But the brand has “underperformed chronically”, falling from an estimated share of low double-digit American athletic footwear in the early 2000s to about 1% today, analysts at Baird Equity Research said in a note on Monday.
Store closings, cost cuts, and approval deals with celebrities such as Ariana Grande and Cardi B helped Reebok turn a profit in 2018 and drive double-digit sales growth in North America last year. But then the coronavirus pandemic struck, closing the majority of Adidas and Reebok’s global stores at the start of the year.
In the wake of losing his NBA and NFL deals, Reebok turned to fitness and cross-training apparel. The narrower emphasis caused the country to lose to a global boom in the broader sportswear market, which Euromonitor says has grown faster than the overall apparel and footwear industry.
Reebok now accounts for only 7% of Adidas sales, up from 20% in 2006. Adidas remains smaller than Nike globally, but posted a bigger increase in sales in North America than its rival in 2019 when we consider Reebok .
Authentic Brands Group (ABG) and China’s Anta Sports could also be potential suitors. ABG owns the rights to Shaquille O’Neal’s business endeavors. O’Neal reportedly said in 2019 that he would be happy to co-own Reebok.