Both Nike and Under Armour have recently seen their sales dented by the bankruptcies of multiple sporting goods and footwear retailers in the United States. The Asia Pacific is accounting approximately 29% of the total market share, but the region is expected to witness the fastest growth rate over the next five years, contributing about 42% of the global footwear market growth from 2019 to 2022. How Nike's and Starbucks' Global Strategies Keep Them Ahead of Competitors Both of these companies have seen major growth in international markets, … Nike’s latest digital products SNKRS (sneakers) app and Nike Fit app have proved to be beneficial for the company this year as it helped grow their online sales of footwear products across the world. Free Stock Market News Feeds, Competition Segments Revenue Growth Rates, NKE's Stock Perfrormance relative to its Competitors. Nonetheless, the gap is narrowing and Nike … number of vertical retailers such as lululemon athletica and Uniqlo. It is why innovation is a core focus for Nike and its rivals like Adidas and Under Armour. As of 2020, Nike is one of the leading brands in the lifestyle and retail sector. APPAREL segment revenue, grew faster, than total compay revenues, at 4.65 %, but underperformed its competitors within this segment. Other competitors include Puma, Skechers, Anta and Li Ning. One of the biggest competitive pressures that Nike faces is the placement of their stores. EQUIPMENT & OTHER segment, revenue fell by. *Market share is not actual measurement, only performance comparison of companies which report and operate within the same segment. The shoe and athletic apparel market is dominated by three major companies. Both Nike and Adidas, the two leading sportswear and athleisure brands in the world, have carved out an impressive market share in the increasingly competitive apparel industry. Watch your inbox for an email from us with more information. Nike is the global market leader, but it faces increasing competition in Europe and China. Nike currently has $4.2 billion in cash. Market Share. Learn more about their battle for both supremacy and market share. The Competitors page allows you to view information for other symbols found in the same sector. Nike was criticized for not being an Olympic sponsor in 1996, but investing in sponsorships of athletes and a Nike Centre right outside the athletic village, which upset competitors like Adidas who spent over 50 million dollars to become an official sponsor. and consumer price/value; ... which will turn up the heat on the competition with Nike. Nike is not used to playing catchup, but Adidas is beating it in technology, innovation and style. As of Thursday's market close, Nike shares are up more than 30 percent over the past 12 months. Adidas appears to … The athletic footwear, apparel, and equipment industry is highly competitive The companies battle each year for consumers and market share, as well as spend millions in research and development to better their products. competition and the rapid changes in technology and consumer preferences in Nike has an increasing stronghold over the global sports apparel market, beating its closest competitor Adidas by a wide margin in market share.. Euromonitor . She added she has seen markdowns during the holiday season on competitors' shoes — but not Nike's. SWOT Analysis is a proven management framework which enables a brand like Nike to benchmark its business & performance as compared to the competitors and industry. Nike also maintains a significant lead in revenue, with $32.4 billion in annual sales in fiscal 2016, compared to about US$20.6 billion for Adidas. Nike Market Share in 2019: World’s Largest Shoe Company, Athletic Footwear: Top 14 Vendors in the USA, Top 3 Trends That Are Changing the Game for the Sports Footwear Market, Top 15 Sports Shoes Brands in the US Athletic Footwear Market 2019. But because international markets provide more than 60% of Nike's revenue -- compared to only 24% for Under Armour -- Nike has weathered the domestic storm better than its smaller rival. Nike’s market share stands at about 27.4% in 2019, ahead of its industry rivals Adidas and ASICS, making Nike the world’s largest company in the global footwear market. This year, in the United States footwear market alone, Nike's sales are likely to exceed Reebok's - $1.25 billion compared with $1.21 billion, said Heidi Steinberg, an analyst at Salomon Brothers. Nike vs Adidas: Market Share . A rising demand for active footwear is the main factor driving the growth of the footwear market in this region. It is why innovation is a core focus for Nike and its rivals like Adidas and Under Armour. and influential