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In a bold step forward — albeit in socked feet — Bombas is lacing up for its next phase of growth with a new leader at the helm.
Per CNBC, David Heath, co-founder of the direct-to-consumer sock company, is stepping down as CEO, handing over the reins to Jason LaRose, the company’s president and a retail veteran who previously led Under Armour’s (UA-2.34%) North America business.
The leadership change, effective Thursday, marks a strategic shift as the brand known for its comfortable basics and one-for-one donation model matures beyond its “Shark Tank (DIS-1.33%)” roots. Bombas has created the TV show’s best-selling product in history.
“We’ve reached a size and scale that is beyond my expertise,” Heath, who is staying on as executive chair, told CNBC (CMCSA+0.03%). “I found myself more so over the last 18 months saying, ‘I don’t know what to do next.’”
“So then, when I looked at someone with Jason’s background … having that tried-and-true experience is what will set Bombas up to succeed for the next chapter, and I think I feel more comfortable having someone with Jason’s experience in the driver’s seat.”
Bombas, largely a sock company, has topped $2 billion in lifetime revenue and boasts double-digit EBITDA margins, and the company grew sales 22% in its current fiscal year through April. Its fastest-growing category? Not socks, but slippers.
Still, socks remain central to Bombas’ identity, with sales in the segment up 17% year-over-year in April. But scaling a sock empire online only goes so far, and LaRose is now tasked with expanding the brand’s reach in the physical world.
“More than 60% of socks in this country are sold in physical locations,” LaRose said to CNBC. “The wholesale opportunity is big for us.”
Right now, about 7% of Bombas’ revenue comes from wholesale partnerships with retailers such as Nordstrom (JWN-0.06%), Scheels, and Dick’s Sporting Goods (DKS-3.06%). LaRose wants to grow that to 10-20% over time. The company is also exploring its own stores, viewing retail not just as a sales channel, but as brand theater.
For a brand like Bombas — its flagship socks retail for about $15 and promise “soothing compression, seamless toes, and no blisters” — tactile experiences matter.
The shift acknowledges a growing consensus in the DTC world: Digital-only brands eventually hit a ceiling. Between rising acquisition costs and the diminishing returns of online ads, physical retail — whether through partnerships or proprietary stores — can offer more efficient growth and better brand visibility.