adidas Sustainability Rating for October 2024

September 10, 2024

About adidas

Adi-Dassler-Str. 1 91074 Herzogenaurach Bayern Germany

Germany

adidas, owned by Adidas AG, is a globally recognised brand specialising in sportswear and athletic equipment. Founded in 1949 by Adolf Dassler, it has grown to be a leader in footwear, apparel, and accessories for athletes and fitness enthusiasts.

Known for its innovative designs and high-quality products, adidas maintains a strong presence in both professional sports and casual fashion. The iconic three stripes logo is synonymous with performance and reliability. Collaborations with athletes and influencers have extended its market reach. adidas continues to set trends and influence the sportswear industry on an international level.

How does adidas focus on You?

Product Range of adidas by Adidas AG

Adidas, operated by Adidas AG, offers a vast array of products that cater to sports enthusiasts and everyday consumers alike. Their product line includes:

Footwear: Running shoes, football boots, casual sneakers, and specialised sports footwear.
Apparel: Sports jerseys, tracksuits, T-shirts, shorts, and outerwear.
Accessories: Bags, caps, socks, and sporting gear such as footballs and yoga mats.

Balancing Affordability and Sustainability

Adidas has taken significant steps to balance affordability with their sustainability commitments. The brand recognises the growing demand for eco-friendly products and the need to keep prices accessible.

Here are some key initiatives Adidas employs:

Use of Recycled Materials: Adidas incorporates recycled polyester and ocean plastic in producing footwear and clothing, reducing the environmental impact without sharply escalating costs.
Ecodesign Principles: The brand's design strategy includes using less water, chemicals, and energy in manufacturing processes, helping to lower production costs while being kinder to the planet.
Long-Term Cost Savings: By investing in sustainability now, Adidas aims to cut long-term production costs, which can mitigate price increases for consumers.

Additionally, Adidas offers a range of products at different price points, ensuring eco-friendly options are available to budget-conscious consumers. Periodic sales and discounts provide further opportunities for savings.

In summary, Adidas manages to offer stylish, high-performance products while striving to meet sustainability goals, all the while keeping affordability in check for their diverse customer base.

adidas Sustainability Rating is 3.7 out of 5.0

This means adidas are above average compared to other companies in the Apparel, Accessories & Footwear.

Industry positioning

adidas

Industry average

Overall

Environmental

Social

Governance

adidas positioning within the Apparel, Accessories & Footwear

The Apparel, Accessories & Footwear industry faces significant sustainability issues including environmental impact from manufacturing processes, social implications like labour conditions, and governance practices involving transparency and ethical standards.

Comparing adidas AG to the broader industry, adidas excels environmentally, significantly outperforming the industry average. Socially, adidas is also ahead, reflecting better labour and community engagement practices. In terms of governance, however, the industry surpasses adidas, indicating stronger overall ethical and operational transparency across other companies.

Overall, adidas demonstrates strong environmental and social initiatives, while the industry as a whole showcases superior governance.

What makes adidas stand out in the Industry?

Adidas Unique Selling Proposition (USP)

Adidas AG is renowned for its innovative and high-quality sportswear and footwear. The main unique selling proposition (USP) for the Adidas brand centres around:

Innovation and Technology: Adidas consistently integrates cutting-edge technology into its products, enhancing performance and comfort.
Quality and Durability: Products are crafted to withstand rigorous use while maintaining superior quality.
Brand Heritage: With a rich history in sports, Adidas connects deeply with professional athletes and sports enthusiasts.
Stylish Design: Adidas offers trendy and fashionable designs suitable for both athletic and casual wear.
Sustainability Efforts: The brand is committed to environmental responsibility, using eco-friendly materials and sustainable practices.

These elements combine to position Adidas as a leading choice for those seeking performance, style, and responsible consumption in their athletic gear.

