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adidas plans expansion strategy in China

Aug 29, 2014 China
adidas plans expansion strategy in China
Giant sport's brand adidas has partnered with international retail planning experts GMAP Marketing Consulting (Shanghai) Ltd to roll out their China expansion strategy
adidas already has 7 600 shops across 1 000 Chinese cities and intends to consolidate their location coverage in the major cities as well as increase their footprint in China by expanding to another 400 cities by the end of 2015, with special focus on opportunities in middle sized cities.

According to a press release issued by Callcredit Information Group, owner of GMAP Marketing Consulting (Shangai) Ltd : “With GMAP’s extensive data coverage in over 50 cities, including comprehensive mapping of both current and future retail locations, the newly established GMAP Shanghai team was chosen to help adidas understand and prioritise where expansion potential exists.”

Headquartered in Leeds (United Kingdom) GMAP has over 25 years' experience helping global organisations with retail network planning. With a strong existing client base in Asia Pacific, GMAP works with retailers to identify target customers and develop optimal location strategies for store networks and expansion.

GMAP conducted a market analysis study, covering 45 cities in Mainland China (tiers 1-3) as well as Hong Kong and Taiwan. The results were used to provide adidas with a complete picture of demand and supply, along with identifying the direction of consumer spending flows. "To obtain the most accurate data, a physical survey of all locations, including current adidas and competitor stores as well as new potential locations, was undertaken. The result was a detailed roadmap identifying the most viable locations to target for store expansion. This included all existing retail centres and malls as well as a unique database of over 800 future retail developments coming on stream in the next year or two with recommendations on which would have the most retail potential."

Tom Brown, Retail Expansion Director, adidas China commented: “Working with GMAP in China is like a breath of fresh air.”

Luke Whittam, Asia-Pacific Director, GMAP added “It was a pleasure to work with adidas in this exciting and dynamic market. It provided the opportunity to validate our well-developed approaches in a market with huge potential for so many innovative retailers”.

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