BCG Matrix of Adidas 

Adidas AG is the world’s leading apparel and sportswear manufacturing German multinational company. Adolf Dassler established the sportswear company in 1924, and it adopted the name Adidas in 1949. Today, we’ll discuss the BCG matrix of Adidas as a BCG matrix analysis example of companies; its two dimensions market share and growth rate; four quadrants like stars, cash cows, questions marks, and dogs.

Unique Brand and Products Features of Adidas

• Global brand recognition
• Social and environmental sustainability
• Great variety of sports items
• Technology based comfortable shoes and apparel
• Innovative and creative designs
• Top quality products
• Satisfying the needs and requirements of professional athlete

Brand Category Market Share of Adidas

• Apparel – 36%
• Footwear – 57%
• Gears and Accessories – 7%

Top Items with High Growth Rate of Adidas

• Adilette
• NMD
• Adicolor
• Ultraboost
• Superstar
• Gazelle
• Samba
• 70s
• Yeezy
• Originals Adidas
• Nizza Adidas

The BCG matrix of Adidas as BCG matrix analysis example of brands and companies would analyze two main dimensions of the sportswear brand market share and growth rate. It would discuss the dimensions in terms of four main quadrants stars, cash cows, question marks, and dogs.

• Stars are those products and sub-brands that have high market share and high growth rate
• Cash Cows are those areas that have high market share and low growth rate
• Question Marks are those products and sub-brands that have low market share and high growth rate
• Dogs are those product areas that have low market share and low growth rate

BCG Matrix of Adidas

Let’s discuss the two dimensions of market share and growth rate and four quadrants in the BCG matrix of Adidas and they’re as follows;

Stars of Adidas

I-Reebok & Adidas

The products of sub-brands like Reebok and Adidas have earned a place in the star quadrants of the matrix. It means that the sportswear products of these brands have high market share and high growth rates; they contribute significantly to the net income and profitability of the sportswear brand.

• Shoes
• Sneakers
• Sports Accessories

In order to retain its position in the market, it is necessary that the company should reinvest capital resources to bring innovation and creativity to these products.

II-Attracting Competition

It is obvious that a high market share and high growth rate attract the attention of competitors in the sports and fitness category like shoes. Puma and Nike are the top competitors of Adidas and Reebok in the sports shoes category and they’re pulling a significant portion of the company’s market share.

Cash Cows of Adidas

I-Apparel & Clothing

Apparel and clothing products have earned a position in the cash cow quadrants of the matrix. It outlines that the company in this product category has a high market share and low growth rate; it contributes significantly to the sales and profitability of the company. However, a low growth rate means that the sportswear apparel and clothing of Adidas doesn’t have growth potential for further market expansion. You should enter and target different geographical markets.

Question Marks of Adidas

I-Rock Port &Tylor Made

The sportswear products and equipment of sub-brands like Tylor Made and Rock Port have earned a position in the question mark quadrants of the BCG matrix of Adidas. This means that the sportswear products of these brands have got high growth rate and low market. They would require a lot of strategic attention from the company to increase their sale and profitability.

• Sports equipment
• Bags

However, Adidas should revise and reconsider its strategic approach to increase profitability of products like sports equipment; and achieve the goals and objectives of the company.

Dogs of Adidas

I-Sunglasses & Hats

Hats and Sunglasses Adidas have earned the position in the dog quadrants of Adidas BCG matrix analysis. It shows that the products in this category have got low market share and low growth rate. Their sale is very low and they aren’t contributing to the profitability of the company.

• Hats
• Eyewear

II-Limited Public Attention

Products like Sunglasses and Hats could attract the attention of customers, but people haven’t shown interest in spending money on them. It is because the customers have got other better options, and the sportswear brand is struggling to survive in the market.

Conclusion: Adidas BCG Matrix 

After an in-depth study of the BCG matrix of Adidas; we have realized that Adidas is the world’s leading sportswear brand with a significant market share and growth rate. If you are learning about the Adidas BCG matrix analysis example; then you should keep in mind the abovementioned four main quadrants in terms of two dimensions.