Nabduan

D. ID:5520212002
Omar
N.
ID:5520212005
Raveepitchaya R. ID:5520212007
1
Chulaluck
C. ID:5520212008

About Adidas Group

Adidas is the largest sportswear manufacturer in
Germany and Europe and the second biggest
sportswear manufacturer in the world.
A German multinational corporation that designs
and manufactures sports clothing and
accessories.
Founded: August 18, 1949
Headquarters: Bavaria, Germany

FOUNDER
Adolf "Adi" Dassler
His brother Rudolf
returned to
Herzogenaurach to
join his younger
brother's business

MISSION

The adidas Group strives to be the global leader in the sporting

goods industry with brands built on a passion for sports and a
sporting lifestyle. We are committed to continuously strengthening
our brands and products to improve our competitive position.

VISION
The company is innovation and design leaders who seek to help
athletes of all skill levels achieve peak performance with every
product we bring to market.
The company 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.
The company are a global organization that is socially and
environmentally responsible, that embraces creativity and
diversity, and is financially rewarding for our employees and
shareholders.
The company are dedicated to consistently delivering
outstanding financial results.
4

CORE VALUE

Performance
Sport is the foundation for all we do and executional excellence.
Passion
Passion is at the heart of our company and continuously moving forward,
innovating, and improving.
Integrity
The company are honest, open, ethical, and fair. People trust us to adhere to
our word.
Diversity
The company takes people with different ideas, strengths, interests, and
cultural backgrounds to make our company succeed. We encourage healthy
debate and differences of opinion.

BRAND
VALUE

Authentic
Passionate
Innovation
Inspirationa
l
Committed
Honest

BRAND ATTITUDE
KEY STRATEGIC PILLARS
Impossible is Nothing Gaining sales and market share
KEY MARKETS
North America
Russia
Greater China

with key growth categories such as

Running and Basketball within
Adidas Sport Performance.
Expanding Adidas Sport Style in the
fast-fashion business.
Maintaining adidas Originals
strong momentum to serve the
needs of the fashion-driven lifestyle
consumer.
5

STRENGTH
Financial strength
Effective marketing strategy,
distribution mix, diverse brand
portfolio and Supply Chain
Management and Innovations
Brand Value
The company has worldwide
presence and is internationally
recognized.

WEAKNESS
High dependency of raw
material prices
Low margin
Poor share price in U.S. Market
Customers have high brand
switching

OPPORTUNITIES
Investments focused on highest
potential markets and channels
Technological innovations
Tie-up with emerging sports
teams/clubs/players internationally
Brand building by setting up sports
academies

THREATHS
Price fluctuation in raw materials
Unstable currencies exchange
Other brands offer more styles
and varieties
Pirated/fake imitations affect
brand image

Market Segmentation
GEOGRAPHIC SEGMENTATION:
Divided the market into different units
of location
Neighborhood,
States, cities
Regions, countries
Adidas Bold 2009 have operated in
urban and semi-urban cities of India.

BEHAVIORAL SEGMENTATION:
Divided the consumers according to
their attitude, knowledge, response and
use of the product. Below are the
behavioral segmentation for adidas:
Benefits
Gym regular users
Sports lovers
Athletes
Image seekers
Brand freaks

PSYCHOGRAPHIC SEGMENTATION:
Divided different personalities of each
consumers and only key is to be
different.
Achievers
Well-experienced
Hard workers
Goal achievers
DEMOGRAPHIC SEGMENTATION:
Divided into different segments based
on the variables of family size, family
life cycle, income, gender, age and etc.
As follows:

Age 15-36
Income level: $15,000
Social Class: Upper middle, upper
class and lower upper.
Gender: Both male and female
7

Target Markets
Sports personalities involved in various sporting
activities such as soccer, rugby, athletics and
basketball.
Young people
Male and Female
Ages between of 10 to 30

