Total Fitness Continues Dominance of Mid-Market in Poland

After enjoying incredible success in the polish gym mid-market in recent years,Aleksander Wilewski s

more

€33 Million Sale for CCC Romanian Franchise

For a number of years, the CCC retailer in Poland has been under different ownership to the CCC fran

more

Martes Sport Junior to Launch in Poland

With the sport goods market in Poland growing, Martes Sport has now welcomed its first Junior store

more

A Japanese Manufacturer of Quality Eyewear and Accessories Searches for Distributors in Central Europe.

A producer of eyewear and accessories from Japan is seeking distributor partners and agents to repre

more

Ispo 18; Central European Distributors who will attend

In the most recent survey by CeSport of the Sporting goods industry in Central Europe ( CE ) and Cen

more

"Business Partner search for the Sports industry in Central Europe"


You are here » Home Page » News » Adidas restructures in Russia


Adidas restructures in Russia

2017-08-23 source own

Adidas, one of the largest sports brands in the world, has announced they will be closing around 160 stores in Russia and the CIS states. With revenue declining by over 10% in recent times, the brand and their CEO, Kasper Rorsted, believe that the market will continue to decline leading to more losses over the months and potentially years ahead.

According to Rorsted, embargoes from the Western states were causing a huge issue for the company. In Russia, their activity in the Crimean peninsula saw them and the whole CIS region lose purchasing power.

Low Oil Prices - In addition to this, crude oil remains as Russia’s most valuable export. However, this is at the lowest price for a long time and it’s affecting the company deeply. In both 2015 and 2016, Russia went though recessions. For Adidas, their extended position within the country is no longer worth the risk and 100 stores have already closed. After this, they plan to close 50-60 more before the end of 2017.

Although their extended presence has been reduced somewhat in the Russian market, this doesn’t spell the end of their influence completely because they still have a whopping 800 stores in the region. With sales causing a problem, there is still growth in different areas of the business and the product range is continually improving in both Saint Petersburg and Moscow.

Looking further afield, Adidas still sits as one of the biggest brands in the world. Between April and June, the company noted an improvement in sales by nearly 20%. In China, North America, and Western Europe, the company is still as strong as ever before with growth figures of 28%, 26%, and 19% respectively.

Image Provided by;Shop Adidas in a complex Capitoliy inside 
ID 88056495 © | Dreamstime

Click here to register to get CeSports latest Business Report on doing business in Central Europe & for an overview on the Sporting Goods market in Central Europe.


Featured Partners

Featured Partners

View more featured partners

more

Press Releases

View Our Press Releases

more

FAQ

View Our FAQ

more
Featured

Sports Business Partner Connections Central Europe

Head logo Rhinos logo order reports