adidas plans to go all the way with China.
Continuing its Route 2015 goals, adidas today announced plans to repenetrate its China business in an effort to overtake market leaders Nike and Li-Ning, while also diving head first into the youth category with a new brand named adidas NEO.
To start, adidas wants to expand its presence by opening more than 2,500 stores in smaller Chinese cities by 2015, with 500 doors opening next year.
adidas Chief Executive Herbert Hainer said in a Shanghai news conference today:
“I’m pretty confident we will take back our original No. 2 position next year, there is absolutely no doubt and we build a plan in the years to come to become number one in the market.”
Helping fuel their growth to become number one, the company is introducing the adidas NEO brand targeting 12 to 19-year-old China youth with an emphasis on fashion and a price point roughly half that of other current adi brands.
Internet sales will also increasingly become part of the equation with adidas having already hooked up with China’s leading business-to-consumer platform Taobao back in August.
Currently, Nike owns 10.2% of China’s $14 billion sportswear market with Li-Ning controlling 10% and adidas ranking third at 9.6%.