athletes, coaches, teams, colleges, and sports leagues who endorse North America dominated the market with a revenue share of approximately 30.0% in 2017. ... which will turn up the heat on the competition with Nike. This is the primary factor which has been driving the growth of the global footwear market. Nike is the giant of the industry. Click Above to Watch Nike Advertisement - What Will They Say About You Nike Co-brands with Various Sports. The region is projected to continue to lead the market over the forecast period. Nike did say it repurchased 9.8 million shares, worth $754 million, during the quarter. Not only does it own 48% of the American athletic footwear market, but its share of the basketball footwear market is at a staggering 96%! With all the strong competitors, Nike has managed to hold the position as the leading brand however this does not mean that Nike does not have constant competitive pressures to face and other businesses to look out for. Consumers like Nike’s innovative new products and are willing to pay a higher price than its competitors. Check Technavio’s Global Footwear Market Report 2019-2023 for more market insights related to the Nike market share. Although Nike stock didn't suffer huge declines, it failed to play the leadership role it had earlier in the bull market. The intense What sort of marketing strategy has Nike used to achieve and maintain this level of market dominance?. NIKE is the largest seller of athletic footwear, apparel, and equipment in The U.S. is the key revenue contributor to the regional market, which can be attributed to high enthusiasm among the citizens for sports, fitness, and adventure activities, such as aerobics, hiking, training, and trail running. Click Above to Watch Nike Advertisement - What Will They Say About You Nike Co-brands with Various Sports. The size of their investment in R&D is much larger. Nike Inc Market Share in overall company 47.14 Competitors Market Share 52.86. Though the sportswear company is soaring, it still trails industry giants like Nike and Adidas.Puma rakes in less than its competitors annually, but executives don't seem too worried. We compete internationally with a significant number of In depth view into Nike Market Cap including historical data from 1980, charts, stats and industry comps. The size of their investment in R&D is much larger. MARKET SHARE: Nike Inc : NKE: Total : 181.59 %: 172.84 %: 30.18 %: V F Corporation: … Nike Inc achieved revenue growth of 13.91 % in overall company, and improved market share, to approximate 47.14 %. The company’s revenue has grown from $28 billion to $39 billion over the past five years, and its market share in the athletic footwear market has grown from 22% to 27% over the same period. Other competitors include Puma, Skechers, Anta and Li Ning. It has trailing 12-month sales of $32.3 billion. Market leader Nike, with 46 percent of the athletic footwear market and a third of the sports apparel sales, far outpaces its competitors with a combined $8.9 billion sales so far this year. (Revenue and Income for Trailing 12 Months, in Millions of $, except Employees), CSIMarket Company, Sector, Industry, Market Analysis, Stock Quotes, Earnings, Economy, News and Research. sports equipment companies, and large companies having diversified lines of Investing in R&D has helped gain a large market share and the popularity of Nike products has also grown. (By comparison, Adidas’ market cap is $55 billion, and Under Armour’s is $10 billion.) the markets for athletic and leisure footwear and apparel, and athletic equipment, Data . Nike and Olympics. Nike is the global market leader, but it faces increasing competition in Europe and China. Nike's revenues and prestige have rocketed in the past five years. As of 2020, Nike is one of the leading brands in the lifestyle and retail sector. our brands and use our products; and active engagement through sponsored sporting Up until 2015, Nike led with a 86.2 billion market share, a far cry from adidas’ 17.1 billion. Nike’s market share stands at about 27.4% in 2019, ahead of its industry rivals Adidas and ASICS, making Nike the world’s largest company in the global footwear market. That blows its competition out of the water. To regain its market share, it introduced Air Max in 1987, a new model of athletic shoes where two interdependent compressed air-filled bags that act as shock absorbers could be inserted. marketing and promotion; customer support and service; identification with prominent The shoe and athletic apparel market is dominated by three major companies. This makes sense, because Nike is the far more profitable business, with an operating margin of 12.2% over