Reebok restructures marketing as sales slide

Adidas is to split the marketing team for its Reebok brand into units focusing on fitness categories such as running and dancing in a bid to revive the business after sales slumped 26 per cent in the second quarter.

Adidas restructures the marketing unit for its Reebok brand in a bid to ensure sustainable growth for the struggling brand.

The move is part of a wider global brand strategy to position Reebok as the world’s primary fitness brand and away from professional sports such as American football.

Matt O’Toole, chief marketing officer of Reebok, says: “Our new category structure will already bring more focus and a deeper product offering and will provide better commercial opportunities as we turn the corner into 2013.”

Reebok’s performance contrasted sharply with the rest of the Adidas group, which expects sales to rise by nearly 10 per cent in 2012. Additionally, the business increased the 2015 sales target of its flagship Adidas brand – which generated more than £100m in London 2012-related sales this summer – to €12.8bn, up five per cent from the previous forecast.

Herbert Hainer, chief executive of Adidas Group, says faster than expected growth of the Adidas brand and its golf business helped ensure that the company was on track to fulfil its strategic business plan – dubbed ‘Route 2015’ – to generate global sales of €17bn by 2015.

He adds: “The adidas Group has never been in better shape and as we journey on Route 2015 we will continue to unlock significant value by sustaining our legacy as a global powerhouse in the sporting goods industry.”

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