Adidas unveils a new retail outlet in the Bronx, New York
Adidas Embraces Digital-First Retail Model in New Bronx Store
Adidas has taken a significant step forward in its retail strategy, opening a new store in the Bronx neighborhood of New York City. The store, located at the Mall at Bay Plaza, spans an impressive 11,000 square feet and represents a fresh approach for the sports apparel giant.
The store features a digital footwear wall, which displays product information when shoppers pick up a shoe, and digital windows showcasing the brand's campaigns, partners, and products. This move towards digital-first experiences is a key part of Adidas' evolving retail strategy, as the company aims to modernize and adapt to changing market demands.
In addition to its digital focus, the store carries products across Adidas' assortment, including items from its sportswear, basketball, and Ivy Park collections. The store's opening celebration on Saturday also saw the reveal of artwork created by Bronx native and creative designer Jae Tips, commissioned by Adidas.
Adidas' new retail strategy also includes a stronger focus on partnerships, both with other notable names and in the athleisure wear market. The company has launched its first new label in five decades, and professional basketball player Trae Young, Women's Super League forward Mary Fowler, and others are ambassadors for the new label. Actress Jenna Ortega has been named the face of the new label.
While Adidas' recent struggles have led to S&P Global Ratings downgrading the company's debt ratings, the shift towards digital-first approaches, advanced fabric technologies, and enhancing customer-centric experiences offers a promising direction for the brand. The company is also making moves to regain momentum in a crowded market, addressing challenges of brand recovery and market competition through diversified offerings and customer-centric strategies.
Despite not publicly announcing all specific new partnerships post-Kanye West, the industry context suggests that Adidas is investing in innovation and collaboration with other lifestyle and athleisure brands. The focus has clearly shifted to leveraging technology, expanding outlet retail presence, and prioritizing a designed customer experience that is less dependent on single celebrity allure.
The first 100 shoppers who visited the Adidas store and made an in-store purchase received a gift tote bag from Adidas and Tips. Yeezy merchandise sales comprised 5% of Adidas' total sales in 2021 and were predicted to be 7% of its sales in 2022, but the company has issued low guidance for the year due to potential losses from Yeezy products.
As Adidas continues to evolve its retail strategy, the Bronx store serves as a testament to the company's commitment to innovation, customer experience, and diversification. The store offers a click-and-collect service area, further demonstrating Adidas' dedication to meeting the needs of its customers in the digital age.
- Adidas has ventured into a digital-first retail model with the launch of a new store in the Bronx, showcasing a digital footwear wall and digital windows.
- The Adidas store in the Bronx carries products across various assortments, including sportswear, basketball, and Ivy Park collections.
- Adidas' new retail strategy includes a stronger focus on partnerships, launching a new label in five decades and partnering with professional athletes like Trae Young and Mary Fowler.
- Adidas is investing in technology, expanding outlet retail presence, and prioritizing a designed customer experience that is less dependent on single celebrity allure.
- The store offers a click-and-collect service area to cater to customers' needs in the digital age.
- In the fashion and beauty sector, Adidas has profited from Yeezy merchandise sales, which were 5% of the company's total sales in 2021, predicted to be 7% in 2022.
- Despite challenging market conditions and potential losses from Yeezy products, Adidas stays committed to innovation, customer experience, and diversification, as showcased in the Bronx store.
