Adidas Cut Media Spend by 25% during Lockdown but Now Plans to ‘Reaccelerate’

 https://www.marketingweek.com/adidas-cut-spend-lockdown-now-reaccelerate/

Adidas cut it's marketing budget by 25% but those cuts were largely focused on in-person event spends such as the Olympics. With the Tokyo summer Olympics and European Championship postponed and Adidas and Reebok stores closed, the company didn't feel like their market efforts would return an appropriate ROI. That said, the company was creative in its digital marketing resulting in ecommerce sales increasing 93% in Q2. Example of this creativity include the 'Ready for Sport' campaign and #hometeam activity. Use of Adidas' training apps have also dramatically increased as home workouts become the new normal. Data shows that Adidas' customer segment (18 to 34 year olds) plan to work out more often and with the new work-at-home flexibility, Adidas is also banking on selling more comfortable apparel since consumers are now spending more time in 'athleisure.' Again, similar to the discussion last week, Covid has accelerated new waves in the ecommerce space - one being increased online sales and two being increased demand for athletic apparel, footwear, and complementary products (workout apps, etc.).