Adidas targets online sales and greener products

Adidas will invest more than 1 billion dollars to double its online sales over the next five years, and to make nine out of 10 of its products eco-friendly, using more recycled and biodegradable materials.

The German sportswear giant released its five-year planon Wednesday (March 10), after better-than-expected fourth-quarter results.

It forecast a 2021 percentage sales growth rate in the mid-to-high teens, rising to as much as 30% in greater China, the rest of Asia and Latin America.

Adidas shares were around 5% up by lunchtime, making them among the biggest climbers on the German blue-chip index.

Sporting-goods firms have suffered from store closures, but gained online sales during lockdowns as running and yoga have boomed.

Adidas wants to rival the profits of Nike, the world leader, which has drawn people en masse with its workout and store apps, driving significantly higher online sales over the past year.

Adidas CEO Kasper Rorsted said e-commerce will account for more than 40% of the industry's sales by 2025, with online growing three times faster than offline.

He said more than 70% of consumers say sustainability is an important consideration when making a purchase.