We bought these shoes for 500 Euros. We can already sell them for 1,000 Euros. But what if I tell you that even 1,000 Euros is a bargain? The fair price for them is 1,200 Euros. To explain that, we will have to learn about the materials used here, the technology used to reinforce this material, and how the price for these shoes is determined.

ADIDAS ADIZERO ADIOS PRO EVO 1 is the pinnacle of long-distance running shoes. They've already broken the world record during the Berlin Marathon. Adidas positions them as an exceptional innovation, and that is partially true. They are incredibly lightweight, weighing only 138 grams compared to their closest competitors, the Nike Vaporfly, which weigh 187 grams. The technology that allowed them to achieve such a low weight will simply amaze you, but first, we have to delve into some technical details.
You might be wondering, "What type of foam is used here? Is it an entirely new, groundbreaking formula?" We attempted to gather this information from Adidas employees, but they are all bound by nondisclosure agreements (NDAs). We find this stupid because, on the very same day, we submitted the shoes to a laboratory, and they informed us that it's Polyether-Block-Amide, or simply PEBA. If you've watched our video covering all the materials available on the market, you probably already know that PEBA is far from new; in fact, it's already widely used across the market. We can even say that ADIDAS is one of the last brands to adopt it.

Last but certainly not least, what sets these shoes apart is not just the material but how they process it. When you're creating a PEBA midsole, the classic approach involves using a molding form, placing the core material inside, and then essentially baking it, just like making a cake. As the material expands, it fills the form, making material lightweight and responsive. However, during the expansion process within the mold, significant tension builds up at the edges. This results in a higher density of material at these edges, increasing the overall weight of the product by nearly 30%.

And here's where Adidas innovated. Instead of baking a midsole as a whole, they baked a cube and subsequently carved out the midsole from the central portion, free from any edges. This ingenious approach effectively reduces that 30% of extra weight. When you run your fingers over the product, you'll notice that the foam feels as soft as velvet, with no noticeable density on the edges.

Alright, at this stage we learned about how the lightness achieved, but next, you need to learn how much it cost. With a simple molding process, you create a molding form that can be used for producing millions of pairs of shoes. This process doesn't demand highly skilled labor, nor does it consume a lot of time. Consequently, it typically costs around $50 to manufacture a pair of Nike Vaporfly shoes.

However, Adidas' approach is quite different. Their process require triple the amount of material because they need to bake a larger form. Additionally, they use CNC MILLING process, which calls for highly skilled staff, a significant amount of consumables, and an extended timeframe. Our calculations indicate that we can produce a shoe like this for approximately $320. We assume that adidas lands at somewhere around 280 bucks.

Isn't it astonishing that it costs nearly 6 times more to produce these shoes compared to a simpler method? However, what might surprise you even more is that all those Adidas shoes they sold for 500 Euros were actually unprofitable for the company. It was essentially a charity program. To explain this, we need to delve into the economics of the shoe market.

As we mentioned, it costs around $280 to manufacture these shoes. But that's just the beginning of the expenses. You also have to factor in the cost of shipping these shoes to the country where they will be sold. Typically, brands use cargo ships for this, and it takes approximately 90 days for the shipment to arrive. Upon arrival, there are customs duties and additional fees to transport the shoes to your warehouse. On average, these additional costs amount equal 36% of the production cost. However, in this particular case, it's somewhat lower, so let's estimate it at around 20% in our calculations.

But production costs are just one part of the equation. Think about the individuals who developed the technology, designed the shoes, and organized the logistics. There are numerous employees and associated costs behind each product. This figure can vary from one company to another, but on average, it is around 40% of the product's price.

Alright, let's sum it up. We've spent a total of 448 Bucks, and now we're ready to sell. But hold on a second, where did we get that initial money to spend? An investor provided us with the capital, and naturally, they expect a return on their investment. After all, they could have simply deposited that money in a bank and earned a 5% interest. However, they believe in our venture's profitability, so they expect a 10% return. This means our selling price needs to be 493 Bucks.

But here's the kicker: we've realized we don't have a store or a website to sell our product. Establishing these platforms incurs additional costs. There are two ways to sell our product. First, we can offer a 50% discount to retailers like Amazon, JD, etc. Alternatively, we can set up our own distribution network. Surprisingly, the profitability is roughly the same in both scenarios. So, the price on their shelves will also be 986 Bucks.

Now, let's not forget about the government. They want their share too, in the form of taxes, specifically VAT. The rate varies from country to country, but on average, it's about 18%. So, the final price of the product is 1.2k Bucks.

You might be tempted to cry out, "It's a robbery!" But let's take another look. The person who organized this entire process only ends up with 45 Bucks. Clearly, he is not the one robbing you.

