adidas Shifts Focus to Digital Sales With New Growth Strategy
The five-year plan is aimed at strengthening the brand’s credibility and increasing profitability.
adidas has announced a new five-year growth strategy called “Own The Game,” in which the company plans to focus on growing its online sales.
The company unveiled the new strategy at a virtual investor and media day and said it expected more than a 95 percent sales growth from five strategic categories, which include running, training, lifestyle, outdoor, and football.
adidas anticipates that its direct-to-consumer business will account for about half of the company’s net sales by 2025. In addition, the company plans to massively expand its e-commerce ventures, which it forecasts to grow to €8 billion EUR and €9 billion EUR. It also stressed its commitment to sustainability, pledging that nine out of ten of its articles will be made from sustainable materials by 2025.
“Our strategic focus is on increasing credibility of the adidas brand, elevating the experience for our consumers and pushing the boundaries in sustainability,” CEO Kasper Rorsted said in the news release.
The growth strategy comes as adidas disclosed its impressive sales and profit figures for the fourth quarter of 2020 and predicted a strong 2021 performance.
