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    Why Did 500 American Athletes Be Signed In Adidas3?

    2015/1/18 13:51:00 35

    AdidasAmerican AthleteSigning

    According to reports, in the next three years, Adidas Adidas hopes to select 250 athletes from the US professional football league (NFL) and the US Professional Baseball League (MLB), and sign a brand agreement with them.

    At present, Adidas has fewer than 40 signer athletes in these two consortium.

    American football, basketball and baseball are all very popular sports among Americans.

    Adidas

    They are not very good at these areas.

    In the past interview, the group CEO Mark King said that the company's North American development strategy was not clear enough to cause market share to shrink gradually.

    Let's take a look at what we did before Adidas in the field of football that we were good at: in the 2014 Forbes's list of top athletes, the top 20 football players were Adidas.

    Sponsor

    There are 12 contracts.

    Adidas spends about $40 million a year on these players, which is a pretty good deal.

    In NFL, the most expensive athlete is Matt Ryan, whose annual income is as high as 43 million 800 thousand dollars.

    Albert Puhos of MLB is much lower, which is 20 million 300 thousand dollars.

    If we look at potential novas instead of already famous star athletes, Adidas's sponsorship plan of up to 500 people will not make the company's revenue drop too bad.

    Sales figures released in 2014 for 1-9 months in Adidas show that its total revenue in North America is 2 billion 272 million euros, down 10% from the same period last year.

    According to a report by Sterne Agee, in 2014, Adidas's footwear sales in North America dropped by 30%, and the revenue from accessories parts also dropped by 20%.

    Previous Adidas's excavation of bull Ross Derek Ross in the NBA arena can be regarded as a rare success story in the North American market: when Ross became the NBA champion in the year of the year, Ross signed a sponsorship contract with him for 10 years at a high price of $250 million, and released 4 exclusive sneakers for Ross after that.

    You know, basketball shoes are a big market in North America with an annual income of up to $4 billion 500 million.

    But in the final analysis, no matter how Adidas competes with Under Armour, their

    North American business

    Revenue is only a fraction of Nike.

    According to the sales data of the three first 11 months, the total revenues of Under Armour and Adidas were 2 billion 600 million US dollars and 1 billion 600 million US dollars respectively, while Nike's revenue was up to US $11 billion 800 million during the same period.


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