Adidas has received orders for 4 million pairs of the brand’s unfilled Yeezy shoes totaling more than 508 million euros, or around $565 million.
The Financial Times on Monday stated that this astonishing consumer response has surpassed the company’s most optimistic projections.
Adidas Bounces Back with Strong Yeezy Sales
Adidas is relieved by the favorable response to the initial round of online sales since it may prevent the need for a sizable write-down on its remaining Yeezy stock.
As a result of scandalous antisemitic remarks made by Kanye West, the musician formerly known as Ye, with whom Adidas had a connection, the sportswear giant previously ceased distributing Yeezy sneakers.
The company’s first-quarter sales suffered a startling $440 million drop as a result of discontinuing this extremely profitable line.
Despite worries that Ye’s tantrums and a decrease in marketing efforts might tarnish the Yeezy brand too much, the strong demand for the unsold sneakers has dispelled such worries.
Executives at Adidas are now reassured that the Yeezy line can withstand the crisis and will continue to be a valued asset.
Adidas declined to comment during its quiet time prior to the release of its quarterly earnings, although it had previously stated that it would contribute a portion of the money made from the sale of the Yeezy sneakers to groups that fight racism and antisemitism.
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Company’s Generous Donations to Chosen Charities
The precise amount that will be given to each charity is now being discussed. Adidas has already chosen five organizations in China and the United States as a first step.
The organization is prepared to donate a sizable portion of the proceeds from the Yeezy inventory to these charities, therefore the total donation sum is anticipated to be high.
The brand’s reputation is being repaired with the help of this charitable endeavor, which also promotes beneficial social impact.
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