Adidas is reportedly sitting on over half a billion dollars worth of Yeezys
TMZ.com
Adidas cutting ties with Kanye West has proven to be a major gamble, as it has over half a billion dollars worth of the guy's shoes for sale, unnamed.
We already knew that Adidas was planning to go ahead with the sale of unbranded Yeezys post-split, but now...we understand a little better why. According to the Financial Times, sneaker company insiders say Adidas is sitting on a massive mountain of Yeezys.
According to the report, the company's inventory is around $530 million...and Adidas is apparently keen to peddle it to avoid taking an even bigger hit than it's publicly disclosed so far - which was already looking pretty bleak for year-end issues.
As well as the staggering amount of shoes he has to move – which Adidas would struggle to figure out how to do – FT's story goes into great detail about how deeply connected he was to Yeezys and to what extent Adidas based its success there.
In 2022 alone, Yeezys made Adidas more than $1.8 billion...and made about 7% of its total profits. The report also states that Yeezy has remained solid as a constant product in the Adidas wheelhouse since at least 2019, which could explain why Adidas took so long to finally cut ties with Kanye – the dude (and his brand of shoes) was literally his cash cow.
Adidas has reportedly already set a date for its first unofficial Yeezy release... the company is calling it the Adidas 350 V2 "Granite", and it's supposed to retail for $230, down in January .
There's been a lot of debate online about whether people should (or will) buy what Adidas is trying to sell now...but this report makes it clear: it's betting on
TMZ.com
Adidas cutting ties with Kanye West has proven to be a major gamble, as it has over half a billion dollars worth of the guy's shoes for sale, unnamed.
We already knew that Adidas was planning to go ahead with the sale of unbranded Yeezys post-split, but now...we understand a little better why. According to the Financial Times, sneaker company insiders say Adidas is sitting on a massive mountain of Yeezys.
According to the report, the company's inventory is around $530 million...and Adidas is apparently keen to peddle it to avoid taking an even bigger hit than it's publicly disclosed so far - which was already looking pretty bleak for year-end issues.
As well as the staggering amount of shoes he has to move – which Adidas would struggle to figure out how to do – FT's story goes into great detail about how deeply connected he was to Yeezys and to what extent Adidas based its success there.
In 2022 alone, Yeezys made Adidas more than $1.8 billion...and made about 7% of its total profits. The report also states that Yeezy has remained solid as a constant product in the Adidas wheelhouse since at least 2019, which could explain why Adidas took so long to finally cut ties with Kanye – the dude (and his brand of shoes) was literally his cash cow.
Adidas has reportedly already set a date for its first unofficial Yeezy release... the company is calling it the Adidas 350 V2 "Granite", and it's supposed to retail for $230, down in January .
There's been a lot of debate online about whether people should (or will) buy what Adidas is trying to sell now...but this report makes it clear: it's betting on
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