Lessons From Adidas’ Focused Global Cloud Migration
Learn how Adidas achieved improved performance, cost savings, and agility in serving customers worldwide through a focused migration approach.
"Big brands can't adapt to the cloud quickly." ❌ Adidas did! ✅
Then, some tech enthusiasts:
"Rehosting is always the fastest route to the cloud." ❌ Adidas proved otherwise.
When you take an architecture-led approach, you can transform your entire IT ecosystem and boost global performance.
In today's newsletter, we'll explore:
Adidas' cloud migration journey at a glance
4 lessons from their cloud migration approach
Adidas, a global leader in sportswear, was grappling with high latency, scalability issues, and mounting operational costs. The tipping point came when Adidas realized its e-commerce platform, hosted in Herzogenaurach, Germany, was struggling to efficiently serve customers in the Pacific Northwest and Asia.
The expected growth in e-commerce was set to outpace their data center capabilities. Something had to change. So, they implemented a multi-cloud, cloud-first strategy to address these challenges.
Adidas took a measured, architecture-led approach. Using tools like Leanna X, they mapped their entire application landscape, giving them a bird's-eye view of their digital ecosystem. This comprehensive mapping became the foundation of their migration strategy.
This cloud strategy was aligned with key business objectives: improved customer experience, faster time-to-market for new products, and optimal operational efficiency.
Here’s how they did it.
Adidas’ cloud migration approach
Used enterprise architecture tools
Adidas used Leanna X to visualize its entire application ecosystem, from legacy systems to advanced cloud-native apps.
But why is this so important? Because Leanna X provided Adidas with critical insights:
Application life cycles
Are there redundant apps from past acquisitions?
Which systems are interconnected? (dependencies)
This way, Adidas made data-driven decisions about what to migrate, when, and how.
Focused migration approach
With these insights, Adidas adopted a focused migration approach, prioritizing three strategies: retire, refactor, and repurchase (SaaS).
Retiring applications might seem counterintuitive in a migration, but it's often the smartest move. They used this strategy for end-of-life systems or redundant applications from acquisitions.
With refactoring, Adidas rebuilt critical applications from scratch, which improved performance and scalability in the long run.
Repurchasing or moving to SaaS solutions was Adidas's ace in niche areas where top-notch solutions already exist.
This focused approach worked wonders for Adidas. It allowed them to:
Optimize costs by eliminating unnecessary systems
Improve performance where it matters most
Stay agile by using best-in-class SaaS solutions
By avoiding a one-size-fits-all approach, Adidas ensured each application got the treatment it deserved.
Improved global website performance
Adidas's e-commerce platform, hosted in Herzogenaurach, Germany, struggled to serve global customers efficiently. High latency was hurting user experience and potential sales.
Instead of a simple lift-and-shift, Adidas went all-in on modernization. They built a microservices and micro-frontend-based UI layer, containerized applications, and hosted them in a Kubernetes environment.
The outcome? Dramatically reduced latency for global customers, improved scalability for their booming e-commerce business, and a more flexible, cloud-native architecture.
China migration
When Adidas needed to move its Hong Kong data center to mainland China, it faced a tight deadline and complex regulatory requirements.
In this case, Adidas opted for a straightforward rehosting approach. They moved their applications to AWS Beijing, achieving compliance and maintaining business continuity without missing a beat.
Adidas's approach to rehosting versus modernization was based on multiple factors:
Time pressure: Adidas leaned towards rehosting for speed when faced with tight deadlines, like in the China migration.
Application criticality: Core business applications, like the e-commerce platform, received full modernization for maximum performance gains.
Future scalability needs: Applications expecting significant growth were prime candidates for refactoring and modernization.
Resource availability: The team's skills and capacity influenced decisions. Sometimes, a quick rehost was all that was feasible.
By carefully weighing these factors, Adidas ensured each application received the right treatment—whether it was a quick lift-and-shift or a full cloud-native makeover.
Lessons to learn
1. Conduct a thorough assessment before migration
The comprehensive assessment helped the company avoid costly mistakes and make informed decisions.
By understanding their application lifecycle and identifying duplications, Adidas could prioritize effectively. They didn’t waste resources modernizing applications nearing end-of-life or maintaining redundant systems from past acquisitions.
2. Use a people-centric approach
They made sure the cloud migration was about people. They kept their team engaged and excited through regular high-level info sessions on new technologies like GenAI.
They encouraged innovation from all levels to create a culture where everyone felt part of the cloud journey. This ensured they had the in-house skills to drive their cloud strategy forward.
3. Balance business needs and technical possibilities
Adidas' cloud strategy is tightly aligned with business objectives. For instance, when improving their e-commerce platform, the focus wasn't just on technical modernization but on improving customer experience and supporting business growth.
This way, every cloud initiative delivered tangible business value, whether cost savings, improved performance, or new capabilities.
4. Practice continuous adaptation
Adidas embraces continuous learning and stays updated with the latest cloud technologies and best practices.
They're ready to adjust their strategy based on new learnings. This flexibility allows them to use new cloud services and methodologies as they emerge, keeping their cloud infrastructure advanced.
The migration allowed Adidas to close multiple data centers, significantly improve global application performance, and enhance their ability to scale rapidly in response to market demands.
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