Business News April 2018

TFL publishes every month business news with focus on the leather industry, on a worldwide basis.

Adidas succeeds in litigation about stripes

Sports goods manufacturer Adidas has managed to prevent the registration of two parallel stripes as union trade mark. This has been decided by the court of the European Union (EuG). Thus, the protest of the Belgian enterprise Shoe Branding Europe has been rejected. The court reckoned that there was a danger that the registered brands in question would be taking advantage of the already existing design of three parallel stripes of the older brand Adidas in an unfair way.

Otto Group grows thanks to E-Commerce

E-commerce remains the successful growth driver of the Otto Group. Compared to the fiscal year 2016/2017, the internationally active trade and service group was able to rise the online turnovers worldwide by 10.9 percent from 7 billion Euros to about 7.76 billion Euros.

Portugal: shoe exports rise for the eighth year in succession

In 2017, Portugal has exported around 83 million pairs of shoes worth 1.965 million Euros. This corresponds to a growth of 2.8 percent compared to previous year. Thus, the country was able to rise its shoe exports for the eighth time in succession. The European Union is the strongest buyer of Portuguese shoes with a share of 80 percent. The export growth was especially strong in Germany (plus 11 percent thus 375 million Euros). The number of companies in the shoe industry has risen by 290 to 1,534 since 2010. 8,000 new jobs have been created since then. In total, the Portuguese shoe industry employs more than 40,000 workers.

Crocs lose court case about EU design rights

US shoe brand Crocs has suffered a defeat in the EU court in Luxembourg. The enterprise has lost the brand rights for the design of its synthetic Clogs. The court has thus confirmed a decision of the European brand office EUIPO taken in June 2016. The office had reasoned the shoe design was famous long before the request for property rights.

Ecco: substantial benefit

Ecco Sko A/S has achieved its best financial result ever in 2017 - and this despite challenging retail trade surroundings. "The speed of change in the surroundings of the shoe branch go hand in hand with a rapidly expanding e-commerce industry and thus forces the retail trade to massive changes", Ecco CEO Steen Borgholm says. As the company has adapted to this situation, another very satisfying result was achieved in 2017. Hence the profit before taxes amounted to 184 million Euros in 2017 (2016: 170 million Euros), the total turnover over was 1.276 billion Euros.

Puma wants a yearly growth of 10%

Sports goods group Puma SE wants to rise its group turnover by an average of 10% yearly until 2022.This was announced by the enterprise within the scope of the Capital Market Day. Furthermore, Puma expects the EBIT margin to reach approximately 10% of the group turnover by 2022 at the latest.

GBB markets Kenneth Cole in Europe

The American shoe brand Kenneth Cole Productions, Inc. has signed a four-year contract with the British enterprise GBG Europe Footwear and Accessories Limited about the distribution of men's and ladies' shoes as well as the production and the distribution of ladies' hand bags in selected European countries, the Middle East and Africa. The distribution is to start as of autumn 2018.

German shoe industry announces plus figures

"We've had a good year", chairman of HDS/L Carl-August Seibel rejoiced when presenting the figures for the past year within the scope of the Gallery Shoes. He has every right to do so, as the good economic situation had a direct impact on the German shoe industry. According to information of the statistical federal office turnovers of German shoe manufacturers with 50 or more employees rose by 5.9 percent from 2.7 to 2.9 billion Euros.

Zalando continues growth course

In the current fiscal year 2018, online dealer Zalando SE wants continue to grow faster than the European online fashion trade and rise the turnover by 20 to 25 percent. In the mid of this margin this would mean a turnover growth of one billion Euros. In the process, the online platform aims for an adjusted EBIT of 220 to 270 million Euros (respectively a margin of four to five percent).