Adidas Picks Up Pace in Race Against Nike in North America

Adidas is on track to fix its supply chain issues which have hampered its 2019 sales growth. The German company cited the rising cost of Airfreight to be responsible for a loss in about 1% of sales. Recently Adidas has shown extremely increased sales growth in the athletics Apparel Market, beating out competitors like Nike and Under Armour. Nike analysts announced announced that they expected sales growth to slow due to adverse currency movements. Adidas along with its competitors has emphasized its direct to customer and eCommerce businesses as traditional retailers such as sports authority have been liquidated in recent years. Adidas has focused on bringing in non sports celebrity and influencers boost sales. Adidas announced a collaboration with Beyonce releasing later this year. They company expects eCommerce sales to double within the next too years. This year they are already up 40%.
Adidas reaching out to non sport celebrities was a great way to expand their market. It opens the door for Adidas to not only be a sporting apparel company but also company which is fashion forward. They have done an amazing job in recent years targeting those at the heights of the fashion world and believe they have the best team of influencers of any of the sports appeal companies. This has allowed them a larger growth by exposing them to a larger market.