According to German sportswear giant’s 4Q and full annual earnings report, China is Adidas’ second-largest market alongside hiking sales of 18% on a currency-neutral basis last year.
During Adidas struggle in strategizing to become popular sports apparel retailer in China continent, it announced in Shanghai, to be inaugurating approx. 3,000 new stores within five years of time-span.
Adidas has been aiming to capitalize on China’s growing interest in sports and to introduce the brand in smaller cities to gain popularity and customer loyalty. Presently, Adidas operates around 9,000 stores in the pacific after launching an expansion strategy in year 2010 – mainly to target growing Chinese middle class population.
“We expect two-thirds of our growth to be from consumers in the lower-tier cities as they become attracted to sportswear – not just for fitness, but for easy casual wear.”– head of Adidas Group Greater China, Colin Currie
UPDATE: Adidas will focus mainly on expanding its brand within soccer, running, women’s, kids and originals. It is already the leading women’s sports brand in China.One of the key differences between Adidas and other struggling western companies is the segment of the market that they serve.
Exclusive from International Business Times: Due to rising interest in sports and athletic wear in the country, Adidas saw its revenue from China, including Hong Kong, Macau and Taiwan, increased by 16% on a currency-neutral basis during the 4Q-2015, while full-year sales in the region hiked 18% to US$2.74 billion (2.5 billion Euros).
