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Adidas and Puma bet on ‘terrace’ sneaker trend in tough market this summer


The trend for low-rise rubber-soled “terrace” sneakers could give Adidas and Puma an advantage over Nike this summer, but may not offset weakening US and Chinese demand.
German sportswear giants Adidas and Puma have trawled their archives to re-release old styles in new colors, driving renewed interest in the shoes from the 1970s and 1980s named after the standing section at soccer stadiums.

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The number of searches for “Adidas Samba,” one of the brand’s main terrace styles, has surged worldwide over the past year and hit a peak in mid-June, Google Trends data shows.
Puma is likely to benefit less from the trend than Adidas because its terrace range doesn’t have as much name recognition, said Adam Cochrane, analyst at Deutsche Bank. But it’s certainly an area where the brand can compete.
“If there’s a loser from this it’s Nike, which doesn’t have the track record from the 80s so you don’t have the historic shoes to fall back on and the back catalogue to revisit,” he said. Nike is more known for chunky basketball shoes, like the hugely successful Jordan range.
Still, while terrace shoe sales are growing, they’re a small fraction of the overall business. Investors will be pushing Puma and Adidas on broader strategies to navigate weak consumer demand at second-quarter results on July 26 and August 3 respectively.
“We believe the US market is now (following on from China) at the heart of the worries for investors in Adidas and Puma,”
said Robert Schramm-Fuchs, portfolio manager at Janus Henderson, which holds shares in Adidas.
Nike last month reported its slowest sales growth in four quarters in North America, its biggest market, highlighting a weaker than expected US consumer. Weak GDP figures from China last week also raised alarm about the world’s second-biggest economy.
Adidas, however, has got a big boost from selling some of its stock of discontinued Yeezy shoes. On Monday it slashed its expected 2023 operating loss to 450 million euros from 700 million euros, citing unexpectedly strong Yeezy sales.
Adidas, led by ex-Puma CEO Bjorn Gulden since the start of the year, said in May it would donate proceeds from Yeezy stock sales to non-governmental organizations including the Anti-Defamation League but has not yet said what share of the pro-ceeds will go to NGOs.
Puma, whose shares have lagged Nike and Adidas over the past year, should update investors on strategy as the brand aims to up its game in performance sportswear after what some saw as an over-emphasis on lifestyle.
Sportswear has the potential to grow further with a “casualization” of fashion and consumers’ increased focus on health and fitness, said Edouard Aubin, analyst at Morgan Stanley.
“However, the cost to compete for sportswear brands is very high, and barriers to entry are low, making retailers quite vulnerable to ‘boom and bust’ cycles as trends change,” said Aubin.

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ABU DHABI NATIONAL HOTELS PRESENTS SEPTEMBER OFFERS

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Central Avenue Dubai exclusive UAE residents offer. Get 10% off the best flexible rate, and
enjoy a complimentary breakfast prepared by expert chefs. Delight in luxurious
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Arabian Saluki Beauty Contest at ADIHEX 2024: A celebration of ancestral elegance

