adidas‘s growth in sportswear and culture has been prevalent in recent years, and the rise of the German sportswear company doesn’t show signs of slowing down anytime soon, as it just announced a whopping 36% growth in North America.
adidas’s North American head Mark King told Business Insider that the brand’s success is through a blend of performance focus as well as style — “It’s that mixture, that coming together of performance and style that gives us an advantage over pretty much everybody we compete against,” King said. He further expressed that the prominence of athleisure is a “transformation,” rather than a trend.
“We are definitely going to benefit from that, because we make not only performance products, but we make these style products that are right in the sweet spot of this [transformation],” King added.
Other elements that contributed to adidas’ success are the rise of its retro Originals line, as well as its new offerings of runners and training sneakers, where a few years ago, it was the brand’s weakest section. According to King, the two keys for adidas is staying “very connected to the consumer” and acting “with speed to bring products to the market place that are really relevant in the moment.”
In contrast, Under Armour hasn’t seen any growth in its market, as their current CEO admitted the brand needs to become more fashion-inclined in order to compete.
Meanwhile, Nike also reported a slowing growth lately, and suggests that their fiscal year outlook to be slightly lower as well compared to previous years.
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- Source: Business Insider