the past 12 months, compared to only 3.3% for Under Armour. Adidas, Nike, and Under Armour are competitors in the lucrative market for athletic wear. • Trends • Nike Revenue by Geographic Region • Company-owned Retail Stores Increase Profit Margin • Nike's Large Size Reduces Advertising Expenses • Movement Towards Low-performance Footwear • Global Market Slowdown • Growth of China and Other Emerging Markets Leads to More Sales Source: NKE 2008 10-K, Item 6, pg. This year, in the United States footwear market alone, Nike's sales are likely to exceed Reebok's - $1.25 billion compared with $1.21 billion, said Heidi Steinberg, an analyst at … Nike’s sales force is divided into footwear and apparel and the teams are assigned specifically to accounts. Nike, Reebok and Adidas feature premium athletic apparel designed to enhance the performance of athletes in all the major sports. Compare Nike to its competitors by revenue, employee growth and other metrics at Craft. *Market share is not actual measurement, only performance comparison of companies which report and operate within the same segment. Nike recently announced its financial results for Q3 2019, which reported revenue of USD 9.6 billion in Q3 2019, representing a 7% increasing from USD 9 billion in the year-ago period. Nike reported better-than-expected first quarter earnings with net income of $1.52 billion, or 95 cents per share, compared to $1.37 billion, or 86 cents per share, one year ago. Today, Nike is reinventing itself for the digital era to become a retail tech company and many of its tactics are already appearing to be working. In terms of market share, Nike's biggest competitors are Adidas and Under Armour. In terms of market share, Nike's biggest competitors are Adidas and Under Armour. Nike reported better-than-expected first quarter earnings with net income of $1.52 billion, or 95 cents per share, compared to $1.37 billion, or 86 cents per share, one year ago. Nike is regaining market share it lost to rival Adidas, Widlitz said. constitute significant risk factors in our operations. Investing in R&D has helped gain a large market share and the popularity of Nike products has also grown. In terms of regional market share, North America is expected to continue leading the global footwear market. We also compete with a Nike has always been at the leading edge of innovation, technology development and cutting-edge marketing campaigns that help them surpass all the other footwear brands in the world in terms of popularity and sales. With revenue growth of 8.98 % within FOOTWEAR segment, Nike Inc achieved improvement in market share, within FOOTWEAR segment to approximate 51.88 %. While Nike is still the industry leader in terms of sales, Adidas is the most profitable, with a gross profit margin close to 52.08%, compared to 44.70% for Nike. Rising competition is hampering Nike’s market share Nike is the world’s largest athletic footwear and apparel company. Take a look at Technavio’s Footwear Market Research Library and download your free sample report today. Nike has enjoyed strong growth in the greater China market, where sales rose 35% in the fourth quarter year over year. Nike has a higher global revenue than its main competitors, Adidas and Puma, put together. the world. According to the Interbrand Top 100 Global Brand Report for 2017, Nike was number 18 on the list, compared to Adidas at 55. Scale is important for a behemoth like Nike, which now has a market cap of nearly $144 billion; in comparison, Adidas has a market cap of $53 billion while Under Armour’s is at $8.5 billion. This is due to rising sales of footwear in countries like China and India. This market research report provides the latest market size and market development for major market segments in terms of product types and regional market landscape. Find the latest Nike, Inc. (NKE) stock quote, history, news and other vital information to help you with your stock trading and investing. In 2016, it held 50.8 per cent of the U.S. retail brand footwear market, while Adidas improved its share to 7.4 per cent. product quality; performance and reliability; new product innovation and development; Corp., Puma, Li Ning, and Under Armour, among others. Nike is the market leader in the athletic footwear industry with a 31 percent market share. Nike also maintains a significant lead in revenue, with $32.4 billion in annual sales in fiscal 2016, compared to about US$20.6 billion for Adidas. Other factors such as the variety of products, rising population, and increase in disposable income are contributing to the growth of the footwear market over the recent years. Suggested Read: Top 10 Shoe Companies in the World 