Vaishnavi Venkat

Vans Case Memo

Brand Management 4082W-Mr. Lipe
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#1-Analysis: Brand Equity

We can analyze the strengths of Vans by using the Brand Equity Pyramid as a framework for our analysis
(Figure 1).
Brand Salience (5): In the bottom of the pyramid, we can break down how we categorize Vans and its
ability to fulfill customer needs. The main customer base of Vans can be grouped as individuals who
don’t follow traditional societal norms. With 25 million Americans who participate in alternative sports,
Vans fulfills the gap in the market for by creating footwear for people who are extreme sport enthusiast to
those who want to wear casual footwear representing Southern California culture. (Moon & Kiron, 2002).
Brand Imagery (5): Vans places strong importance on its founding. Along with the Southern California
culture inspired look, Vans is seen as an inclusive brand for all different types of people- there is a shoe
for every type of personality. Vans also has a strong pop culture standing with small features in movies,
video games as well as being represented in amateur and professional skateboarding competitions.
Brand Performance (5): Vans has a strong brand performance. This can be credited towards the fact
Vans shoes are customizable, durable, and perhaps most importantly affordable. The vulcanized shoe
technology was prime for aggressive usage and quickly became the shoe of choice for many
skateboarders. This shoe technology combined with the affordable price allowed Vans to climb up the
ranks. Vans classic shoes could be purchased for as low as $30 (Moon & Kiron, 2002). According to the
Census, the 2002 median household money income in the United States was $42,409. Which was a 1.1%
decline from 2001 $42,900 (Census, 2002). Keeping costs low yet delivering a high-quality shoe put
Vans at a unique position.
Consumer Feelings (4): Vans was built for providing shoes for those individuals who identify with
extreme and alternative sports. Vans caters to a niche market- people who consider themselves America’s
alternative youth whose personality does not resonate with typical American sport and culture ideals.
Vans is the shoe of choice as it holds 46.9% market share in the Skater-Shoe Market in 2000 (Moon &
Kiron, 2002). Vans was also more personable to their customers by selling shoes directly to their
customers (Moon & Kiron, 2002). Customers feel like Vans allows them to have a community, a lifestyle,
and a voice. Customization of Vans shoes also allows customers to really have a shoe that resonates with
the exciting, rebellious, and spirited nature of alternative youth. Even though Vans has high validation
from the extreme sports group the rebelliousness nature can be seen as an only a youth and teen brand
which can affect other Vans product extensions.
Consumer Judgements (3): Vans had begun to endorse athletes from 1970 when Vans had become the
first footwear company to sponsor a skateboarder- Stacy Peralta an original Zephyr team member. From
then, Vans actively endorses over 600 athletes over all extreme and alternative sports (Figure C). The act
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of sponsoring alternative and extreme sport athletes was more unique and stood out from other brands. It
creates a form of a community and a genuine connection to Vans customers.
Brand Resonance (5): Vans customers have a certain culture that is deeply connected to Vans’ vision.
Customers who wear Vans appeal to the “alternative American youth” persona that creates a bond
between the company and its customer. Vans has become more than a shoe company, it is a symbol of
expression, being spirited and at times rebellious. The company has become an integral part of customers
lives as Vans has events like the Vans Warped tour and a sport competition like the Triple Crown Series.
Customers are extremely brand loyal to Vans for the fact that it’s a brand for every unique interest and a
symbol of expression.
#2-Recommendations: Brand Extensions
I recommend that Vans continues to expand with the Women’s Footwear Collection and discontinues the
Outdoor Hiking Line. Brand extensions have positive and negative impacts on a brand and while at first
glance brand extensions seem like Vans can put their foot in the door with other markets, it is imperative
to make sure the extensions match the culture and heritage of Vans.
Vans’ brand image places a strong emphasis on identity that resonates extremely well with the
alternative and extreme sport community. Vans sees potential for girls to have a voice and a sense of
belonging to this community. According to Exhibit 3 in the article, the Women’s category makes up
15.1% of Vans total sales, second to the Men’s category of total Domestic Wholesales. However, Vans is
failing to reach this segment due to changing women fashion trends. (Moon & Kiron, 2002). I recommend
that Vans should not stray from their classic design of the shoe to keep up with current trends. Instead,
Vans should adhere their shoe models to fit women’s feet. Other than the increase in profits Vans will
have tapping into the women’s market Vans will now be inclusive to everyone regardless of gender. This
