Eland sets up dedicated Hoka division, eyes trillion-won brand status

Building on New Balance success, Eland assembles team across planning, sales and marketing

Targets 1 trillion won in Hoka sales, starting with store expansion

The New Balance flagship store in Seongsu, Seoul, where a 'Way to Peak' pop-up store is being held. [Eland World]

Eland is making another push in the running shoe market — this time with Hoka, a young brand known for its thick cushioning.

According to industry sources Tuesday, Eland World began recruiting experienced staff for a dedicated Hoka division on Wednesday. The hiring drive came just 20 days after the company announced on Aug. 20 that it had been named Hoka's new domestic distributor in South Korea. Positions span the full breadth of the business — product planning, sales, merchandising, marketing, design and production — signaling that Eland intends to build a standalone organization rather than simply reassigning existing staff.

Hoka is a running shoe brand founded in France in 2009. It drew attention for its thick outsoles and wide midsoles, and built a devoted following by emphasizing comfort through cushioning that exceeds that of conventional running shoes.

The previous domestic distributor was JOYWORKS&Co. Its contract was terminated after JOYWORKS&Co CEO Jo Seong-hwan assaulted a former competitor's employee in December last year, paving the way for Eland World to take over. At the time, Deckers Asia Pacific — the regional arm of Hoka's parent company Deckers — issued an official statement saying it looked forward to continued growth in the Korean market through its partnership with Eland.

Industry attention has turned to Eland World's track record. The company previously propelled New Balance into the "1 trillion won club": sales stood at 25 billion won ($18.6 million) when the brand entered the Korean market in 2008, climbed to 500 billion won by 2020, surpassed 1 trillion won in 2024 and reached 1.2 trillion won last year. Among apparel brands, only Nike, Uniqlo and The North Face had crossed the 1 trillion won threshold last year. Puma, which Eland also distributed, followed a similar trajectory — sales of 10 billion won at the time of the 1994 contract grew to 200 billion won by 2007.

Hoka's own growth trajectory adds to the optimism. Sales at JOYWORKS&Co, which distributed the brand, rose from 24.9 billion won in 2022 to 43.3 billion won in 2023, 82 billion won in 2024 and 106.5 billion won in 2025. Hoka's offline retail division posted sales of 30.6 billion won and operating profit of 4.7 billion won in 2024, and recorded sales of 18.8 billion won and operating profit of 2.8 billion won in the first half of last year. Average monthly sales per store were estimated at 447 million won. Accounting firm Shin Seung projected in September last year that Hoka's offline sales would reach 42.8 billion won by 2028, with annual operating profit of around 4 billion won.

When Eland World secured the distribution rights, it set a goal of growing Hoka into a brand with more than 1 trillion won in sales. Expanding its physical store footprint is the first order of business. Hoka currently operates five stores in Seoul and one each in Incheon, Suwon and Gimpo — a far cry from the roughly 200 New Balance stores Eland runs nationwide, suggesting considerable room to grow.

The running shoe market has been on a steady upward trend, and industry voices say products tailored to domestic consumers will be key to sustaining that growth. Eland World's past success with New Balance and Puma was driven in each case by a breakout product that brought the brand to a mass audience — Puma's Speedcat and New Balance's 530, respectively. The 530 in particular was developed using customer data gathered at Eland's own stores, incorporating the foot shape, gait patterns and fashion preferences of Korean consumers. It has sold more than 2 million pairs and become a perennial bestseller.

"We are preparing the necessary staff and organization to pursue the Hoka business in a stable and swift manner," an Eland official said. "We are also in the process of reviewing specific business plans, including store operations." The official added that the partnership's deeper significance lay in "creating new customer experiences and a new culture in the domestic sports market — not just operating a single brand."

The New Balance 530, relaunched in South Korea by Eland in 2020. [Eland]

siuu@heraldcorp.com