Product Positioning
adidas
The brand strive to be
the globally leading and
most popular sporting
goods brand
Focus is on innovation
and technology
adidas
Originals
The first brand
leveraging its sports
assets in the lifestyle
area
Regarded as a legitimate
sportsSport
lifestyle
brand.
adidas
Style
"Future of Sportswear"
Includes the labels Y-3
Porsche Design Sport
adidas NEO, From the track to the catwalk, it helps you to "Style your Life"
9

4Ps
Products
Providing high quality products
aimed at providing the best value
to the costumer.
The products portfolio is
continuously enhanced through
creations and innovations
throughout the companies
various categories. This is
pursued in order to cater to the
various needs and wants of
consumers worldwide.
Well-known brands for sports
apparels, equipment and
accessories, the Adidas group
has a diverse brand portfolio
consists of: Adidas , Reebok ,
TaylorMade Adidas Golf ,
Rockport, CCMHockey

10

4Ps
Price
Using adapted pricing
strategies, depending on which
market they are operating in, so as
to achieve its goals.
Penetrating attack markets
with lower prices or using market
skimming tactics, for instance.
In intense competition in the
global market, the company is
involved in regular evaluation of
its price to ensure that the
products stay competitive at
the point of sale.

11

4Ps
Place
Distribute its products to the
consumer with a strong focus on
controlled space, including:
Own-retail business, ecommerce, Shop-in-Shop, Joint
ventures with retail partners,
mono-branded franchise stores,
co-branded stores with sports
organizations and other brands.
Hence, a high level of brand
control is provided.
In addition, an integrated
distribution roadmap has
been set up to ensure further
growth and to increase brand
presence in under-penetrated,
affluent cities, without
cannibalizing their own brands

12

4Ps
Promotion
Different promotional tools are
used in order to reduce the
number of lost customers and to
increase sales.
The group has set up an
unparalleled portfolio of promotion
partnerships with international
recognized sports associations
(e.g. UEFA, FIFA, NBA, NFL, and
NHL).
Commercials, ads, apps for
smartphones, product placement,
sponsorships for athletes and
sport events (e.g. Berlin Marathon
2011)
13

Strategies
Creating shareholder value
Investments focused on highest-potential markets
and channels
Creating a flexible supply chain
Leading through innovation
Develop a team grounded in company heritage
Becoming a sustainable company
Brands Broad and Unique Product Portfolio
Brand Extension Strategies

Adidas Core
Competencies

Technology
Customer focus
Brand recognition
Supply chain
Collaboratively
14

Why Adidas is number two ?

Nike has an overall better selection of gym shoes, and

basketball shoes compare to than Adidas.
Nike have wider variation of types of shoes which ranges
anywhere from boots, to basketball shoes.
Nike also are endorsed by higher profile athletes than Adidas
does.
Nike has players like Kobe, and Cristiano Ronaldo while Addidas
has Kevin Garnett, who is passed his prime.
Nike's shoes are also more stylish, and well known.
Nike have higher modification function for customers on design
and technology
15

How to improve to rank no.1

in this market?
Adidas should improve its product lines substantially as
variation in products could lead to better and improved sales
which form a major objective of any business organization.
Adidas should concern more on innovation along with strategic
partnership, Now, Adidas signed a contract with Samsung to
produce a shoe + phone promotional campaign. In this
strategic partnership, both the companies developed a phone
to be used with shoes during training
Improve brand association of professionals with Adidas is that it
has a culture of technology and has a history of achieving a
strong position in the minds of target customers.
Adidas should work towards improving market share and being
at par with Nike which is currently the world leader in Athletic
footwear. Adidas should focus on roping in more celebrities to
16
promote their products

Strategies Map

17

Balance Scorecard

4
3
2
1

Financial
Perspective
Customer
Perspective
Internal Process
Perspective
Learning and Growth
Perspective
18

Balance Scorecard
Learning and Growth Perspective

19

Balance Scorecard
Internal Process Perspective

Balance Scorecard
Customer Perspective

21

Balance Scorecard
Financial Perspective

23