The halt in sales in Russia cut Adidas' revenue in the 2nd quarter by 100 million euros
Quarantine in China and store closures in Russia are having a negative impact on Adidas' business. The German brand said on Thursday that currency-adjusted sales rose 4% in the second quarter, although net income fell to 360 million euros (or $367 million). Operating income fell to 392 million euros ($398 million) from 543 million euros ($553 million) in 2021.
Adidas shares rose more than 2% on Thursday morning.
Adidas CEO Kasper Rorsted said that the macroeconomic situation in China has prevented the company from recovering in this market. Just last week, Adidas cut its forecast for 2022, citing a slower recovery in China due to ongoing Covid-19 restrictions. The company said it expects revenue in Greater China to decline at a double-digit rate through 2022.
“The recovery in this market — due to ongoing COVID-19-related restrictions — is slower than expected,” Rorsted said. In Greater China, sales fell 35% in the second quarter.
In China, Adidas is looking to connect with local Chinese consumers through local marketing promotions, partnerships with Chinese athletes, and the launch of a lifestyle shoe collection designed for the domestic market.
Outside of China, Adidas has faced hurdles due to supply chain issues following restrictions imposed in Vietnam last year that impacted revenue growth of around 200 million euros ($203 million) in the second quarter. The company's decision to suspend all retail and online sales in Russia in the second quarter reduced revenue by more than 100 million euros ($102 million).
Adidas said it expects discounts to increase in the second half of the year, especially in Greater China, as the company looks to shed excess retail inventory.
Rorsted also noted a "potential slowdown in consumer spending" in other markets, which could persist until 2022.
“So far, we have not experienced a significant slowdown in sales of our products,” Rorsted said. “We have also not experienced significant bulk order cancellations in any other Greater China markets, but we clearly need to be prepared for the fact that the situation may change within of the year".
Quarantine in China and store closures in Russia are having a negative impact on Adidas' business. On Thursday, the German brand reported that second-quarter currency-adjusted sales rose 4%,…
Brazil reports growth in footwear exports for 2 months of 2025
Brazilian footwear exports in the first two months of 2025 reached 21 million pairs, with a turnover of $174,23 million. In February, 9,6 million pairs were exported, up 18,9% in volume and 8,9% in value compared to the previous… 14.03.2025 193
Demna Gvasalia becomes creative director of Gucci
Gucci has hired Demna Gvasalia as its creative director. He replaces Sabato De Sarno, who was fired on February 6 after just three… 14.03.2025 203
Zegna to Build Shoe Factory in Italy
Italian luxury group Zegna has begun construction of its own factory in Italy, a few kilometers from Parma. 13.03.2025 298
Radical Chic Releases Collaboration With Buryat Artist Zorigto Dorzhiev
The collaboration between Radical Chic and Zorigto Dorzhiev resulted in a collection of two silk scarves, “Nomad” and “Erdene”. The basis for the new designs were two original works by the artist, “Four Horsemen” and… 13.03.2025 502
Geox sales down 7,8% in 2024.
Italy's Geox Group reported a 2024% year-on-year decline in 7,8 sales to €663,8 million. Only in the fourth quarter did sales rise slightly, by 0,5% year-on-year, at current exchange rates to 138… 12.03.2025 712
Rendez-Vous has relaunched its wholesale business
Now the discount on the assortment is up to 65% of the retail price.
Euro Shoes starts on February 18th in Moscow!
The main international exhibition of footwear and accessories will be held in Moscow at the Expocentre from February 18 to 21. The exhibition will present collections of leading European brands, both well-known in our market and new names!
Spanish footwear brand JOSE SAENZ debuts at Euro Shoes
The young and ambitious Spanish brand of women's footwear JOSE SAENZ will present its collection for the first time at the international footwear exhibition Euro Shoes in Moscow.
Shoe factories in Russia are closing one after another
The shoe industry in Russia is in a severe crisis situation. A number of Russian shoe manufacturers have announced the cessation of their activities this year.
Shoemakers' problems are growing
The annual general meeting of the National Footwear Union (NOBS) was held in Moscow.
How to Choose Winter Shoes: Expert Advice
With the arrival of cold weather, the issue of choosing good winter footwear becomes extremely relevant. Comfort, warmth and protection from moisture are the main requirements for footwear in the cold season. Natalia Kuznetsova, an expert of the German brand of footwear and accessories Tamaris, shared useful tips on choosing the perfect pair for both winter walks and business meetings.
