Roadmap to Success

2024 was a successful year for adidas. The turnaround that was initiated in 2023 gained momentum and broadened across markets, categories, and channels. Against this backdrop, we not only delivered results that significantly exceeded initial expectations, but also made adidas a better company during 2024: We have created brand heat with a focus on locally relevant products and activations, further improved our product range and go-to-market approach, built stronger partnerships with both our retail and brand partners, arrived at a healthy inventory position globally, and started to simplify the way we work. With this, we laid the foundation for continued success on our roadmap to becoming a good company in 2025 and a healthy company by 2026.

During 2024, we continued to strengthen our brand and our business in several ways:

• Global brand with a local mindset: We need to be where our consumers are. With more local trends emerging, the need for local relevance continues to increase. Instead of a centrally defined one-size-fits-all approach, we have empowered our markets to create the product, storytelling, partnerships, and channels they need to be successful. By providing our markets with decision-making autonomy, we can meet the expectations of our customers and the needs of our consumers around the world.
• Speed and agility: Fast-changing trends and consumer demands require flexibility and agility. We have empowered our people to accelerate decision-making and have begun to eliminate complicated processes to react quickly. We will continue to prioritize speed and agility to react faster to the needs of our consumers and the feedback from our retail partners.
• Healthy balance between channels: We have transitioned from a narrow focus on our direct-to-consumer business to a service-oriented model toward our retail partners. By listening closely to their feedback and acting on it, we have proven our desire to be a trusted partner for them. And while wholesale is crucial for our future success, we continue to invest in our own retail and e-commerce presence. It is all about maintaining a healthy balance between our channels to win with the consumer.
• Brand heat: We are proud to produce groundbreaking innovation in sports and some of the most sought-after product in lifestyle. This outstanding product is amplified by brand heat – and vice versa. Brand heat is the sum of everything we do. It comprises athletes, teams, celebrities, street culture and more. With this in mind, we have entered and extended partnerships with some of the greatest teams and players out there, such as the Argentine Football Association and rising football star Lamine Yamal, and also welcomed countless athletes to our brand who are pushing boundaries in smaller sports, including track and field, rugby, tennis, and baseball. And while we are equally proud of our cultural partnerships, we will remain deeply rooted in sport.
• Brand message on the joy of sport: To complement our strong product offering and drive brand heat holistically, we have created a new brand narrative – ‘You Got This.’ By putting the joy of sport and its power as a great unifier at the center, we want to counteract an atmosphere of pressure and stress, especially for our younger consumers. We have activated this message globally – amplifying it through last summer’s major sports events and featuring many of our brand partners – and will continue to evolve the narrative in the seasons to come. The latest chapter of our brand campaign focuses on the ‘Plus One Effect’, highlighting the influence each of us has in uplifting others in sport. We all need someone to make us believe.

In addition, we have five foundational pillars that will continue to guide us through 2025 and beyond:

• People: We believe that our people are the key to the company’s success. We focus on creating a culture that strengthens their performance, well-being, and personal development. This will have a significant impact on brand heat, consumer and customer satisfaction, and, ultimately, our results.
• Product: Product is king and queen. We innovate in materials, designs, and technologies to constantly bring exciting new products to the market. This allows us to be relevant to consumers, both on the Performance and the Lifestyle side, as well as to keep growing our deep archive of sportswear icons.
• Consumers: Our consumers are at the heart of everything we do. We focus on what matters to them, creating the product they want, offering the service they expect, and providing the experience they need.
• Retail partners: We need to be the best service partner for retailers. Multi-branded environments reach consumers at scale, and we can leverage our strong product pipeline through efficient distribution.
• Athletes: Whether the crowd watching is large or small, we are here for all athletes. For 75 years, we have been innovating for sports and striving to create only the best for the athlete. This is in our DNA and has shaped our rich heritage. It is where we come from and where we need to be.