2019. Globally, if Nike is in an emerging market, or a new market, it distributes its product through a third party. With its advanced footwear innovations and well-established global sales network, Nike is expected to continue to hold the largest market share in the global footwear market over the next five years. Nike’s sales force is the most professional and has the greatest knowledge of the products compared to its competitors. Nike… There is an evident gap in growth rate between adi-armour and Nike, a clear sign that Nike is losing some market share to these competitors. In-depth market analysis such as Porter’s five force model, and comprehensive competitive landscape including detailed profiles of top companies are also included in the report. Learn more about their battle for both supremacy and market share. In terms of revenue, North America is holding approximately 33% of the global footwear market share. Nike and Olympics. However, compared to Under Armour, both Nike and Adidas are more aggressive for growth and expansion. According to the Interbrand Top 100 Global Brand Report for 2017, Nike was number 18 on the list, compared to Adidas at 55. Nike's main competitors include Anta, lululemon athletica, VF Corporation, Adidas, Reebok, ASICS, FILA, Puma, Under Armour, Skechers and New Balance. In comparison, Puma’s 2018 sales were 4.6 million euros ($5.1 billion), Adidas’s were 19.9 billion euros ($22 billion) and Nike’s reached more than $30 billion. Submitted By A Project Report on A COMPARATIVE MARKET STUDY: NIKE VS ADIDAS. Rising competition is hampering Nike’s market share It has trailing 12-month sales of $32.3 billion. Adidas brand sales in North America were up 25% in 2017, compared with 3% for Nike (). Under Armour has been stealing market share in apparel sales for months from its older German rival and even from Nike, according to Sterne Agee. Its other major international divisions, Asia P… This shows that Nike has a strong grip on its market share. View the report featured in this article. SWOT Analysis is a proven management framework which enables a brand like Nike to benchmark its business & performance as compared to the competitors and industry. Thanks to the iconic Superstar and NMD line, paired with buzzworthy endorsements with the likes of … Sports shoes are increasingly becoming an essential fashion accessory among global consumers and the sports shoes market is witnessing demand for trendy and comfortable footwear among all age groups. According to the latest market analysis from Technavio, the global footwear market size will grow by USD 40.4 billion from 2019 to 2023, accelerating at a CAGR of over 2% during the forecast period. Sports shoes are increasingly becoming an essential fashion accessory among global consumers and the sports shoes market is witnessing demand for trendy and comfortable footwear among all age groups. Nike’s North American position is about as dominant as they come. Such increasing demand for athletic and active footwear globally has significantly boosted the market share of several top sports shoe companies, including Nike, Adidas, Asics, and New Balance. It’s safe to say Nike’s at the top of its game right now. This site is protected by reCAPTCHA and the Google Privacy Policy and Terms of Service apply. events and clinics; and Nike’s sales force is divided into footwear and apparel and the teams are assigned specifically to accounts. Meanwhile, competitors Adidas and Under Armour have just $1.8 billion and $283.6 million in … Globally, if Nike is in an emerging market, or a new market, it distributes its product through a third party. In 2016, it held 50.8 per cent of the U.S. retail brand footwear market, while Adidas improved its share to 7.4 per cent. With annual footwear sales of about USD 23 billion, Nike is still the world’s largest footwear manufacturer, and its leading position in the global footwear market is expected to continue through 2022. effective distribution of products, with attractive merchandising and presentation Notably, the growing share of the higher-priced direct-to-consumer business and innovation supports Nike’s pricing power. Nike, Reebok and Adidas feature premium athletic apparel designed to enhance the performance of athletes in all the major sports. Escalating sports activities, adoption of western culture, and availability of cost-efficient footwear products are some of the driving factors for the growth of the footwear market in the Asia Pacific. There is a strong increase in the demand of sports and active shoes in the global market, mainly driven by the changing lifestyles and rising awareness about health concerns. Nike is regaining market share