The bad spell for Adidas continues. 2022 was probably the worst year for the German brand. Despite the lucrative partnership deal with Kanye West, the brand was forced to cut ties with the rapper due to his anti-Semitic sentiments. The rapper’s exit dealt a blow to the annual revenue of the company. With its inventory filled with unsold Yeezy products, the retail brand is projecting a loss of over $750 million dollars this year. However, amidst the huge losses, Adidas has let go of another one of its assets, Beyonce. 

The All the Single Ladies crooner is breaking up with the German brand after nearly 5 years of partnership. According to The Hollywood Reporter, they have mutually agreed to end the contract. Apparently, the singer had creative differences with Adidas over her retail line, Ivy Park. So she chose to walk out of the deal to reclaim the ownership and creative control over her line.

This news comes after Beyonce unveiled the latest collection from their collaboration, Park Trail in Dubai. The preview was planned right before her private concert in the city.  

She established her retail line back in 2016 with TopShop’s Sir Philip Green. However, the 50-50 partnership quickly came to an end in 2018 when she struck a deal with Adidas. As part of the contract, she was supposed to work and launch a new footwear and apparel line in collaboration with the brand.

What led to Beyonce and Adidas ending their partnership?

Ivy park just never hit the billion-dollar mark that Yeezy did. Ye generated $2 billion for the company annually. In fact, the collaboration failed to generate a predicted revenue of $250 million. On top of that, it had seen sales go down by 50%. The company executives never revealed the actual figures the collaboration made. However, the Wall Street Journal reports claim that Queen Bey’s apparel line was not profitable at all. It was losing money since the partnership came into place. The brand was also paying $20 million per year to the singer. Moreover, Ivy Park’s clothes supposedly never carried a prominent Adidas logo. 

With the partnership coming to an end, the ‘Lemonade’ singer is gearing up for her upcoming Renaissance World Tour. Similarly, Adidas has plans to launch another range of products with Fear of God’s Jerry Lorenzo.

Do you think Adidas made the right decision?