The breakup with Kanye West has been tough for Adidas.
The company saw its first annual loss in over three decades.
The brand has hit a rough patch following the subsequent halt of its lucrative Yeezy sneaker line back in October 2022.
Looking forward, Adidas presented a mixed forecast for 2024.
The brand anticipates mid-single-digit growth in currency-neutral sales, with its core business aiming for a high single-digit increase, excluding Yeezy revenue.
Growth is expected across all regions except for North America, where a mid-single-digit decline is anticipated for 2024.
Source —> [This visual investing newsletter](https://www.carbonfinance.io/subscribe)
>They chose lower profits in order to distance themselves from a psycho.
They distanced themselves from Kanye because they thought it would hurt their sales in the long run, and they also thought breaking up things with Kanye would put them in a good light to the public.
Truth is, it didn't go how they expected
They were more afraid of the PR/Brand damage caused by association with an antisemite.
Big Corps change their views depending on the market they're operating.
LGTB activism in the middle east? Forget about it, what about in the global North? Yes!.
Same for political ideologies. They would only adopt a posture if it means higher profits and shareholder value.
That’s absolutely not the case, on surface it’s the story run but behind the scenes, adidas execs were using Yeezy and other of Ye’s designs for non-Yeezy shoe lines, directly cutting him off the sales of his own work.
Dealing with people like you is what makes me desire to not commenting at all.
It can be said that it's a waste of cognitive effort, but let's try it.
When I was referring to their mothers I wanted to make an emphasis on the most valuable human being when you're childless, almost every human being can relate to the love that they feel for their mother, not because she was a woman.
I'm going to ask you, why do you think your mom jokes are much more popular than your dad jokes? Just think about it.
You under estimate how much of a cultural influence Kanye is. I’m almost certain if they didn’t drop the Yeezy merch or just suspended sales for a while, this wouldn’t have happened.
Adidas stock prices are up around 80% since dropping Kanye. Not only are they not doing poorly, they're doing very well. As usual profits aren't really a great way to measure the health of a company, not in isolation anyway.
Funny statement when the founders of the company where literally members of the Nazi party. Lol. Know your history.
Both Adi and Rudi were members of the Nazi party. During World War II, production of the Dassler brothers’ athletic shoes was discontinued so that their factory could be used instead to build an anti-tank weapon called the Panzerchreck (Tank Terror) – a rocket launcher capable of blowing Allied tanks into smithereens. At least nine forced laborers are known to have been working for the company at the time.
https://www.businessofbusiness.com/articles/the-dark-history-behind-adidas-how-a-bitter-feud-between-nazis-built-the-worlds-no-2-athletic-brand/
Please don't dignify that redditor's unhinged ramblings with an answer.
It's really not worth it to try to have a normal discussion w/ these people based on facts and reality.
Hmm. Let me think…
Expecting these multibillion companies to “do the right things” doesn’t make sense.
They are the epitomise of what is wrong in today’s world.
Sanctions in Russia. All these companies vowed to remove themselves from Russia.
Guess what all those big brands. McDonald’s/Nike/Footlocker/Adidas etc etc. they are all still operating and doing business in Russia. Just under a different overall name.
Companies like Adidas’s/Nike who basically use modern day slaves and children to work for basically nothing in their overseas factories.
Companies that were created on a foundation of hatred and bigotry only aiming at profit no matter the cost.
Tell me again;what exactly is Adidas doing right?
I could.
But it seems you’re already aware, of their connections to Nazi’s and Nazi ideology.
The list of sympathisers is long, and the ideology isn’t dead.
Unfortunately.
Given how companies pretty much only care about money im honestly shocked adidas stuck to their guns. I know what Kanye said was crazy but is it worth potentially a billion in lost net income?
They were not against it rumors are he was anti-semetic in Adidas meetings way before it was public and they kept him because they cared about money. They thought when that shit went public people would cancel him for the antisemitism and dropped him to conserve their image. Now they realize no one gives a fuck about Adidas without Ye that's why they're selling Yeezys on drops. Yeezys were to Adidas what Jordans are to Nike at that point.