The Abu Dhabi International Hunting and Equestrian Exhibition (ADIHEX) announce the return of the prestigious Arabian Saluki Beauty Contest, a unique initiative aimed at highlighting the significance of purebred hunting dogs and fostering a connection between the new generation and their rich ancestral heritage.
Under the esteemed patronage of H.H. Sheikh Hamdan bin Zayed Al Nahyan, Ruler’s Representative in Al Dhafra Region and Chairman of the Emirates Falconers’ Club (EFC), this iconic event is scheduled from 31st August to 8th September, 2024, at ADNEC Centre Abu Dhabi, celebrating the blending of deep Emirati cultural traditions with cutting-edge innovation and technology across 11 diverse sectors.
A highlight of this year’s event is the Arabian Saluki Beauty Contest. One of the world’s oldest and most revered dog breeds, the Arabian Saluki stands as a symbol of wild hunting and desert traditions in the Middle East. Known for its grace, speed, and intelligence, this distinctive breed has been a faithful companion to the Bedouin people for over 5,000 years, serving as both a hunter and guardian. The Saluki’s agility and loyalty have made it an integral part of hunting and racing traditions, especially within the Arabian Peninsula.
The Arabian Saluki Centre was established in Abu Dhabi in 2001 alongside the Emirates Falconers’ Club, marking the first facility of its kind in the Arabian Gulf region and the Middle East, to revive the tradition of desert hunting using Saluki dogs, a cherished aspect of desert heritage.
ADIHEX was the first cultural event in the Arab region to honour the bond between Man and his loyal companion, which has been by our side for thousands of years. The Arabian Saluki Beauty Contest is a unique initiative designed to promote interest in purebred hunting dogs and to strengthen the new generation’s connection to their ancestral heritage and traditions and to serve as a testament to this unique bond.
With its origin steeped in history, this fascinating dog’s name is believed to be derived from the city of Saluk in Yemen or the Bani Saluk tribe. Renowned for its endurance and elegance, the Saluki can reach speeds up to 75 kilometres per hour, maintaining this pace over distances up to almost five kilometres. The breed is cherished for its unique physical characteristics, including a slender body, deep chest, long legs, and two distinct coat types: ‘Al Hoss’ (smooth) and ‘Aryash’ (feathery).
The Arabian Saluki Beauty Contest, held during ADIHEX, is more than a beauty pageant. It celebrates the essence of the Saluki by focusing on the dog’s personality, skills, reflexes, and sensory response. Unlike typical dog competitions, this contest evaluates the Saluki’s breed characteristics, behaviour, overall appearance, structure, hunting skills, and psychological traits. Judging criteria include the dog’s gait, head, eyes, mouth, ears, coat, colour, and general impression.
The Arabian Saluki Beauty Contest is an integral part of ADIHEX’s mission to preserve and promote the cultural heritage of the UAE and the wider Arab world. This contest not only showcases the beauty and abilities of the Saluki but also plays a vital role in raising awareness about the importance of preserving traditional hunting practices and the Saluki’s role in them.
This year’s competition will feature four categories: ‘Smooth (Hoss) Males,’ ‘Feathery (Aryash) Males,’ ‘Smooth (Hoss) Females,’ and ‘Feathery (Aryash) Females.’ The event is scheduled to take place during ADIHEX 2024, and, per the rules, participants must ensure their dogs are healthy, microchipped, and vaccinated.
The Saluki’s enduring legacy is celebrated through this competition, which draws participants and spectators from across the region and beyond. It provides a platform for Saluki enthusiasts to connect, share their passion, and celebrate a breed that has remained virtually unchanged for millennia, reflecting the diverse hunting landscapes and traditions of the Middle East.
Aside from the alluring Arabian Saluki Beauty Contest, as the largest edition of ADIHEX to date, the 21st edition will showcase thousands of brands across 11 diverse sectors, offering a dynamic platform for new business opportunities and captivating audiences of all ages. This exhibition celebrates the thrill of an adventurous outdoor lifestyle, allowing visitors to explore falconry, hunting, equestrian sports, veterinary products, fishing and marine sports, environmental preservation, cultural heritage, arts and crafts, and the latest in technology and innovation across all the represented sectors.

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Sharjah Ruler directs allocation of beach for women in Khorfakkan’s Al Luluyah area

H.H. Dr. Sheikh Sultan bin Muhammad Al Qasimi, Supreme Council Member and Ruler of Sharjah, has ordered the allocation of a 500-metre beach for women in Al Luluyah area of Khorfakkan, providing them with complete privacy. The project will include a service building that includes a cafe, a medical clinic and a prayer room for women. His Highness the Ruler of Sharjah also directed the construction of a pedestrian bridge linking Al Bardi 6 and Al Batha areas in Khorfakkan, to facilitate the movement of citizens, and modifications will be implemented on the internal roads in the Hayawa area.

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