What do wellness brands want? Usually, the goal is to create an almost cult-like following, with fans so passionate, they see the brand not just as another company, but rather, a lifestyle. Then again (to state the obvious) they want to make money, too.
Adidas is grappling over this very issue — customer connection versus profit — amid its wider debate over whether to expand its relationship with Amazon. The fact that its CEO Kasper Rorsted is even considering the expansion is an indication that business on the Everything Store is thriving.
Still, he makes it clear that getting in too deep with Amazon could mean a loss of brand identity — something athleisure companies want to avoid as much as possible. If people are interacting more and more with the digital retailer, Adidas could lose some of its voice — and that's not optimal.
What's more, Amazon is synonymous with bargain deals, and price cuts could bring down brand value if Adidas isn't careful (especially as it hypes up pricey sneaker launches, like the new $240 Pharrell Williams x Adidas NMB "BBC"). It's a delicate dance Adidas and other brands that sell on Amazon are trying to master, and companies are smart to pay attention to the risks.
Smart oven company June is also getting in with Amazon through its partnership with Whole Foods. The integration will make it easier for at-home cooks to prepare the grocer's 365 Everyday Value products, many of which will be pre-programmed into the menu. This team-up with Whole Foods was relatively straightforward, though, as Amazon invested in the June earlier this year.
As for Adidas, the relationship is, well, a little more complicated.
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