Dheeraj

A MINOR PROJECT REPORT
On
“The Study on Marketing strategies of ADIDAS”
Submitted in the partial fulfillment for the award of Degree of Bachelor in
B.Com (H): 2020-23
Under The Guidance: Submitted By:
Ms. Parul Agarwal Dheeraj
MCIT Professor, CPJCHS 00721588820
CHANDERPRABHU JAIN COLLEGE OF HIGHER STUDIES & SCHOOL OF LAW
An ISO 9001:2015 Certified Institute (Approved by the Govt of NCT of Delhi
Affiliated to Guru Gobind Singh Indraprastha University, Delhi)
Plot No OCF Sector A-8, Narela New Delhi - 11004
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ACKNOWLEDGEMENT
I express my potential gratitude and indebtedness to Ms. Parul Agarwal, assistant professor,
Chandraprabhu Jain College of Higher Studies and School of Law, Narela, Delhi for her exemplary
guidance, valuable feedback, and constant encouragement throughout the duration of the report.
His valuable suggestions were of immense help throughout my project work. His perception
criticism kept me working to make this report in a much better way. Working under him was an
extremely knowledgeable experience for me.
I would also like to give my sincere gratitude to my friends and colleagues who help me in
collecting information and preparing this report.
DATE- 30 th June,2020 DHEERAJ
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CANDIDATE’S DECLARATION
I Dheeraj hereby declare that the Dissertation, entitled ‘Study on Marketing

strategies of ADIDAS’, submitted to the Guru Gobind Singh Indraprastha
University, Dwarka, in partial fulfilment of the requirements for the Degree of
B.com (honors) is a record of original research work undergone by me under the
supervision and guidance of Parul Agarwal, Guru Gobind Singh Indarprastha
University, Dwarka, and it has not formed the basis for the award of any Degree/
Fellowship or other similar title to any candidate of any institution/ University.
Date: 30th June,2021
This is to certify that the statement made by the candidate is true to the best of my
knowledge and brief.
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TABLE OF CONTENTS
S.NO TITLE PAGE

NUMBER
1 Executive 5-6
summary
2 Introduction 7-12
3 Literature 13-21
Review
4 Research 22-30
Methology
5 Comarative 31-39
analysis
6 Data Analysis 40-58
7 Conclusion and 59-63
Findings
8 Bibliography 64-65
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EXECUTIVE SUMMARY
My project topic is "Adidas" which is a shoe company, and I am analyzing its Marketing Strategy.
I have chosen this topic mainly for two reasons. Firstly, since my childhood days I had great
interest in the shoes, and I like to buy new shoes as and when it comes in the market. The Shoe
Company that I most admire is Adidas. Secondly Adidas grows as one of the best leading brands
in the shoes and other accessories which is admired by all types of generation. Hence, I have
decided to do my project report on this company.
The Adidas mission has changed little since founder Adi Dassler began making sports shoes in
the 1920s: to be the best sports brand in the world. The history of Adidas is one of consistently
meeting the evolving needs of the athlete. Focusing more on function and less on fashion, Adidas
strives to provide athletes with shoes that can make a noticeable difference in their performance.
Meeting athlete needs is what makes Adidas the best. Adidas America has continued to build on
this history.
In February of 1993, Adidas acquired Sports Inc., a US-based sports marketing company founded
by former Nike executives Rob Strasser and Peter Moore. Sports Inc. had been working in
conjunction with Adidas USA on the design, development, and marketing of the Adidas
Equipment line. This line helped rejuvenate and reposition the Adidas brand in the United States
by creating an exclusive line focused on fulfilling the functional needs of the athlete and by
utilizing the best materials and athlete input in the tradition of Adi Dassler.
It offered moisture management, thermal insulation, weather protection, ease of movement, and
safety, helping the athlete to perform more efficiently. After the successful creation and launch of
Adidas America I have made a research on marketing of Adidas by questionnaire method. The
main aim of my research is to find out that how Adidas hold to the market and what are the areas
in which Adidas can improve upon, in the questioner itself I have emphasis on the marketing of
Adidas and about the current position of Adidas in market. According to the response of my
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questionnaire, I have found that Adidas and Nike are main competitors, but Nike is more preferred
brand then Adidas. This is mainly for two reasons first Nike has more variety and good looks then
Adidas and second their outlets are more than Adidas so the company must work upon these two
things to be the world number one.
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Chapter – I
INTRODUCTION
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Biggest sportswear manufacturer of Europe & one of the biggest in the world, Adidas is segmented
based on demographic, psychographic & behavioral factors. The Adidas group has four brands in
its strong portfolio – Reebok, Adidas, Rockport & Taylor made meant for different segment
customer groups. Adidas uses differentiated targeting strategy to target young adults, adults as
well as children who have passion for fitness & sports. Although it targets customers in the age
group of 13-40 years, but majority of its customers are of 15-30 years of age who hail from upper
middle class or the luxury class of customers.
User & benefit based positioning are the strategies Adidas uses to create distinctive image in the
mind of the prospective consumer. By emphasizing the value of quality products from a trusted
brand Adidas is able to maintain its brand essence. The portfolio is divided as follows.
a. They have Adidas-performance in Competitive sports,