it lost to rival Adidas, Widlitz said. Nike's revenues and prestige have rocketed in the past five years. The Competitors page allows you to view information for other symbols found in the same sector. Nike’s sales force is the most professional and has the greatest knowledge of the products compared to its competitors. Thanks to the iconic Superstar and NMD line, paired with buzzworthy endorsements with the likes of Kanye West, the … Get instant access to Technavio’s latest research on this industry with a FREE sample from our report. ... it would make sense to compare companies that have a similar market capitalization because factors like market share, economies of scale, and business models would also be similar. Two years later, adidas saw a resurgence – some even called it a revival. The report contains detailed market trends, market drivers, market challenges and key opportunities. at retail, both in store and online. In the table, you'll find all the components (individual stock symbols) found in that sector, ranking them by their Weighted Alpha (a rating of growth patterns in a one-year period). While Nike is still the industry leader in terms of sales, Adidas is the most profitable, with a gross profit margin close to 52.08%, compared to 44.70% for Nike. Compare Nike to its competitors by revenue, employee growth and other metrics at Craft. Nike has a higher global revenue than its main competitors, Adidas and Puma, put together. Up until 2015, Nike led with a 86.2 billion market share, a far cry from adidas’ 17.1 billion. JavaScript chart by amCharts 3.21.13. 23. Copyright © 2007-2020 Infiniti Research Limited. Nike’s market share stands at about 27.4% in 2019, ahead of its industry rivals Adidas and ASICS, making Nike the world’s largest company in the global footwear market. on a worldwide basis. There is an evident gap in growth rate between adi-armour and Nike, a clear sign that Nike is losing some market share to these competitors. Market capitalization is a defining factor when considering who is winning in the market. That number puts Adidas at number two behind Nike, which holds about 44% market share in the region, down from 60% in 2014. It also includes an industry comparison table to see how your stock compares to its expanded industry, and … However, compared to Under Armour, both Nike and Adidas are more aggressive for growth and expansion. consumer connection and affinity for brands and products, developed through athletic and leisure footwear companies, athletic and leisure apparel companies, While it helped increase the company’s revenues, competitors were tapping on the boom in aerobic exercise, which Nike failed to consider. Also, growing fashion consciousness and innovation in product designs are some other factors driving the growth of the market. Nike’s North American position is about as dominant as they come. Two years later, adidas saw a resurgence – some even called it a revival. Important aspects of competition in this industry are: Nike's main competitors include Anta, lululemon athletica, VF Corporation, Adidas, Reebok, ASICS, FILA, Puma, Under Armour, Skechers and New Balance. All Rights Reserved. North America is a key market for Nike, as almost half … With its newly launched flagship products like Nike Air Max 270, ZoomX, React, and VaporMax, Nike is forecast to further strengthen its market share in the global footwear market over the near future. In the table, you'll find all the components (individual stock symbols) found in that sector, ranking them by their Weighted Alpha (a rating of growth patterns in a one-year period). athletic and leisure footwear, apparel, and equipment, including adidas, V.F. Nike owns over 80% of the U.S.'s $2.6 Billion basketball market and its share is also growing year over year Adidas’ share of the market is only about 14% Adidas has a growing market share, but it remains to be seen whether it will grow at the cost of Nike, or other lesser brands. Nike was criticized for not being an Olympic sponsor in 1996, but investing in sponsorships of athletes and a Nike Centre right outside the athletic village, which upset competitors like Adidas who spent over 50 million dollars to become an official sponsor. She added she has seen markdowns during the holiday season on competitors' shoes — but not Nike's. • Trends • Nike Revenue by Geographic Region • Company-owned Retail Stores Increase Profit Margin • Nike's Large Size Reduces Advertising Expenses • Movement Towards Low-performance Footwear • Global Market Slowdown • Growth of China and Other Emerging Markets Leads to More Sales Source: NKE 2008 10-K, Item 6, pg. 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