Digital Brands Group launches a NIL college apparel initiative, partnering exclusively with University of Alabama's Yea Alabama program.
Quiver AI Summary
Digital Brands Group, Inc. (NASDAQ: DBGI) has announced a strategic initiative to expand its presence in the Name, Image, and Likeness (NIL) college apparel sector, projected to grow significantly in the coming years. The company's entry into this market is bolstered by a new exclusive three-year manufacturing agreement with Yea Alabama, the University of Alabama's official NIL program, allowing DBGI to design and distribute collegiate apparel through Alabama's bookstores and online. The initial product line is already available, with plans for new collections to be released in the coming months. CEO Hil Davis stated that the company aims to create a scalable, data-driven direct-to-consumer model for collegiate apparel. Additionally, the initiative includes offering universities equity partnerships and directing a portion of sales to support female student athletes through NIL funds. DBGI plans to replicate this model with other universities to further enhance its reach in the market.
Potential Positives
- Digital Brands Group has entered a significant partnership with the University of Alabama's NIL program, enhancing its position in the rapidly growing collegiate apparel market.
- The exclusive three-year agreement allows DBGI to design, manufacture, and distribute collegiate apparel, potentially increasing brand visibility and sales through university channels.
- The initiative supports female student athletes by allocating 20% of every purchase to their NIL fund, demonstrating a commitment to social responsibility and enhancing brand reputation.
- DBGI plans to expand its strategy to additional universities, indicating potential for increased market share and revenue growth in the NIL apparel sector.
Potential Negatives
- Company's success heavily reliant on the replication of its Alabama partnership model, which poses risks if not successfully implemented with additional universities.
- Potential consumer demand for NIL apparel and accessories remains uncertain, which could impact financial performance.
- Multiple risks outlined in the press release, including competition, market fluctuations, and supply chain disruptions, could negatively affect operations and financial outcomes.
FAQ
What is Digital Brands Group's new initiative in college apparel?
Digital Brands Group is expanding into the Name, Image, and Likeness (NIL) college apparel sector through a partnership with Yea Alabama.
How will Digital Brands Group support female student athletes?
20% of every purchase goes to female student athletes through the university's NIL fund, supporting the only dedicated NIL female program.
What is the significance of the Alabama partnership?
The Alabama partnership serves as a model for future collaborations, offering private label manufacturing and equity sharing for universities.
When will new products be available?
The initial product line is available now, with new capsule collections planned for release in October, November, and December 2025.
How does Digital Brands Group differentiate its apparel model?
DBG uses a direct-to-consumer model, leveraging consumer data and a nimble supply chain to deliver trend-responsive collegiate apparel.
Disclaimer: This is an AI-generated summary of a press release distributed by GlobeNewswire. The model used to summarize this release may make mistakes. See the full release here.
Full Release
Austin, Texas, Sept. 30, 2025 (GLOBE NEWSWIRE) -- Digital Brands Group, Inc. (NASDAQ:DBGI) (the “Company” or “Digital Brands”), today announces the launch of its strategic initiative to aggressively expand the Company’s presence in the Name, Image, and Likeness (“NIL”) college apparel sector, a segment currently part of the global licensed sports merchandise market, which was estimated at $36.4 billion in 2024, and projected to increase to $49.0 billion by 2030, according to Grand View Research
Expansion Strategy & Competitive Positioning
DBGI’s launchpad into the NIL-college apparel space is its newly signed exclusive three-year private label manufacturing agreement with Yea Alabama, the official NIL program of the University of Alabama. Under this agreement, DBGI will exclusively design, manufacture, and distribute collegiate apparel under private label through University of Alabama bookstores and Yea Alabama’s online storefront ( https://store.yea-alabama.com/collections/avo ).
The initial product line, as well as the September product capsule, is available now at both the bookstore and ( https://store.yea-alabama.com/collections/avo ). The Company is planning to release new capsule collections will in October, November and December 2025.
“We believe that we have created the Warby Parker of collegiate apparel, with a focus on a direct-to-consumer (DTC), data-driven scalable model,” said Hil Davis, CEO of Digital Brands Group.