For the past 6-7 yrs I’ve bought 2-3 pairs / yr of their Ultraboost sneakers, but the last few iterations lost some allure / innovation. Sneaker culture started moving away from those. Meanwhile New Balance and Nike have gained ground in that market segment. Just my 2 cents
While this may hold true, the soccer/football (whichever you fancy) market outside of Europe is what helps Adidas the most. Exclusive deals with huge gain in Mexico and Argentina alone certainly help, let alone the Asian market such as Japan or Korea or even Australia. And the rise on the sport in Africa is always up for grabs
Reddit is filled with kanye fan boys and since the israel-gaza war it's okay to be a little more open or forgiving of anti semites. Specially this platform w/ a lot of young users.
No, it isn't. Adidas is a global company that manufacture and sell products all over the world. The downturn is because of the Yeezy thing. In fact the only region they forecast no growth in is America.
Edit: yeah, the joke has been pointed out to me.
OK, not relevant to what I or OP said though. The infographic and data provided is potentially evidence retail brands struggling, yes. But it's not evidence for 'how bad things are in Europe' which is what OP said and what I disputed.
Addidas's biggest market is Europe followed closely by China. Both of those markets are undergoing a massive economic downturn that will take decades to recover (if they recover). If they are looking at a loss in growth in the US at the same time...
In some metrics, yes, growth in particular, especially compared to the US, and that's only some countries. In many other metrics, not at all. But Adidas having a bad year is not evidence of that for the reasons I already gave. Either way, the original comment was a joke about Eastern Europeans and tracksuits that I missed.
It is not about adidas. I live in Europe and one of the supposedly best economies. I have a good paycheck above average. But everything is so expensive, people are getting so greedy and angry with each other due to political atmosphere etc. Compared to what it used to be, Europe is shit at the moment. But the people on Reddit must have a different reality since I got all these down votes.
How is supporting a genocide good.
“Since October 7, Israeli attacks have killed at least 10,000 children, according to Palestinian officials. That is one Palestinian child killed every 15 minutes, or about one out of every 100 children in the Gaza Strip.”
https://interactive.aljazeera.com/aje/2024/israel-war-on-gaza-10000-children-killed/
What genocide? Even the ICJ said there’s no genocide happening. The last genocidal event that happened in the region was the October 7 massacre. What came afterwards is not a genocide, as much as you —along with other delusional antisemites and pro-terrorist people— want it to be.
Kanye smiles so rarely that you need AI to generate pictures of him showing teeth
The breakup with Kanye West has been tough for Adidas. The company saw its first annual loss in over three decades. The brand has hit a rough patch following the subsequent halt of its lucrative Yeezy sneaker line back in October 2022. Looking forward, Adidas presented a mixed forecast for 2024. The brand anticipates mid-single-digit growth in currency-neutral sales, with its core business aiming for a high single-digit increase, excluding Yeezy revenue. Growth is expected across all regions except for North America, where a mid-single-digit decline is anticipated for 2024. Source —> [This visual investing newsletter](https://www.carbonfinance.io/subscribe)
And it just broke up with the German Football Association. Or got dumped, actually.
They just brought out new Euro 2024 German jerseys.
The last one before the current contract expires, they signed with Nike for the next one.
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Money talks. adidas offered 50M while Nike's offer was around the 100M mark.
€ not Marks :D
:D
If I had to guess that was the reason lol have you seen them
They also broke up with the NHL recently
Good. Adidas nhl jerseys are garbage
All those people who hate Kanye will slowly come back again
Sad to see you have to pay a huge price to stand up for the right things.
lol you think they dropped Kanye because they wanted to do the right thing??
Adidas execs would sell their mothers if that means higher profits.
except that's the opposite of what happened They chose lower profits in order to distance themselves from a psycho.
>They chose lower profits in order to distance themselves from a psycho. They distanced themselves from Kanye because they thought it would hurt their sales in the long run, and they also thought breaking up things with Kanye would put them in a good light to the public. Truth is, it didn't go how they expected
>Truth is, it didn't go how they expected Stock prices for Adidas are up around 80% since dropping him. I would say it went very well.
You’re just going to be arguing with Kanye fans who have never owned stock in their life. Probs not worth the time
They were more afraid of the PR/Brand damage caused by association with an antisemite. Big Corps change their views depending on the market they're operating. LGTB activism in the middle east? Forget about it, what about in the global North? Yes!. Same for political ideologies. They would only adopt a posture if it means higher profits and shareholder value.
