Blog: A rocky road for Reebok
Leonie Barrie | 6 March 2008
Despite a stellar performance from Adidas over the past year, Reebok continues to be a something of a millstone around the Group’s neck. The fourth quarter results are particularly telling: while sales of the Adidas brand rose 20% to EUR1.65bn, Reebok’s slipped 12% to EUR567m.
Other pointers confirm there are still many problems that still need to be sorted out. The order backlog – a key indicator of future sales growth – rose to 17% for the Adidas brand in the fourth quarter, its highest level in nearly a decade, with orders linked to demand from this year’s 2008 European soccer championship.
But order backlogs for Reebok fell by 8% on lower demand from mall-based retailers in the US and Canada – and are likely to keep falling for the next six to nine months the company said.
Adidas says the consolidation of Reebok has helped achieve cost savings of EUR20m. But the departure of Reebok president and CEO Paul Harrington today suggests it expects more from the brand than is presently being delivered – and that all eyes will be watching Uli Becker, currently Reebok's chief marketing officer, when he takes over as the division's new chief executive.
Continuing our look at what lies ahead for the apparel industry and its supply chain in 2017, the panel of industry experts consulted by just-style last week tackled likely shifts in the sourcing land...
This week our focus turns to first thoughts from a panel of industry experts consulted by just-style on the challenges and opportunities likely to face the apparel supply chain in 2017, with prospects...
Welcome back after the holiday break, and from the team here at just-style I’d like to wish all our readers a happy and prosperous New Year....
Apparel sourcing is a complex process built on a mix of location, logistics, lead-time, price, compliance, risk and reliability. And it's in a constant state of flux as retailers, brands and manufactu...
- Trump and the apparel industry – Infographic
- How US border adjustment tax could affect apparel
- British Brexit plans prioritise tariff-free trade
- Apparel factory auditing is in the firing line
- NRF 2017 – Retail tech launches and developments
- Cambodia clothing exports at risk from Brexit
- New project to digitalise European fashion chains
- Apparel brands urge Bangladesh PM to address wages
- Brands need to tackle Turkey factory refugee abuse
- JC Penney to roll out hundreds of Nike "shops"
- Outdoor performance apparel 2016: A broader perspective
- Southeast Asia strategic sourcing review – a focus on Cambodia, Vietnam and Myanmar
- Anti-odour clothing: fresh fashion for an active lifestyle
- Global apparel markets: product developments and innovations, October 2016
- Global market review of lingerie – forecasts to 2022