A
A PROJECT REPORT ON
“BRAND MARKETING ON ADIDAS”
SUBMITTED BY
MR. NILESH G. JAGTAP
BBA 6TH SEMESTER
YEAR 2010-2011
UNDER THE GUIDANCE OF
PROF. DOLAN MUKHOPADHAYA
(INTERNAL GUIDE)
SUBMITTED TO
UNIVERSITY OF PUNE
IN PARTIAL FULFILLMENT OF
GRADUATION IN MARKETING MANAGEMENT
(B.B.A)
S.C.M.I.R.T
KARVE NAGAR, KOTHRUD, PUNE
Declaration
I, the undersigned NILESH JAGTAP, declare that the Project Report titled as,
“BRAND MARKETING ON ADIDAS”
submitted by me for partial fulfillment of Graduation in BBA with Marketing
specialization is the original record of the project work carried out by me, under
the able guidance of Mrs. Dolan Mukhopadhaya and the same has not formed the
basis for the award of any degree, diploma, association, fellowship, titles – in or
for any other Statutory University or Autonomous Institutions functioning in India
or abroad imparting higher education in Management.
Date: _________ NILESH JAGTAP
Place: Pune. BBA-6th SEMESTER
Acknowledgement
At the start, I would like to express my sincere gratitude to Mrs. Dolan
Mukhopadhaya, my project guide from Suryadatta Institute of Management &
Information Research, Pune for successful completion of a project in partial
fulfilment of Graduation in BBA with Marketing specialization under her able
guidance to allow me to work on such an interesting subject. She provided me
proper and correct direction for completion of project work. Her continuous
guidance during the course of project helped me in channelizing my efforts, quite
appropriately.
I am also thankful to all the respondents and friends who have helped me to
conclude the contents of the project in decent and presentable manner.
Date: _________ NILESH JAGTAP
Place: Pune. BBA, 6th SEMESTER
ContentsSERIAL
No.
Title of the Serial Page No.
1 Introduction
2 Company Profile
3
4
Product Profile
Research Objectives, Research Methodology and
Research Limitations
5 Data Collection and Data Analysis
6 Findings, Conclusions and Suggestions
Annexure
Bibliography
Impossible is Nothing
Introductionadidas in India
• 1989 – entered India, license agreement with Bata
• 1996 – Joint venture with Magnum International Trading Co. Ltd.
• 1998 – Sachin Tendulkar is Brand Ambassador for India
• 1999 – introduced the cheapest range of shoes they had ever sold
• 2001 – first televised advertisement for India: Paes & Sachin
• 2004 – Advantage adidas campaign kicks in. 30% growth milestone
• 2005 – Andreas Gellner is new MD, India.
MISSION OF THE COMPANY
The adidas Group strives to be the global leader in the sporting goods
industry with sports brands built on a passion for sports and a sporting
lifestyle.
We are consumer focused » and therefore we continuously
improve the quality, look, feel and image of our products and our
organizational structures to match and exceed consumer
expectations and to provide them with the highest value.
We are innovation and design leaders » who seek to help athletes
of all skill levels achieve peak performance with every product we
bring to market.
We are a global organization » that is socially and environmentally
responsible, creative and financially rewarding for our employees
and shareholders.
We are committed » to continuously strengthening our brands
and products to improve our competitive position.
We are dedicated » to consistently delivering outstanding financial results
COMPARISON OF ADIDAS WITH OTHER BRANDS
ReebokSTRENGTHS
• Found in 1895, Reebok Intl. Ltd. Is steeped in history and heritage
• Has largest market share in India
• Has strived on street hip-hop image as its USP
• Compulsory centralized test for all sales staff
WEAKNESSES
• Least preferred brand among the three and currently stagnating
Nike
STRENGTHS
• Largest International portfolio of sport ambassadors
• Sponsors football teams with maximum fan following in India
• Highest brand image in India according to our survey
WEAKNESSES
• Rigid pricing structure
• Our survey shows Nike behind Reebok & Adidas in market share in India
Most Preferred Brands in India
Reebok adidas Nike Others0
5
10
15
20
25
30
35
40
45
CUSTOMERS’ WILLINGNESS TO PAY
500-999 1000-1999 2000-2999 3000-3999 4000+0
5
10
15
20
25
30
35
40
ADIDAS - MARKETING
PLAN
MARKETING STRATEGY People purchase products or services for three basic reasons:
To satisfy basic needs. To solve problems. To make themselves feel good.
