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LI-NING STRATEGIC RECOMMENDATION USA 2015

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Increase Li-Ning market share among young american & improve brand awareness

Grade: 18/20

Concept: Federate younger people through the idea of community & Offering a new look at competition

Positioning: Li-Ning, bringing friends together.

Sport is more than a game, or a competition! It's a story of people doing thing together, sharing success & feeling strong emotions!

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LI-NING STRATEGIC RECOMMENDATION USA 2015

  1. 1. STRATEGIC RECOMMENDATION 2015
  2. 2. PLAN I/ Li-Ning & Market introduction II/ From Target to Concept III/ Strategic Recommendations 2
  3. 3. I/ Li-ning & Market Introduction 3
  4. 4. LI-NING •  Founded in 1990 by Li Ning a former Chinese Olympic Gymnast •  Headquarters in Beijing, and US ones opened in 2010 + A flagship shop in Portland •  Quoted on the Hong-Kong Stock Exchange in 2013 •  Partnership with Chicago-based Acquity Group to improve its distribution and brand awareness Revenue: US $1.354 billion in 2010 Net Income: US $220.9 million 4
  5. 5. LI-NING Shift in the identity in 2010: 让改变发⽣生 for non Chinese speakers Make the change 5
  6. 6. BRAND OFFER Product: Li-ning: Sports footwear & apparel, equipment & accesories Sports: Running, Basketball, Badminton, Football, Tennis and Fitness Place: 2007: 4,297 Li-Ning retail stores, some owned, some franchised Promotion: Athletes & teams endorsements in China & around the world, NBA: Baron Davis, Shaquille O’Neal, Damon Jones, Dwyane Wade who left Jordan brand for Li-Ning Apparel provider for Olympic Gamers Since 2006, collaboration with Limited sale edition in 2006 6
  7. 7. SWOT STRENGTHS WEAKNESSES •  Good sponsorship of NBA •  Increase in sales since last years •  The quality of product is recognised by sports industry •  Investment in media since several years (TV ads) •  1st annual loss since 2004 •  No brand awareness in USA •  Brand identity too close form the Nike Swoosh •  Dry Laundry - Greenpeace report on massive pollution in China including a lot of brand OPPORTUNITIES THREATS •  Sport culture is really important in the USA •  Sportswear market is evaluated between $480 and $620 billion •  Challenging market conditions in China •  Economic crisis since 2008 •  USA has the largest number of obese people •  Other brands invest huge amount of money in communication •  Brands like Adidas or Nike are more legitimate to sell in USA 7
  8. 8. MARKET Brand Value in Billion $ 16 14 12 15 10 8 6 4 5 2 1,5 1,4 Reebok Under Armour 0 Nike Adidas Forbes: http://www.forbes.com/pictures/mlm45eleik/forbes-fab-40the-most-valuable-brands-in-sports-2013-3/ 8
  9. 9. MAPPING 9
  10. 10. PROBLEMATIC How Li-Ning can emerge in the US sportswear market and increase its market share among younger people whereas the market is already saturated by historical brands? 10
  11. 11. II/ From Target to Concept 11
  12. 12. OBJECTIVES •  Increase market shares among young Americans •  Improve brand awareness from none to aided awareness •  Attribute distinctive qualities to Li-Ning Equipments •  Increase visibility on the digital •  Create a WOM process – community 12
  13. 13. TARGET Main target: Y Gen •  15-25 yo •  Boys & Girls •  Enjoying sports •  Fickle, no brand loyalty to a brand 13
  14. 14. TARGET Core target: Digital Native - Ultra Connected •  15-25 yo •  Boys •  Involved in a sport team: Basket, Badminton… •  Spend more than 52 hours per month on internet •  Spending on average 2,3 hours per day on social media 18-25 yo University students Using the Internet each day through a computer or a laptop for more than 5h13 per day 14-17 yo High School students Multitasking on digital channels Mobile: an average use of 2h25 on internet per day Social, Digital & Mobile around the world – We Are Social – Jan 2014 14
  15. 15. TARGET Secondary target: Teens •  15-19 yo •  Boys & Girls •  Fashion conscious •  Entertainment focus, Serie Addicts 15
  16. 16. TARGET Influencers: •  •  •  •  Vloggers Bloggers Influencers on Social Media (Twitter, Instagram…) Journalists in People, Lifestyle, Entertaining, Teens magazines 16
  17. 17. COMPETITORS Nike = Health / Lifestyle Recently Jordans = Lifestyle Miley Cyrus 23 – Jordan shoes Adidas = Both Street Style / Sports conscious Foot locker Snoop Dog 17
  18. 18. CONCEPT Federate younger people through the idea of COMMUNITY Bringing your friends together to share sporty moments 18
  19. 19. POSITIONING Li-Ning, Bringing friends together A new look at competition, See it through your friends’ eyes 19
  20. 20. RTB It’s more than a game, or a competition! It’s the story of people doing things, sharing success and feeling emotions together. 20
  21. 21. III/ Strategic Recommendation 21
  22. 22. STRATEGIC RECOMMENDATION Global Advice •  Build a digital ecosystem –  improve traffic through different platforms –  increase the time spend inside the brand channels of communication •  Invest in Social media to support the community & invite people to create UGC 22
