German sportswear giant Adidas is facing backlash and growing calls for a boycott after American-Palestinian model Bella Hadid was removed from a recent advertising campaign.
Following criticism from Israel, Adidas removed Hadid, who has long spoken out about Palestinian rights, from a retro footwear campaign referencing the 1972 Munich Olympics.
On Sunday, the brand apologised for “any upset or distress caused” by its ad campaign. Following the company’s decision, social media users rallied to Hadid’s defence, calling for a boycott of Adidas products.
Bella Hadid is a hero! Hope @adidas will suffer from boycotting.
“Sorry guys, not buying Adidas because of their gutless treatment of Bella Hadid.”
After the Bella Hadid case, we will say bye @adidas. Those who encourage genocide criminals shouldn’t get any coin from our money won honestly.
Impact on other companies
British political commentator Sami Hamdi emphasised the impact the boycotts had on other companies seen as supporting Israel in its offensive on Gaza.
“McDonald’s, Starbucks, KFC, and other brands are already suffering the impact of boycott movements in Muslim-majority countries, with many of these brands finding themselves forced to shut down a whole host of branches. There are already calls to boycott Adidas in the same way.”
The actions of Adidas and other multinational corporations sparked protests in the Arab and Muslim world for targeting pro-Palestinian and pro-boycott celebrities. The stance taken by many of these celebrities is a matter of principle against an ideology that is “supremacist and racist and for the benefit of some group to be dominant over another group.”
Given the significant Muslim populations in these regions, it raises the question of how Adidas’ stance will affect sales in 2024.
McDonald’s said in February that the conflict had “meaningfully impacted” the company’s sales in the final quarter of 2023, particularly in the Middle East and Muslim-majority countries such as Malaysia and Indonesia. CEO Chris Kempczinski stated:
So long as this war is going on … we’re not expecting to see any significant improvement (in these markets).
In March, the Middle East franchisee of Starbucks announced that it was sacking about 2,000 employees at its coffee shops across the region due to boycotts over the Gaza war.
Adidas is relentless
Following the scandal, Adidas apologised to its partners, including Hadid. However, it did not reverse its decision, but announced plans to review the campaign, which could affect a significant portion of its revenue.
“We made an unintentional mistake. We also apologise to our partners, Bella Hadid, A$AP Nast, Jules Kounde, and others, for any negative impact on them, and we are revising the campaign.”
Adidas’ annual report for 2023 shows that Europe, the Middle East, and Africa accounted for the largest share of net sales at 39 per cent, representing €8.2 billion ($8.9 billion). Meanwhile, Asia-Pacific generated sales of €2.3 billion, or 11% of global distribution. These two parts of the world together account for 50 per cent of Adidas’ sales.
Growing panic in Tel Aviv
According to Hamdi, the managing director of political risk firm The International Interest, Tel Aviv is increasingly concerned about the growing negative public perception of it.
There is growing panic in Tel Aviv at the extent to which Israel has lost its monopoly over the public narrative.
He explained that Israel realised that it was becoming a pariah and that its allies in political circles felt increasingly uncomfortable with the pressures of growing pro-Palestinian public opinion.
“Israel, therefore is lashing out at brands that even remotely suggest Palestinian sympathies in a desperate bid to suffocate Palestinian voices that have been so effective in shifting public opinion.”
The situation worsened after Germany said it would arrest Israeli Prime Minister Benjamin Netanyahu if the International Criminal Court (ICC) issued an arrest warrant over the application filed in May. Following Adidas’ hiring of Hadid, it caused an uproar in Tel Aviv, which took the move as a sign of a marked change in Germany.
The hiring, then dropping of Bella Hadid reflects the confusion and uncertainty in Germany and Adidas as to how to navigate a guilty conscience over a genocide of the past with an increasingly vocal public opinion denouncing the genocide of today.