DENVER—Crocs Inc. is introducing men’s and children’s clothing that seems pretty traditional except for the material—a blend of cotton and a dash of that resin-like material used in the company’s non-conformist footwear.
Although Crocs sells a variety of clothing now, some items in the new line are designed to be more resistant to chemicals and heat because of the addition of the derivative of its proprietary technology called Croslite, the key ingredient in its footwear, company spokeswoman Tia Mattson said Monday.
It is Crocs’ latest effort to diversify beyond its colorful footwear since the manufacturer went public in February 2006.
“I like how they’re doing it in a slow fashion, meaning that they are starting out with men’s and kids first. I think that sort of conservatism is good,” Nollenberger Capital Partners analyst Angelique Dab said. “I think it’s a very positive strategy for the longer term growth of the company.”
The new offerings feature men’s T-shirts and children’s shorts, pants and skirts, on display this week at the Magic Marketplace trade show in Las Vegas. The products will be available initially at U.S. retailers and on the company’s Internet site beginning in October, Mattson said.
She did not say how much it cost for the line to be produced and launched, and said the products will be manufactured at several different places around the world.
In a conference call with analysts late last month, Crocs Chief Executive Officer Ron Snyder said the company is starting small. “I wouldn’t model it big this year because it’s just not going to be a big event, but what we’re going to do is get the customer feedback … and continue to expand on that,” he said.
With aggressive competition, Dab said, it’s important for Crocs to continue trying to set itself apart with brand awareness. “I think diversification is a very important key to the story going forward, not only in their products but also in their portfolio,” she said.
Niwot-based Crocs has been busy expanding beyond slip-on clogs to sports sandals and even boots.
Last year, it acquired a family-owned company called Jibbitz, which makes charms that fit into the signature holes of Crocs shoes. Last month, Crocs announced plans to acquire performance shoemaker Bite Footwear.
Crocs’ stock closed up 99 cents to $59.98 a share Monday, near the high end of its 52-week range of $13.36 to $61.35 a share.
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