• Home
  • Latest
  • Fortune 500
  • Finance
  • Tech
  • Leadership
  • Lifestyle
  • Rankings
  • Multimedia

Trendingnow

1

As Big Tech showers employees with perks to win the talent war, Nvidia built a nearly $5 trillion company by making people pay for their own lunch

2

Mark Zuckerberg feeds his cows macadamia nuts and beer to create the 'highest-quality beef in the world' on his $300 million estate in Hawaii

3

MacKenzie Scott alone accounted for one-third of America's $19.2 billion in megagifts last year

1

As Big Tech showers employees with perks to win the talent war, Nvidia built a nearly $5 trillion company by making people pay for their own lunch

2

Mark Zuckerberg feeds his cows macadamia nuts and beer to create the 'highest-quality beef in the world' on his $300 million estate in Hawaii

3

MacKenzie Scott alone accounted for one-third of America's $19.2 billion in megagifts last year
RetailAdidas

Why Adidas Is Outperforming Nike, Under Armour

By
John Kell
John Kell
Contributing Writer and author of CIO Intelligence
Down Arrow Button Icon
By
John Kell
John Kell
Contributing Writer and author of CIO Intelligence
Down Arrow Button Icon
August 4, 2016, 2:52 PM ET
Colorful display of men's athletic shoes at Foot locker sporting goods store, Roosevelt Field Mall, Garden City, Long Island
DRR2GN Colorful display of men's athletic shoes at Foot locker sporting goods store, Roosevelt Field Mall, Garden City, Long IslandAlamy Stock Photo
Add Fortune on Google for similar content.

When Adidas North America President Mark King payed Fortune a visit in early 2015, he had a simple sales pitch: Despite recent sales woes because of design misfires, the German sportswear company could be cool again.

At the time, things looked a bit bleak. Adidas was underperforming top rival Nike (NKE) in the key U.S. sportswear market and even found itself confronting headlines that it was trailing Under Armour (UA), a far smaller upstart brand. King laid out a simple strategy: focus more on running, basketball, and the stylish everyday wear “originals” business. He also vowed to report double-digit sales growth in the region.

On Thursday, Adidas—the world’s second largest sportswear maker after Nike—delivered further proof that it is on a path toward victory. Fiscal second quarter sales in the North American market jumped 23% from a year ago, following double-digit gains in the first quarter and for the full fiscal 2015 year.

Growth has been fueled by many of the key levers that King called out, including a 60% increase in sales for “originals” and running footwear for the first half of the year. For the running business, sales have benefited from continued strong consumer interest for Adidas’ Boost technology, as well as impressive strong sales for the newer $100 AlphaBOUNCE shoe.

“We are really proud of the fact that we are the fastest growing [sportswear] brand in North America,” King told Fortune in an interview.

He’s right. The growth in North America bested the latest quarterly results from Under Armour (up 21.5% in North America) and Nike (sales were roughly flat). Nike executives earlier this summer found themselves defending the “strength of the brand” in the North American market, while Under Armour’s 17% sales jump for apparel fell short of the 20% target. Wall Street analysts were mostly persuaded that both would soon return to their former glory.

To be sure, Nike’s business is still by far the largest, generating $3.74 billion in sales in the most recent period versus $877.6 million for Adidas and $827 million for Under Armour.

Still, the strong growth for Adidas in the second quarter, which builds on a 21.8% increase a year ago after two years of declines, implies the turnaround story has got some traction. And King says he’s bullish that growth can be sustained.

“There is a lot of hype for our products,” he added. Part of that is the appeal of the ongoing partnership with rapper Kanye West, but Adidas says it has also been more successful in designing on-trend silhouettes, new apparel fabrics, and innovative technology. Adidas has also signed on key athletes to endorsement deals that help elevate the brand in the eyes of consumers. And the stronger sales growth and trendy look for Adidas gear is resulting in greater interest from retailers.

One partnership that King says epitomizes how it tackles endorsements is the company’s relationship with NBA star guard James Harden. Harden, King proclaims, is a unique personality on and off the basketball court and helps give Adidas some cred among athletic gear shoppers.

“The other brands are very traditional in how they tell their story,” King says. “We are deeply engaged in society and culture and bring that together in performance and style. That’s why this brand has become cool almost overnight.”

About the Author
By John KellContributing Writer and author of CIO Intelligence

John Kell is a contributing writer for Fortune and author of Fortune’s CIO Intelligence newsletter.

See full bioRight Arrow Button Icon
Add Fortune on Google for similar content.

