How Circle intends to become the ‘global reference’ in the ethical sportswear market
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In the ultra-competitive ready-to-wear market, presenting oneself as an "eco-responsible" brand is no longer considered exceptional. Nevertheless, it remains a central selling point in segments where progress still needs to be made. This is the case, for example, with running shoes. To close this gap, the young French brand Circle has decided to launch a pre-order for what it calls the "most ecologically responsible running shoe in the world".
The Circle team appeared on France's M6 TV channel at the end of January, in the programme ‘Qui veut être mon associé?’ (which translated to ‘Who wants to be my associate?’) "We have one idea in mind: that tomorrow or the day after tomorrow Circle will be the world reference when it comes to ecological sportswear," co-founder Romain Trebuil, said in an interview with FashionUnited.
In 2020, co-founders Romain Trebuil and Alex Auroux started by delivering Circle's first 1,500 orders all over France by bike. This is a significant achievement for a company that relies on the most locally-based production possible.
Its products are partly made from recycled plastic bottles manufactured near Porto, Portugal. Other materials used are polyamide, elastane, but also micro modal, a material made from wood and made in Austria. The articles are assembled in Portugal as the brand is keen to keep its product lines short. The launch of the new running trainer is part of this plan.
”It was an industrial challenge and an incredible innovation," Romain Trebuil said, referring to the SuperNatural Runner, Circle's first running shoe. We are doing something that no one else has done. Working with partners, we have developed solutions, reindustrialising. They have invested in machines that did not exist in Europe up until now.
A running shoe made in Europe
However, Circle is not the only brand to offer what it calls an ethical and responsible running shoe. The American company Allbirds, for example, offers running shoes that contain bio-based materials. The B.Corp certified company also highlights the energy reduction in its production. Nevertheless, Allbirds shoes are made in Vietnam, like most running shoes.
In 2023, fashion brands can no longer be satisfied with their product containing only a few recycled components to sell it as "eco-responsible". The ecological argument is now being closely scrutinised by the public authorities, who intend to put an end to greenwashing by banning the vague term often used by companies. An example of this is the fact that since January 1 2023, Article 12 of France's Climate and Resilience Law, prohibits advertisers from claiming in an advertisement that a product is "carbon neutral" without presenting several pieces of evidence. Other claims are also likely to be monitored by the authorities in the coming months and years.
In this context, Circle has taken a more radical approach than its competitors by focusing on European manufacturing. Designed in Italy and assembled in Portugal, the trainer was developed with two partners: The Woolmark Company, for the wool and wood fibre upper, and Lafuma, for the sole made from plants and castor oil.
The company has opted for a pre-order model for the sale of the sneaker (150 euros for pre-orders and 200 euros thereafter). And although the trainer will not be available for another year, consumers have been quick to respond: "We made 250 in one week," co-founder Trebuil said at the end of January.
Moreover, the buying process involves more than just buying a shoe. Romain explains: "The delivery is in a year, which means that we are going to bring the community into this project, we are going to open the doors of our factories, we are going to have them meet the people who made the product, we are going to involve them in the final technical tests, in the choice of designs... It's a real project. We're not just committing ourselves to a product that we're going to wear, we're committing ourselves to changing the world of running. In addition to its sales, the brand has taken care to build a community around sports through yoga and running groups.
New fundraising round planned for 2023
Three years after its launch, Circle has demonstrated that its model was the one that worked. The company completed a fundraising round in 2022 and is planning a second one in 2023 for between 4 and 5 million euros.
In 2022, the company accelerated its e-commerce and developed a wider physical distribution by opening at French department stores Le Bon Marché, La Samaritaine, Galeries Lafayette, Au Vieux Campeur (more than 15 outlets today). "It's not so much the quantity that was important to us, but rather to find the best department stores in the country on the one hand and running outlets on the other," Trebuil said, who is happy that he no longer needs to contact other retailers, since they now come to him directly.
He also stresses his desire for a balanced retail portfolio: "We don't want to depend on a single means of acquisition or a single sales platform (...) What we are seeing is that discovering the brand in one place and then again in another creates a very positive dynamic."
The goal for the end of 2023 is to open a pop-up store that will be set up over time "with a real experience". The company is also thinking of investing internationally: in Switzerland, England, the Netherlands, Germany and the Nordic countries. According to the company cofounder: "These are markets where sports and the impact of the industry on the environment are very strong values and which the Circle as a brand reflects."
With regard to e-commerce, the company has tripled its turnover and developed its product range with new colours: "We also had a real desire to create brands. We didn't rebrand but we adapted our brand platform, our website and so on. It's something that provided us with a lot of benefits, because it brought us even closer to our community while at the same time elevating the brand.
For 2023, the brand is aiming for a turnover of between 1.5 million and 2 million euros, but above all, it intends to consolidate its company approach. "We try to do things in the proper time, to do things in the right way and to have the most organic growth possible, while being the most connected to our community. Since we started been putting all these things into practice, it's been working really well. So we're really pleased with it.
This article was originally published on FashionUnited.FR. Translation and editing from French into English: Veerle Versteeg.