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adidas Sustainability Rating Breakdown:

adidas Overall Sustainability Rating is 3.7 out of 5.0

Adidas Sustainability Approach

Adidas leads in sustainability with unique elements:

Parley for the Oceans: Collaborates to transform ocean plastic into premium sportswear.
end plastic waste: Aims to eliminate plastic waste through innovative materials and circular production techniques.
Primegreen and Primeblue: Utilises high-performance recycled materials.
sustainable cotton: Sources more than 100% sustainable cotton through partnerships like the Better Cotton Initiative.

These efforts reflect Adidas' commitment to environmental responsibility and innovative solutions.

adidas Environmental Rating is 4.1 out of 5.0

Environmental Practices Summary:

adidas AG's environmental practices exhibit several areas of strength. Notably, their energy management, environmental certifications, and water management are exceptional, showcasing a strong commitment to sustainable operations. Additionally, the company displays robust performance in pollution prevention, environmental opportunities, and the management of greenhouse gas emissions. While there are several high-performing areas, there is room for improvement in environmental compliance. By focusing on this aspect, adidas can further enhance its overall environmental sustainability efforts.

adidas Social Rating is 3.6 out of 5.0

Social Practices Summary for adidas AG

adidas AG exhibits strong performance in several social sustainability areas. Notable highlights include excellent contributions in Corporate Philanthropy and Community Engagement, supported by impressive dedication to Training and Education. These areas showcase the brand's solid commitment to societal betterment and workforce development.

However, there are areas that require improvement. The company's performance in Data Privacy and Products and Services is relatively lower, indicating potential vulnerabilities and a need for advancements in these domains. Another concern is the Cyber Risk area, which reflects a significant gap that could impact overall social sustainability.

Overall, while adidas AG shows substantial strengths in social-related certifications and employee training, attention to data privacy and cyber risk management could enhance their social sustainability profile further.

adidas Governance Rating is 3.6 out of 5.0

Governance Practices Summary for Adidas AG

Adidas AG exhibits robust governance with a strong emphasis on Business Resilience and Sustainability as well as significant compliance through Governance-related Certifications. The company's Board Accountability also reflects a commitment to effective governance practices. However, there are areas needing improvement, specifically in Business Ethics and Shareholder Rights, where their scores indicate room for growth. Additionally, while Business Transparency is at a satisfactory level, enhancing further could lead to better stakeholder trust and overall governance performance.

adidas Certifications List

adidas Supports These Sustainable Development Goals

So is adidas sustainable?

Is Adidas Sustainable? Find Out Here!

As a shopper keen on sustainability, you’ll be pleased to know that adidas, the global sportswear giant, is making significant strides in becoming more environmentally friendly and socially responsible. Their overall commitment to sustainability reflects a balanced approach across three key areas: environmental impact, social responsibility, and governance practices.

Firstly, adidas is taking substantial measures to reduce its environmental footprint. They are integrating eco-friendly materials, reducing water usage, and ensuring their products have a smaller carbon footprint. This demonstrates a solid awareness and action towards lessening their environmental impacts, crucial for a sustainable future.

Social responsibility is another area where adidas shines. The company is dedicated to ensuring fair labour practices and supporting worker rights. Initiatives such as improving working conditions in their supply chains and investing in community projects show that adidas values the well-being of individuals involved in every step of their product’s journey.

Good governance practices are equally essential to adidas. The company has established robust systems to ensure ethical business practices, transparency, and accountability. This not only builds trust with consumers but also underscores their commitment to doing business responsibly.

In summary, adidas is making meaningful progress towards being a more sustainable brand. Their efforts in reducing environmental impacts, improving social conditions, and adhering to strong governance principles make them a reliable choice for eco-conscious shoppers. By opting for adidas products, you’re supporting a brand that prioritises sustainability and ethical practices, contributing to a healthier planet and better communities.

Next time you’re considering new sportswear, keep adidas in mind as a brand that’s not only about high performance but also about making a positive difference.

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