Adidas Adds 2500 Stores To China Market

The joy is that the world's second largest sporting goods manufacturer has maintained 6% of the group's annual sales growth figures: in 2014, due to its strong product line sports performance series and sports fashion series, the Greater China region's annual sales increased by 10% to 1 billion 811 million euros, and the fourth quarter sales grew 11%. Meanwhile, the group's global sales increased by 6%, from 14 billion 203 million euros in 2013 to 14 billion 534 million euros in 2014, an increase of 2%.

Sadly, this seemingly good sales performance did not bring a good result.

Due to the impact of the euro exchange rate, the increase in costs, and the loss of the Lok step brand, the net loss of Adidas expanded.

The German sportswear maker said a net loss of 140 million euros in the three months ended December 2014, which was much higher than the 10 million euros in the same period in 2013.

Nike has to exert pressure before it has Under Armour to catch up and intercept. Adidas has to make great efforts to stand out in the market competition.

In 2010, Adidas ranked only fourth in China, with Nike in front.

And Anta.

At that time, Adidas was losing its momentum in the market. In order to boost it, it formulated a long-term plan of five years, and revisited its expansion strategy at the retail end of China, and named it the "2015 plan".

The core of the plan is to expand the retail outlets from 550 cities to 1400 and add 2500 stores.

Gao Jiali, managing director of Adidas group Greater China (Colin Currie), told reporters that "our goal is very simple. By 2015, it became the most advanced sports brand in Greater China."

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To achieve this strategy, the two heavy punches, the first is the category attack, which is faster to get market promotion through all kinds of combinations, and the second is to expand new cities.

He said, "the future growth is in this small and medium-sized emerging city, which we call the future city."

The effect of this policy change is directly reflected in the earnings report for the following years: since the 2010 fiscal year, the Greater China region has increased its sales volume from 1 billion euros to five years, the total growth rate has reached 80%. In contrast, the overall performance of the group has increased from 11 billion 990 million euros in fiscal 2010 to 14 billion 534 million euros in 2014 fiscal year, an increase of about 21%.

The importance of the Greater China market has become an important strategy for Adidas in 2015. According to Gao Jiali, the plan to the 2015 road is also named as "win in China and win in the future": "we believe that the Chinese market is very important for the world's major sports products. Therefore, Adidas wants to win global success, we must strengthen investment in China and win in China."

This year is crucial for Adidas. It is the end of the "2015 way".

And a dramatic change this year also indicates that Adidas has to deal with many unexpected challenges.

Adidas had worked with the Chinese Football Association for more than 20 years, and did not wait for the Chinese football to blossom and bear fruit. At the end of 2014, when the Chinese Football Association did not renew its contract, the Chinese soccer team was three in the Asian Cup group match.

Adidas, which released its 2014 earnings report, seemed relieved. Its sales revenue grew in all regions except North America, and most of the markets achieved two digit growth.

But in the Greater China region or the world, there are still some problems that need to be solved by this company.

This year is the critical moment for Adidas's "road to 2015". From the brand strategy, it is necessary to act to attract consumers.