That is why we told that adidas is a charity company. Fair price for this product is around 1200 EURO.

Scary fact, that we do not see any real possibilities to decrease it. CNC MILLING will not get cheaper.

At this point, if you appreciate our review approach, we kindly ask that you subscribe to our channel and share this video with your friends. Much like Adidas, we're doing all of this because we genuinely care about our audience. However, it would be wonderful if we could afford to acquire more shoes for reviews.

Before we delve into the specific characteristics of these shoes, let's consider the impact they will have on Adidas and the market as a whole. They're now the fastest shoes in the world, underscoring the dominance of PEBA-based foam. This means that the previous version of the Adizero Adios Pro is no longer as compelling. Adidas will likely need to create a version 4 using PEBA as the only viable option.

But the question arises: at what price should they sell these shoes? Should they continue the charity program and sell them for 500 Euros, or should they market them for 1.2k Euros? Regardless of the choice they make, both scenarios suggest that there will be extremely limited stock available on the market. Only fortunate buyers will have the opportunity to get their hands on these shoes. This is a significant part of the reason why we've spent a considerable amount of time discussing the facts surrounding the product rather than focusing solely on its features. The reality is that most runners may never even have the chance to experience them firsthand.

When it comes to the experience of these shoes, they feel incredibly light, almost like wearing slides. There's no weight on your feet, this achieved thanks to several factors. First is the pinnacle top of the shoes. It's exceptionally transparent, providing excellent ventilation – a crucial feature for experienced runners.

However, it's important to note that this top doesn't offer a great amount of lockdown. There aren't many reinforcements or additional elements to secure your foot in place. This is also a key reason why these shoes are not recommended for novice runners.

Additionally, it's worth to mention that due to the top's rigidity and the absence of an extra insole, the level of comfort in these shoes is relatively low. They are designed with a focus on performance rather than showcasing comfort.

Now, you might be curious about how bouncy they are. They are indeed very bouncy, but to be completely honest, not excessively so. The foam used in these shoes is slightly stiffer compared to other PEBA models we've tested. Similarly, the responsiveness is just a bit less than the maximum we've experienced.

Likewise, the cushioning in these shoes follows a similar pattern. It seems that the formula that provides lightness doesn't deliver as much elasticity, which, in turn, limits the extent to which they can absorb shock. However, what truly stands out in these racing shoes is their stability. While it's still lower compared to everyday or stable models, it's significantly better than what you'd find in high-end Nike or the standard Adizero Adios Pro. This slightly better stability is fantastic because it broadens the range of runners who can experience these shoes.

We mentioned that the foam's responsiveness isn't at its maximum, but the rebound effect is extraordinary. This is thanks to the sizable forefoot rocker, which provides an efficient solution to the swing effect. To clarify, when you apply pressure to the forefoot, your heel receives a boost from the checkmark-shaped plate, creating a sensation of flying while running.

Now, there's one more aspect we'd like to address: the plate located in these shoes. We believe Adidas might have used the wrong technology here. While the rest of the market utilizes plates, Adidas used rods. Plates help activate the responsive foam more effectively. When you apply pressure on a single point, plate make it even across full length and width. In contrast, rods don't harness the full potential of the foam beneath them. This is, of course, speculative on our part, we may be wrong. Or it could be a contributing factor to why the foam responsiveness isn't as crazy in these shoes.

The next area of disappointment with these shoes is the grip. We have a theory that Adidas may have pulled a bit of a trick on all of us. This outsole might not have been designed for running; it could have been created primarily to showcase the lightest weight possible. We suspect that Adidas athletes may actually be using a different model with proper grip. This is quite surprising, as many of us may have spent 500 Euros on a show-off model to experience the lightness rather than to win races.

Lastly, let's talk about durability. We're yet to determine how long these shoes will last. The absence of a protective layer formed during molding could potentially impact their durability. Or it could turn out to be just fine; we'll have to see. Some have criticized these shoes as "single-use", but that seems to be a misconception since the entire market use same PEBA foam. However, Adidas does require a larger amount of material and generates more waste during the CNC milling process. So, we would recommend those concerned to first study the facts before making such claims.

In summary, our impression of these shoes is that they're potentially the fastest model on the market, thanks to their reduced weight and highly productive rocker that aids in rebound. However, it's not this particular model that's the fastest, as it utilizes the wrong outsole, designed more for reducing weight than providing optimal grip. Comfort isn't their strong suit, but that's not necessarily a drawback. What's most intriguing about these shoes is the uncertainty regarding their future. As we mentioned, the fair price for them is around 1.2k Euros. Will Adidas choose to go for it?