will broaden the sense of community Vans has established. Girls will feel like they do not have to adhere
to the current fashion standards and change their style to what is “in”- there will be a shoe that’s
customized that is unique to her. Vans is extremely prominent in the extreme sport category and we can
see that from early on as Vans was one of the first brands to support and promote skateboarding. Now,
Vans has the opportunity to be a pioneer again with the women segment. Vans can stay close to its
original act of endorsing athletes by endorsing female extreme sport athletes. Further, Vans can integrate
girls into extreme sports by funding for extreme sport initiatives specifically for girls.
Vans is grounded from the beginning in youth, authenticity with its core of extreme sports. When
looking at brand extensions, it is important that the new product does not stray away from the message of
the original one. In term of Vans’ Outdoor Line extension, I would recommend Vans discontinues this
line. Outdoor hiking shoes does not fit in with Vans original core sports image. The inconsistency in
brand messaging can be damaging to Vans overall brand perception. Moving into a market not consistent
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with the brand’s image and ideals have hurt Vans in the past. Extensions into baseball, football, and
soccer failed as they were inconsistent with Vans current shoe model that appeals to extreme sport
athletes and for customers who enjoy customizable shoes for everyday wear. To be successful, Vans
should continue building its empire with the alternative youth and focus on existing products and making
them accessible to women.
#3: Analysis & Recommendations- Brand Leveraging
Vans biggest ventures into the entertainment industry is the Triple Crown Series and the Vans
Warped Tour. Both these ventures communicate Vans values of creativity and authenticity and appeals to
the overall market of alternative American youth. Vans’ Triple Crown Series focuses in on the same
audience as other extreme sport competitions like the X games. the Triple Crown Series allows Vans to be
a big player in hosting an extreme sport competition. The brand no longer is just a shoe company but now
is an avenue for both extreme sport athletes and enthusiasts. Further. Fans of the X games and other
extreme sport competitions can have another competition they look forward to. The Triple Crown Series
has the potential to bring in massive amounts of revenue. According to Exhibit 4 in the article, 373,760
people attended the event. Not only this, in terms of publicity, the Triple Crown Series is an avenue for
Vans to get more endorsements from athletes and brands than resonate with these consumers- like
Mountain Dew (Moon & Kiron, 2002).
The structure of the Vans Warped Tour is grassroots level and low priced that showcases up and
coming punk, hip-hop and hard rock (Moon & Kiron, 2002). It gave customers another type of
entertainment while still appealing to the same alternative ideals and is in line with the extreme and
alternative sport positioning. This venture was also making Vans much more relevant in pop culture
which promotes the brand even more. Though Vans has major breakthroughs with both the Triple Crown
Series and the Warped Tour, there are some disadvantages. By focusing on these other ventures, Vans
could lose sight of their original mission: make high quality shoes at a low price that are unique to all
types of people, from extreme sport enthusiasts to creative and self-expression filled individuals. If Vans’
shoe quality plummets, it can severely hurt the brand image and reputation. Further, more ventures similar
to the Triple Crown Series and the Warped Tour can dilute the original events or even stray away from
the brand’s original image if more sports (other than the core seven) get involved. To avoid these issues,
Vans should promote the Triple Crown Series and Warped Tour by offering limited time collections of
footwear that are designed with both of these in mind. A limited collection of shoes will increase hype
and buzz about the brand. I recommend that Vans reward those who do buy the limited-edition shoes and
attend either the Triple Crown Series or the Warped Tour. This will provide incentive to buy Vans shoes
and strengthen their position in terms of culture and lifestyle.
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Figures
Figure 1
Brand Equity Pyramid

The BEP consists of six distinct categories. The more logical and fact-based categories of the pyramid are
Brand Salience, Consumer Judgements, and Brand Performance. The more emotion-based categories
within the pyramid are Consumer Feelings, Brand Imagery, and Brand Resonance.

Figure 2
Vans’ Brand Equity Pyramid
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References
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US Census Bureau. “Income in the United States: 2002.” The United States Census Bureau, 1 Mar. 2016,
www.census.gov/library/visualizations/2003/demo/p60-221.html.

Moon, Youngme E., and David Kiron. "Vans: Skating on Air." Harvard Business School Case 502-077,
June
2002. Retrieved fromhttps://www.hbs.edu/faculty/Pages/item.aspx?num=29133