The UGG Australia brand is known for its ugg boots, a sheepskin upper with a wool inner lining and a tanned outer surface worn by men and women. Surfing which helped popularise the boots outside of Australia and New Zealand, when surfer Brian Smith started selling the boots in the US through Ugg Holdings, Inc. in 1979. Uggs have been identified as a fashion trend since the early 2000s in the United States, with celebrities such as Kate Hudson, Sarah Jessica Parker and Pamela Anderson wearing them. Pamela Anderson renounced ugg boots in 2007 upon realising that they were made from animal skin. Deckers UGG boots are manufactured in China while the sheepskin is sourced from Australia and New Zealand.
UGG boots, a high fashion luxury item, are Deckers primary source of revenue, accounting for 77% of net sales and 80% of the companies revenue. Deckers is considered a niche market suplier due to this dominance of UGG boots in its sales and as such the company is more reliant on its products remaining fashionable than traditional clothing manufacturers.
Read more about this topic: Deckers Outdoor Corporation
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