China'S Digital Performance Is Strong, Adidas Gets 20 Million Fans In Tmall

"As of the first quarter of fiscal year 2019, Adidas official APP has entered 27 markets worldwide, with 9 million downloading."

Adidas group CEO Kasper Rorsted released this figure at the latest analyst meeting.

He also emphasized the importance of digitalization, and the official website is the most important "store" in the world.

However, public data in February showed that Tmall's official flagship store was the best Adidas store.

Adidas got 20 million consumers in Tmall, far higher than the 9 million online consumers who landed on 27 official websites.

Tmall flagship store has become ADI's largest single store in the world.

China is becoming the digital innovation base of Adidas.

The strong performance of digitalization is driving its latest quarterly profit growth.

In May 1st, Adidas released its first quarter 2019 fiscal year report, pushing its share price to a new high.

Among them, the Chinese market has contributed significantly and revenue has increased by 16%, which is a double-digit growth in the twentieth quarter of the Chinese market.

Digital business revenue rose by 40%, and sales of ADI increased by 6.1% to 5 billion 800 million euros.

The high margin e-commerce channel promoted Adidas's net profit to increase by 17% over the same period.

Adidas's share price has risen 25% this year.

Since Kasper Rorsted took office in 2016, Adidas has regarded the North American market, the Chinese market and digitization as the three strategic cores of the group. CEO

Adidas's active performance on Alibaba has brought about two birds with one stone.

Adidas is a rising star in the digital field.

In November 2017, Adidas bought the first APP on the line.

In China, where digital progress is far ahead of the rest of the world, Taobao began to switch from the PC terminal to the mobile phone in 2013. Now, 9% of Chengdu's 700 million active users are shopping at the mobile terminal.

Ten years ago, in 2009, Adidas also entered Tmall.

"Adidas started digitization in China late, but we will accelerate the digitalization process by setting up a digital innovation center, which will promote our digital business in China."

Kasper Rorsted said at the latest earnings analyst conference.

According to people familiar with the matter, Adidas China is organizing a professional team to cooperate with Alibaba in the new retail sector.

The name of the team is also directly related to digitalization - DigitalHub.

Despite the development of its official digital position, Adidas is actively carrying out digital pformation through the third party forces in the Chinese market.

Alibaba's Tmall is Adidas's most active battleground.

Now, Adidas's flagship store in Tmall is the largest single store in the world.

In 2018, Tmall's double 11, Adidas's single day turnover exceeded 1 billion yuan, ranking among the "one billion yuan club".

A story can reflect the change of Tmall and digitalization to Adidas.

In September 2018, Adidas sold white coconut shoes in the Chinese market.

In the early days, ADI was only stocking ten thousand pairs in Tmall's official flagship store, and the rest remained in the self built official e-commerce channel.

As a result, it sold for 3 minutes at zero point, because too many people grabbed goods, ADI official website was difficult to support, urgent to pfer goods to Tmall flagship store, to meet the needs of fanatical fans.

These pulsatile performance also let ADI keep thinking about the strategic direction in the Chinese market.

In February 19th, Adidas and Tmall announced a comprehensive strategic cooperation.

The two sides will conduct in-depth cooperation in new product launches, new retail businesses, consumer operations and new product innovations to enhance brand operation efficiency and consumer experience.

Among them, putting the new products in Tmall's debut will also become the strategic focus of Adidas group's global new product release.

In the future, Adidas's three heavy product lines of running shoes, basketball shoes and football shoes will start in Tmall.

Adidas also plans to operate Tmall as the first official website of the Internet, opening more flagship stores.

In addition to Tmall's official flagship store and flagship store, Adidas also plans to start the new clover official flagship store in 2019.