May 3, 2019
ADDIDAS OUTPEROFMING NIKE?
Who has the better marketing strategy?
The athletic gear market has three of the most important main rivals: Nike, Under Armour, and Adidas. When it comes to Sales, Adidas is stated to have the fastest sales growth in North America while Nike hold the sales leader position and Under Armour experiences restructuring. The reason for the slow sale growth is due to the adverser currency movements. These companies have their mind set int growing their e-commerce business and direct-to-consumer business. In relation to their e-commerce business, "they reported Friday higher sales and profits for the quarter ended in March" Their sales rely heavily on athletics influences. We hear from famous celebrities such as Kanye West, Pharrell Williams, and now "our queen" Beyonce. With these kind of celebrities that have some of the biggest following in the world, of course their sales would boost and improve their sales growth. They are still expecting their sales growth to be between 3% and 4% during the first six months of 2019, and an increase for the remaining time of 2019. They have a 10% to 14% growth in net profit. Overall, Adidas is finding ways to outperform one of their biggest rivals, Nike. And by having so many partnerships they are projected to be increasing their sales growth rate.
This article seemed interesting because on social media we see so many different sponsorships from out favorite influencers, and we get annoyed of them always promoting a brand. But when it comes to Adidas or Nike -- for the most part, we get excited to see what crazy collaboration they are doing with our favorite influencer. Their marketing strategy is one that seems to be very successful. What better way to boost your sales growth than using one of the most mainstream people in the influencer game.
Link: https://www.wsj.com/articles/adidas-picks-up-pace-in-race-against-nike-in-north-america-11556885920?mod=searchresults&page=1&pos=5
Posted by: Sasha Cristiano
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