On Running
On Running is a Swiss performance footwear and apparel brand founded in 2010, known for its CloudTec cushioning technology and distinctive sole design. The company IPO'd on the NYSE in 2021 (ticker: ONON) and generated CHF 2.3 billion in revenue in 2024, with 29% year-over-year growth. On operates nearly 50 owned retail stores globally and sells direct-to-consumer (48.8% of Q4 2024 sales) alongside wholesale partnerships, positioning itself as a premium challenger to Nike and Adidas with celebrity investor Roger Federer holding a ~3% stake.
Score generated by AI agents based on publicly cited evidence and reviewed by the project maintainer. Not independently validated.
Score History
Timeline events are AI-curated from public reporting. Score trajectory is derived from documented events.
On was founded in Zurich by three Swiss entrepreneurs with a genuine technical innovation in cushioning. As a small startup with no supply chain scrutiny, no public shareholders, and a single niche product, enshittification concerns were minimal. The company was wholly focused on product development and building credibility in the competitive running shoe market. Manufacturing was outsourced to Vietnam from the start, creating latent supply chain risk typical of the footwear industry.
On expanded from a single Cloudracer to a multi-model lineup anchored by the Cloud (2014) and Cloudventure trail shoe (2016). The addition of Martin Hoffmann and Marc Maurer professionalized operations. Revenue grew rapidly through specialty running retail distribution. Supply chain concerns persisted as the standard athletic footwear dependency on Vietnamese manufacturing, and the premium pricing model ($130-150 per pair) established the margin structure that would intensify at scale.
Roger Federer's $50M investment and celebrity partnership dramatically raised On's profile and global ambitions. Helion superfoam and the Cloudswift signaled a shift from niche performance toward lifestyle crossover. The NYC flagship opening and THE ROGER shoe launch expanded the brand's addressable market. Revenue reached ~CHF 425M by 2020. The acceleration toward IPO introduced new financial structure considerations, and the company's growing scale made supply chain and labor governance more material concerns.
The September 2021 NYSE IPO raised $858M and introduced the dual-class share structure concentrating control with the extended founder team. On launched Cyclon subscription, Cloudmonster, Onward resale, and CleanCloud in rapid succession, crossing CHF 1B revenue in 2022. The scale-up brought new tensions: customer service complaints mounted, Good On You rated labor practices 'Not Good Enough,' and an RTS investigation revealed zero Cyclon shoes had been recycled after two years. Premium pricing continued creeping upward.
On matured into a CHF 2.3B revenue company with nearly 50 owned stores and 60.6% gross margins. The October 2025 squeaking shoes class action and growing Trustpilot complaints about customer service pushed dark patterns concerns slightly higher. The leadership transition to a sole CEO and continued sustainability investment tempered governance concerns, but Good On You's 'Not Good Enough' labor rating and the dual-class share structure remain structural issues for a company of this scale.
Alternatives
Performance running shoes with significant U.S. manufacturing (25%+ of domestic production). Comparable pricing and wide model range for different running styles. Easy switch with broad retail availability for in-store fitting.
B Corp-certified sustainable footwear made from merino wool and eucalyptus fiber. Priced similarly ($100-160) with a stronger environmental commitment but fewer performance running options. Easy switch — just order your size.
Maximalist cushioned running shoes that have become On's closest market competitor. Similar premium pricing ($150-180). Popular with both serious runners and casual wearers. Easy switch — widely available at running specialty stores.
Dimensional Breakdown
Summaries below were written by AI agents based on the cited evidence. They are editorial interpretations, not independent research findings.
Dimension History
Timeline (35 events)
On Running founded in Zurich by three co-founders
Former Swiss Ironman champion Olivier Bernhard, along with David Allemann and Caspar Coppetti, formally incorporated On as a sporting goods company in Zurich. Bernhard had been experimenting with a garden-hose-inspired cushioning system since 2009, leading to the CloudTec technology that would define the brand.
On wins ISPO BrandNew Award for innovation
Just one month after formal incorporation, On's prototypes won the ISPO BrandNew Award, one of the most prestigious prizes for innovation in sports, competing against over 300 international sports brands. By July 2010, the first On running shoes were available in retail stores.