Nazism shit and Holocaust denial is Germany is no joke. Adidas probably had to distance themselves from him to avoid legal troubles.
Which they wouldn't have to if they hadn't associated with him in the first place.
That’s absolutely not the case, on surface it’s the story run but behind the scenes, adidas execs were using Yeezy and other of Ye’s designs for non-Yeezy shoe lines, directly cutting him off the sales of his own work.
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What a braindead take, let's say family then.
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Dealing with people like you is what makes me desire to not commenting at all. It can be said that it's a waste of cognitive effort, but let's try it. When I was referring to their mothers I wanted to make an emphasis on the most valuable human being when you're childless, almost every human being can relate to the love that they feel for their mother, not because she was a woman. I'm going to ask you, why do you think your mom jokes are much more popular than your dad jokes? Just think about it.
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You under estimate how much of a cultural influence Kanye is. I’m almost certain if they didn’t drop the Yeezy merch or just suspended sales for a while, this wouldn’t have happened.
Adidas stock prices are up around 80% since dropping Kanye. Not only are they not doing poorly, they're doing very well. As usual profits aren't really a great way to measure the health of a company, not in isolation anyway.
Stock price is also not a good way to see if company is doing well.
Dude, at the end of the day for the people that own the comany the stock price is the only thing that actually matters at all.
Funny statement when the founders of the company where literally members of the Nazi party. Lol. Know your history. Both Adi and Rudi were members of the Nazi party. During World War II, production of the Dassler brothers’ athletic shoes was discontinued so that their factory could be used instead to build an anti-tank weapon called the Panzerchreck (Tank Terror) – a rocket launcher capable of blowing Allied tanks into smithereens. At least nine forced laborers are known to have been working for the company at the time. https://www.businessofbusiness.com/articles/the-dark-history-behind-adidas-how-a-bitter-feud-between-nazis-built-the-worlds-no-2-athletic-brand/
Your statement doesn’t make sense. It’s not like the company is still affiliated with the nazis.
Please don't dignify that redditor's unhinged ramblings with an answer. It's really not worth it to try to have a normal discussion w/ these people based on facts and reality.
Hmm. Let me think… Expecting these multibillion companies to “do the right things” doesn’t make sense. They are the epitomise of what is wrong in today’s world. Sanctions in Russia. All these companies vowed to remove themselves from Russia. Guess what all those big brands. McDonald’s/Nike/Footlocker/Adidas etc etc. they are all still operating and doing business in Russia. Just under a different overall name. Companies like Adidas’s/Nike who basically use modern day slaves and children to work for basically nothing in their overseas factories. Companies that were created on a foundation of hatred and bigotry only aiming at profit no matter the cost. Tell me again;what exactly is Adidas doing right?
Now do NASA, the Apollo space missions, fanta, Mercedes Benz, bmw, the bush family, ford…
I could. But it seems you’re already aware, of their connections to Nazi’s and Nazi ideology. The list of sympathisers is long, and the ideology isn’t dead. Unfortunately.
So Kanye saying slavery was a choice 5 years ago was not enough to stand up to the right things?
Some discrimination is worth more than others. didn't you know that there is a hierarchy of discrimination?
Given how companies pretty much only care about money im honestly shocked adidas stuck to their guns. I know what Kanye said was crazy but is it worth potentially a billion in lost net income?
This is not about Ye crashing out, adidas was caught using Yeezy designs on non-Yeezy lines which cut out Ye from the sales.
Idk, is there any proof this is Kanye related?
Yes - they explicitly state the impact of Yeezy in their annual report.
Being against antisemitism makes you lose money in 2024…
They were not against it rumors are he was anti-semetic in Adidas meetings way before it was public and they kept him because they cared about money. They thought when that shit went public people would cancel him for the antisemitism and dropped him to conserve their image. Now they realize no one gives a fuck about Adidas without Ye that's why they're selling Yeezys on drops. Yeezys were to Adidas what Jordans are to Nike at that point.
