Adidas has reported from its first “drop” of Yeezy trainers after ending the collaboration with rapper and fashion designer Kanye West. Despite cutting ties with West following his series of anti-Semitic comments on social media, demand for Yeezy shoes has remained high, with the trainers remaining wildly popular in the resale market.
Adidas pledged to donate some of the proceeds of the sales to charities working on combating hate. The company’s boss, Bjorn Gulden, said the firm will “continue to carefully sell off more of the existing Yeezy inventory,” emphasising that it was “much better than destroying and writing off the inventory.”
Sales from the Yeezy line were similar to levels in the same period in 2020, before the high-profile fallout. The sale of the remaining Yeezy stock has been described by analyst Alice Price as a “short-term solution for a brand that has lost some of its identity and relevance in the market.” It is thought that Adidas is now trailing behind competitors such as Puma, which offers more on-trend and innovative products.
Despite Gulden’s efforts to turn the situation around, Adidas is currently being sued by investors, who claim that the firm knew about West’s problematic behaviour years before it ended their partnership. Investors argue that Adidas failed to limit financial losses and take precautionary measures to minimise their exposure.
Adidas stated that it rejected these “unfounded claims,” adding that it would take “all necessary measures to vigorously defend ourselves against them.” With millions generated from the Yeezy line, Adidas remains optimistic about the future potential of the brand, but under scrutiny over its ongoing relationship with West.
Adidas’ decision to end its collaboration with Kanye West has not affected the demand for Yeezy shoes. Although Adidas is being sued by investors who allege the company failed to take necessary precautions to minimise their exposure to West’s problematic behaviour, sales of Yeezy trainers continue to boost the company’s financial strength.
