investor day 2005

INVESTOR DAY 2005
Strategy North America
Erich Stamminger
President & CEO adidas America
October 12, 2005
adidas Investor Day 2005
Strategy North America
North America 2004
• Management
• Product Presentation at Retail
• Customer Service
Hard work in the U.S. still ahead of us then
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adidas Investor Day 2005
Strategy North America
North America 2005
Business has never been stronger
• Growth in numbers
• Growth in spirit
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adidas Investor Day 2005
Strategy North America
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adidas Investor Day 2005
Strategy North America
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adidas Investor Day 2005
Strategy North America
Management Team
• The Team is Æ motivated, experienced and cohesive
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R. Hopcus (Sales)
J. Cuniff (COO)
P. Ehrlich (Legal & HR)
K. Parkin (Supply Chain & Key Account Business Development)
H. Deininger (Marketing)
• 2,500 employees
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adidas Investor Day 2005
Strategy North America
IMPOSSIBLE IS NOTHING
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adidas Investor Day 2005
Strategy North America
Business Model
From item-driven Æ brand range-focused
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adidas Investor Day 2005
Strategy North America
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adidas Investor Day 2005
Strategy North America
Results
• Average double-digit sales growth over last 4Qs
• Focus on profitable growth
• Gross margin up one full point
• Strong demand over $100
• Win-win with our retailers
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adidas Investor Day 2005
Strategy North America
SPORT PERFORMANCE DIVISION
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adidas Investor Day 2005
Strategy North America
Running
• a³ Æ key technology for adidas
• Running Æ nearly 20% in the first half of 2005
• a³ Megaride Æ key driver, double-digit sell-throughs at $100
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adidas Investor Day 2005
Strategy North America
BASKETBALL
adidas_1
(1st intelligent basketball shoe)
“ONE SHOE FOR ALL”
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adidas Investor Day 2005
Strategy North America
T-MAC
Launch in Asia
NORTH AMERICA
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adidas Investor Day 2005
Strategy North America
NORTH AMERICA
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adidas Investor Day 2005
Strategy North America
Josh Smith All-star Weekend
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adidas Investor Day 2005
Strategy North America
College Sports
• University of Kansas
• UCLA
• Indiana
• Louisville
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adidas Investor Day 2005
Strategy North America
Roger Clemens
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adidas Investor Day 2005
Strategy North America
Andre Agassi
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adidas Investor Day 2005
Strategy North America
• Long-term relationship
• Product
• Grassroot
• TV Rights
• Retail Distribution
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adidas Investor Day 2005
Strategy North America
NORTH AMERICA
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adidas Investor Day 2005
Strategy North America
Major League Soccer (MLS)
• Official League Ball
• Only sports brand with adv. rights for:
• MLS
• FIFA World Cup 2006™
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adidas Investor Day 2005
Strategy North America
Market Share - Football
North America - Over 50 %
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adidas Investor Day 2005
Strategy North America
AC Milan U.S. Tour
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adidas Investor Day 2005
Strategy North America
David Beckham Dragon Launch
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adidas Investor Day 2005
Strategy North America
SPORT HERITAGE DIVISION
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adidas Investor Day 2005
Strategy North America
“Ali by adidas”
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adidas Investor Day 2005
Strategy North America
Missy Elliot
SUPERSTAR
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adidas Investor Day 2005
Strategy North America
SPORT HERITAGE DIVISION
20% growth
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adidas Investor Day 2005
Strategy North America
Brand Communication
• 2005 Æ best year in the brand’s history
• Most awarded brand in the US
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adidas Investor Day 2005
Strategy North America
T-MAC 5 TB Ad Coming Soon…..
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adidas Investor Day 2005
Strategy North America
Own Retail
• Over 70 soccer shop-in-shops
• Over 200 merchandisers and product trainers
• Total sales up over 30%
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adidas Investor Day 2005
Strategy North America
• 2005:
• New York
• Seattle
• Portland
• Las Vegas
• Los Angeles
• Irvine
• 2005:
• Chicago
• Philadelphia
• Los Angeles
• Expect to open 5 new stores
shortly
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adidas Investor Day 2005
Strategy North America
Strategic Priorities
• Creative in execution and focus on implementation
• Gain shelf space
• Improve margins
• Focus on supply chain
• Create excitement about adidas
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adidas Investor Day 2005
Strategy North America
Our goal is to lead in our industry
2006 will be the year of adidas
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adidas Investor Day 2005
Strategy North America
THANK YOU !
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