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Under Armour The Building of The House Kristopher Nolt Casey Doyle
Case Overview  The initial concept was simple: create a T-shirt that would be affordable, featherweight, moisture-wicking, helpful to every individual athlete’s body type and training environment, and would fit skin tight so it would lie flat under straps and pads (Shannon, 2003). Saturated Market  Develop Cost Effective Marketing Techniques
Facts/Issues  Co-Founders: Kevin Plank, Kip Fulks  $310,000 Funding  Humble Beginnings  Successful Marketers
Decisions  What Product would be created  Where would their limited resources be allocated  Which Marketing Methods would be the most effective
SWOT Analysis Strengths  Innovative Product  Owner Weaknesses  Limited Resources  Small Amount of Capital Opportunities  Lack of performance apparel  Development of useful marketing methods Threats  Saturated Market
Courses of Action Under Armour could allocate monetary resources and develop a traditional marketing plan consisting of TV/Radio advertisements, printed advertisements etc.  Under Armour could allocate their resources into developing a cutting edge product and find creative ways to market the product through cheap and effective techniques.
Evaluation Criteria  Capital  Availability of new Marketing Techniques
Decision  Decided to allocate resources to create a innovative, quality, and superior product  Start building brand with low cost marketing techniques
Athlete Endorsements  Product as Marketing Agent  Athletes are walking billboards  The utilization of athlete endorsers is a successful method of marketing because of the desire of young athletes to play sports and act as the professionals act (Stone, Joseph, & Joe, 2003).
Word Of Mouth  Word of mouth marketing is one of most impactful methods of marketing, influencing awareness, expectations, perceptions, attitudes, behavioral intentions, and actual purchase (Ha, 2004; Reichheld & Schefter, 2000; Roman & Cuestas, 2008; Ward & Lee, 2000).  “Two things we can guarantee with every (new product) launch is that we will deliver great innovation with the product and that the brand will deliver entirely new energy and buzz into whatever category it enters” – Steve Battista
Infusion of Pop Culture and Buzz Marketing  When brands are able to evoke the energy and emotion of what is cool at the moment, they are more likely to stand out in today’s cluttered marketplace (Mehta, 2009).   With the impact that media has on society, popular culture can create fashion trends and icons of individuals in a very short period of time (Kenyon, Woods, & Parsons, 2008).
Product Placement  Product (or brand) placement has grown significantly over the past decade; marketers now frequently use placements as the basis for multimillion dollar advertising and promotional campaigns (Karrh, Mcee, & Pardun, 2003).   With the increase in non-traditional media, such as video games and Tivo, traditional 30-second TV inventory was not as effective as it has been in the past (“IMG revolutionizes… Tivo,” 2007).
Consequences  Under Armour has exploded  Company name has become synonymous with the product Expanded Product Line  Afford traditional marketing methods  Team Sponsorships  Licensing Deals  Title Sponsorships
What We Learned  Importance of creating a quality product  Benefits of utilizing cost beneficial marketing techniques  If you believe in a product, others will as well
QUESTIONS?

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Under Armour Case Study

  • 1. Under Armour The Building of The House Kristopher Nolt Casey Doyle
  • 2. Case Overview The initial concept was simple: create a T-shirt that would be affordable, featherweight, moisture-wicking, helpful to every individual athlete’s body type and training environment, and would fit skin tight so it would lie flat under straps and pads (Shannon, 2003). Saturated Market Develop Cost Effective Marketing Techniques
  • 3. Facts/Issues Co-Founders: Kevin Plank, Kip Fulks $310,000 Funding Humble Beginnings Successful Marketers
  • 4. Decisions What Product would be created Where would their limited resources be allocated Which Marketing Methods would be the most effective
  • 5. SWOT Analysis Strengths Innovative Product Owner Weaknesses Limited Resources Small Amount of Capital Opportunities Lack of performance apparel Development of useful marketing methods Threats Saturated Market
  • 6. Courses of Action Under Armour could allocate monetary resources and develop a traditional marketing plan consisting of TV/Radio advertisements, printed advertisements etc. Under Armour could allocate their resources into developing a cutting edge product and find creative ways to market the product through cheap and effective techniques.
  • 7. Evaluation Criteria Capital Availability of new Marketing Techniques
  • 8. Decision Decided to allocate resources to create a innovative, quality, and superior product Start building brand with low cost marketing techniques
  • 9. Athlete Endorsements Product as Marketing Agent Athletes are walking billboards The utilization of athlete endorsers is a successful method of marketing because of the desire of young athletes to play sports and act as the professionals act (Stone, Joseph, & Joe, 2003).
  • 10. Word Of Mouth Word of mouth marketing is one of most impactful methods of marketing, influencing awareness, expectations, perceptions, attitudes, behavioral intentions, and actual purchase (Ha, 2004; Reichheld & Schefter, 2000; Roman & Cuestas, 2008; Ward & Lee, 2000). “Two things we can guarantee with every (new product) launch is that we will deliver great innovation with the product and that the brand will deliver entirely new energy and buzz into whatever category it enters” – Steve Battista
  • 11. Infusion of Pop Culture and Buzz Marketing When brands are able to evoke the energy and emotion of what is cool at the moment, they are more likely to stand out in today’s cluttered marketplace (Mehta, 2009). With the impact that media has on society, popular culture can create fashion trends and icons of individuals in a very short period of time (Kenyon, Woods, & Parsons, 2008).
  • 12. Product Placement Product (or brand) placement has grown significantly over the past decade; marketers now frequently use placements as the basis for multimillion dollar advertising and promotional campaigns (Karrh, Mcee, & Pardun, 2003). With the increase in non-traditional media, such as video games and Tivo, traditional 30-second TV inventory was not as effective as it has been in the past (“IMG revolutionizes… Tivo,” 2007).
  • 13. Consequences Under Armour has exploded Company name has become synonymous with the product Expanded Product Line Afford traditional marketing methods Team Sponsorships Licensing Deals Title Sponsorships
  • 14. What We Learned Importance of creating a quality product Benefits of utilizing cost beneficial marketing techniques If you believe in a product, others will as well

Editor's Notes

  1. Good Morning my name is Kris Nolt and this is Casey Doyle and our presentation is titled under armour, the building of the house.
  2. Casey: Read first bullet pointKris: At the beginning Under Armour was entering a market that was already heavily saturated with the likes of Nike, Addidas, Champion and Russel. Casey: This case focuses on the humble beginnings of this performance apparel empire and the marketing techniques employed by Kevin Plank and his staff that made Under Armour what it is today.
  3. Under Armour was created in the later part of the 90’s by Kevin Plank and Kip Fulks. Plank first had the idea for the product while he was playing football at the University of Maryland. The plain cotton t shirts got heavy with sweat and needed to be changed