Sunday, April 20, 2014

The World Cup™: adidas versus Nike ?

When the World Cup™ in Brazil begins not only will the national team compete for global supremacy so too will the two major sport shoes companies i.e. Adidas and Nike. Currently Nike owns 14.6 percent of the global sporting goods market to Adidas’ 11.4 percent. In 2012 Adidas held 13.2 percent of the western European sporting goods market in 2012 to Nike’s 12.4 percent, according to Euromonitor data. In Nike’s first fiscal quarter of 2013, ended August31, it posted an 8 percent jump in sales in Europe. Over the same period, Adidas’ European sales fell 7 percent. Adidas has forecast record 2014 football sales of over 2 billion euros and aims to boost group sales to 17 billion euros ($23 billion) in 2015. U.S. Nike, meanwhile, only entered the football market in 1994. But already it has several major partnerships with clubs, including English champions Manchester United. Experts guesstimate Nike will have group sales of up to $30 billion by 2015. Despite Adidas being a major sponsor of the competition many believe big name endorsements are responsible for Nike’s broader success. The Brazilian National Team is firm favourites to win the cup and are sponsored by Nike.

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