adidas to focus on key markets and global retail

07 May '09

5 min read

• To support the growing own-retail business, which is an integral part of the Group's controlled space strategy, a dedicated Global Retail organisation will be set up under the leadership of a Chief Retail Officer. The Group will also carry out a review of underperforming retail store locations in the coming months.
• The wholesale part of the business, where products are sold and distributed via retail partners, will also be consolidated under the leadership of a Chief Sales Officer.
• All Group functions such as Operations, Finance, HR, Legal and IT will also undergo changes to reflect the new organisational structure while identifying shared service opportunities to drive further efficiencies.

Together with the aforementioned initiatives already underway, the Group anticipates that these further steps will not only serve to accelerate revenue growth opportunities for the Group, but in the process will also deliver material and sustainable cost savings, ensuring a healthy company and solid business foundation for the good of all its stakeholders. Although all project details have yet to be finalised, it is Management's goal that upon completion these measures will lead to annual cost savings of more than € 100 million as well as a significant contribution to the top line. Additional details will be provided later this year.

Herbert Hainer, CEO and Chairman of adidas Group, added: "Our Group has seen fantastic growth over the last eight years. Now, we have to look forward and prepare our company to achieve the next level of success mid- and long-term. Our new set-up takes into consideration recent, current and future market developments and focuses our organisation more squarely on our most valued stakeholder: the consumer. In doing so, we make sure that our Group navigates successfully through the challenging market conditions we face in 2009, positioning us to accelerate profitable growth once the global economy rebounds."

adidas Group

More Adidas News... More Fashion News - Germany...