Summary

The sportswear makers are currently facing very high competition. Last year, the company posted a stunning 36% growth in North America as well as an increased growth in its parent country, Germany. The Adidas company focuses on performance as well as style. However, the company is aiming at sustaining growth in this region which also has other giants such as Nike, Under Armour, Puma among others that also have a certain market share in the sportswear industry.

In January this year, the company recorded worldwide revenue of $16 billion with the brand valued at $7 billion. Nikes’ worldwide revenue as at January 31st this year stood at $33 billion with the brand being valued at $27 billion. Another competitor, Puma has worldwide revenue of 3.4 billion dollars; Converse has a revenue of two billion and New balance has worldwide revenue of 3.7 billion dollars, all recorded as a 31 January 2018. Another rival, Under Armour, has a brad value of four billion dollars. The figures above show that Adidas has a long way to go to be the leader in sportswear market.

Recommendation for Action

Adidas has previously used various marketing strategies to become the leader in the sportswear industry. However, all these strategies have been copied by the competitors such as Nike. After acquiring Reebok, Adidas should focus more on celebrities working as brand ambassadors. If the company engage in more strategic partnerships as it did with Samsung, it is likely that it will raise its market share. The market contains quality conscious customers, and therefore the sole company focus should be on quality developed with innovativeness and developed technologically. Smart shoes are the future direction of this industry and Adidas should be no exception.

Do you need an Original High Quality Academic Custom Essay?