Adidas, a global leader in the sporting goods industry, and Foot Locker, Inc. (NYSE: FL) (“Foot Locker”), the New York-based specialty athletic retailer, today announced a new and enhanced partnership built around product innovation, elevated experiences, and deeper consumer connectivity. This enhanced relationship will establish Foot Locker as the lead partner for adidas in the basketball category, accelerate energy and hype launches, as well as include the development and expansion of key franchises across women’s, kids, and apparel. Including all Foot Locker banners in North America, EMEA, and Asia-Pacific, the new strategic partnership will target over $2 billion in retail sales by 2025, nearly tripling levels from 2021. In 2022, adidas expects to generate incremental revenues of up to €100 million as a result of the new partnership.
“We are excited to deepen our partnership with Foot Locker as we continue to execute our ‘Own the Game’ strategy,” said Kasper Rorsted, CEO of Adidas. “Consumers will be at the center of this exciting partnership and will be able to experience the Adidas brand and its key product franchises, as well as new product innovations, stronger than ever before at Foot Locker.
We are excited to continue our strategy of expanding our footwear and apparel selection for the athletic and sneaker community,” said Richard A. Johnson, chairman and CEO of Foot Locker, Inc. “This close partnership will allow us to bring consumers with more unique, best-in-class products from iconic brands, while accelerating our foray into apparel, adding a new dimension to our assortment and bringing more customers into our ecosystem.
Foot Locker will lead Adidas’ basketball offerings, led by Fear of God founder and designer Jerry Lorenzo, across lifestyle and performance categories, and develop exclusive positions in both areas. In addition, the partnership will focus on key original franchises including NMD, Superstar and Stan Smith, as well as the Adidas Netflix partner portfolio. It will also include a prominent role for Foot Locker in Adidas’ new sportswear product division for lifestyle consumers.
To execute the new program, Adidas will provide Foot Locker with a dedicated team to deliver an elevated consumer experience in stores and online to help create demand and elevate the market. This will involve partnerships in product development, exclusive Foot Locker positioning, increased product distribution, shared marketing spend, and an elevated premium presence across Foot Locker’s banner advertising portfolio, with a special focus on key cities and communities the company serves together. Finally, to provide consumers with a seamless consumer journey online and offline, both partners will increase their digital focus and accelerate the launch of the Adidas Partner Program at Foot Locker.