Adidas Brand Extension, POP POD analysis

1. Adidas Brand Extension
Abhinav Goyal
PGP30416
Section B

2. INTRODUCTION
• Adidas Inc. is the German manufacturer, a marketer of
sport apparel and athletic shoes.
• The company was named its founder, Adolf(Adi) Dassler, in
1948.

3. Brand Extension
Over the Years

4. Market size: INR 242 bn
Growth rate(2009-14): 17%
Growth rate expected ( 2014-18): 13%
Adidas Market size: INR 25.3 Bn
Growth rate(2009-14): 15.4%
Growth rate expected ( 2014-18): 15%
Market Share: Sportswear in India
Adidas Market Share: Sportswear in India
INDUSTRY ANALYSIS

5. 2010 2011 2012 2013 2014
101 bn 127 bn 157 bn 196 bn 241 bn
Market Share of Sports Wear in India (in INR)
2010 2011 2012 2013 2014
8.89% 9.13% 9.06% 10% 10.3%
Adidas : Percentage share year wise
INDUSTRY ANALYSIS -- MARKET SHARE

6. Market Share
0
5
10
15
20
25
30
NIKE ADIDAS REEBOK POWER PUMA OTHERS
22.94
25.29
28.24
7.65
2.35
13.53

7. Adidas spends
a lot on
marketing

8. TARGETING
Age
All Age
group
Attitude
Bold, &
fashionable
Adventurous
occasion
Daily
Casuals
Sports
Price
Low price
Medium
Price
High Price
gender
Men
Women
Unisex

9. Target Segment Demographic:
Age: 8-60
Gender: Male/Female
Occupation: Any
Target segment include anyone who is into
running or any kind of sports.
Also include people looking for sports apparel

10. POSITIONING
IT’S ALL ABOUT
CREATING VALUE

11. THANK YOU

12. PERCEPTUAL MAP
Sport Tees
Nike
Reebok
Adidas
Puma

13. 4 Ps

14. 4 P’s of Marketing Mix
QUALITY
Built with best available technology
DIFFERENT SPORTS
• Basketball, Gym, Running, Football, Cricket, Baseball
VARIETY
Style Options according to the personality: Sports, adventure, funk
PromotionPromotion PlacePlace
ProductProduct PricePrice
EVERYTHING is on the portfolio for all the SPORTS

15. 4 P’s of Marketing Mix
PromotionPromotion PlacePlace
ProductProduct PricePrice
PRICE
POINT:
INR XXX9
INR XX59
PRICING
STRATEGY
:
AFFORDABLE TO
YOUTH
SALES
STRATEGY
:
DISCOUNTS ON
YOUTH FESTIVAL
BUYING
QUEUE:
PRICE FIGURES
END WITH 45
OR 95

16. 4 P’s of Marketing Mix
PromotionPromotion
ProductProduct PricePrice
PlacePlace
• Adidas outlets
• Online purchasing through
the internet
• Distributing some of the
Adidas products to the
various sporting outlets e.g
Royal Sporting House,
World of Sports, Sportslink

17. 4 P’s of Marketing Mix ProductProduct PricePrice
PlacePlacePromotionPromotion
Advertising and public relation
Sales promotion
Brand ambassadors
Consumer promotion- signed goodies by celebrities on repeat purchase
Trade promotion-Display material assistance
https://www.youtube.com/watch?v=hIqC9IYMUOU
LINK to Videos

19. SWOT Analysis
STRENGTHS:
•Long heritage and high brand value.
•Worldwide presence.
•Diversified product portfolio.
•Strong and innovative marketing have
created a strong brand retention.
WEAKNESSES:
•The products can sometimes be costly
due to innovative technology or
production method.
•Stiff competition and similar big brands
means customers have high brand
switching.
OPPORTUNITIES:
•New foot-friendly designs are developed
each year.
•Tie-up with sports teams/clubs
internationally.
•Brand building by setting up sports
academies.
THREATS:
•Other brands offer more styles and varieties,
thus more competition.
•Pirated/fake imitations affect brand image.

20. COMPETITORS - POP & POD
POINTS OF PARITY
• World wide
presence
• Covers All the
sports
• Sports
accessories
• Authentic Wear
• All age group is
targeted

21. Competitor’s Place comparison
Digital Channel
Nike Adidas
Point of Parity
Physical Channel

22. https://www.youtube.com/watch?v=OZtnajpnsD0

23. Competitor’s Product comparison
Edge Air cushion Technology
Cooling technology - SHOE
Point of Difference

24. Competitor’s Price comparison
Basket Ball Shoes
Nike
Adidas
Adidas is cheaper on shoes over its main
competitors
This strategy is consistent with all product
range from apparel to gadgets
Point of Difference

25. Adidas Brand Extension Positioning
Performance oriented, safe and best in quality Sportswear for Anyone playing sports,
running or fitness training
Special innovative solutions for promoting
running, exercising and playing sports –
Remain Fit Safely

27. Brand Equity
0
5
10
15
20
25
30
35
40
NIKE ADIDAS REEBOK OTHERS
38.14
33.9
21.19
6.78

28. SUMMARY
Industry Analysis
Market Share
Targeting
Positioning
Logos
Perceptual Map
4P’s
SWOT analysis
POP POD analysis
Brand Equity

29. Prof. Sameer Mathur
Indian Institute of Management Lucknow
Marketing Professor: August 2013- Present
McGill University
Marketing Professor : July 2009 – July 2013
Carnegie Mellon University
Ph.D. in Marketing : August 2003 – June 2009
These slides were created by Abhinav Goyal, PGP30416 ,
IIM Lucknow , as a part of MBA course “Brand Management”
(www.MBASkills.in) taught by Prof. Sameer Mathur