Adidas rules football in Euro competition

14 May 2017 - 02:00 By Bloomberg
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The Adidas logo is pictured on the sidelines of the balance press conference at the company's headquarters in Herzogenaurach, southern Germany, on March 2, 2011. The world's second biggest sportswear and equipment group, Adidas, published solid 2010 results owing to a strong rebound of major markets. Adidas said net profit more than doubled to 567 million euros ($780 million) from 245 million in 2009.
The Adidas logo is pictured on the sidelines of the balance press conference at the company's headquarters in Herzogenaurach, southern Germany, on March 2, 2011. The world's second biggest sportswear and equipment group, Adidas, published solid 2010 results owing to a strong rebound of major markets. Adidas said net profit more than doubled to 567 million euros ($780 million) from 245 million in 2009.
Image: AFP PHOTO / CHRISTOF STACHE

After Manchester United and Ajax Amsterdam booked their spots for the final in the Uefa Europa League, one winner is already certain: Adidas.

The German sporting-goods maker is sponsoring both teams, as well as the finalists of Europe's more prestigious Champions League tournament - Juventus and Real Madrid.

Adidas's three-stripe logo also appears on the jerseys of teams that have won or are poised to secure the titles of at least three of the continent's biggest national competitions, in England, Germany and Italy.

The near sweep is unusual in the high-stakes world of football sponsorship, where Adidas competes fiercely with archrival Nike as well as Puma, Under Armour and other providers of gear, paying hundreds of millions of dollars for the right to adorn the biggest clubs' shirts. Nike last year signed a 15-year contract with Chelsea worth £900-million after a deal with Adidas ends this year.

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Adidas and Nike for years have been battling for the top spot in sales of soccer equipment, with the German company emerging as the clear leader in 2016.

Adidas spent about à2.5-billion on marketing last year, in line with its guided range of 12%-13% of revenue.

If it maintains the ratio and lifts sales according to its financial targets, it may add another à1-billion to its marketing budget by 2020.

While both companies are spending heavily on sponsorship, Adidas has had a better run of luck this year.

Nike's entire Champions League roster - including Barcelona, Atletico Madrid, Manchester City, Monaco and Paris Saint-Germain - bowed out of the pan-European tournament.

Puma didn't fare any better with Dortmund, Arsenal and Leicester; nor did Under Armour and Tottenham Hotspur.

Adidas-sponsored Bayern Munich have already secured the German Bundesliga title, and Chelsea is poised to win England's Premier League and Juventus leads Italy's Serie A.

In Spain's La Liga it's still an open race between Adidas's Real Madrid and Nike's Barcelona, while in France's Ligue 1, Nike is set to come out on top with Monaco or Paris Saint-Germain vying for the title.

Even if Adidas outfits end up winning, there may be something in it for Nike.

While shirt sponsors are chosen for an entire team, each player can pick his own shoes.

While Adidas's Real Madrid are the oddsmaker's favourite to win the Champions League, the team's top player and world superstar, Cristiano Ronaldo, plays in Nikes.

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