On has banked on innovation with its LightSpray technology (right) uppers lighter and simpler to manufacture.
On
For most of the past four decades, the global running footwear market appeared to belong to Nike.
But while the sportswear giant remains the category leader by revenue, and the company is enjoying a FIFA World Cup boost for its soccer jersey sales, the momentum has shifted decisively away from Beaverton, Oregon.
Among its competitors, Swiss challenger On and fellow performance specialist Hoka have rewritten the rules of the premium running market, winning over consumers through a ruthless pursuit of innovation rather than celebrity endorsements alone.
The latest symbol of that disruption is On’s newly-launched LightSpray technology, which has moved from an elite athlete showcase to a commercially scalable platform. The laceless manufacturing process uses robotic arms to spray a single-piece upper directly onto the sole using a mixed plastic pellet that is spun into a kind of cotton candy, creating an exceptionally lightweight product.
The latest LightSpray Cloudmonster 3 Hyper contains just eight components, weighs less than 7.5 ounces and represents one of the most radical manufacturing innovations the industry has seen in decades.
For On, however, LightSpray is about far more than producing a faster marathon shoe for elite athletes. It represents the company’s broader ambition to reinvent how footwear is designed and manufactured.
“What we’re doing now is on the bleeding edge of technology,” On Co-CEO Caspar Coppetti said, with the long-term implications stretching well beyond performance. Automation creates the possibility of manufacturing much closer to end user customers, moving away from a concentration on Asian-based facilities.
“Our main manufacturing is currently in Korea and Vietnam, alongside smaller production facilities in Zurich. But automation means the opportunity to nearshore production, with plans for manufacturing nearer the end user, including in the U.S. and Europe. This also has a strong environmental benefit,” he said, stressing that it could fundamentally reshape the economics of footwear manufacturing.
“That should mean faster and more agile supply chains and the ability to manufacture tighter inventory to avoid selling off-price. We don’t have any off-price strategy and we don’t manufacture for outlet,” he added.
On Leans On Innovation
Coppetti believes On’s current success reflects a broader redesign of the running shoe itself and the need to reimagine the offer.
“I think On and Hoka have changed the product. Our shoe is based on structural foam engineering,” he said of a sole designed to absorb pressure but allow a strong push off.
That engineering-first philosophy has helped both brands capture runners looking for measurable performance improvements rather than cosmetic updates. Hoka, owned by Deckers Brands, has become a powerhouse in its own right, growing sales 16% during fiscal 2026 to $2.59 billion and now accounting for almost half of Deckers’ total revenue.
On’s founders argue that innovation is the building block for the brand, with aesthetics and lifestyle then combined to “engineer an emotion around function and fashion,” said Co-CEO David Allemann. “We believe that the leisure class has been followed by the movement class, where people want a mix of experiences, health and self-care.”
Fellow Swissman, Roger Federer, has also played a central role in broadening On’s appeal. As both an investor and collaborator, the retired tennis legend has helped On establish credibility outside running, while partnerships with luxury brands have allowed it to operate across multiple consumer segments. The next frontier appears to be apparel.
On has prioritized athletic performance as a route to the wider running market.
On
“There is no end to the performance improvements we can strive for with the athletes,” said On Founder Olivier Bernhard. “We work closely with them and every year we gain new insights. That also goes into apparel. Athletes like to look good too and I think this area offers a huge opportunity.”
Historically, footwear brands have found apparel difficult to scale because consumers often mix brands, but On believes its premium positioning and growing retail footprint can change those purchasing habits, while it notes Asian consumers tend to lean into single brand outfits.
But scale also carries the risk of the behemoth status that arguably is making the turnaround at Nike harder to achieve. And Bernhard insists that preserving the company’s entrepreneurial culture will prove just as important to its long-term success as maintaining its innovation pipeline.
“I think we can keep our disruptor focus by keeping the same mindset around innovation and never accepting the status quo. What we’ll try to avoid is becoming a corporate brand.”