Latest in Retail

Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025

Most Popular

Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Fortune Secondary Logo
Rankings
  • 100 Best Companies
  • Fortune 500
  • Global 500
  • Fortune 500 Europe
  • Most Powerful Women
  • World's Most Admired Companies
  • See All Rankings
  • Lists Calendar
Sections
  • Finance
  • Fortune Crypto
  • Features
  • Leadership
  • Health
  • Commentary
  • Success
  • Retail
  • Mpw
  • Tech
  • Lifestyle
  • CEO Initiative
  • Asia
  • Politics
  • Conferences
  • Europe
  • Newsletters
  • Personal Finance
  • Environment
  • Magazine
  • Education
Customer Support
  • Frequently Asked Questions
  • Customer Service Portal
  • Privacy Policy
  • Terms Of Use
  • Single Issues For Purchase
  • International Print
Commercial Services
  • Advertising
  • Fortune Brand Studio
  • Fortune Analytics
  • Fortune Conferences
  • Business Development
  • Group Subscriptions
About Us
  • About Us
  • Press Center
  • Work At Fortune
  • Terms And Conditions
  • Site Map
  • About Us
  • Press Center
  • Work At Fortune
  • Terms And Conditions
  • Site Map
  • Facebook icon
  • Twitter icon
  • LinkedIn icon
  • Instagram icon
  • Pinterest icon

Latest in Retail

ts
Arts & EntertainmentNew York
NYPD confirms ‘an event that we are tracking at Madison Square Garden on Friday night,’ declines to comment on Taylor Swift wedding
By Jake Offenhartz, Kimberlee Kruesi and The Associated PressJuly 2, 2026
10 hours ago
usa
North AmericaWorld Cup
The World Cup is a smash but America still isn’t a soccer country, poll suggests
By Linley Sanders and The Associated PressJuly 2, 2026
10 hours ago
i
AsiaIndia
India and Japan just made “economic security” a shared mission
By Sheikh Saaliq and The Associated PressJuly 2, 2026
11 hours ago
j
EconomyJobs
Economy disappoints with half as many jobs created in June, and May and April gains revised downward
By Christopher Rugaber and The Associated PressJuly 2, 2026
15 hours ago
U.S. Polo Assn. CEO J. Michael Prince
SuccessThe Promotion Playbook
U.S. Polo Assn. CEO was flat-out told he wasn’t right for a promotion—so he ‘outworked’ anyone else who wanted the job for 6 months straight until they changed their mind
By Orianna Rosa RoyleJuly 1, 2026
2 days ago
I know how Gen Z can survive the ‘jobpocalypse’ because I built an AI company — in 2015
CommentaryCareers
I know how Gen Z can survive the ‘jobpocalypse’ because I built an AI company — in 2015
By Jeremy FainJuly 1, 2026
2 days ago

Most Popular

As Big Tech showers employees with perks to win the talent war, Nvidia built a nearly $5 trillion company by making people pay for their own lunch
Big Tech
As Big Tech showers employees with perks to win the talent war, Nvidia built a nearly $5 trillion company by making people pay for their own lunch
By Marco Quiroz-GutierrezJuly 1, 2026
2 days ago
Mark Zuckerberg feeds his cows macadamia nuts and beer to create the 'highest-quality beef in the world' on his $300 million estate in Hawaii
Success
Mark Zuckerberg feeds his cows macadamia nuts and beer to create the 'highest-quality beef in the world' on his $300 million estate in Hawaii
By Sasha RogelbergJuly 2, 2026
11 hours ago
MacKenzie Scott alone accounted for one-third of America's $19.2 billion in megagifts last year
Success
MacKenzie Scott alone accounted for one-third of America's $19.2 billion in megagifts last year
By Sydney LakeJune 25, 2026
8 days ago
Today, Emily Blunt is worth $80 million thanks to her Hollywood career—but she actually wanted to be a UN Spanish translator on $80K
Success
Today, Emily Blunt is worth $80 million thanks to her Hollywood career—but she actually wanted to be a UN Spanish translator on $80K
By Orianna Rosa RoyleJuly 2, 2026
21 hours ago
Americans are escaping the U.S. for New Zealand where house prices have hit a new low—but only wealthy Americans with $3 million spare can invest
Success
Americans are escaping the U.S. for New Zealand where house prices have hit a new low—but only wealthy Americans with $3 million spare can invest
By Emma BurleighJuly 2, 2026
13 hours ago
Current price of oil as of July 2, 2026
Personal Finance
Current price of oil as of July 2, 2026
By Joseph HostetlerJuly 2, 2026
14 hours ago

© 2026 Fortune Media IP Limited. All Rights Reserved. Use of this site constitutes acceptance of our Terms of Use and Privacy Policy | CA Notice at Collection and Privacy Notice | Do Not Sell/Share My Personal Information
FORTUNE is a trademark of Fortune Media IP Limited, registered in the U.S. and other countries. FORTUNE may receive compensation for some links to products and services on this website. Offers may be subject to change without notice.