1.1 Introduction
Founded in 1959, Pallas is a household name in Malaysia as far as footwear is concerned. The name
Pallas is plastered in every town across the country. Affordability is not Pallas' only forte. Designers at
Pallas ensure that the styles keep up with changing trends. With each new design, quality, durability and
comfort are not sacrificed. Our philosophy is to offer an extensive range of footwear for the whole
family, combining leading-edge fashion with exceptional value for money! Easy Comfort. That’s our
commitment to you.
Our collection covers everything a family could want. We have an amazing selection of men’s, women’s,
teen’s and children’s shoes, highlighting the latest trends for the season along with everyday essentials.
Our shoes, slippers, sandals and sports varieties come in different colors and sizes to cater for the
current trendy men, women, teens and children. For men and women, we have a wide range from chic
casual to comfort and stylish sandals. For teen’s and children's shoes, you need look no further as we
stock one of the largest range of comfort shoes for teens and kids. With helpful advice available, you will
be able to find the perfect fit, and when it comes to going back to school, our collection has every style
you could wish for.
Through our own labels we have developed great ranges of shoes for all ages with a focus on style,
quality and value. We also have an impressive range of branded products, from famous labels including
PALLAS, JAZZ, REJAM to crossovers with international labels like WARNER BROTHERS and DISNEY
MICKEY.
1.2 Problem Statement and Issues
Pallas shoes is very well known among school student in Malaysia, and have over 96 stores across
Malaysia including Sabah and Sarawak. The problem that this brand had, is their product only will be
bought during school season, as if they only sell school shoes, whereby they also sells casual shoes as
well, under the name Jazz, same as the white and black school shoes. Since Pallas Jazz is a canvas shoes,
this brand had many competitors throughout overseas, most likely a well-known shoes company such as
Vans and DC shoes. So, people prefer to wear international brand over local brand. The main issues for
this products is, people always assume that this brand is only for school student, because of its origin as
a school shoes.
2.1 Product Name
Pallas Jazz “Lo Cut Shoe Lace”
2.2 Product Classification
Provide school shoes and casual shoes at affordable price range.
2.3 Product Characteristics
• Type – Shoes, Packaging – Rectangle Shoe Box,
• Pricing Range – RM 38.99 to RM 43.99 unit per sale
2.4 Product Range
• School shoes – Black and White
• Casual – Blue, orange, purple, red, peach, light green, dark purple, light brown, grey, forest
green, French blue, dark brown, dark blue
2.5 Distribution
Pallas use direct and indirection distribution. Pallas distribute directly its product throughout all of their
stores in Malaysia, all 96 of them. Pallas also sells their product indirectly, by using another party to sell
their goods, such as an independent shoes store or local shoes store that want to make profit by selling
the brand. Pallas also use an e-retailer to sell their product, which can be find in wowtowee(dot)com.
2.6 Product Life Cycle
Most of sales that Pallas gain, during every early years, when student get back to school, which is an
annual event for Pallas that is “Back to School with Pallas”
2.7 The Brand
PALLAS was introduced early 1978, recognized as a distinctive mark of quality and comfort. Having the
comfort of the consumers at the top of their agenda, Pallas footwear are designed and developed
around its aptly chosen tagline of "Pallas…..Easy Comfort", i.e. “comfort that are easily affordable”. True
to its tagline of “easy comfort”, Pallas range of footwear is known for its easy style and wearing comfort.
Each pair of Pallas footwear is well researched and designed to provide maximum comfort for prolonged
wearing. There are few type of shoes, which is Jazz casual, Jazz School, Rejam and Freetime. Jazz casual
is for fun, colourful, casual shoes for young active, fun loving adult!! "comfort" and "easy" shoes that is
truly value for money!! Jazz School is specially researched & designed to bring all days comfort for
student!! Rejam is a performance shoes that designed for Sepak Takraw professionals with its
technology FLEX, DR10, VGrip!! Last but not least is “Freetime” stylish slippers and sandals that comforts
your feet!!