Next Phase
The Company is in discussions to expand this strategy with additional universities by building on the model set forth under the Alabama agreement. Each partnership will mirror the Alabama structure, offering universities:
1. Private Label Manufacturing Advantage — DBGI designs, produces, and delivers high quality collegiate apparel directly through university-owned channels at a lower price than traditional offerings.
2. Equity Alignment — Like Alabama, each university becomes an equity partner in DBGI, creating a unique alignment of interests and providing upside participation that competitors cannot offer.
3. Supports female student athletes — 20% of every purchase goes to female student athletes through the university’s NIL fund, which is the only dedicated NIL female student athlete program in the country.
4. Agility and Consumer Data — By leveraging a nimble supply chain and direct customer data, DBGI can deliver faster, more trend-responsive collections compared to incumbent providers.
About Digital Brands Group
We offer a wide variety of apparel through numerous brands on a both direct-to-consumer and wholesale basis. We have created a business model derived from our founding as a digitally native-first vertical brand. We focus on owning the customer's "closet share" by leveraging their data and purchase history to create personalized targeted content and looks for that specific customer cohort.
Digital Brands Group, Inc. Company Contact
Hil Davis
, CEO
Email:
[email protected]
https://ir.digitalbrandsgroup.co
Forward-looking Statements
Certain statements included in this release are "forward-looking statements" within the meaning of the federal securities laws. Forward-looking statements are made based on our expectations and beliefs concerning future events impacting DBG and therefore involve several risks and uncertainties. You can identify these statements by the fact that they use words such as “will,” “anticipate,” “estimate,” “expect,” “should,” and “may” and other words and terms of similar meaning or use of future dates, however, the absence of these words or similar expressions does not mean that a statement is not forward-looking. All statements regarding DBG’s plans, objectives, projections and expectations relating to DBG’s operations or financial performance, and assumptions related thereto are forward-looking statements. We caution that forward-looking statements are not guarantees and that actual results could differ materially from those expressed or implied in the forward-looking statements. DBG undertakes no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law. Potential risks and uncertainties that could cause the actual results of operations or financial condition of DBG to differ materially from those expressed or implied by forward-looking statements include, but are not limited to: DBG’s ability to implement the strategies and drive the results expected with respect to its Alabama partnership; DBG’s ability to replicate and expand on the Alabama model with additional universities; the level of consumer demand for apparel and accessories; disruption to DBGs distribution system; the financial strength of DBG’s customers; fluctuations in the price, availability and quality of raw materials and contracted products; disruption and volatility in the global capital and credit markets; DBG’s response to changing fashion trends, evolving consumer preferences and changing patterns of consumer behavior; intense competition from online retailers; manufacturing and product innovation; increasing pressure on margins; DBG’s ability to implement its business strategy; DBG’s ability to grow its wholesale and direct-to-consumer businesses; retail industry changes and challenges; DBG’s and its vendors’ ability to maintain the strength and security of information technology systems; the risk that DBG’s facilities and systems and those of our third-party service providers may be vulnerable to and unable to anticipate or detect data security breaches and data or financial loss; DBG’s ability to properly collect, use, manage and secure consumer and employee data; stability of DBG’s manufacturing facilities and foreign suppliers; continued use by DBG’s suppliers of ethical business practices; DBG’s ability to accurately forecast demand for products; continuity of members of DBG’s management; DBG’s ability to protect trademarks and other intellectual property rights; possible goodwill and other asset impairment; DBG’s ability to execute and integrate acquisitions; changes in tax laws and liabilities; legal, regulatory, political and economic risks; adverse or unexpected weather conditions; DBG's indebtedness and its ability to obtain financing on favorable terms, if needed, could prevent DBG from fulfilling its financial obligations; and climate change and increased focus on sustainability issues. More information on potential factors that could affect DBG’s financial results is included from time to time in DBG’s public reports filed with the U.S. Securities and Exchange Commission (the “SEC”), including DBG’s Annual Report on Form 10-K, Quarterly Reports on Form 10-Q, and Current Reports on Forms 8-K, each filed or furnished with the SEC.
