The shoe, apparel, and equipment maker, which earns nearly half of its revenue from making and marketing footwear, expects 2016 to be a record year. While the company enjoys a reach into 160 countries, it anticipates sales of Adidas-branded merchandise in North America to climb by double digits.
The German giant is making strides in the US sporting-goods market — the world’s biggest and most influential market for sports gear. Besides investing 50% more in marketing nationwide, the company is sponsoring more new American athletes and college leagues.
Partnering with other retailers and more aggressively marketing its footwear through its own US stores have contributed to its most recent growth. Adidas runs more than 2,400 retail stores under the Reebok and Adidas banners. It’s also launching 600 shop-in-shops at Dick’s Sporting Goods and expanding its most prominent shelf space at Foot Locker.
The company, most known for its iconic three-stripe logo, has made plans to greatly expand its retail footprint — while also flexing its marketing muscle to rivals NIKE and Under Armour — by opening a 40,000-sq.-ft. flagship store on Fifth Avenue in New York City.
As a result of its most recent efforts, Adidas has become one of the best-performing companies on the Frankfurt stock exchange this year. The sports behemoth attributes its new-found sales traction to recent management changes, an increased marketing push, and a more Americanized focus.
Industry Impact — Shoe stores should expect increased competition in 2016 as big shoe manufacturers that operate retail stores expand their retail footprint in the US by opening superstores and by partnering with other retailers.
Tracking the moves of consumer products makers since 2003, Catherine Colbert is a company insights writer and blogger. Before covering companies, she spent ample time in magazine publishing, technical writing, ad copywriting, medical writing, and marketing. Follow her on Twitter.