INTRODUCTION

ADIDAS
all Day I Dream About Sports

adidas AG (German pronunciation: [adidas]) is a German multinational corporation that

designs and manufactures sports clothing and accessories based in Herzogenaurach, Bavaria,
Germany. It is the holding company for the Adidas Group, which consists of theReebok
sportswear company, TaylorMade-Adidas golf company (including Ashworth), Rockport, and
9.1% of FC Bayern Munich. Besides sports footwear, Adidas also produces other products such
as bags, shirts, watches, eyewear, and other sports- and clothing-related goods. Adidas is the
largest sportswear manufacturer in Germany and Europe and the second biggest sportswear
manufacturer in the world.[3]
Adidas was founded in 1948 by Adolf Dassler, following the split of Gebrder Dassler
Schuhfabrik between him and his older brotherRudolf. Rudolf later established Puma, which was
the early rival of Adidas. Registered in 1949, Adidas is currently based inHerzogenaurach,
Germany. Puma is also based in Herzogenaurach.
The company's clothing and shoe designs typically feature three parallel bars, and the same motif
is incorporated into Adidas's current official logo.[4][5] The company revenue for 2012 was listed
at 14.48 billion.[2]

Current executive board[edit]

CEO: Herbert Hainer
Chief Financial Officer: Robin J. Stalker
Global Brands: Erich Stamminger
Global Operations: Glenn S. Bennett
Global Sales: Roland Auschel

Adidas Marketing Strategies?

Adidas marketing strategies is aimed at being the top sports brand in all over the universe. It
plans to do this by ensuring that the athletes are faster, stronger, cooler, natural and stronger. Its
other strategy is creating new customer experiences through training and then increasing global
footprint.

HISTORY

Adidas started in a town called Herzogenaurach.

In 1949, Adidas was registered as a company
Adi Dassler was the first entrepreneur to use sports promotion as a way of drawing public
attention to his innovations.

Adi began to use well-known athletes as an advertisement for his products

Adidas Today Adidas is the largest sportswear manufacturer in Europe and second largest in the
world
Adidas dominates Reebok Sportswear Company, Taylormadegolf Company, Maxfli golf balls,
and Adidas golf
Adidas clothing and shoes typically feature three parallel stripes
The company revenue for 2010 was listed at 11.99 billion
MISSION Commitment to continuously strengthening Adidas brands and products to improve
their competitive position
To be innovation and design leaders who seek to help athletes of all skill levels
To be consumer focused to continuously improve the quality, look, feel and image of Adidas
products
To be a global organization that is socially and environmentally responsible
To be dedicated to consistently delivering outstanding financial results

Products
The core benefit is to satisfy consumers needs or want.
Caters for different needs and wants of consumer
Uphold its brand by constantly upgrading and improving products innovative features and
quality to satisfy its customers.
Today, Adidas has established itself as a strong brand for sports apparels Price
Adidas is a shopping product
Able to penetrate the market as it is cheaper than its competitors
Uses market skimming

Place
Distributing some of the Adidas products to the various sporting outlets
Adidas outlets
Online purchasing through the internet Promotion
Promotion objective
Become the NO.1 sporting brand in the world.

Promotion Mix
Advertising commonly through the mass media
-Through the use of the internet and SNS
Point of Sale
Impossible is Nothing campaign

Five Forces Analysis Threat of New Entrants:

Very high barriers of entry in to the market
High cost
Legal Barriers
Control of Market (Market leaders benefiting from economies of scale
Brand establishment Threat of substitute products
Other manufacturers selling similar good at low prices
Uniqueness/ Technology Bargaining power of customers
Bulk means less price Bargaining power of suppliers
Low control of suppliers on cost price because of large number of factories willing to
manufacture Intensity of competitive rivalry
High levels of competition
Competition for market share
Nike holds 36% of Market share
Adidas holds 21% of Market share
Adidas must ensure high quality and unique at reasonable prices Adidas SWOT Analysis Adidas

SWOT Analysis

Strengths: Adidas is the world's second largest producer of sport apparel and equipment by sales
with revenues of $15,333.30 million in the 1st qt Adidas leading market position is built on its
positioning of strong brands, which enhances adidas market standpoint and boosts its topline: 1)
Adidas 2) Reebok 3)TaylorMade 4) Rockport 5) Ashworth Adidas
portion of own retail has grown substantially giving adidas more brand control Operates over
2200 stores for adidas and reebok internationally Large geographical foot print in diverse
markets enables adidas to expand its markets to high growth economies
Weaknesses:
China negatively impacted by clearance of high excess inventories following the Beijing 2008
Olympic Games which subdued consumer demand in 2009
adidas outsources 95% of production to independent thirdparty suppliers in Asia, including 32%
from China
Merchandise procured from foreign manufacturers is a weakness because it gives adidas less
control over the product quality.

Concerns over unsafe Chinese consumer products

1)The Consumer Product Safety Commission has issued alerts and announced voluntary recalls
by US companies on numerous products made in China

Vendor and manufacturer failures to achieve and maintain high manufacturing standards could
result in manufacturing errors resulting in: Product recalls, Delays of Production Adidas SWOT
Analysis

Opportunities
Adidas has sponsorship agreements for major sports events across the world:
1)Japan Football Association until March 2015.
2)Australian Olympic Committee until 2016.
3)Secured sponsorship rights to the 2014 FIFA World Cup.

Extended its partnership with:

1)UEFA for the UEFA EURO 2012
2)UEFA EURO 2016 football championships
3)UEFA Champions League

Official Sportswear Partner to 2012 Olympics in London

Sponsorship of major sports events helps the company strengthen its profitability and enhance its
brand recall among consumers Adidas SWOT Analysis

Threats:
Widespread counterfeits deprive revenues for the company and can dilute the adidas brand image
The market for sports apparel and footwear has declined in 2009Athletic footwear declined 3.2%
in 2008 & 1.4% in 2009
Other Manufactures for example: Puma, Nike, etc.

Celebrities Marketing Adidas

comes at us with a great new commercial to represent the brand. Staring the likes of B.o.B, Katy
Perry, David Beckham, Dwight Howard and Derrick Rose among others. Adidas motto to go
along with the visual, "Heart over head. Inclusion over ego. United by passion, we go all in. Go
all in." The new spot also features Big Sean, Chicago Bulls player Derrick Rose, Sky Ferreira,
K-Pop group 2NE1 and Kids. These Days all sporting their own creative and hipster get-up.
Adidas has been linked to hip-hop ever since Queens MCs Run-DMC rapped about ''My
Addidas,'' and now the sport wear brand have made female rapping superstar Nicki Minaj star in
their latest Originals commercial. Also Justin Bieber Signs with adidas NEO Impossible is
nothing ! -Focus on the global major and sport life style markets

-Impossible is Nothing

Womens market/High-end Fashion/ Collaborations

-Position as premium Brand

-Three different categories of adidas strategies: adidas products divisions, distribution, and
pricing strategies. ADIDAS MARKETING STRATEGIES