German sportswear manufacturer Adidas has shifted its strategy in its China operations after it ended its 30-year-old sponsorship of China's national soccer team in January and then signed a three-year deal with the Ministry of Education (MOE) to cultivate grass-roots soccer in the country.
The deal aims to strengthen school soccer development, which is part of the President Xi Jinping-introduced reform plan. This is according to an email from an Adidas PR representative to the Global Times.
"Over the next three years, Adidas will deliver dedicated programs targeting both young soccer players and coaches to support the long-term development of soccer in China," the statement remarked.
Xue Shengwen, an analyst at the Shenzhen-headquartered CIConsulting, said that growing competition has made Adidas shift its strategy and tap into the government's strong commitment to develop the country's soccer schemes.
"Focusing on the country's school soccer program could also help the company attract more potential buyers by tapping into the teenager market," Xue shared.
The analyst added that partnering with China's "MOE is likely to create a stable investment environment for Adidas while promoting its brand."
The emailed statement from the Adidas PR further revealed that by 2017, around 20,000 primary and secondary schools in China will be enhanced to become a soccer specialty school. As part of the physical education curriculum, these institutions will have at least one weekly mandatory soccer class.
Additionally, about 50,000 PE teachers will undergo soccer training in the next five years. The education ministry will be providing coaching development to these teachers as well as skills training to national summer camp participants.
Nonetheless, rival Nike, who replaced Adidas as the sponsor of China's national soccer team and has been working with MOE since 2012, has also come up with the so-called Nike School Soccer PE program.