While Nike is still the industry leader in terms of sales, Adidas is the most profitable, with a gross profit margin close to 52.08%, compared to 44.70% for Nike. Adidas has over 800 factories based in 55 countries supplying it with all three product types. on Wall Street. The business only had one shoe and one t-shirt within its portfolio in the initial years, but now sells thousands of sporting products in about 170 countries spanning around the world. Nike reported North American sales of $15.2 billion in fiscal 2017 versus €4.3 billion ($5.1 billion) for Adidas. We’re catalysing our next wave of long-term growth, while being clear-eyed about today’s dynamic environment,' – Nike. However, it is also continuing to form retail partnerships to maximise its brand. For Adidas, the core brand accounted for $19 billion of total revenue to serve as an explanation for over 91% of the company’s total revenue in the last financial year, while Reebok generated $1.8 billion. Revenue can be defined as the amount of money a company receives from its customers in exchange for the sales of goods or services. However, Adidas generates more of its revenue in the country than Nike does. Shares in Adidas jumped last week after it raised its operating margin target to 11.5 percent for 2020. According to the Interbrand Top 100 Global Brand Report for 2017, Nike was number 18 on the list, compared to Adidas at 55. Nike is aiming to deliver high-single to low-double digit revenue growth each year out to 2020, with earnings to grow at a faster rate. Learn more about their battle for both supremacy and market share. Brand Value: Adidas is one of the most valuable brands in sports.According to Forbes, it is ranked at #3 position (Nike at # 1 and ESPN at # 2) with a brand value of $6.8 Billion. Consequently any person acting on it does so entirely at their own risk. LONDON, ENGLAND - NOVEMBER 19: Ninja attends the 'adidas LDN presents the Future of Sport' event on ... [+] November 19, 2019 in London, England. (Photo by David M. Benett/Dave Benett/Getty Images for adidas LDN). … BEAVERTON, Ore., June 25, 2020 - NIKE, Inc. (NYSE:NKE) today reported financial results for its fiscal 2020 fourth quarter and full year ended May 31, 2020. “With that being said, while Nike is the true leader in its field, Adidas seems to be closing the gap.". According to Soccer365, Adidas will not only sponsor slightly more, they will also sponser what are seen as better contenders, compared to its rival Nike. Market and Literature Review of Adidas and Nike Market Share and Sales In 2009, the Market shares of Adidas was 22% of the worldwide athletic footwear while on the other end the market shares of Nike was about 33 % . Nike has protected its technology with a portfolio of more than 300 patents. Like the cascade for NMD R1, which sold 400,000 pairs on launch day alone, and the cascade for Ultraboost, which sold 11,000 pairs in the first hour. While Nike is still the industry leader in terms of sales, Adidas is the most profitable, with a gross profit margin close to 52.08%, compared to 44.70% for Nike. IG | Sitemap | Terms and agreements | Privacy | Cookies | About IG. Adidas vs. Nike vs. What is CFD trading and how does it work? I’m Professor and Chair of the Department of Economics at LIU Post in New York. And adidas's desire to market its Primeknit shoes free of a threat from Nike's patents gave rise to two inter partes review … Especially in emerging markets, up 14%, Russia/CIS, up 3%, and North America, up 10%, and in Greater China, up 11%. The reason why adidas is up 300% while Nike 'only' 100% over the past 5 years. Cities refers to where the majority of its consumers live and the impact they have on designs. TWEET. And the AlphaEdge 4D sneakers, which are produced with the use of light and oxygen through a process called Digital Light Synthesis. SHARE. Nike generated $34.4 billion in sales last year, while Adidas generated €19.3 billion ($23 billion) in sales. Both companies sell three types of products. Under Armour: An Overview ... Nike has a market capitalization of around $203 billion as of early November 2020. Prices are indicative only. Speed refers to fashion trends and stock availability. Adidas is still much smaller than Nike: Adidas brought in $5.3 billion in 2017 compared with Nike's $15.2 billion. Nike has 8% of all its production based in the US. High profile collaborations and partnerships with celebrities and companies such as Pharell Williams, Run DMC, Kanye West, Bape, and Beyonce. (Adidas’s Q1 covers the period from January through March 2019.) All Rights Reserved, This is a BETA experience. This is followed by sporting equipment such as balls and bags. Puma said on Tuesday it wants to lift its operating profit margin to about 10 percent of sales by 2022 at the latest, up from the 5.6 percent it reported in 2017, and versus 9.8 percent at Adidas and the 13.8 percent Nike saw in fiscal 2016/17. Data is from … Nike and Adidas have both seen their share prices gain momentum, hitting all-time highs in January 2020 before plummeting as the COVID-19 epidemic sweeps the world’s industries. North America and Western Europe are the pair’s two top regions for sales. Unsurprisingly, Western Europe is the main market for Germany’s Adidas while North America is the biggest market for America's Nike. All of Nike’s brands generated $34.4 billion in total revenue in the last financial year (running to the end of May 2017), while Adidas reported annual revenue of 19.2 billion euros in the last financial year, which matched the calendar year of 2017 (all charts below are based on these financial years). 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