Birkenstock’s Global Retail Momentum: Strategic Expansion in the U.S., Europe, and Asia

Birkenstock, the iconic German footwear brand celebrated for its craftsmanship and ergonomic design, is accelerating its global expansion through a dynamic retail growth strategy. With recent store launches in the United States, Europe, and Asia, the company is reinforcing its commitment to providing immersive, branded experiences that meet rising global demand. While Birkenstock does not currently offer franchise opportunities, its retail strategy, manufacturing model, and premium positioning offer strong insights for franchise-focused stakeholders interested in scalable brand-building.

U.S. Retail Growth: Nashville Marks the Tenth Store

Birkenstock recently opened its tenth company-owned U.S. retail store in the heart of Nashville, Tennessee. Located at 2212 12th Avenue South, the store showcases a comprehensive selection for men, women, and children — from sandals and clogs to sneakers and boots. The location also highlights Birkenstock’s Care Essentials collection, reinforcing the brand’s holistic approach to foot wellness.

“Expanding into Nashville, a city renowned for its creativity and individuality, is an exciting moment for Birkenstock,” said David Kahan, President of Birkenstock Americas. “With a community that values authenticity and craftsmanship, we couldn’t imagine a better place to continue growing our brand.”

The store’s interior design is a tribute to Birkenstock’s heritage, incorporating signature materials like cork, felt, and leather. In a unique nod to local culture, Nashville-based artist Emily Brown created a custom leather sculpture inspired by the brand’s craftsmanship and mid-century design influences.

To commemorate the launch, Birkenstock introduced a new campaign spotlighting local creatives, including singer-songwriter Butch Walker, fashion designer Savannah Yarborough, and chef Trevor Moran. These stories reflect the brand’s affinity for authenticity and community engagement — core values that resonate with premium brand expansion strategies.

European Footprint: Paris and Beyond

In parallel with its U.S. growth, Birkenstock continues to strengthen its European retail presence. Most recently, the brand opened its second Paris store, located at 4 Rue de Sèvres in the Saint-Germain-des-Prés district — a neighborhood known for its literary and artistic heritage.

The 915-sq.-ft. Paris store reflects both the city’s cultural identity and Birkenstock’s core design elements. Clay-plastered walls, cork, leather, and a library-inspired oak wood feature wall create a warm, heritage-driven aesthetic. Signature design touches include aluminum displays with a matte finish, rich leather seating, and a central light box that bathes the store in natural light.

This new location joins a growing European portfolio of 38 stores across eight countries. Recent additions include stores in London’s Chelsea neighborhood, Amsterdam (the brand’s first in the Netherlands), and a conversion of a pop-up in Cologne, Germany into a permanent flagship.

Asia-Pacific Expansion and Strategic Leadership

Birkenstock’s ambitions extend well into Asia-Pacific markets. In recent months, the brand opened a pop-up experience in Kyoto, Japan, situated within a traditional Machiya townhouse on iconic Shijo Street. Additionally, its Shanghai pop-up has been converted into a permanent location — reflecting strong local performance and consumer resonance.

To guide its Southeast Asia and Oceania operations, Birkenstock appointed Evelyn Chua as Managing Director for the region. Her leadership spans strategic markets such as Singapore, Malaysia, Indonesia, Vietnam, the Philippines, Thailand, Australia, and New Zealand.

Business Model, Manufacturing, and Future Outlook

Birkenstock’s retail expansion is matched by its robust vertically integrated manufacturing model. The company produces all footbeds and assembles over 95% of its products in Germany, while sourcing over 90% of its materials from Europe. This commitment to quality and control provides a blueprint for high-integrity brand scaling.

To support its growing store footprint and rising demand, Birkenstock allocated €80 million in 2024 to enhance production capacity, modernizing facilities in Germany and Portugal. These upgrades are helping meet increased global demand and fuel ongoing retail development.

In fiscal Q1 2025, Birkenstock reported a 19% increase in revenue to €362 million, up from €303 million the previous year. Net income rose to €20 million, reversing a prior-year loss. Growth was supported by a 26% rise in wholesale sales and an 18% jump in direct-to-consumer revenue. The company’s guidance for fiscal 2025 projects currency-adjusted revenue growth of 15% to 17%.

Strategic Takeaway for Franchise-Minded Investors

While Birkenstock does not currently franchise its retail stores, its global expansion strategy — rooted in design authenticity, local engagement, and vertical integration — serves as a case study in premium retail scaling. For investors, developers, and brand consultants within the franchising ecosystem, Birkenstock’s approach offers valuable lessons in balancing heritage with modern consumer touchpoints.

At Star Brands Consulting Group, we continue to monitor strategic non-franchise retail growth models like Birkenstock’s — and help partners identify opportunities for collaboration, distribution, or brand development across global markets.