Icepeak by Luhta

Icepeak, a Finnish brand of sport and leisure clothing, is a fascinating success story in the often challenging Finnish clothing and textiles industry. Despite its significant growth and international popularity, Icepeak remains relatively unknown in its home country, even though it has outpaced famous local brands such as Marimekko in net sales.

Icepeak's journey began in 1996 as an initiative of the L-Fashion Group, a company with a long history dating back to 1907. Initially, Vihtori Luhtanen started manufacturing clothes under the brand Luhta, and it gained worldwide recognition by the 1970s. However, the 1990s brought new challenges as consumers began to prefer cheaper clothing manufactured in the Far East. To address this trend, L-Fashion Group introduced Icepeak, an affordable line of fashionable sport and leisure clothes, which turned out to be a perfectly timed decision.

A significant factor in Icepeak's success was the rapid advancement of sportswear materials during the 1990s. As the patent for the Gore-Tex fabric expired, many high-tech fabrics entered the market, including water-resistant and sweat-absorbing fabrics. Icepeak capitalized on this trend, incorporating these innovative materials into their products.

Despite the positive market response, L-Fashion Group faced logistical challenges, particularly when manufacturing operations were based in Russia. Therefore, the decision was made to relocate manufacturing to the Far East, specifically China, where they found reliable partners. This strategic move, coupled with the design expertise retained in Lahti, Finland, proved successful. From 2003 to 2013, Icepeak's net sales grew ten-fold from 10 million to 110 million euros, with 86% of sales coming from abroad.

Presently, Icepeak's clothes are available at over 1,000 stores in Germany, over 15 dedicated stores in China, and many other locations around the world. The brand is even challenging key rivals such as Columbia and The North Face in certain markets. For instance, in Russia, Icepeak holds a couple of percent market share, and in Germany, it's on the path to grow from a small to a mid-size brand.

Icepeak's success is attributed to a balanced mix of product development and sales strategy, rather than relying on storytelling or brand narratives. One of the brand's notable affiliations is with Leo-Pekka Tähti, the world's fastest wheelchair racer, who was born in Pori, Finland in 1983. Tähti started wheelchair racing at 14 and quickly rose to the top of his sport in Finland. He has represented Finland in multiple championships and has won nearly 30 major competition medals since 2004. Tähti's connection with Icepeak speaks to the brand's commitment to support athletes and sporting excellence globally.