Last week, Allbirds sold for $39 million to American Exchange Group, a vast drop from the peak $4 billion valuation Allbirds had when it went public in 2021. But it’s not just Allbirds that’s dealing with decline in sales. The DTC brand is just one example of a shoe brand that stumbled in an ever-competitive market.

The Allbirds fire sale also comes at a time when many sneaker brands are on a comedown after years of growth, thanks to ongoing demand. With that news, this week’s episode takes a look at the larger state of sneakers. Companies like On and Hoka, deemed darlings just a couple of years ago, are experiencing a slowdown in sales. Meanwhile, specialty running brands like Brooks and Asics are having a moment thanks to their positioning, offering technical designs. All the while, legacy player Nike is slowly but surely regaining its top spot as revenue recovers.

To discuss these challenges many sneaker brands face, host Gabi Barkho is joined by senior reporter Julia Waldow. The duo speak about:

How footwear brands lose their way as trends come and go.

 Fierce competition from the challenger brands means incumbents like New Balance and Nike are clawing their way back to regaining market share.

 The increase in unforeseen challenges in the category, like tariffs and the rising cost of synthetic rubber.