Today, adidas introduced its new strategy ‘Own the Game’ at a virtual Investor & Media Day. Main strategic focus of ‘Own the Game’ is to strengthen the credibility of the adidas brand, to create a unique consumer experience and to continue to expand the company’s activities in the area of sustainability, the company said.
“The new strategy is designed to significantly increase sales and profitability as well as gain market share until 2025. More than 95% of sales growth is expected to come from the five strategic categories: Football, Running, Training, Outdoor, and Lifestyle.
“As building direct relationships with its target audience plays an increasingly important role, adidas will evolve its operating model to address consumers more directly. As a result, the company’s direct-to-consumer (DTC) business is projected to account for around half of the company’s total net sales by 2025 and to generate more than 80% of the targeted top-line growth.
“The company’s e-commerce business is forecast to double to between € 8 billion and € 9 billion. From a market perspective, the company will focus on Greater China, EMEA (Europe, Middle East, and Africa) and North America. Overall, these three strategic markets are expected to account for around 90% of sales growth until 2025.
“In addition, nine out of ten adidas articles will be made from sustainable materials by 2025. The company draws confidence from the success of its previous strategy ‘Creating the New’, its strong market position as well as attractive growth prospects for the sporting goods industry as a whole.”
“‘Own the Game’ is a growth and investment strategy, which will lead adidas into a successful future. Our strategy is deeply rooted in sport, puts the consumer at the heart of everything we do and is brought to life by our people. Our strategic focus is on increasing credibility of the adidas brand, elevating the experience for our consumers and pushing the boundaries in sustainability,” said adidas CEO Kasper Rorsted. “To successfully execute our strategy, we will continue to significantly invest into our people, our brand and the digital transformation of the company.”