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    Adidas Sells Its Retro Jersey Brand In Order To Concentrate More.

    2016/6/1 21:17:00 55

    AdidasCore BusinessRetro Jersey Brand

    Recently, Adidas announced the sale of its sports brand Mitchell & Ness to Private Equity Firm Juggernaut Capital Partners subsidiary, which will bring tens of millions of euros in earnings.

    Adidas CEO Herbert Hainer indicates that Mitchell & Ness's business is no longer consistent with Adidas's current development strategy of "Creating the New".

    Based on this, Adidas decided to abandon this brand and focus more on its own core brand.

    In November of last year,

    Adidas

    The five year strategy called CreatingtheNew was officially released.

    Among them, Adidas announced that it will focus more on football, running, women, children and children in the next five years.

    Sports Classics

    The five major product lines further shape the influence of key categories.

    What is worth our attention is that Adidas put forward the background of "setting up the new" strategy, which experienced a dismal 2014 to a strong recovery in 2015.

    What has happened in this year? Adidas has increased the investment of running shoes, and brought Pharrell and Kanye to their own trend shoes, which has stabilized their dominance in the European football market.

    During this year, Adidas did not blindly open up new brands and product lines, but increased its investment in core businesses.

    Facts have proved that this is very effective.

    Looking at the latest pcript of Adidas is a good example. In the first quarter of the past, Adidas

    Net profit

    An increase of 37.6% over the previous year, reaching 350 million euros.

    As a classic retro sports brand, Mitchell&Ness itself has a very high reputation in the circle of players.

    Because of NBA, NFL, NHL and MLB's clothing production authorization, Mitchell&Ness has considerable details.

    Jordan and Allen Iverson's re cut Jersey are all in hot demand, and the joint venture with other trend brands has a low gold content.

    But it has not attracted much attention to Adidas, which is the first in terms of profitability and topic.

    After all, stripping off non core businesses is not the first time. At the beginning of May, when the first quarter results were announced, Adidas announced that it would sell TaylorMade-AdidasGolf, the US golf brand that continued to retrogress.

    It will close adidasNeo's 16 independent stores in Europe and continue to operate in a more flexible wholesale sales mode.

    It seems that after two years of stumbling, Adidas may have found a suitable way to play.

    Focus and flexibility will become the label of Adidas in the future. What will it do if we keep throwing off the burden? We will continue to pay attention to it.


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