MISSION OF THE MARKETING PLAN
To devise a marketing plan and formulate strategies which
would help in the achievement of the marketing objectives of the
company which are,
Market penetration – gaining market share across all
markets in which we compete
Market development – expanding into new markets and
addressing new consumer segments
Awareness - increasing awareness and visibility across all
brands, providing clear and consistent messaging and
supporting product initiatives at the point-of-sale.
TARGET MARKETS
The target market of Adidas is the urban youth with the brand
proposition ‘competition to lifestyle’. The principle
consumption centres namely the metros are also a potential
target market!
MARKET NEEDS
Comfort
Durability
Style
Price
Brand
MOST IMPORTANT FACTOR BEFORE PURCHASE
Durability Comforts Looks Brand Others0
10
20
30
40
50
60
THE MOST IMPORTANT FACTORS BEFORE PURCHASING
ANY BRAND ALL THE CUSTOMERS LOOKS FOR ARE THE DURABILITY, COMFORTS, LOOKS, BRAND AND OTHER FACTORS LIKE PRICE, STYLE
ETC
Product Mix
BRAND EQUITY
Nike Adidas Reebok Others0
5
10
15
20
25
30
35
40
45
AdidasFOOTBALLRUNNINGShoes, spikes, socksBASKETBALLCASUAL
COMPANY PRODUCTSADIDAS
RUNNINGShoes, spikes, socks,FOOTBALLStudded boots, stockings, team-its, warm up suitesBASKETBALLShoes, jerseys n shorts, team kitsGOLF – TAYLORMADEHats, gloves, bags, vintage clubs (golf sticks), golf balls, putters, CASUALFootwear and clothingApparels and accessories
NIKEFOOTBALLBoots, jerseys, shorts, stockings, team kits, warm up suites, BASKETBALLShoes, jerseys, shorts and team kitsGOLFShoes, golf balls, apparelATHLETICSShoes, spikes, compressor apparel, training kitsNIKE+i-pods and watchesCASUALFootwear , apparels and accessories
PUMAFOOTBALLBoots RUNNINGShoes, studs, warm up suites and training kitsGOLFGolf ball and apparelsMOTORSPORTApparels, equipments and footwearSAILINGChute, board shorts, cruising jackets and accessoriesCRICKETBats, gloves, pads, footwear, training kits, apparels and equipments.
COMPETENCE
The firm has a stiff competition
in the Indian market. Currently,
Nike is the leading player in the
industry.
Multi-Brand Approach
There is a natural limit a brand can achieve given the diverse tastes and expectations of a highly fragmented consumer market. Thus, a multi-brand approach will provide the firm with a major competitive advantage and significant additional commercial opportunities compared to a single brand strategy. It can leverage the power of its brands in a more precise and meaningful way, utilizing the combined strengths of each to compete for a higher percentage of the market, covering a greater number of consumer needs, price points and demographics.
Broader distribution Close cooperation with retailers can significantly improve the in-store experience for the product. Establishing shop-in-shop formats (e.g. with JJB and Dick’s Sporting Goods) or retail partnerships (e.g. with INTERSPORT) are examples where the company is leading the industry. Such co operations can be particularly effective in markets that have become dominated by price and lack of differentiation.
Cost leadershipThe acquisition of Reebok has created significant opportunities to reduce and optimize costs, through scale benefits, back office consolidation and combined capital expenditure planning.
MARKET SEGMENTS
Geographic segmentation Densi
ty: Urban and semi-urban cities
Demographic segmentation Age:
15 to 35 Inco
me level: >Rs. 15,000 Socia
l class: Upper middle, lower upper and upper class
Gender: Male and female
Psychographic segmentation Expe
riencers
Achievers
Image drivers
Strivers
ADIDAS – Strategy in India
Adidas’ strategy in India has been consistent over the past
few years. The broad elements of the strategy are to target
the brand to urban youth with our brand proposition from
‘competition to lifestyle’ using the authentic sports
platform and build and reinforce credibility through
relevant brand ambassadors and grassroots sports
marketing programs. Further, it would target principal
consumption centers, namely metros and build significant
stand-alone exclusive store presence in significant
locations. The strategy would be to play to our strengths,
i.e. in apparel and mid to high priced footwear.
QuestionaireName:Age:Occupation:
1. Which brand you prefer?a. Puma b. Reebok c. Nike d. Adidas
2. Do u prefer brand Adidas?a. Yes b. No
3. Are you satisfied with the marketing campaigns of Adidas?a. Yes b. No
4. Which range do you prefer?a. Economic range b. High range
5. Frequency of shopping from Adidas?a. Ocationally b. Frequently
