27 years in the making: how XTM is building demand for Merino in the global outdoors market
After 27 years, XTM’s rise in global outdoor markets is no overnight success. With Merino wool at its core, the brand is building sustained demand through performance, partnerships and post-COVID shifts toward natural fibres and technical apparel.
It might look like an overnight success – Merino wool front and centre on the world stage at the Winter Olympics – but for XTM, it’s been 27 years in the making.
And for Australian woolgrowers, it’s a signal of something more meaningful: long-term demand being built in one of wool’s most competitive global markets.
Speaking on The Yarn podcast, XTM Global Sales Manager Paul Manders said the brand’s recent visibility is the result of steady, sustained growth.
“We’re in our 27th year now… and it has improved. I’ve been here for 17 years and just seen the growth in that time,” said Manders.
That growth is now translating globally, with XTM exporting into more than a dozen countries, including the United States – a key market for technical outdoor apparel.
From niche to global presence
What began as a winter sports-focused brand has evolved into a broader outdoor and activewear player, with Australian Merino wool increasingly central to its product offering.
The Olympic exposure – where athletes and media were seen wearing XTM gear –reflects years of deliberate positioning, not a one-off opportunity.
For growers, it’s a clear example of how fibre moves beyond the farmgate – into products that are tested, worn and promoted in high-performance environments.
COVID and the outdoor shift
Manders pointed to COVID as a defining moment for both the business and the category.
“COVID really changed things for us… people got outdoors, they started valuing that space more, and that’s flowed through into the products they’re buying,” he said.
That shift toward outdoor recreation and performance apparel has held, not faded – creating a stronger, more stable platform for wool in the market.
Importantly, it has also aligned with growing consumer interest in natural fibres.
Merino competing where it matters
The outdoor apparel sector has long been dominated by synthetics. But Manders sees Merino carving out a stronger position – not on sentiment, but on performance.
“Merino just performs… whether it’s breathability, warmth, or how it handles moisture – it stacks up in those environments,” Manders said.
That performance credibility is critical. It positions wool not as an alternative, but as a competitive fibre in technically demanding conditions.
For woolgrowers, that matters – because it underpins repeat demand, not just seasonal or fashion-driven interest.
Building demand through alignment
A key part of XTM’s growth has been its ability to align product, partnerships and market positioning.
From Olympic involvement through to expanding its outdoor and activewear ranges, the brand has consistently placed wool in environments where performance is visible and valued.
That approach builds confidence – not just for consumers, but across the supply chain.
Confidence in continued growth
Looking ahead, Manders remains confident the outdoor and activewear segment will continue to expand – and with it, the role of Merino wool.
“We see that continuing… the outdoor market is strong, and people are still looking for better-performing, more natural products,” he said.
For Australian woolgrowers, it’s a practical signal.
Demand is not being driven by a single campaign or season – it’s being built over time, through brands that understand how to position wool in global markets.
Listen to the full conversation with Paul Manders on The Yarn podcast to hear more about XTM’s growth journey and what it means for the future of Merino wool.
This article appeared in the AWI Woolgrower Newsletter April 2026. Reproduction of the article is encouraged and should be attributed as follows: This article was first published in the AWI Woolgrower Newsletter.