2.8 Brand Image and Implication
Pallas has been in the market for a long time, almost all Malaysian will know this brand, since everyone
is familiar with the shoes, because it is such a memorial brand to be remembered, some of the user
were using they were at school age, and pass it to their children. It is a brand that can be passed through
generation after generation, it can also be called in these as a “throwback”. The quality of the brand is
very good, and it is very affordable, even though they have many competitors, but a loyal customer
would still buy the brand.
2.9 Strength and Weakness
Strength Weaknesses
• An established brand and has been in
business over 30 years (38 years)
• Wide range of color and sizes
• Cheap compare to its competitors
• People assumes this brand is only for
school student
• Hasn't been able to penetrate emerging
markets
2.10 Advantage and Disadvantages
Advantages Disadvantages
• Can be used anywhere and anytime,
durable, flexible, comfort
• Not selling to all outlet
2.11 Unique Selling Proposition
• Local Made
• Affordability
• Fun & Style
• Canvas Shoes
• Wide Color Range
• Durable
• Flexible
• Comfort
2.12 Promotional History and Advertising Schedule
Pallas Jazz has been in the industry for many years, the business is increasing every years. They have
created many events throughout the years. Since the company enter the world of social media which is
Facebook, their marketing plan starting to rising up. They start to make online competition such as
submitting picture of people with their beloved mother for celebrating mother’s day and also picture of
their favorite teacher for celebrating teacher’s day. Pallas also made a school visit event and any other
event such as sports event, and they normally do it in Penang, because it is from their base company.
For an annual promotion usually, during starting school season, which is “Back to School with Pallas”.
They have promoting this event throughout Facebook and Banners and Poster around Shopping
Complex. They also have promoting one their other brand which the casual Pallas Jazz, which is as not
popular as the normal Pallas Jazz school shoes, which is not all stores have it, and need to purchase it
online.
2.13 Positioning statement
For the casual shoe lover. Pallas Jazz offer comfort shoes, with a lot of varieties in colors, which is locally
made and it can afford by any class range.
3.1 Company Overview
Pallas offer services by selling their own shoe brand which locally made in Malaysia. Their major brand
would be their school shoes, which is their highest profit came from. At the same time, they also sells
casual shoes, sepak takraw shoes and also slippers.
3.2 Business Description
This company is in sector of consumer discretionary which is an industry that sells apparel & textile
product. Their sub-industry is selling footwear which is Pallas.
3.3 Company History
Southern Rubber Works Sdn. Bhd. Was founded in 1959. The Company’s line of business includes the
wholesale distribution of footwear. PALLAS was introduced early 1978, recognized as a distinctive mark
of quality and comfort.
3.4 Key People
• Group Chief Executive Officer – Ho Kok Loon
• Pallas Brand Executive - Eppie Lee
• Brand Development Manager - Katherine Lim
3.5 Location and Subsidiaries
Pallas
Southern Rubber Works Sdn Bhd
178 Lebuh Pantai
10300 Georgetown
Penang, Malaysia
3.6 Brands, Major Products and Services
Pallas ( Jazz school, jazz casual, rejam, freetime)
• Jazz school - Specially reaserched & designed to bring all days comfort for student
• Jazz casual - fun, colourful, casual shoes for young active, fun loving adult
• Rejam - performance shoes that designed for Sepak Takraw professionals with its technology
FLEX, DR10, VGrip
• Freetime - stylish slippers and sandals that comforts your feet
3.7 Corporate Vision
To provide maximum comfort for prolonged wearing.
