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Adidas Began To Focus Its Development On The Product Itself.

2016/10/8 21:57:00 51

AdidasDigital BusinessUsers

The next battleground of sportswear is not advertising, products, celebrity endorsements, but selling online.

Adidas hopes that by 2017, 30% of the brand content can be created by users.

The company further predicts that by 2020, the company's e-commerce business will increase by four times, and 2 billion euros will be converted to 2 billion 200 million dollars.

Adidas also needs Reebok to win more female consumers. Recently, they have brought 40% profits to Reebok, which is expected to continue to rise by 10% in 2020.

"Women are the main consumers of families.

100% of their buying behavior is for themselves, 91% for children, and 67% for men.

They are active in all sports and social media, "said Eric Liedtke, director of global brand at Adidas." they are also 80% of sports products buyers. This is our biggest opportunity. "

According to the information provided by Auschel, 60% of the expenditure will be used for the purchase of electronic digital equipment. At present, the group is investing heavily in digital business, including online ordering, direct shipping from the store and what he calls "endless Gallery" which can display the company's entire line of products.

Auschel pointed out that online orders were recently launched in 20 entities in Moscow, and sales increased by 30% in a week.

"For retail mode, this is very significant."

By the end of August, the Adidas model has been extended to 200 homes.

store

In recent years, Adidas has begun to focus its development on the product itself. Whether it is the investment in Futurecraft development of German robot running shoes, or the latest star single product Z.N.E Hoodie, it is challenging Nike.

By contrast, Nike, which only attracted consumers' attention again when selling Air Jordan this year, is obviously inferior.

Kayne West and Adidas jointly launched Yeezy Boots, which is commonly known as coconut shoes in China. It will bring 5 times profits to the global sports shoes resale market with a market value of 6 billion dollars, which shows the tremendous influence of this product.

Therefore, for the beginning of the year

Adidas

For example, anti Nike is not impossible.

Adidas's new chief executive, Kasper Rorsted, has benefited from the brand breaking strategy, and Adidas's performance has increased rapidly.

Its second quarter growth was stronger than the first quarter.

Especially in the United States and the Greater China market, the results of the industry are very impressive. For Kasper Rorsted led Adidas, investors really hope that Adidas will continue to improve product mix and sales strategy, and win the victory in the Nike industry leading position.

Kasper Rosted herself is ready to meet the greater challenges Adidas will face in the future.

In the first half of the year, its performance exceeded analysts' expectations. Adidas increased its total profit for the second time in 2016. Its growth in 2016 was 35%. In the second quarter of the year, net profit from business rose 99% to 291 million euros, far beyond the expected 25% of analysts, while operating profit increased 77% to 414 million euros.

Driven by performance, the stock price of Adidas has risen more than 100% in the past year to become the biggest black horse.

British analysis commented that it was once done.

Sportswear

Nike, the market ruler, is facing fierce competition in the market environment. It is accelerating the loss of its credibility in the ruling market, and the market share has declined. The strong Nike has become fragile.

Nike share price has maintained strong growth since the global recession. Its share price has risen by 27% annually since 2008, but this year the situation has dropped sharply. In the past 6 months, the share price of Nike has fallen nearly 14%, and the market value of the company has fallen below one hundred billion US dollars.

However, Citibank's data show that sales growth of Adidas now depends mainly on leisure products, star cooperation limited money and other fashion products, not brand core sports shoes. There are people in the industry who question whether future entertainment stars will sell more shoes than athletes. The former CEO of Adidas confidently said in an interview: "now it is not common, but it will definitely be."


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