SoulCycle plans to expand on its retail side of business

SoulCycle, the indoor cycling fitness studio, has announced that it wants to expand its apparel brand.

Known for its high-intensity fitness class, so far the apparel aspect of the company hasn’t been the brand’s main focus. Recently, the company’s files have gone public reporting that SoulCycle plans to raise 100 million dollars. The files state that the company will be expanding on its retail brand. The branded line of retail will come from a selection of premium brands. Currently, the company maintains about 30 vendor relationships. The apparel will reflect SoulCycle’s overall fitness and activewear style. Apparel makes up for a significant portion of the company’s revenue. The files stated that revenue outside of studio fees equaled approximately 5 million dollars for the first quarter of 2015. For 2014, outside fees were 18 million dollars. The reports states that SoulCycle says it will strengthen the riders’ engagement. Every month, the company will reveal a new limited retail collection. The limited-edition aspect will help encourage customers to buy the product due to its limited availability.

SoulCycle was founded in 2006 as a fitness studio with indoor cycling. The studio provides fitness classes with full-body workouts and fitness apparel. The company size operates with approximately 1,000 employees. There are 38 operating studios in the United States. The company’s revenue has increased from 36.2 million dollars in 2012 to 112 million dollars in 2014. The company’s main sources of revenue are from Los Angeles, San Francisco, and New York.