The American premium yoga and athleisure brand 'Alo Yoga (Alo)' recently opened its first flagship store in Asia in Seoul. Initially, Tokyo, Japan, was mentioned, but this decision was made. Industry insiders view the global influence of Korean culture and the rapidly growing domestic athleisure market as the basis for Alo's strategic judgment.
Athleisure is a blend of the word athletic, meaning 'exercise,' and leisure, meaning 'leisure.' It refers to a fashion trend that combines the functionality of sportswear with the comfort of everyday clothing.
According to industry sources on the 21st, Alo opened a 6-story flagship store near Dosan Park in Gangnam, Seoul, on the 5th. This store, equipped with a yoga studio, rooftop, and lounge, operates as an experience-centered wellness complex rather than just a retail space.
Alo is a brand that started in Los Angeles, USA, in 2007. It has become widely known to domestic consumers through celebrities like Hailey Bieber and Kendall Jenner. It is considered one of the two major pillars of the premium athleisure market, along with the Canadian brand 'Lululemon,' which entered Korea in 2016. Both brands maintain a premium pricing strategy, with leggings priced between 100,000 and 200,000 won.
The reason Alo chose Seoul as a strategic base in Asia is said to be due to the global impact of Korean culture centered around K-pop artists like BLACKPINK and BTS. Alo has continued to connect with Korean culture by employing global ambassadors such as BLACKPINK's Jisoo and BTS's Jin.
The rapid growth of the domestic athleisure market is also noteworthy. The popularization of indoor exercises like yoga and pilates, combined with the spread of the 'Ounwan (today's exercise completed)' culture through social media, has evolved athleisure beyond workout clothing into a lifestyle.
According to market research firm Future Market Insight, the domestic athleisure market size grew from about 400 billion won in 2015 to about 1.057 trillion won last year, an increase of approximately 150%. The average annual growth rate is 11%.
Lululemon, which entered Korea earlier, currently operates 21 stores domestically. It recorded sales of 156.7 billion won last year, a 33.6% increase year-on-year in the Korean market alone. This year, it is expected to surpass 200 billion won. Lululemon is strengthening community activities such as yoga classes and running groups centered around its offline stores to boost brand loyalty.
The activities of domestic brands have also played a significant role in the growth of the athleisure market. Brands like 'Andar' and 'Jexymix' have expanded their consumer base with products specialized in 'Asian fit' at prices 1.5 times cheaper than overseas premium brands. Both brands exceeded 200 billion won in sales last year, continuing their growth trend.
They emphasized technologies tailored to the body shapes of East Asians, such as 'minimizing Y-zone (around the groin)' and 'preventing waist wrapping,' and are evaluated to have succeeded in differentiation with designs that reflect consumer sentiment towards leggings.
Overseas expansion is also accelerating. Jexymix reached the No. 1 category position in just three months after entering Japan's Rakuten, and Andar's featured products sold out at a pop-up event at Isetan Shinjuku earlier this year, achieving results in the foreign market as well.
Experts view that the athleisure market is being restructured around brands that suggest 'healthy routines and lifestyles' rather than simply growing. Lee Eun-hee, a professor in the Department of Consumer Studies at Inha University, noted, 'As the culture of boasting a healthy body and lifestyle trends, the athleisure market is expected to continue to grow.'
Alo plans to aggressively target the domestic market with the Dosan flagship store, opening in Hannam-dong, entering major department stores, and establishing a Korean corporation. An industry official said, 'Seoul has now established itself as a strategic hub for global brands, no longer just a 'test market.'