Rendez-Vous has relaunched its wholesale business
Now the discount on the assortment is up to 65% of the retail price.
Spanish footwear brand JOSE SAENZ debuts at Euro Shoes
The young and ambitious Spanish brand of women's footwear JOSE SAENZ will present its collection for the first time at the international footwear exhibition Euro Shoes in Moscow.
How to Conduct an Effective Strategy Session for a Shoe Business?
Every business owner imagines a cloudless future for their company something like this: high profits, ideal employees, loyal customers, competitors biting their elbows, and market conditions that are favorable specifically for their company. Want to get closer to your dreams? Turn them into goals, says fashion business management and development expert and regular SR contributor Maria Gerasimenko. And achieving any goals requires developing a strategy. Today, it is important to understand that strategy is vital for any business - from microenterprises to large holdings.
Heading towards Moscow - development of the MASCOTTE chain in a new concept
The brand of shoes, clothing and accessories Mascotte continues to actively develop the network in a new concept. Updated spaces appeared in Moscow in the VEGAS KASHIRSKOE shopping center on the 1st floor (area more than 300 m²) and the Vesna shopping center on the 1st floor (area more than 400 m²). By the end of 2024, openings are planned in the Botanica Mall mixed-use complex on the 1st floor (area more than 400 m²) and in the ODIPARK shopping center on the 1st floor (area more than 300 m²). In 2025, the brand plans to continue to expand its network of branded salons in a new concept through consistent and methodical openings in new shopping centers and rebranding of current salons with relocation to larger areas.
Louis Vuitton opens a new factory in Italy
Louis Vuitton has opened its second shoe factory in Italy. After opening the first one in Fiesso d'Artico in Veneto, the LVMH flagship brand has just opened a new production site dedicated to this category of footwear in the industrial zone of Civitano in the Marche region. There is also another brand production facility in Tuscany, where bags and leather accessories are produced, writes fr.fashionnetwork.com.
The international footwear exhibition Euro Shoes premiere collection was successfully held in Moscow
Russia's largest exhibition of footwear and accessories, Euro Shoes, was held in Moscow from February 19 to 22 and again became the main meeting place for fashion brands and buyers.
Sales through marketplaces. Growth points and pitfalls
Over the past few years, marketplaces have been actively growing, taking away share from offline retail. And shoe brands are eager to sell their products through these online platforms, hoping to earn a lot more and scale their business. Marketplaces really take on a lot (issues of logistics, delivery, returns, promotion in search engines), but everything is as ideal and rosy as it seems to beginners. Inexpensive traffic and regular sales come at the cost of risks and fines. SR expert in sales management and strategic development of fashion brands, business consultant Daniya Tkacheva talks about growth points and pitfalls of working with marketplaces.
Turkish brand Vaneda on Euro Shoes
Street style, sport, outdoor, military – the main style directions of footwear of the company from Turkey
Why is it so important to work with customer reviews, analyze them and use them in your work?
Customer reviews are of great, invaluable importance when selling a product. However, many companies do not always understand this: they do not collect reviews, respond only to positive ones and do not work with negative ones. This is a big mistake and omission of the brand. In this article, together with SR digital marketing expert Tatyana Vasilyeva, we understand the intricacies and nuances of working with customer reviews and explain why it is worth paying attention to your customer reviews, and how this can increase your sales.
The Euro Shoes@CAF exhibition will be held in Almaty
From March 11 to 13, the Euro Shoes@CAF (Central Asia Fashion) exhibition will be held in Almaty at the Atakent exhibition complex. The exhibition, which is the largest international event in the fashion industry in Central Asia, will present collections of clothing, shoes and accessories.
We are ready for active development in the Russian market
Friedrich Naumann, CEO of the Tamaris brand, told Shoes Report about the company’s ambitious plans, business development in Russia and expansion of the retail network, and also shared details about new collections and launches.
