Adidas Has Declined In North American Market.

It is reported that Adidas group, the world's number one sports giant, has recently mentioned in its annual financial report that the North American market, which accounts for 25% of its global sales, has been unfavourable for 07 years, and sales have declined year by year.

Adidas attributed it to the weakening of consumers' purchasing power and the promotion of small retailers.

In Adidas's annual financial report, it pointed out that while its running, football footwear products and sportswear kept growing, sales of basketball products and Reebok brand footwear decreased.

Adidas CEO Herbert Hainer analysis said: "the low consumption power and the unfavorable environment in the retail market have caused a slight decline in Adidas's recent sales."

In 2007, sales of Adidas and its Foot Locker, the largest retailer in North America, dropped by 9.4%, with sales of Reebok alone falling by 5.7%.

Herbert Hainer said that Reebok's sales will continue to decline in the next 6-9 months.

"In the future, Reebok will face more challenges, and the market environment is not optimistic."

In 2005, Adidas announced the purchase of Reebok at a price of 3 billion 100 million euros, and spent a lot of money on brand revival. It hopes to increase its market share in the United States, narrow the gap with Nike, and enhance brand awareness and reputation.

At present, Reebok is trying to promote overall sales growth by promoting women's sports series, running shoes and American sports products such as ice hockey and rugby.

However, through the increase in orders in the second half of this year, Reebok's sales in North America in 2009 are expected to increase.

The backlog of orders has also become one of the important factors that prevent Reebok's future growth.

At the end of 2007, Reebok's sales fell by 8% as a result of exchange rate fluctuations.

But Adidas claims that Adidas's global business will continue to grow moderately in 2008 because of its good operation in Europe, Asia and Latin America.