3.8 Corporate Mission
There is no information
3.9 Company’s Current Promotional Strategy
• April, 2011 – PWTC (Malaysia International Shoe Festival 2011), spin & win
• May, 2011 – Han Jiang Hall Penang (Lion Dance)
• June, 2011 – Ipoh, Starwalk
• September, 2011 – Penang Times Square, Starwalk
• September, 2011 – Autocity Juru Penang (Lion Dance Competition)
• November, 2011 – Kembali ke sekolah, Happy Shoes
• November, 2012 – Kembali ke sekolah dengan smart pal
• March, 2013 – Back to school contest
• June, 2013 – Ipoh, Starwalk
• July 2013 – Collaboration with Disney Mickey shoe design for kids
• September, 2013 – Penang, Starwalk, A walk of remember
• December, 2013 – Collab with CineAD for free movie ticket at GSC
• December, 2013 – Kembali ke sekolah dengan pallas hero
• February, 2014 – Pallas authorized online dealer with wow2wee[dot]com
• May, 2014 – Share your precious moment with your mom contest
• June, 2014 - Express your love to your father in this father day contest
• June, 2014 – Penang, Go green with pallas, tree planting project
• July, 2014 – Ramadan food sharing contest
• September, 2014 – Penang, Starwalk
• November,2014 – kembali ke sekolah dengan pallas creator
• December, 2014 – shoe sponsorship for student
• Januari, 2015 – tree planting project
• April, 2015 – tree planting project
• May, 2015 – happy mother’s day everlasting love photo contest
• May, 2015 – happy teacher’s day “wefie” contest
• May, 2015 – tree planting project
• June, 2015 – father’s day, Super Dad completion
• August, 2015 – Merdeka, best wishes to Malaysia contest
• September, 2015 – Penang, Starwalk
• September, 2015 – Penang, Lantern making
• December, 2015 – Back to school with pallas, dare to dream
3.10 Product Sales’ History
Product sales of this brand is privacy.
3.11 Current Marketing Objective
Selling more casual shoes, by came out new range of color which is the latest is the “retro” color.
An annual event, promote their school shoes every in the end and the beginning of the year
3.12 Media Expenditure
• Starwalk - Discover the joy and history as you walk along town. A collaboration with Star
newspaper
• Tree planting project – help to preserve tree in Penang
• Back to school – annual event on every year to promote Pallas school shoes
4.1 Consumers’ Characteristics
4.1.1 Current Consumers’ Characteristics
• Age 7 – 30 years
• Gender : Both Male and Female
• Students and adults, from families to group of youngsters
• Allowance of the student could be RM300 –RM700
• Salary of the adult are RM900 – RM3000
• Come from varieties of races and ethnics whether local or foreigner
• Malaysia
4.1.2 Psychographics - Identify “current” psychographics situation;
• Same perception towards local product, that the product are not good enough
• Mostly learn from peers and experience.
• Motivation & needs: the product cheaper than any other brand
• Attitude & Personality: skaters and casual look.
• Lifestyle: student and don’t care about brand
4.2 – Stakeholders’ Characteristics
4.2.1 Primary
Currently, there is no information about the main internal stakeholders in the media that can be find to
support this topic.
4.2.2 Secondary
Currently, there is no information about the main internal stakeholders in the media that can be find to
support this topic.
5.1 The Industry
5.1.1 Definition
It is axiomatic to say globally, the footwear industry has an expanding market. World population
increases, living standards rise, so does the demand for footwear.
5.1.2 Shape of the industry
The global footwear market has seen wide-ranging trends across totally different geographic regions like
North America, Europe, Asia Pacific, and rest of the globe. The worldwide footwear market is driven by
factors like growing demand for brand new style of footwear and growing awareness concerning healthy
and active life style. Increasing population, propensity of individuals to pay additional and rising stores
have additionally attributed to the growing demand for footwear across the world market. Also, there
are sure restraints that are slowing down the expansion of the world footwear market. Increasing
environmental considerations and inflation of raw material are the most factors that are acting as
restraints for the world footwear market. However, there's a good chance within the footwear market
like changing consumers' fashion and fashion trends, rising role of e-commerce and increasing new
brands within the market that may enhance the demand of footwear market within the coming years.