  23. 23. STRATEGIC RECOMMENDATION Global Advice •  Facilitate every interaction with digital channels through links, buttons and Twitter/Facebook Connects •  Aggregate information into a Database, & consolidate them to push personalized offers 23
  24. 24. STRATEGIC RECOMMENDATION Global Advice •  Provide a great amount of content to invite people to discuss about it and to improve our organic ranking in Google •  No massive invest in event/media like the Superbowl but repetition in leads mind through a presence in every channel 24
  25. 25. STRATEGIC RECOMMENDATION Global Advice •  Creation of the hashtag #Lining •  Federate every content about the brand around a Hashtag => 1 unique database to measure the digital echo •  Stick to an agreed strategy > 1 use per channel for a greater message clarity 25
  26. 26. ECOSYSTEM Website Thorough reworking on every digital channels Dedicated Website wayofwade.com/ Brand Website not e-commerce li-ning.luhta.com/ Corporate Website lining.com/‎ 26
  27. 27. ECOSYSTEM Dedicated website The ecosystem needs CONSISTENCY Corporate Website Core platform: Brand Website E-commerce A Blog Provide content & demonstrate expertise 27
  28. 28. RENAMING 1 use per channel Li-ning.luhta.com Lining.com/‎ Wayofwade.com‎ BRAND CORPORATE DEDICATED Lining.com Liningbusiness.com Wayofwade.com Blog Lining-blog.com 28
  29. 29. WHAT’S INSIDE / BRAND SITE Core platform Simple platform Ecommerce Web responsive Personal Account > Facebook/Twitter connect Good quality pictures of products + descriptions + consumer reviews Special offers Share buttons 29
  30. 30. WHAT’S INSIDE / BLOG CONTENT COMMUNITY Phase 1: The content/community are managed by the brand Display articles, interviews, videos to attract a community Phase 2: The content/community is managed by its own members who will discuss own subjects through different forums 30
  31. 31. APP Co branding with an existing app: TEAMUP Principle: “Get together with people in your area, looking to get out, get active and have fun” J 31
  32. 32. SOCIAL MEDIA ECHO 32
  33. 33. SOCIAL MEDIA •  Main plateform : #Lining •  Hashtag •  Livetweet •  RT •  The central network to activate the others channels 33
  34. 34. SOCIAL MEDIA •  Broadcasting products explanation & athletes interviews •  Shoppable video •  Comment inside videos 34
  35. 35. SOCIAL MEDIA Will relay & display Photo & Video: •  News •  Events •  People wearing Products •  Contests > Incentive “Serie” Relay #Lining Aggregating UGC 35
  36. 36. SOCIAL MEDIA Animate the community •  Use of Boards: New/ Products/Videos/Trends/ Around the world By color/products/sports •  Use of Open Graph: Post the pin directly on Facebook and Twitter 36
  37. 37. SOCIAL MEDIA Will relay: •  special offers •  Promotions •  Contests Relay #Lining Aggregating UGC 37
  38. 38. BLOGGER/VLOGGER Keep the world informed about company’s latest products, projects and achievements •  •  •  •  •  Press Releases Send free products Try it Create content Impulse WOM 38
  39. 39. INCENTIVE 39
  40. 40. INCENTIVE Contest: Play against Wade Contest ONLINE Tournament OFFLINE Principle: •  Invite friends to create a team •  Share it •  Invite other friends to Like •  Reward: Tournament against Dwyane Wade 40
  41. 41. INCENTIVE •  Contest: Sponsor My Team •  High school football/basket/badminton teams •  Reward: Sponsor the winning team (customized shoes+ sweat) •  Principle: each team will post one tweet with #Lining #SponsorMyTeam •  Winner: Most RT 41
  42. 42. INCENTIVE •  Contest: Act in your favorite show •  Instagram contest: Replay one of your favorite scene with friends wearing #Lining shoes •  Winner: Most Likes •  Reward: Visit Teens shows set 42
  43. 43. STREET MARKETING •  A specific vending machine for 2 friends •  Finds shoe sizes thanks to a Kinect •  Allows them to try pairs of sneakers Grab & Try
  44. 44. MEDIA RELATED 44
  45. 45. TALK SHOW •  Shazam your Talk show •  Principle: Scan with your shazam app the display and redirect you on the e-commerce website 45
  46. 46. PRODUCT PLACEMENT •  Teens TV shows: + Mini series youtube 46
  47. 47. IN-STORE 47
  48. 48. POS •  Some shops will be equiped with a giant TV screen Content display •  Instagram pics of the #Lining community •  Tweets of #Lining •  Livetweet with #Wade #Lining •  Videos/Ads 48
  49. 49. PLANNING 49
  50. 50. PLANNING 50
  51. 51. BUDGET BUDGET   Website   Blog   Social  Media  Presence   App  co-­‐branding   >  Play  against  Dwyane  Wade   >  Act  in  your  favorite  Serie   >  Sponsor  my  team   Street  Marke=ng   Shazam  >  Talk  shows   Product  Placement   RP  Blogger/Vlogger   POS+PRINT   TOTAL   51  $90  000      $40  000      $190  000      $13  000      $150  000      $40  000      $50  000      $700  000      $200  000      $100  000      $30  000      $400  000      $2  003  000    
  52. 52. Thanks for your attention Q&A 52
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Increase Li-Ning market share among young american & improve brand awareness Grade: 18/20 Concept: Federate younger people through the idea of community & Offering a new look at competition Positioning: Li-Ning, bringing friends together. Sport is more than a game, or a competition! It's a story of people doing thing together, sharing success & feeling strong emotions!

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