The sportswear market has grown considerably in recent years and a pair of sporting giants continues to dominate the industry. According to data presented by Trading Platforms, Nike ranks first among sporting goods/sportswear manufacturers in revenue, posting an impressive $37.4B for the fiscal year 2020.
Nike Continues to Dominate Sportswear Industry
Nike and Adidas are two of the brand names that immediately come to mind when speaking about the sportswear. Adidas can trace back its roots to 1949 while Nike was founded in 1964. For the fiscal year 2020, the two sportswear giants nearly had a combined revenue of $70B. Nike on its own recorded a revenue of $37.4B. Adidas meanwhile posted revenues of close to $13B, the second-most among sporting goods brands.
Nike’s revenue from 2020 is actually almost 5% less than 2019, which is a common trend among consumer good companies as the COVID-19 pandemic shifted demand. It still improved its position and was ranked the 15th most valuable brand in the world in 2020 compared to one spot below in 2019.
VF Corporation, Puma and Under Armour Next Biggest
Outdoors specialist VF Corporation, known for brands such as North Face and Jansport is the third company on the list with a recorded revenue of almost $10B for their 2020 fiscal year. Puma, which was founded by the brother of Adidas founder Adolf Dassler, Rudolph, recorded just over $6B in revenue while relative newcomer Under Armour posted $5.27B in revenue.
Footwear market fuels strong revenue for Nike
While both companies are known for a wide variety of sporting goods, both receive a large percentage of their income from footwear. In 2019 Nike generated $24.2B in revenue from their footwear segment. This is more than the combined $17B dollars recorded by its two main competitors, Adidas and Puma. Adidas recorded 15B in footwear revenue while Puma recorded almost $3B in footwear revenue.
In 2020 Nike generated 40% of its footwear revenue from North America which translated to $9.33B. Its next biggest source of footwear revenue is the Europe, Middle East, & Africa (EMEA) region which generated 25% of its footwear revenue amounting to $5.89B. Impressively, their third biggest source of footwear revenue is Greater China alone with 20% of its footwear revenue or $4.64B.