SBD/November 2, 2011/Marketing and Sponsorship

NBA Lockout Watch, Day 125: Shoe Marketers Could Lose $500M In Sales From NBA Lockout

Despite lockout, adidas seeing strong sales from Rose's adizero Rose 2 shoe
Market research company NPD Group Chief Analyst Marshal Cohen said that basketball shoe marketers such as adidas, Nike and Under Armour, as well as national retailers such as Foot Locker, could “lose up to $500 million in sales if the 2011-12 NBA season is wiped out,” according to Michael McCarthy of USA TODAY. Cohen said that the amount is “roughly 25% of the $2 billion basketball sneaker market.” Cohen: "The impact would be huge. Out of sight, out of mind. If the players are not on the court, and the kids aren't thinking about them, they're not going out and getting their shoes." But SportsOneSource analyst Matt Powell “thinks the retail fallout from a lockout is overblown.” Powell: "Kids are still going to play basketball and they're going to need shoes regardless whether the NBA plays or not. Where brands could get hurt is exposing consumers to new styles." Powell believes that the company “hit hardest” would be adidas, which is about “halfway through an 11-year deal as official outfitter of the NBA.” Powell estimates that adidas “could lose up to half of its $250 million to $300 million in sales generated annually from licensed NBA merchandise.” adidas Senior Manager Stephanie Von Allmen said that despite the lockout, the company “is seeing strong sales from endorser Derrick Rose's new signature shoe, the adizero Rose 2.” She added that adidas' basketball business “grew 25% in the company's last fiscal quarter” (, 10/31).

IT NEVER ENDS: YAHOO SPORTS’ Eric Freeman noted Nike this past weekend debuted a new 90-second spot on the company's YouTube page called "Basketball Never Stops," and it “has quickly amassed more than 500,000 views.” What is “notable about the commercial, in addition to the stellar lighting and general craft, is its lack of reliance on the NBA” (, 10/31).
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