The voluntary redundancy agreement signals broader challenges facing heritage Italian sportswear brands as wholesale channels contract and competition from specialized challengers intensifies across core running and tennis categories.
Diadora has reached an agreement with Italian trade unions to reduce its workforce by 27 employees from a total staff of 199 at its Caerano di San Marco headquarters in Treviso, citing the need for strategic repositioning in changed international markets. The restructuring affects approximately 13.6 percent of Diadora’s workforce.
The deal, signed Feb. 5 with Femca Cisl Belluno Treviso and Filctem Cgil Treviso labor organizations following collective dismissal proceedings, structures voluntary exits with differentiated economic incentives based on seniority and proximity to pension eligibility.
For employees reaching pension age by the end of 2026, Diadora will provide supplemental payments that, combined with Italy’s unemployment benefits, equal 100 percent of their final monthly salary until retirement. Additional severance packages scaled to years of service will be provided to other departing workers.
Wholesale pressures force reorganization
The restructuring follows a multi-year slowdown that began after Diadora’s post-pandemic rebound in 2022. After achieving 18 percent revenue growth that year to approximately €305 million, the brand faced stagnating sales through 2023 and 2024 as wholesale channel pressures intensified globally.
Claudio Bora, Diadora CEO, described the move as necessary to respond to evolving competitive conditions and the company’s growth strategy focused on new markets and higher-value product lines. The reorganization prioritizes process efficiency while the brand refocuses its portfolio.
The Italian sportswear sector has proven resilient overall, with the domestic market valued at €14 billion in 2025 and projected to reach €16.55 billion by 2030. However, this growth masks significant structural pressures facing mid-tier heritage brands like Diadora.
Heritage caught between incumbents and challengers
Diadora’s position illustrates the squeeze facing European heritage sportswear brands. Founded in 1948 by Marcello Danieli as a mountain boot manufacturer before pivoting to tennis and football in the 1960s and 1970s, Diadora built global recognition through partnerships with tennis legend Björn Borg and footballers including Roberto Baggio.
The brand’s iconic B.Elite tennis shoe and Matchwinner football boots defined an era when Italian craftsmanship commanded premium positioning in performance categories. But the competitive landscape has fundamentally shifted.
Global sportswear incumbents Nike and Adidas control dominant market share in Italy, while specialized challengers like Asics, Hoka and On have captured growth in running through visible product innovation and focused category strategies.
The Geox ownership era
Diadora’s trajectory shifted when acquired in 2009 by LIR, the investment vehicle of the Moretti Polegato family behind Italian footwear giant Geox. The acquisition aimed to revitalize the brand through the family’s retail and manufacturing expertise.
Under this ownership, Diadora reopened in-house Italian production in 2015 using vintage machinery for premium “Made in Italy” Heritage collections, positioning the brand between performance and lifestyle. But the strategy struggled to generate sufficient scale amid intensifying competition.
The brand maintained focus on core categories including running, tennis, and football while closing less profitable commercial partnerships. Yet the fundamental challenge persisted: how to compete profitably in technical categories against both mass-market giants and specialized insurgents.
