It seems last year wasn’t the most successful year financially for Ivy Park.
In 2022, sales for the fashion line reportedly dipped by more than 50% to about $40 million, according to documents reviewed by the Wall Street Journal. This falls behind Adidas’ internal projections for reaching $250 million in sales that year. With this shortage in sales, Ivy Park is actually losing Adidas money while Beyoncé receives around $20 million in annual compensation.
Adidas has only commented on the creative aspect of the business collab. “We continue to be inspired by our collective vision and are proud of the work we have created together,” the company said. Beyoncé’s contract with Adidas is set to end after 2023.
The superstar singer, actress and fashion icon first launched Adidas clothing line Ivy Park in 2016 with Philip Green, the former owner of Topshop. The fashion line is known for releasing streetwear shoes, clothes and athleisure every season. Rapper Ice Spice is one of the leading faces of Ivy Park’s latest collection PARK TRAIL set to come out on Feb. 9.
While Beyoncé’s world tours seem to never have a problem selling out, Ivy Park isn’t the first clothing line of hers to have problems. Her former clothing line “House of Dereon” ended in 2012 after a rocky six-year-long stint. The line was originally started with Tina Knowles, Beyoncé’s mom and it was named after Beyoncė’s grandmother. The brand was made for fans of Destiny’s Child and was popular amongst the BeeHive but it wasn’t enough to keep going. Although House of Dereon expanded into a home brand called “House of Dereon Home.”