Puma's New CEO Vows Turnaround as Brand Seen as 'Cheap'

In July 2025, Puma SE's new CEO Arthur Hoeld delivered a blunt assessment of the German brand - it is now perceived as "cheap". Hoeld, a veteran of rival Adidas, has taken on the task of turning Puma around and restoring it to profitability and growth.

Puma is facing significant challenges, including fast-growing competitors like On Holding, New Balance, and Hoka that are winning over customers and securing more retail space. Industry leaders Adidas and Nike are also performing strongly, with Adidas riding high on its retro Samba models and Nike bouncing back under veteran Elliott Hill.

Hoeld has inherited a growing pile of unsold sneakers and apparel that could take over a year to work through, as Puma struggles to convince retailers to buy its products again. The company has warned of a 20% plunge in sales in the coming months and expects to lose money this year, a sign that "something is really quite wrong", according to analyst Piral Dadhania.

Hoeld has promised to unveil his turnaround strategy in late October 2025, addressing questions about whether Puma has the right products and why the brand is not achieving the required visibility and engagement. The slump is badly timed, as the sneaker market has transformed in the past decade, with smaller brands securing more shelf space as Adidas and Nike prioritized direct-to-consumer sales.

Puma's Speedcat sneaker, which was meant to be a blockbuster, has failed to catch on, with Adidas's similar Taekwondo model outperforming it. Hoeld's decades of experience at Adidas may help him get Puma's products into the right stores and in front of the right customers, but the brand faces a significant uphill battle to regain its footing.