On releases Cloudracer performance racing shoe
On launched the Cloudracer, its first dedicated performance racing shoe, which became the favored footwear of Swiss professional triathlete Nicola Spirig. Spirig would go on to win Olympic gold at the 2012 London Games wearing On shoes, providing early elite-level validation of the brand's technology.
Nicola Spirig wins Olympic gold wearing On shoes
Swiss triathlete Nicola Spirig won gold in the women's triathlon at the 2012 London Olympics in a dramatic photo finish, becoming On's first Olympic champion. The victory significantly boosted On's credibility in the performance running market and established the brand beyond its Swiss niche.
Marc Maurer and Martin Hoffmann join as equal partners
As On gained traction in key markets, co-founders brought on Marc Maurer (COO, March 2013) and Martin Hoffmann (CFO, July 2013) as equal partners to professionalize and scale the business. This five-person leadership team would guide On through its growth phase and eventually share control via the dual-class share structure at IPO.
On Cloud launches as brand's accessible everyday shoe
On released The Cloud in February 2014, its first shoe designed for everyday runners rather than elite racers. Equipped with CloudTec cushioning, the Cloud became On's best-selling model and gateway product, eventually spawning an entire Cloud family of shoes. It won the 2015 ISPO Gold Award for Best Performance Running Shoe.
Nicola Spirig takes Olympic silver in Rio wearing On
Swiss triathlete Nicola Spirig finished second to American Gwen Jorgensen in the women's triathlon at the 2016 Rio Olympics, pulling away from the field in the run leg. The back-to-back Olympic medal performances cemented On's reputation as a credible performance running brand competing at the highest level.
Cloudventure marks On's entry into trail running
On launched the Cloudventure, its first trail running shoe, expanding beyond road running into the fast-growing trail segment. The shoe featured micro-engineered grip rubber surfaces and CloudTec cushioning adapted for off-road terrain. Waterproof and high-performance Peak variants followed in 2017.
Helion superfoam debuts in Cloudswift urban runner
On unveiled Helion, a breakthrough foam material that fuses hard and soft elements for durability without added weight. The Cloudswift was the first shoe to feature Helion, priced at $150 and positioned as an urban lifestyle-performance crossover. Helion represented On's first major midsole material innovation beyond the original CloudTec system.
Roger Federer invests in On as co-entrepreneur
Tennis legend Roger Federer purchased a 3% stake in On for approximately $50 million, joining as an active co-entrepreneur. The partnership followed Federer's split from Nike after two decades. Federer's involvement opened distribution channels, attracted institutional investor interest, and provided mainstream credibility that would prove critical for the 2021 IPO.
THE ROGER shoe launches as Federer collaboration
On and Roger Federer launched THE ROGER Centre Court, a premium lifestyle tennis shoe priced at $190. The initial limited release of 1,000 individually numbered pairs via a draw system preceded the wider August 2020 release. THE ROGER line signaled On's strategic expansion from pure performance running into the broader lifestyle sneaker market.
On opens first flagship store in New York City
On opened On NYC at 363 Lafayette Street in NoHo, its first global flagship store. The store featured the innovative 'Magic Wall' spanning 62x9x3 feet with hidden gait-cycle analysis technology and depth cameras achieving +/-1.25mm accuracy, automatically matching runners to one of 50,000 running profiles. This marked On's first direct-to-consumer retail presence.
Co-CEO structure formalized with Hoffmann and Maurer
Martin Hoffmann and Marc Maurer were elevated from their CFO and COO roles to serve as Co-Chief Executive Officers, formalizing a dual-CEO leadership structure. The three co-founders (Allemann, Bernhard, Coppetti) shifted to executive board roles focused on product and brand strategy, with Allemann and Coppetti as Executive Co-Chairmen.
On Holding AG IPOs on NYSE at $24 per share
On completed its initial public offering on the NYSE under ticker ONON, offering 31.1 million Class A ordinary shares at $24 each and raising gross proceeds of $858 million. The IPO valued On at approximately $6.3 billion. The F-1 filing revealed a dual-class share structure with Class B super-voting shares controlled by the five-person 'extended founder team.'
