As Adidas battles the investor criticism and poor performance of sales all over the word the company is considering to make a turnaround in India. Notably, Adidas is the second largest manufacturer of sports goods in the world after Nike.
Regarding this, the Head of Global Sales and Member of Executive Board at Adidas, Roland Auschel stated that India could be one of the top five markets for the German manufacturer by the year 2020. Right now, the country is in the eighth important market for the firm.
He further stated that India and China are the two biggest growth markets and around 1.5 billion euros of marketing investing might flow into India.
The German based sports goods manufacturer Adidas is relying heavily on its overall performance in its prime markets such as India and China. The reason for the firm to focus on its key markets is due to the slippage in its position for quite some time in the well developed markets.
To be clear, in the United Stated market that accounts for almost 50 percent of the global sportswear sales, Adidas was evacuated from the second position in the year 2014 by a sportswear brand Under Armour based inMaryland.
The executive claimed that he is inIndiabeforeChinaas the brand has the faith in the Indian market. The firm will increase the number of stores from the existing 750 to 1,000 in the next couple of years. This includes even the Reebok stores in the country. Adidas will be rolling out its omni-channel strategy in 200 cities.
He added that they are repositioning Reebok as a fitness brand and will fine tune the image of Adidas as a sports brand. The firm’s main focus will be top cities such as Top Mumbai,Bangalore, Chennai andHyderabad.
Auschel is bullish on the blistering e-commerce growth inIndia. He stated that there is around four percent of Adidas’ global sales happening online and the same is expected to increase by another 10 percent by the year 2020. InIndia, the online sales figure is right now at 10 percent and it is expected to reach 20 percent shorter time period.