Some of the highest players in the world footwear market are Nike, Adidas, Ascis, Puma, VF Corp,
Skechers and New Balance among others. At present, among the highest players in the world footwear
market, Nike is that the leading footwear company followed by Adidas and Ascis. Nike and Adidas have
the foremost range of stores, sturdy marketing, and huge client base globally. Asics and puma are
fashionable in the European market where as VF Corporation. Skechers, and New Balance are American
corporations with sturdy presence in the American footwear market.
The footwear market has been divided into three segments: by varieties of footwear, by consumer
group, and by geography. Further, the by varieties of footwear include athletic footwear and non-
athletic footwear. The report additionally offers competitive analysis regarding sub-segment of athletic
footwear and non-athletic footwear. Athletic footwear section offers merchandise of four classes that
include insert shoes, sports shoes, hiking shoes and backpacking boots. Sports shoes are expected to
own the most important market in terms of volume globally from 2014 to 2020. In terms useful Insert
shoes is expected to own the most important market globally throughout the forecast amount. Non-
Athletic footwear section additional includes three categories that are casual footwear, fashion
footwear and formal footwear. Casual footwear is predicted to own the most important market globally
both in terms useful and volume from 2014 to 2020.
5.1.3 Development of the industry
Until the half of the nineteenth century, practically all garments and shoes were made by individual
tailors and cobblers operating either alone or with one or two apprentices or journeymen. The goal of
each apprentice tailor was to find out the way to create a whole garment as presently as doable. The
output of a tailor or garment-worker was sometimes restricted to specific women’s, men’s, or children’s
garments; the skilled worker sought-after to find out the maximum amount as doable from a specialized
master craftsman. A similar apprentice-journeyman system prevailed within the footwear trade, within
which all cobbler craftsmen were male.
The advent of the stitching machine enlarged craftsmen’s retailers and converted them to factories. In
several factories staff in hand their machines and carried them from manufactory to manufactory
whenever they modified jobs. Needle workers lugging their machines on their backs were a typical sight
on the downtown side streets of New York City, the garment-manufacturing capital of the world at the
flip of the twentieth century. Taking advantage of the low capital investment per employee, several
wear entrepreneurs began to farm out their cut clothes to be stitched reception. The bundle brigades—
men, women, and youngsters trudging through the streets lugging bundles of cut or finished clothes to
and from their flats within the side tenements—replaced the sewing-machine carriers of previous years.
Most attire factories at this point were as thronged, poorly lit, airless, and insanitary because the home
workshops. The term manufactory was coined for such factories and residential workshops at the start
of the twentieth century, once staff within the attire industries began forming unions to urge higher pay
and dealing conditions. The International Ladies’ Garment Workers’ Union, organized in 1900, and
therefore the Amalgamated wear staff of America, shaped in 1914, became pioneer unions in mass-
production industries within the US furthermore because the largest garment unions within the world.
5.2 The Market place
5.2.1 Current Condition of the Market place
Right now, the current condition of the market place is in a very stable position. With the current annual
events been held and promotion throughout social media. Pallas is stronger in every each year. Been
collaborating a lot with other companies, make people want to know more about this product. And of
course, the people who keep on supporting the brand throughout social media show how consumers
love the brand so much.
5.2.2 Changes in Market place.
Positive Negative
• Provide a long lasting comfort shoes
• Favorite school shoes brand among
students
• Not all shoes display on website, are
sold in the store
6.1 Direct Competitors
Bata, North Star
Both Bata and North Star are one of the most common school shoes brand in Malaysia that have been
competed with Pallas for a long time
6.2 Indirect Competitors
Vans, DC Shoes
Vans and DC shoes are both most famous skate shoes in the world, although Pallas is not a skate shoes,
the competitors and Pallas had something in common which is, them both are Canvas shoes. Even the
design are almost identical, since both product are also a casual shoes same as Pallas.
