross margins and a five-year CAGR of >80%.
Wholesale operations are also progressing with the onboarding of premier online boutique Flain, which serves the lively and culturally rich capital of Kuwait and will serve as a regional test to determine further expansion into the burgeoning fashion markets of the Middle East.
RYU has also expanded its distribution agreement with Toronto-based retailer, Altitude-Sports. Altitude-Sports.com is a premiere Canadian athletic apparel retailer, serving Canada with premium ski, snowboard, outdoor and sport apparel for over 35 years.
"I'm pleased with our tremendous progress on all fronts," said RYU CEO Cesare Fazari. "The challenges of 2020 are in the rear-view mirror and positive momentum is growing as we build upon our past successes."
About RYU Apparel
RYU Apparel (TSXV:RYU, OTCQB:RYPPF), or Respect Your Universe, is an award winning urban athletic apparel and accessories brand engineered for the fitness, performance and lifestyle of the athletic man and woman. Designed without compromise for fit, comfort, and durability, RYU exists to facilitate optimal human performance. For more information, please visit the RYU website at: http://ryu.com.
Forward Looking Statements Disclaimer
Neither the TSX Venture Exchange Inc. nor its Regulation Service Provider (as that term is defined in the policies of the TSX Venture Exchange Inc.) accepts responsibility for the adequacy or accuracy of this press release.
This news release contains forward-looking information that involves various risks and uncertainties regarding future events. Such forward-looking information can include without limitation statements based on current expectations involving a number of risks and uncertainties and are not guarantees of future performance of RYU, such as statements the renewal of the RYU brand, store growth or revenue increases. There are numerous risks and uncertainties that could cause actual results and RYU's plans and objectives to differ materially from those expressed in the forward-looking information, including: (i) adverse market conditions, including conditions arising as a result of the COVID-19 pandemic or otherwise; (ii) an inability to renew the RYU brand, implement strategic objectives and regain profitability; (iii) failing to meet target revenue projections as anticipated; (iv) Actual results and future events could differ materially from those anticipated in such information. These and all subsequent written and oral forward-looking statements are based on estimates and opinions of management on the dates they are made and are expressly qualified in their entirety by this notice. Except as required by law, RYU does not intend to update these forward-looking statements.
SOURCE RYU Apparel Inc.
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