Adidas partners with Beyonce to revive Ivy Park
Global style icon and musical superstar Beyonce has announced a partnership with Adidas to relaunch her Ivy Park athleisure brand. Adidas, one of the biggest players in the intersection between sports and fashion, also said that Beyonce would become a “creative partner” for the brand – a choice of words that strongly implies she will fill a role not unlike that of Kanye West, bringing a potent urban vision and millions of fans to the company’s side.
Adidas’s share price has increased by 23% so far this year
Source: Yahoo Finance
Beyonce has sole ownership of Ivy park after buying out British tycoon Phillip Green. But she brings far more than “just another brand” to Adidas. Anyone who’s been paying attention to the converging worlds of media, entertainment, and retail, will already be aware of the incredible power of “influencers” – people with mass followings on sites like Instagram, who “influence” those followers to buy certain brands, attend certain festivals, and the like. Well, Beyonce is an almost peerless name in the field: she has 126 million followers on Instagram and has been hailed by many as an American cultural icon.
Adidas is a company on the up, at time of writing. In its most recent quarterly earnings release, it showed a 16% rise in North American sales, cutting into the domestic market of its main rival, footwear giant Nike. The company is likely to use its partnership with Beyonce to advance that invasion, and we already have a pretty-clear roadmap of how it could do it.
Adidas has been working alongside other big names in hip hop (Kanye West, Pharrell) to bring fresh new urban looks to consumers and use the power inherent in those stars’ own circles of influence to roll them out. Of course, it will follow a similar route with Beyonce. But Beyonce could be bigger than anyone Adidas has previously partnered with (for comparison’s sake, Kanye West has 29.3 million followers on Twitter, and 370,000 on Instagram – huge numbers, but nothing like Beyonce’s). And Ivy Park could be a smash hit: according to Slice Intelligence, when it launched in Spring 2016, the brand became the top seller for the week, pushing ahead of Nike.
Dominion holds Adidas in its Global Trends Luxury Fund.
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