You are on page 1of 21

ashish aerry jung-jae jang neema yousefi

adidas: eco-friendly line

jennifer hong kristi muse sam gong yae kim

the brand with the 3 stripes


product
trendy eco-friendly adidas shoes recycling old shoes to make fashionable
for 80 years, adidas has been providing, not only national, but global consumers state-of-the-art footwear. today, the adidas group is a global leader in the sporting goods industry and offers a broad portfolio of products.1 our strategy is simple: continuously strengthen our brands and products to improve our competitive position and financial performance.1
adidas originals
2

what is adidas?

our mission
in todays society, people are looking to be more fit and healthy but still stylish. to the economy, a more cost efficient solution is most desired. adidas must take advantage of this problem and turn it into an opportunity. with advanced technology and recycled materials, adidas can create a new line of products that hold true to the distinct adidas style in a fashion appeal. this inexpensive yet aesthetically appealing product line will allow adidas to cater to the younger and lower income marketplace.
3

consumer needs
shoes that last longer and cost less money innovate eco-friendly shoes that satisfies the consumers finding a way to purchase recycled shoes by helping the environment

market research: primary data


pairs of shoes bought per age group (per year)

10+
7-9 4-6 1-3

12-17

18-24 age group

25-34
5

market research: primary data


response about environmentally friendly shoes
Positive Negative Neutral

40%

37%

23%

market research: secondary data


statistics show purchases of the adidas brand in the united states: adidas is one of the top 25 places that people shop in new york. consumers purchase adidas because they are known for providing maximum level of comfort while supplying an aesthetic appeal. customers are willing to purchase the eco friendly shoes that benefit the environment rather than manufactured and processed shoes.
approximately 80% male approximately 20% female

competition
nike new balance puma

asics
8

swot analysis
strengths
adidas is recognized worldwide by its traditional three strips style. adidas has a diverse range of products. adidas is strong in market strategy, international operations, and market leadership. adidas has a long heritage and high brand value since 1924. the productions for its products can be costly due to innovative technology. it has price sensitivity towards consumers. adidas is depended on third party manufacturing for its products.
9

weaknesses

swot analysis
opportunities
adidas is endorsing famous people that can reach out towards consumers by style and preference. adidas is improving in efficiency by expanding more product/service lines and creating innovative products. adidas changes its products based on consumers lifestyles and keeps a strong brand name. adidas is dealing with pirated/fake imitations that are sold cheap and affects brand image. competition with other brand names domestically and internationally. promoting internationally can affect with the money value of its products.

threats

10

segmentation/targeting
primarily males (generation y) primarily age: 18 24 years old follow:
secondary ages: 12-17 tertiary ages: 25-34 tumblr blogs highsnobiety lookbook.nu hypebeast

single and trendy income between $25k to $100k per year big spenders or are dependent on parents; not money savers

11

website that bloggers can post about adidas

12

positioning
environmentally friendly trendy
have the best/most credible recycled shoe
have our designs be the leaders and trendsetters in the fashionable recycled sneaker category have our price be not so low that its looked at as cheap/our competitors have lower prices but high enough that we have a sense of cool
13

just the right price

market strategy
diversification analysis product development
introduce the new shoe through blogs.

product differentiation

inform audience of shoes environmental benefits through banner ads on blogs. have event at adidas store where shoe is introduced, and give out 20% off coupons for purchases of the new shoe.

send free samples to notable blogs to review the shoe

pre existing knowledge that adidas is leader in sneaker quality.


14

product/service
eco-friendly shoes recycled/ used shoes craved and developed to produce a new line of Trendy shoes colors will be dictated by the colors of the recycled shoes and can be customized to the users desires comes in all sizes and provide maximum level of comfort this new technology of reusing old shoes will be later developed into the athletic side of the shoe industry
15

price
price skimming relatively low cost, but still able to maintain high quality customers may receive discounts if they bring in old pair of shoes (only 1 per customer). fraction of higher quality products prices will range from $39.99 to $69.99 depending on the lifestyle and demand.
16

start off with a higher price, then lowers later

place
debut stage: online websites
adidas.com footlocker.com finishline.com

expansion stage: personal stores in new york


adidas originals footlocker finishline

final stage: retailers and outlets in new york


outlet malls individual boutiques brand store malls like macys, bloomingdales, nordstroms

17

adidas originals store in soho, new york

18

promotion
blogs/ social media
free
lookbook.nu tumblr instagram

outdoor advertisement
fly posting window display billboards

8 sheet poster range from $300- $750 per month

google advertisement banner ads

new york university school newspaper advertisements


facebook ads direct mail
$1,000 per month for 10 months $2,560, $0.64 per click

$15,000, 6 month cycle

5,000 emails cost about $200


19

success metrics
in a ten month period:
our goal is to sell 15,000 pairs of shoes we expect a 20% increase in our sales

20

questions?

21