Adidas sales fall 78%, Nike 59% in China after criticizing China on Xinjiang

[xizhimen]

Adidas sales fall 78%, Nike 59% in China after criticizing China on Xinjiang

May 6 2021

Both Nike and Adidas have issued statements condemning the treatment of Muslim Uyghurs in the Xinjiang region of China — a stance that’s cost them significantly through online sales in the country. Sales on Tmall, China’s largest direct-to-consumer platform, have fallen 78 percent for Adidas and 59 percent for Nike compared to the same time last year, according to a report by Bloomberg.

Many Chinese consumers are boycotting international brands who’ve criticized the government’s treatment of Uyghurs.

THE CHINESE MARKET IS MASSIVE — Nike and Adidas have had to weigh the moral imperative against how crucial China is to their bottom line. Sales in Greater China have been especially important as brands seek to bounce back from the financial effects of COVID-19, and the country accounted for nearly one-fifth of Nike’s sales for fiscal 2020 and almost a quarter for Adidas.

Nike will start refurbishing sneakers and selling them at a discount

The sustainability move is set to make the brand’s footprint smaller and its profits bigger.

www.inputmag.com

 

[Oublious]

LoL, o have looked to the stocsk and Nike and Adidas are doing well....


should look it global and not China...

 

[xizhimen]

Adidas and Nike sees Chinese sales plummet as they boycott Xinjiang cotton​

Consumer backlash evident on Tmall as consumers flock to Chinese brands.

• Posted: May 7 2021
• By: Tom King

Getty Images

• China amounted to nearly one-fifth of Nike’s sales in its 2020 fiscal year and nearly a quarter of net sales for Adidas
• In April, Adidas saw its Tmall sales drop 78% YoY, Nike 59% YoY

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Sportswear giants Adidas and Nike saw sales plunge on China’s largest e-commerce platform, Alibaba’s Tmall, in April, according to Bloomberg.
Following calls for a boycott of international brands avoiding Xinjiang cotton and other raw materials from the region in northwest China, sales Adidas Tmall store collapsed by 78 per cent in April from the same period a year ago, while Nike’s dropped by 59 per cent over the same period.

In contrast local sportswear brands Li Ning and Anta saw a jump in revenue as China’s consumers turned to the domestic sportswear manufacturers who back the use of materials sourced from the controversial region. According to US investment research firm Morningstar, Li Ning saw its sales on Tmall surge by more than 800 per cent in April.

The backlash against the western brands also saw a number of brand ambassadors in China cut ties with western companies including Nike and Adidas.
Revenue from Greater China amounted to nearly one-fifth of Nike’s sales in its 2020 fiscal year and nearly a quarter of net sales for Adidas, the report said.

Adidas and Nike see Chinese sales plummet as they boycott Xinjiang cotton - SportsPro

Consumer backlash evident on Tmall as consumers flock to Chinese brands.

www.sportspromedia.com