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Adidas sees soccer trend lasting into 2025

Published 07/31/2024, 07:23 AM
Updated 07/31/2024, 07:31 AM
© Reuters. Adidas sneakers are displayed at the newly renovated JD Sports store at Westfield Stratford City in London, Britain, July 30, 2024. REUTERS/Hollie Adams
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By Linda Pasquini

(Reuters) - Adidas (OTC:ADDYY) expects soccer's increasing appeal among consumers globally to be a trend that lasts into 2025, after sales of its jerseys in connection to this year's soccer tournaments surpassed its expectations.

Sportswear brands like Adidas, Puma and their U.S. rival Nike (NYSE:NKE) are betting on more consumers engaging with sports and buying their products this summer thanks to sporting events such as UEFA Euro 2024 and the Paris Olympics.

Growth in sales of soccer footwear and apparel in particular helped a 6% rise in apparel sales in the quarter, the first increase in a long time, Adidas CEO Bjorn Gulden said on a call with journalists on Wednesday.

The German sportswear maker, whose soccer involvement includes a sponsorship deal with Major League Soccer in the U.S. - part of preparations for the soccer World Cup in 2026 in the U.S., Mexico and Canada - sold almost 3 million jerseys for Euro 2024 and almost 2 million for the Copa America, Adidas said, starting from the pre-Christmas period in 2023.

Adidas, which on Wednesday said second-quarter revenue in North America, excluding sales of the Yeezy line, rose from last year, also sponsors some of the world's top soccer clubs including Real Madrid, Manchester United (NYSE:MANU), Arsenal, Bayern Munich and Juventus, highlighting its investment in the game.

It is hard however to quantify the category's contribution to overall sales, Gulden added.

© Reuters. Adidas sneakers are displayed at the newly renovated JD Sports store at Westfield Stratford City in London, Britain, July 30, 2024. REUTERS/Hollie Adams

"Adidas is now taking football to the streets and it's a trend that we will continue to see strengthening also after the soccer events and into 2025," Gulden said, adding the sport had gained an increased presence in the lifestyle category which has typically been led by basketball.

Regarding the Olympics, though the Games have no direct impact commercially, the company sees the event as a positive opportunity to showcase the brand and indirectly drive demand.

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