MARKET RESEARCH PROPOSAL

This project was conducted by Star Gate students, BBA Level 1, to identify the market
segment of Adidas Footwear based on Demographic, Psychographic and Behavioral
factors.

Adidas is a German sports apparel manufacturer, which was founded by Adolf Dassler in
1924 and registered in 1949.
The company’s products include Footwear, Accessories, Sportswear, Sports equipment
products. The company is the largest sportswear manufacturer in Europe and the second
largest sportswear manufacturer in the world.
Adolf “Adi" Dassler started to produce his own sports shoes in his mother's wash kitchen
after his return from World War I. In 1924, his brother Rudolf ‘’Rudi’’ Dassler joined the
business which became Gebrüder Dassler Schuhfabrik (Dassler Brothers Shoe Factory)
and prospered. The name is actually abridged from "Adi" (a nickname for Adolf) and
"Das" (from "Dassler").
Late in World War II, the shoe factory shifted to production of the Panzerschreck anti-
tank weapon.
The brothers split up in 1948, with Rudi forming Puma, and Adi forming Adidas.

OBJECTIVES:
•Identify target customers
•Analyze customer needs
•Identify the market segment based on demographic, psychographic and behavioral
factors.
•Compare our research with the organizations current information.
• And finally recommend on the company’s segmentation.
SAMPLE:
The sample chosen for this project, begins from young kids age 13 to elderly people.
The sample size is 15.

SEGMENTATION:
The sample is divided according to “Age” as follows:
13- 19
20- 35
35- Above

People of 13- 19 years of age:

Teenagers are still exploring and living their lives. They are active and involved in
several school sports activities. They prefer buying brand footwear to ensure quality and
satisfy their secret needs.
And when it comes to reliability, they are the most brand loyal customers.

People of 20-35 years of age

This age group includes young men and women or newly married couples or even
mothers (housewives) concerned about their physical body image and men trying to
maintain their fitness. Their main focus is to feel good and look good, as they are being
affected by the media.

People of 36 and above years of age

Men and women of this age usually deal with health problems such as Diabetes,
cholesterol issues and aging, and in order to overcome these health risks they are more
conscious about their health and for these reasons they have to exercise to stay lively.

GRAPH ANALYSIS
 NOTE: 0% people buy Adidas shoes every week.

NOTE: 0% people rated 1-3.

COMPARISON:

ORIGINAL SEGMENTATION: 14-22

NEW SEGMENTATION: 13-19, 20-35,36 –above

Adidas divided the brand into 2 main groups, Adidas Performance, Adidas Style and
Adidas Originals.
Adidas Performance includes all the sports equipments and footwear. It mainly focuses
on four key categories globally: football, running, training and basketball.
Adidas Original and Style, together they offer consumers products from
street fashion to high fashion, all uniquely inspired and linked to sport.
Adidas focuses on Athletic people only and sees its target customers as people of age
group from 14 - 2, though it has customers of all different ages.

RECOMMENDATION:
Although the company has targeted people of 14-22 years of age, there are customers of
almost all ages of Adidas users. Only 20% are athletic people who are using adidas
footwear. And the rest 80% are casual or formal users. Nowadays, people have become
more health conscious and choose high quality footwear to pamper their feet. The people
of age group of 36-above specifically choose brand footwear but Adidas does not
consider them as its target market.
They should reconsider the following points:
1. Re-segment their target market.
2. Focus also on non athletic consumers.
3. Reconsider consumers’ suggestions for future improvements.
4. As Adidas is one of the largest sportswear manufacturer in the world, but now its
competitors are increasing their market share, especially Nike and Converse.

CONCLUSION:
Adidas, as known as one of the world’s largest sportswear manufacturer, is still most
wanted and an ideal for many people of different ages and gender. People adore not only
its sports categories but also all the different accessories they provide, which makes it a
multi product organization. Adidas’s logo have helped it to stick out exclusively from all
the other brands such as Converse, Nike, Puma etc….Though these brands are Adidas’s
close competitors but when it comes to satisfying the athletics wants and desires, Adidas
has always been the best option to seize.
REFERENCES:

http://www.adidas-group.com/en/ourbrands/adidas/default.asp

http://en.wikipedia.org/wiki/Adidas

http://www.usatoday.com/money/advertising/adtrack/2005-06-05-track-
adidas_x.htm

The End