Fresh Take: Reebok's Global Revitalization under Authentic Brands Group
Reebok's brand extends to more than 2,800 retail outlets as a result of a partnership with JD Group.
Reebok is about to get a major boost under its new owner, Authentic Brands Group (ABG). Announcing a partnership with JD Group, Reebok is set to make a comeback with its athletic gear in over 2,850 stores across North America and Europe.
According to the announcement, the deal covers all JD banners, including Finish Line, JD, DTLR, Shoe Palace, Size, Sprinter, and SportZone. Reebok will also be available through their e-commerce sites, extending the brand's reach further.
With the partnership, Reebok's revamped assortment will roll out across JD's banners starting fall next year. The brand will continue to be available at its current wholesale partners and through its direct-to-consumer (DTC) channels.
ABG has been strategically positioning Reebok for success even before the deal closes, slated for the first quarter of 2022. In late November, ABG placed Reebok's U.S. operations under Sparc, a joint venture between ABG and Simon Property Group. Sparc was also announced as the global hub for the Reebok Design Group.
To ensure Reebok's brand ethos remains global, ABG has appointed operating partners in various regions - Latin America, Australia, New Zealand, Israel, India, Bangladesh, Bhutan, Maldives, Nepal, and Sri Lanka. These partnerships are part of ABG's strategy to establish a network of core operating partners worldwide, solidifying Reebok's presence on a global scale.
Jamie Salter, founder, chairman, and CEO of Authentic Brands, expressed enthusiasm about the partnership, stating, "JD's expanded support of Reebok, along with their commitment to carrying the brand in stores in North America and Europe, speaks volumes to the brand’s cultural influence."
Adidas made headlines in February by announcing the sell-off of Reebok, following months of rumors. ABG emerged as the winning bidder with a $2.5 billion bid. The sale came after years of Reebok's decline under Adidas and an even longer downward trajectory from its '80s heyday. Since the announcement, Reebok has been working on building a new creative direction to reposition the brand.
Authentic Brands Group's strategy for Reebok revolves around revitalizing the brand through various means. These include creative collaborations with design studios, a strong focus on sustainability and responsible innovation, strategic licensing and operational partnerships, and digital and retail expansion.
For example, ABG's collaboration with Los Angeles-based design studio HYMNE resulted in a sleek new collection that blends HYMNE's aesthetic with Reebok's heritage. Additionally, ABG is emphasizing sustainability with transparent governance, ethical business practices, and efforts to reduce environmental impact through energy use management, waste reduction, and eco-friendly materials.
The partnership with JD Group represents another significant step in ABG's global strategy for Reebok. With the deal, Reebok's cultural influence will undoubtedly grow, positioning it as a relevant player in the competitive global market.
- The deal between Reebok and JD Group, facilitated by Authentic Brands Group (ABG), promises to bolster Reebok's presence in the retail industry, with the brand being available in over 2,850 stores across North America and Europe.
- In the pursuit of a sustainably innovative Reebok, ABG has been actively collaborating with design studios, like the Los Angeles-based HYMNE, to create a new collection that reflects both HYMNE's aesthetic and Reebok's heritage.
- Beyond retail and creative collaborations, Authentic Brands Group (ABG) is also exercising strategic partnerships in finance, aiming to establish a global network of core operating partners, such as those in Latin America, Australia, New Zealand, and others, to solidify Reebok's standing on a global scale.