CleanCloud technology announced with LanzaTech and Borealis
On announced CleanCloud, a foam material made using captured carbon emissions as a raw material, developed in partnership with LanzaTech and Borealis. The technology captures carbon monoxide from industrial sources and converts it via bacterial fermentation to ethanol, then to EVA foam. On claimed the resulting polyester contained 20% recycled carbon emissions, reducing footprint by 20% versus virgin polyester.
Cloudmonster launches as On's first max-cushion shoe
On released the Cloudmonster at $170, its first truly maximal and highly cushioned road running shoe. Featuring larger Cloud elements and a higher stack height than any previous On model, it delivered the soft cushioning On's CloudTec had long promised. The Cloudmonster became one of On's best-selling franchises and a direct competitor to Hoka's maximalist lineup.
Onward resale platform launches with Trove
On launched Onward, a resale platform powered by recommerce operator Trove, enabling customers to trade in used On shoes for $30-$55 credit and shop refurbished footwear. The platform launched with 675 men's and women's sneaker styles. The initiative extended On's circularity strategy beyond the Cyclon subscription to its broader product range.
Cyclon subscription launches with first recyclable shoe Cloudneo
On launched the Cyclon subscription service at $29.99/month with the Cloudneo, a fully recyclable running shoe made from fewer than 10 components in the same material family, including a bio-based upper derived from castor beans. Subscribers received shoes, wore them out, and returned them for replacement. The program promised full recycling of returned shoes into new Cloudneos.
On surpasses CHF 1 billion revenue for first time
On Holding AG reported full-year 2022 net sales of CHF 1.22 billion, a 68.7% increase over 2021's CHF 724.6 million. The company achieved rapid growth across all regions and channels, with DTC sales growing particularly fast. However, the company reported a net loss of CHF 170 million due to IPO-related share-based compensation expenses.
LOEWE partnership continues with third capsule collection
On and Spanish luxury house LOEWE released their third collaborative capsule, featuring the Cloudventure trail shoe in six colorways alongside technical apparel. The multi-year partnership, which began in 2021, positioned On at the intersection of performance and luxury fashion, elevating average selling prices and brand perception beyond the traditional running market.
LOEWE x On Cloudtilt introduces lifestyle-first shoe
The LOEWE x On Cloudtilt launched in October 2023 as the first shoe built specifically for lifestyle rather than performance running, introducing On's new CloudTec Phase cushioning. Priced at $550 for the LOEWE edition, the Cloudtilt's explosive demand led On to release it as an inline model at $160 in February 2024, expanding On's addressable market beyond runners.
On opens 50 new stores in single year including China push
On opened 50 new retail stores in 2023, including 10 in China, bringing its global store count to approximately 40. The expansion included flagships in London, Miami, Paris, Beijing, Chengdu, and Guangzhou. DTC channel sales grew 50.9% year-over-year, reaching 37.5% of total net sales, while the company announced plans for 100 more stores.
Zendaya announced as multi-year brand ambassador
On tapped actress Zendaya as its newest brand ambassador in a multi-year deal announced in June 2024, following her starring role in 'Challengers.' Beyond traditional endorsements, Zendaya was given creative input on product design and future collections. The partnership marked On's biggest celebrity engagement since Roger Federer and signaled its push into lifestyle and fashion markets.
RTS reveals no Cyclon shoes recycled after two years of program
A June 2024 investigation by Swiss outlet RTS revealed that not a single shoe had been recycled through the Cyclon subscription program, despite over 10,000 shoes having been delivered since the 2022 launch. On stated that a first recycling round started in August 2024 and maintained it had communicated in good faith. The gap between marketing promises and recycling reality would later trigger a formal complaint.
LightSpray technology debuts at Paris Olympics
On unveiled LightSpray technology at the 2024 Paris Olympics with the Cloudboom Strike LS. A robotic arm sprays 1.5 km of thermoplastic filament onto a last, creating a one-piece upper in three minutes, condensing approximately 200 traditional manufacturing steps into a single automated process. The technology reduces upper CO2 emissions by 75%. Athletes including Hellen Obiri and Olli Hoare competed in the shoes.