Strength Weakness
• An established brand and has been in
business over 30 years (38 years)
• Wide range of color and sizes
• Cheap compare to its competitors
• People assumes this brand is only for
school student
• Hasn't been able to penetrate emerging
markets
Opportunity Threat
• New avenues of distribution
• Using social media activities to interact
more with consumers
• Large, big budgeted competitors
• Competitors create more convincing
shoes
8.1 Marketplace Research
At SOGO KL
School shoes is easy to sell especially during school season, differs to casual shoes
8.2 Market Observation
At Tesco Ampang
Even though there are not many people buying it, but can see people drop by and have a look
8.3 Online Survey
Write down all questions and answers in percentage value. Use pie/bar charts to illustrate the findings
Most of shoe user like casual and 2nd is sports
Most of them prefer well known shoes such as Nike and Vans.
The most importance aspect of these shoe user when they look for a new shoes is the Price
Most of them buy their shoes by going to the stores. This shows how buyers prefer to buy at the store,
which comes with many reason, most probably more secure, and can test it before buy.
85% says yes, another 15% says no, because either they are not from Malaysia or really never knew
about the shoes
The answers are 50/50, which is normal, to hear people says no, when it comes to this question,
because not all stores that sells pallas, sells the casual version.
The percentage on Yes, very convincing, because probably, this shoes are quite cheap, and remaining
percentage, most probably prefer branded shoes.
8.4 Interview
Friends of friend & Buyer
Normally, the people that know or used Pallas Jazz is a loyal buyer that have been use for ages, normally
they use it when they were a student, and they still buy the casual one, because the shoes is comfort
and nice for them to wear it.
8.5 Others
By interviewing the store worker itself from SOGO, the amount of people buying Pallas Jazz casual
shoes, is not many as expected, 8 pairs for 2 weeks on that month, but surprisingly, few of those are
bought from tourist or foreigner.
At Jusco Maluri At Tesco Ampang
Based on research through 3 different store, which is in SOGO, Jusco, Tesco, they all sell different type of
shoes. Most of shoes in SOGO are school shoes, and the casual ones outdated version, while in Jusco,
they sell school shoes and kids shoes. The only shop that have both casual and school shoes is in Tesco,
but for casual shoes, not all color that shows in website are in the store. The color are limited. I choose
these three store based on the website, which is one of the main stores in KL that they supplies this
shoes. Unfortunately, not all the shoes in the website sell in the stores.
9.1 OBJECTIVE
Local product is as good as the internationals, Pallas shoes is a long lasting shoes. Durable, comfort and
flexible. Can be used at any circumstances, includes dancing. Do not look down on local product, not all
famous products are as good as expected.
9.2 Proposed Primary Target Audience
Demographic Psychographic
• 13-30 years old , young adult
• Male and female
• Open to any race and ethnicity
• Urban and Suburban
• People who don’t really cares about brand
• People who want to feel the true
satisfaction of wearing a good shoes
• People who want to dance
9.3 - Big Idea and Advertising Strategy
The big idea is Jazz Dance, using the element on both music and dance to create a concept, that this
shoes have three element that needs when you are dancing, and that is durable, comfort and flexible.
Wanted to show how good is this shoes are, that you are no longer need to walk, but dance. Which with
a great tagline, Don’t Walk, Dance! The concept would be the world is your stage.
Visual for current strategies
http://www.bloomberg.com/profiles/companies/6934405Z:MK-southern-rubber-works-sdn-bhd
https://www.facebook.com/PallasMalaysia
https://www.pallas.com.my
Questionnaire
What type of shoes do you prefer?
• Sports
• Casual
• Works
• Boots
What is your favorite shoe brand(s)?
• Nike
• Puma
• Vans
• DC shoes
• Adidas
• New Balance
• Converse
• Saucony
• Pallas Jazz
What is your most important aspect when you look for a new shoes?
• Style
• Price
• Quality
• Durability
• Brand name
• Functionality
Where do you usually buy your shoes?
• Stores
• Online
Have you heard a shoe brand called Pallas?
If "Yes", you must recognize these brand as a school shoes, do you know they also sells casual shoes?
Would you buy it as your casual or any purpose shoes?
If you have never heard of Pallas shoes before this survey, do you have any interest to find out more
about this product?