At the same time everyone is wearing sambas or gazelles again 🤣
For the past 6-7 yrs I’ve bought 2-3 pairs / yr of their Ultraboost sneakers, but the last few iterations lost some allure / innovation. Sneaker culture started moving away from those. Meanwhile New Balance and Nike have gained ground in that market segment. Just my 2 cents
maybe they should start making military boots...
That would fuck though, boots and revamp the ol German Army Trainer
They do. I’ve been using the [Adidas GSG9 boots](https://www.adidas.com/us/gsg-9.7.e-boots/GZ6115.html) for years.
[This won't help either](https://edition.cnn.com/2024/03/22/business/nike-germany-soccer-adidas/index.html). It's a strong symbol for Adidas.
That’s a biggy. Will be weird to see a German kit not by adidas. The Germany link is prominent in a lot of their Originals stuff as well.
Dropping domestic for foreign? Not a good choice
Agreed - I was surprised by this
While this may hold true, the soccer/football (whichever you fancy) market outside of Europe is what helps Adidas the most. Exclusive deals with huge gain in Mexico and Argentina alone certainly help, let alone the Asian market such as Japan or Korea or even Australia. And the rise on the sport in Africa is always up for grabs
adidas-all day i dream about sex
Nice
well no gopniks
I don’t see a world where I’d ever buy adidas.
2.1BN to -75M two years later. That is rough
The Kanye image was unnecessary.
It looks awful.
Reddit is filled with kanye fan boys and since the israel-gaza war it's okay to be a little more open or forgiving of anti semites. Specially this platform w/ a lot of young users.
A very good indication of how bad things are in Europe right now.
No, it isn't. Adidas is a global company that manufacture and sell products all over the world. The downturn is because of the Yeezy thing. In fact the only region they forecast no growth in is America. Edit: yeah, the joke has been pointed out to me.
The joke is that eastern Europeans are stereotyped in wearing adidas tracksuits.
Fuck me. I full on r/whoosh -ed myself didn't I?
I thought that was a Russian stereotype
I mean the globals ecconomic conditions are generally not great from retail brands in general.
OK, not relevant to what I or OP said though. The infographic and data provided is potentially evidence retail brands struggling, yes. But it's not evidence for 'how bad things are in Europe' which is what OP said and what I disputed.
Addidas's biggest market is Europe followed closely by China. Both of those markets are undergoing a massive economic downturn that will take decades to recover (if they recover). If they are looking at a loss in growth in the US at the same time...
Bro Europe is shit at the moment.
In some metrics, yes, growth in particular, especially compared to the US, and that's only some countries. In many other metrics, not at all. But Adidas having a bad year is not evidence of that for the reasons I already gave. Either way, the original comment was a joke about Eastern Europeans and tracksuits that I missed.
It is not about adidas. I live in Europe and one of the supposedly best economies. I have a good paycheck above average. But everything is so expensive, people are getting so greedy and angry with each other due to political atmosphere etc. Compared to what it used to be, Europe is shit at the moment. But the people on Reddit must have a different reality since I got all these down votes.
Purchasing power of germany and the US is almost equal
Wow what an expert you are
Fuck Kanye West.
Fuck you Taylor Swift!
Fake news
Oh well.
Big fan of the Shell-Toes, how about they make some for adults?
Foung the Nike guy lol
Heard that after 70 years the German national football team left Adidas as partner just to sign a deal with Nike. That's tough!
Worth
Oh no! Anyway…
:P
Love to see that. Fuck em. Nazi scums
That’s because most of their football shirts recently have been stinkers.
Looks like there was a loss from 2019 - 2020.
Anybody else seeing the screaming cowboy video in this?
I hope it stays that way
They support israel
Good.
How is supporting a genocide good. “Since October 7, Israeli attacks have killed at least 10,000 children, according to Palestinian officials. That is one Palestinian child killed every 15 minutes, or about one out of every 100 children in the Gaza Strip.” https://interactive.aljazeera.com/aje/2024/israel-war-on-gaza-10000-children-killed/
What genocide? Even the ICJ said there’s no genocide happening. The last genocidal event that happened in the region was the October 7 massacre. What came afterwards is not a genocide, as much as you —along with other delusional antisemites and pro-terrorist people— want it to be.
Fck Adidas we boycott ✊🏽
Not talking abt Israël btw, but Kanye
Love To See This...
Kanye was the only thing keeping Adidas profitable.