Who runs the world?

As I promised last time in my “getting prepared blog” today I will concentrate on the big competition in sports apparel market between the two giants Nike and Adidas. As you might remember I acquired this topic due to the implementation of a new football shoe that led me to a lot of questions.

Thus, according to Damian Francis Adidas was introducing the new Adizero F50 football shoe in November that includes a chip that is able to measure speed and distance in all 360 degrees movements.

It seems –at least to me- that it is better or rather more intelligent than the Nike sensor, which I introduced in my last blogs. Additionally, Adidas also plans to introduce a community where one can compare individual performance with others even with “global stars” which is slightly equal to that what Nike did.

Who performance best? Who is the market leader?

Knowing of the competition of the big rivals Nike and Adidas I was wondering whom of them is the market leader in sports apparel. According to the Blog post Nike competitor analysis it was Nike that has the highest number of market shares followed by Adidas.

In a publication I found that in 2009 Nike had a market share of 33% and Adidas of 22%.

But actually Adidas could create a greater pressure in market shares on Nike, because of its sponsorship of very significant events like FIFA World Cup or several successful football teams, one objects on Kabadu as well as with its new shoes.

Adidas has a heritage in football [soccer] that Nike doesn’t have, and its innovations should bring more growth

The blog author Hilman mentions that Adidas was first in the football business. But since the mid-90’s Nike has turned football business around. This is also reinforced by the blog post Sport and Intellectual Property Rights which states that although Adidas was „top sponsor in FIFA World Cup 2010, it was Nike that attracted more viewers attention, whether through players’ football boots or clever advertising spots“.

My team member TennisAnika explained the importance of advertisement during sport events in her blog “what are your wearing tonight”. She reveals the advantage for both the sport team and the organization/company. I really recommend reading it.

Will Adidas be able to defend its preeminence in the football apparel market with the implemention of Adizero F50?

According to Hilman the new Adidas soccer shoe will be able to compete with the giant Nike, not just because of the Chip but also because of the new shoe design.

The design was Adidas disadvantage in competition. It is said that Nike amongst other things is the market leader because of its design. Therefore Nike created the ability to suit costumer’s tastes. Although Adidas had some really good Invention like Clima Cool technology, which were complimented by other companies, their shoes would not attract costumers to buy it preferably, because they would not be fashionable enough, concludes airmax2011.

We will see what the future holds!

We will see what the next year will bring for Adidas. Will it be able to increase market shares allocated to its new shoes, which in my point of view are very expensive and not affordable for the young generation that should be its target group? But Hilman argues that parents will probably be willing to pay extra for the brand and technology affinity of their children. Eventually, this could be a big cue for Adidas against its rival Nike.

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  1. All that glitters is not gold « spogging

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