Trade equipment in a modern shoe and accessories store
For a very long time, commercial equipment was a purely utilitarian item of store interior. But those days are long gone, and today retail equipment is not just shelves, racks, tables, but one of the effective tools of visual merchandising, an integral part and reflection of the concept of retail design. In the previous issue (Shoes Report, #199), SR’s resident expert in the field of store building and commercial display design, Marina Polkovnikova, examined the main trends in retail design, which, in her opinion, shoe stores should pay attention to. These are minimalism, monochrome, natural and environmentally friendly materials in the design of shop windows and retail space, inclusivity and safety. These trends will be relevant in the next few years. Continuing the topic started, in this article Marina Polkovnikova gives recommendations on how to use retail equipment to create a trendy commercial presentation of goods in a store and, at the same time, a comfortable atmosphere for customers that encourages them to make purchases.
Current techniques in lighting a shoe store
Today, walking through the galleries of shopping centers, we see a variety of formats of offline stores. New concepts of retail spaces attract with an individual, memorable design. In a certain sense, they are an element of the show, a tool through which the buyer receives a new and interesting experience. Together with SR expert in the field of lighting technology in retail, Tatyana Ryzhova, we will look at current lighting design techniques for modern shoe stores, which we will see more and more often in new retail outlets in the near future.
Shoe educational program: what shoe soles are made of
“What is the difference between TEP and EVA? What does tunit promise me? Is PVC glue? What is the sole of these shoes made of? ”- the modern buyer wants to know everything. In order not to smash his face in front of him and be able to explain whether such a sole suits him in soles, carefully read this article. In it, process engineer Igor Okorokov tells what materials the soles of shoes are made of and what makes each of them so good.
How to set prices that will earn
Some businessmen still confuse the concept of margin with the concept of trade margins and set prices for their goods, guided solely by the example of competitors. No wonder they go broke! Analyst at the Academy of Retail Technologies Maxim Gorshkov gives several tips and formulas with which you can set not only ruinous, but also profitable prices.
Sales of shoes and accessories: effective techniques for business rhetoric
Which speech modules are effective in communicating with potential and current customers of shoe stores, and which are not, Anna Bocharova, a business consultant, knows.
We form the salary of sellers: expert advice
“How do you charge your consultants for personal or general sales?” Is one of the most popular questions causing a lot of controversy and gossip on the online forums of retail business owners. Indeed, how to properly form the earnings of sellers? But what about bonuses, where to get a sales plan from, do employees allow them to buy goods at discounted stores? In search of truth, the Shoes Report turned to a dozen shoe retailers, but no company wanted to disclose its motivation system - the process of its development was too complicated and individual. Then we asked four business consultants, and finally became convinced that the topic of seller motivation is very complex, because even our experts could not come to a common opinion.
Technology Selling Issues
There is nothing worse than meeting the buyer with the words “Hello, can I help you with something?”, Because the seller works in the store just to help. Criticizing this well-established pattern of communication with the buyer, Andrei Chirkarev, business coach for effective sales and the founder of the New Economy project, shares the technology of truly selling issues with readers of Shoes Report.
The whole truth about Bayer. Who is he and how to become one?
Bayer is no longer a new, but still a popular and sought-after profession. It’s fashionable to be a buyer. Buyers are at the origins of the emergence and development of trends. If the designer offers his vision of fashion in the season, then the buyer selects the most interesting commercial ideas. It is on buyers that the policy of sales of stores and what, in the end, the buyer will wear depends on. This profession is surrounded by a magical fleur, often associated with a lack of understanding of what exactly is the work of a buyer.
Fur, and not only: types of lining
In the production of winter footwear, various materials are used that are designed to retain heat and meet the requirements of consumers: natural sheepleather, artificial fur, artificial fur from natural wool and others. All types of lining fur have their own advantages and disadvantages. Let's consider the properties of each of them.
The best models of Czech shoes of the past
In Soviet times, for shoes from Czechoslovakia sold under the Cebo brand, customers stood in line for four hours and did not regret it, because Czech shoes were considered to be of high quality, comfortable and fashionable. Shoe designer Juraj Shushka shared a photo archive of his collection with Shoes Report magazine, which contains the most interesting Cebo models from the 1940's to the 1980's.
Retail Arithmetic
Before you begin to solve specific problems, you need to find out how accurately all the leaders of your company understand the basic terminology of retail.
How to fire a worker without tears, scandal and trial
Sooner or later, any manager is faced with the need to part with an employee. Properly and on time the dismissal procedure will save the company money, and the boss himself - nerves and time. But why sometimes, knowing that a break in relations is inevitable, we put off the decision for months?
