1989 Entered India, license agreement with Bata‡1996 Joint venture with Magnum International Trading Co. Ltd.‡1998 Sachin Tendulkar is Brand Ambassador in Cricket for India‡1999 Introduced the cheapest range of shoes they had eversold‡2001 First televised advertisement for India: Paes & Sachin‡2008 Kapil Dev is Brand Ambassador in Golf for India‡2009 Jeev Milkha Singh is Brand Ambassador in Golf for India
Adidas is a shopping productAble to penetrate the market as itis cheaper than its competitorsUses market skimminge.g white T-mac 4 shoes is beingcharged at a higher price thanthe other colour of the sameversion
Adidas tries to position itself as Sporty brandby associating itself with Major Sports events,Aspirational and successful sportspersons,and also by creating commercials full ofenergy.The slogan as mentioned is also very sporty.The primary positioning which Adidas wantsto make is of Super quality sports good forSporty persons.
HISTORY OF NIKE INC.► Its name is derived from a winged Greek goddess.► “Swoosh” logo designed by Caroline Davidson.► Is now one of the world’s top shoemaker that captures more than 20%of US athletic market.► Original name of Nike given by Phil was “Blue Ribbon Sports”.► With an agreement and handshake in 1964, they began importingJapanese brand Onitsuka Tiger running shoes.► By late 70’s, Nike had moved from $10million to $270million in sales.► In 1996, revenue increased to $6.74billion. Sales reached $12billion in2000.
The company sells its products to retail accounts, through its ownedretail stores, and through a mix of independent distributors andlicensees, as well as through Internet Web site ‘nikestore.com’.NIKE inc. has major four subsidiaries which are: Converse Cole Haan Holdings Nike Bauer Hockey Hurley InternationalSales Technique
► STRENGThs► Very competitive organization► Worlds number one shoe maker► Very strong at R&D and covers a vast area► Nike has no factories► Strong marketing campaignsWEAKNESS► It does not have a unrelated diversifiedrange of products.► Retail store is very price sensitive► Expensive as compared to competitors► Recession in Asia
WHY THIS STRATEGY?►Nike being a sports brand►Cricket- Religion inIndia►Covers larger targetaudience
MARKETING STRATEGIES►Brand image►Web site of the Nike►Customer preferences►Update itself timely►Product differentiation
4PS OF MARKETING► Product► Price► Place► Promotion
Nike Brand FoundationMarketing Strategies and Tactics• Ambush MarketingProminently displaying Nike Swoosh at Reebok sponsoredeventsTiger Woods wears Nike Products while pitching othercompanies•Guerrilla marketingPays athletes to use their products.•Mass marketingNike products or subsidiaries are sold at massmerchandisers such as WalMart, Kohl’s, and Macy’sMore>
Nike Brand FoundationMarketing Strategies and Tactics•Urban TacticsFree sneakers are delivered to inner cities , creating ademand for more.•Psychological Tactics“Just Do It”•Outsize TacticUse of extremely large advertising budgetLarge supply chainMultiple retail outlets
► Puma has approximately 7742 employees and it is spread in about 80 countries.► Puma is the main producer of enthusiast driving shoes and race suits.► They are the prime producer in both formula one and NASCAR► PUMA has sponsorship with FERRARI and BMW
SEGMENTATIONSportsmenMen and women who like sporty energeticapparel with a spray of uniqueness in their apparel.
TARGETINGUrban young upper middle class, andUpper class Men and Women
PositioningPuma is an international brand withcreativity,energy ,andstyle in their apparelat a very affordable price.
SWOTStrengths:1. Puma is established over 90 countries and employs around 8300 employees all over the world.2. Puma is the main producer of enthusiast droving shoes and racing suits in both Formula One andNASCAR.3. Puma is entered into partnerships with famous companies like Ferrari and BMW.4. Puma brand is very innovative and has a very rich Research and Development team. The Companyproduced the first screw boots for football and “Mexico 68” with the innovative brush soles, which were themost comfortable running shoes.5. Puma has an excellent brand name throughout the world.6. The brand has excellent management and marketing strategies and has the advertised the products verywell and eye-catching throughout the world.7. Puma has entered into sponsorships with various players and teams in different sects of the sportingindustry.8. Puma was the official sponsor of the FIFA football World Cup
Weakness:1.Puma has tough competition and limited market share compared to Nike and Adidas2.The company has less financial strength compared to the other brands in the industry3. Tie-ups with sports academies and schoolsOPPORTUNITY:1. The company can attain more sponsorship as more international events in the sportingindustry are taking place.2.The company can start entering the lifestyle section of the industry
Threats:1. The current economic situation is very bleak, hence expansion isminimal.2. There is extensive completion from existing players an new playerswhich is growing in the industry.3.Imitations of the brand is extensively increasing