Adidas is moving their marketing spend away from TV towards digital to focus on younger consumers.
Adidas CEO, Kasper Rorsted, was recently interviewed by CNBC and stated that all of their engagement with customers takes place through digital, and it’s the channel where they believe they can create a more direct engagement with consumers.
What’s interesting is that this change in direction isn’t coming from a place of desperation. In fact, the brand doubled its share of the U.S. athletic footwear market and, while still behind Nike is putting a lot of pressure on the category leader.
And it’s not coming from not having the budget to compete with Nike, as Adidas outspends both of them in media.
This also doesn’t mean that TV is dead, in fact, Adidas is still running some TV this year. The move just means that they did the work to better understand their audience and are confident enough in the results of that work to make significant changes to their approach to meet their customer on their terms.
For some additional reading about budget trends and shifts click here.
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