Ralph Lauren Corporation (RL, Financial) announced on Monday that it has formed a strategic limited partnership with Franklin Venture Partners, a specialized investment team within Franklin Templeton focused on mid- and late-stage private companies.
Through the strategic partnership, Ralph Lauren will make a capital investment with Franklin Venture Partners, who will seek to invest in innovative consumer technology companies with a particular focus on companies led by women, the company said in a press release. Financial details were not disclosed.
Investing in consumer technology companies also links directly to the New York City-based company’s focus on putting the consumer at the center of its strategies, and Franklin Venture Partners’ focus on seeking women-led companies is a natural extension of the company’s commitment to supporting a gender-equal world, the company noted.
The announcement also builds on Ralph Lauren’s minority investment in Natural Fiber Welding Inc., a leading startup focused on sustainable material science that has revolutionized the reuse of natural fibers into patented, high-performance materials.
“At Ralph Lauren, the powerful combination of honoring our heritage while embracing innovation has guided our brand and business for decades,” said Patrice Louvet, President and CEO of Ralph Lauren. “Participating in opportunities like this one with Franklin Venture Partners is one example of how we are pursuing new pathways for innovation, and we are excited to support the growth of these companies and benefit from insights and technology that can help guide our Company and our industry’s future.”
This strategic partnership allows Ralph Lauren, a leader in the design, marketing and distribution of premium lifestyle products, to leverage Franklin Templeton’s deep investment experience and open new opportunities for the company to collaborate with others to develop and deploy new technologies. It also provides a platform for Ralph Lauren to discuss trends and opportunities with industry peers and experts, as well as benefit from Franklin Venture Partners’ extensive network and new avenues for data, research and insights into emerging consumer technology.
Ralph Lauren’s fascination with technology led Louvet to comment recently that his company is actively seeking out opportunities in the metaverse as a means to garner the attention of younger consumers. At the National Retail Federation’s annual conference, he said:
"Consumers can already buy Ralph Lauren’s digital apparel and make a virtual visit — or even have a virtual coffee — at the company’s Madison Avenue store... One of our strategies is to win over a new generation and the new generation is there. So we have to be there... There are a lot of parallels actually between the metaverse and Ralph’s vision because we are not a fashion company. We are in the dreams business.”
The retailer is considering whether to buy real estate in that digital world, where e-commerce, gaming and social media collide.
In other Ralph Lauren news, less than two weeks ago, the company unveiled a groundbreaking apparel and textile innovation with Intelligent Insulation – a first-to-market, sustainably-minded temperature responsive fabric that adapts to cooler temperatures by expanding and creating a layer of insulation. It will be used to outfit Team USA for the Olympic Winter Games opening ceremonies.
