Ever heard of ‘Route 2015’? If you follow the adidas Group closely, chances are that you know what I am referring to: Route 2015 is the adidas Group’s strategic business plan which lays out the direction for our Group’s success over the next couple of years. At an Investor Field Trip today at our headquarters in Herzogenaurach, it was time to give the financial community an update of where we stand. Read on to find out what some members of our senior management team and I told them.
When we first launched Route 2015, the goal was – and still is – to prepare and to transform the Group for long-term sustainable growth and success. Since then, we have made some exceptional progress, driving growth in key categories, improving profitability and tightly managing our capital.
Now just after the half-way point of our journey, it’s time to pause and reflect. And this time of the year is the right time to do so, because it’s make-or-break time for our goal of 17/11 (referring to EUR 17 billion in sales and 11% operating margin in 2015). So let me cut to the chase: We achieved great success during the first two years of Route 2015. But this year, we didn’t get as far as we thought we would in terms of the numbers.
However, while the peak of the mountain from today’s viewpoint may be a little higher than we thought at base camp, we have all the equipment we need to climb it. We have immense brands and immense capabilities. In the second half of Route 2015, we will again accelerate our growth and profitability by uniting these to create a seamless consumer experience. We will realise our promise to create consumer desire at every touch point from brand building, to the field, to the wardrobe.
I am proud of what we have achieved so far on our Route 2015. But we are a high performance company and we want more. We are ready and willing to do what is right for the long-term success of our Group. We will continue to make bold decisions and pursue our goals with determination and focus. And I am convinced that we have everything in place to reach new heights, break records and drive long-term sustainable value.
If you would like to find out more about our Route 2015 business plan I suggest visiting our corporate website. You can listen to a podcast in which I explain the importance of Route 2015 for our company there. Also, an in-depth story about the Chinese market will be available there later today. In addition we will share an update about our adidas NEO business next week – stay tuned!