Adidas has earned more than $ 1 billion in Russia
The Russian market for Adidas became the largest in Europe and the fourth in the world after the USA, China and Japan. The company management hopes that in 2013, Russia will finish third in the global classification.
Sales of the Adidas group in Russia (the brands Adidas, Reebok and Rockport are represented here) exceeded $ 1 billion this year, and now the company sets itself the task of increasing the turnover in the Russian market to 2013 billion euros by the end of 1, says CEO of the group Herbert Heiner. Up to 2015, sales are expected to grow in double digits. The total revenue of the group at the end of 2011 is planned at the level of 13 billion euros against 12 billion in 2010 (by 2015 the plan is 17 billion euros), net profit is expected to exceed 600 million euros.
With this result, Russia in 2011 overtook Germany to become the largest European market for Adidas, he added. Russia now ranks fourth in global group sales after the United States, China and Japan. “But I hope that in three years your country will overtake Japan and become third,” Heiner said. The optimism of the group is supported by the fact that all three of its brands are developing well in Russia, the network of its own stores covers the whole country, adds Martin Schenkland, CEO of adidas in Russia and the CIS. The company is already the leader in Russia in terms of the number of stores among all foreign retailers - it now has 776 stores of all brands, while its closest competitor, Inditex, has 255 stores. By the end of 2011, the number of Adidas Group stores in Russia and the CIS countries will exceed 800, and by 2015 at least another 400 will be added to them. Investments in the development of the chain have not been disclosed.
The company will be engaged in updating existing stores, moving them to better facilities, and will open Reebok next to Adidas stores. Adidas also reduces the share of wholesale sales in its turnover - now they do not exceed 9%, whereas in 2008 they amounted to 32%. This provides greater control over the level of retail - stores must be consistent with the fashionable and innovative brand image, says Shankland.
According to the FDFgroup marketing agency, Adidas is one of the three most recognizable sports stores in Moscow after Decathlon (Auchan group) and Sportmaster. The largest world sports retailer Nike in Moscow is still the fourth most recognizable. On the nike website it is indicated that it has about 80 stores in Russia, including affiliate stores operating under the Nike brand. Adidas believes that its turnover in Russia is several times greater than that of Nike.
The active development of Adidas is explained by the fact that the company is not afraid to invest in the Russian market by opening its own stores, while most Nike stores are opened by franchised partners, the American company itself invests only in advertising, says Ilya Krasilnikov, a specialist in the retail real estate department at NAI Becar. About this newspaper Vedomosti.
The Russian market for Adidas has become the largest in Europe and the fourth in the world after the USA, China and Japan. The company's management hopes that in 2013 Russia will finish in the global ranking ...
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