(Reuters) – Foot Locker Inc is aiming to triple Adidas’s sales of sneakers and other items at its stores, as it promotes the products of the German sportswear giant to counter Nike Inc’s shrinking presence at the retail chain.
Nike, which is building its direct-to-consumer (DTC) business, will account for about 60% of total purchases for 2022, down from 70% in the past year and 75% in 2020, Foot Locker said in February.
The partnership will target over $2 billion in retail sales by 2025, nearly tripling from 2021 levels, with Adidas expecting to rake in up to 100 million euros ($105.41 million) more in revenue this year.
Foot Locker’s tie-up with Adidas will involve increased product allocations and shared marketing spend, the retailer said on Thursday.
“Foot Locker will lead Adidas’ basketball offering … the collaboration will focus on key Originals franchises including NMD, Superstar and Stan Smith,” according to a combined statement from the firms.
($1 = 0.9487 euros)
(Reporting by Praveen Paramasivam in Bengaluru; Editing by Anil D’Silva)