Cloudboom Strike LS named TIME Best Invention of 2024
TIME magazine named On's Cloudboom Strike LightSpray one of the 200 Best Inventions of 2024, recognizing the spray-on shoe technology as a breakthrough in footwear manufacturing. The recognition reinforced On's positioning as a technology-driven innovator rather than a brand extracting value from existing designs.
On publishes 2024 Impact Progress Report with mixed results
On's 2024 Impact Progress Report showed 100% Tier 1 supplier auditing, 99% manufacturing waste diversion from landfills, coal phase-out at Tier 1 suppliers, and 100% renewable electricity for offices and stores. However, absolute Scope 1 and 2 emissions increased 13% versus 2023. The Right to Run program donated CHF 2.5M to over 75 organizations helping 292,000 people.
On develops Human Rights Due Diligence Policy with IOM
On developed a Human Rights and Labor Rights Due Diligence Policy in 2024 in collaboration with the International Organization for Migration, strengthening its supply chain governance framework. The policy represented a step beyond the existing supplier code of conduct toward more structured human rights oversight, though Good On You continued to rate workers' rights as 'Not Good Enough.'
FRC files greenwashing complaint under new Swiss law
The Romandy Consumers Association (FRC) filed a complaint with a Zurich prosecutor against On over its Cyclon recycling claims, among the first cases under Switzerland's new anti-greenwashing law that took effect January 1, 2025. The law targets claims about climate impact that cannot be proven on an objective and verifiable basis. The complaint remains under investigation.
On transitions to single CEO as Marc Maurer departs
On announced that Co-CEO Marc Maurer would depart after 12 years, with Martin Hoffmann becoming sole CEO effective July 1, 2025. Maurer remained through June and served as an adviser through March 2026. The founders (Allemann, Coppetti, Bernhard) continued as executive board members. New hires included Katarina Berg (CPO, from Spotify) and Scott Maguire (CIO, former Specialized CEO).
On raises shoe prices by $10 as premiumization strategy
On increased prices by $10 across its shoe lineup, including the popular Cloudtilt rising from $160 to $170. CEO Martin Hoffmann stated the increase was not to offset tariffs but reflected brand pricing power: 'As a premium brand, you have pricing power. The consumer doesn't change with the tariffs. If the product becomes part of your identity, you also have the willingness to pay for it.'
On opens first LightSpray factory in Zurich
On officially opened the world's first production site dedicated to LightSpray technology in central Zurich, marking the next step in its robotic shoe manufacturing mission. The fully automated facility uses robotic arms to spray-create shoe uppers in three minutes, a process that typically requires approximately 200 steps across multiple factories.
Class action lawsuit filed over CloudTec squeaking defect
Plaintiffs Patricia Ramirez and Louis Bologna filed a class action complaint in U.S. District Court in Oregon alleging that On's CloudTec shoes emit a 'loud, embarrassing' squeak caused by friction within the sole's cushioning holes, amplified by moisture. At least 11 shoe models were cited, including the Cloud 5, Cloudmonster, and Cloudrunner. On's warranty classified squeaking as 'normal wear and tear.'
On surpasses CHF 3 billion in annual revenue
On Holding AG reported full-year 2025 net sales of CHF 3,014 million, surpassing the CHF 3 billion milestone for the first time. Revenue grew 30% year-over-year (35.6% on constant currency basis). Gross profit margin expanded to 62.8% and adjusted EBITDA margin reached 18.8%. The company ended the year with over CHF 1 billion in cash.
On expands LightSpray with second factory in South Korea
On announced a second LightSpray production facility in Busan, South Korea, unlocking a 30-fold production increase over the Zurich pilot. South Korea's leadership in robotics and automation, combined with On's existing regional partnerships, made it the strategic choice. The expansion moves LightSpray from limited-edition production toward wider availability.
Evidence (34 citations)
D1: User Value Erosion
D2: Business Customer Exploitation
D3: Shareholder Extraction
D4: Lock-in & Switching Costs
D5: Twiddling & Algorithmic Opacity
D6: Dark Patterns
D7: Advertising & Monetization Pressure
D8: Competitive Conduct
D9: Labor & Governance
D10: Regulatory & Legal Posture
Scoring Log (4 entries)
Stripped for Phase 2 re-enrichment