If it’s Gen Z Alo is targeting with this launch, why not go the Coach direction, targeting younger consumers with luxe, but more affordable bags in the sub-$1,000 range? Alo wanted Italy-level quality, which comes with Italy-level prices, says Harris. The same logic is already applied to its clothing: “We could make leggings for less, but they wouldn’t be of the [same] quality or technical fit.”
Plus, based on learnings from Alo Atelier collections (Alo’s high-end, pricier line that the brand launched three ago), Harris is confident that a subset of Alo customers can afford higher-ticket items. Revenues from the line grew 600 per cent year-on-year in 2025, following 93 per cent growth the year prior. “Our community, we believe, is already carrying some of the name-brand bags, and they would prefer to carry an Alo bag — especially one that is more in alignment with and based on modern day luxury, as opposed to luxury of what mum or grandma had,” he says.
Harris is right about the wealth, even if the desire remains to be seen. There’s certainly a subset of young Alo customers who can afford to buy luxury. The Alo-toted woman with the $200 a month Erewhon membership is not an uncommon sighting in LA.
With its leather bags, Alo isn’t targeting reach. The initial in-person-only release is small, and the handbag offering will remain scarce. Certain colourways will be produced once and never again, and prices will rise each year. The goal is for demand to exceed supply. “Alo is a social and digital brand, but we’re changing the way we come to market with this category specifically because we want the customer to come in and hold the bag, see the craftsmanship, the feel of the leather,” Harris says. In this, though the CEO insists Alo is offering something different, the strategy is certainly borrowing from the traditional luxury playbook.
The Gen Z tilt is also evident in the crystal charms that each bag will come with. Each bag comes with a set crystal, but they’ll also be sold separately for consumers to mix and match. They infuse a little more wellness energy into the product (each symbolises a different intention), while tapping into the next generation’s affinity for chaotic customisation. “Kendall Jenner is carrying the bag not with one crystal, but multiple crystals,” Harris offers as an example. “There are different ways that people are going to be personalising or accessorising these bags for their own [style] to differentiate it as well.”
A win-win in the awareness stakes
There are more luxury launches in the pipeline. “Soon, you’ll see eyewear made in Japan,” Harris says. He also confirms there is fragrance on the way.