b. Reebok & Reebok classics in Active sports & casual sports, &
c. Adidas originals, Adidas Fun, Rockport in Sports fashion.
Mission in the Marketing strategy of Adidas – “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”.
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Tagline – “Impossible is Nothing”. This is one of the most famous taglines by the company. This
tagline, which showcases the importance of fitness and importance of striving hard for anything
you desire, is one of the biggest assets the company has, and possibly summarizes the marketing
strategy of Adidas.
Competitive advantage in the Marketing strategy of Adidas – One of the few competitive
advantages that Adidas has is its distribution network, its product quality and its brand
equity. Globally it has 2456 stores accounting $4.3 billion business (2020 data). To associate itself
with the community it has sponsored many worlds sport events such as FIFA, UEFA, NBA,
Cricket & Olympics. At the same time, over the years Adidas has been known to give the best
products in the market which are always comfortable, beyond normal and long lasting.
Strong relationship with the organizations such as International Laboure organization,

International Finance Corporation has given the company edge over competitors for a sustainable
business.
BCG Matrix in the Marketing strategy of Adidas- BCG matrix helps in identifying the strategic
position & future course of actions of the SBU’s (strategic business unit).
Adidas has four brands under the Adidas group out of which:
Adidas & Reebok are stars; Both individual brands have a strong market share but at the same
time the competition in this sports and fitness segment is very high. Other brands like Puma, Nike
also fight for a large share of the market.
Rockport & Taylor made is question mark – This is because their market share is low but at the
same time there is a good potential for these brands. But when this potential will benefit the
company in a large way is yet to be seen.
Distribution strategy in the Marketing strategy of Adidas – As the consumer environment

becomes even more dynamic with trends quickly changing, Adidas is also increasing its focus on
anticipating these changes and responding with speed. They had aligned their sales with
distribution strategy to enable and propel a heightened consumer-centric Omni-channel mind-set.
After analyzing the purchase process of their customers, they came to conclusion that the
interactive experience and the availability, convenience and the size of the product offerings plays
a major role in a successful distribution strategy. To expand their distribution system, they made
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the products available through Exclusive stores (franchise model), Co-branded stores who source
it from C & N and distributors.
Brand equity in the Marketing strategy of Adidas- Sports centric activities predominantly
revolving around social media & community connect programs has helped Adidas to be one of
the biggest players in the sportswear. Each brand and sub-brand is responsible for bringing its own
distinct identity and positioning to life, through the creation of products, services and experiences
that provide platforms and frameworks for long-term market share and profitability improvements.
While Adidas and Reebok each have unique identities, heritages, technologies, designs and
reputations, the strategic principles, and methods for driving future sales growth and profitability
improvements are common to both.
Competitive analysis in the Marketing strategy of Adidas – Adidas Group’s multi-brand

portfolio gives them an important competitive advantage. Through their brand portfolio, they
seamlessly cover the sports and consumer segments defined as strategically important to support
their Group’s ambition to inspire and engage people to harness the power of sport in their lives.
Adidas is doing well because of its differentiated positioning but Reebok, the brand Adidas has
spent years trying to firm up, but its situation is faltering.
Large firms such as Nike & Adidas have grown immensely over the last two decades. Their global
reach has expanded through all continents, which is attributed to the changing lifestyle of
developing economies & emergence of Internet, E-commerce firms.
Market analysis in the Marketing strategy of Adidas – Due to the presence of counterfeit
products & high bargaining power of customers it is very difficult for these players to sustain in
the market. Although the offerings are meant for sports persons, but major chunk of its buyers are
normal people professionals, young children who don’t mind switching to other brands due to the
changing competitive positioning worked upon by the players. Industry is growing due to changing
lifestyle, economics of the population & migration from Rural to urban areas but at the same time
demand supply mismatch & idle inventory is resulting into shrinking margins of the players in this
industry.
Customer analysis in the Marketing strategy of Adidas – Adidas customers consist of upper &
Upper-middle class social groups. To be successful across consumer segments, Adidas
acknowledged that a strategy of mass production or mass marketing is no longer sufficient. Only
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by identifying and understanding consumer’s individual motivations and goals for doing sport,
their lifestyle, their fitness level, where they are doing sport and their buying habits will help them
in creating meaningful products, services and experiences that build a lasting impression and brand
loyalty.
BACKGROUND OF THE PROBLEM
Since the late 1980s, Business School marketing professor Itamar Simonson has looked for ways
to understand how consumers make choices. Much of his work debunks the accepted theory that
giving consumers what they want and making a profit are the most basic principles of marketing.
Customers may not know what they want, and second-guessing them can be expensive, says the
professor who teaches MBA and PhD marketing and consumer decision-making courses. In
Simonson’s words, “The benefits and costs of fitting individual customer preference are more
complex and less deterministic than has been assumed.” That’s because “customer preferences are
often ill-defined and susceptible to various influences, and in many cases, customers have poor
insight into their preferences.” In one of his recent papers, Simonson tackles the issue of one-to-
one marketing and mass customization. Supporters of these marketing approaches have suggested
that learning what customers want and giving them exactly what they want will create customer
loyalty and an insurmountable barrier to competition.
In an example taken to the extreme in the 2002 movie Minority Report, Tom Cruise’s character
runs through a shopping mall past talking billboards that recognize him by name and urge him to
buy products he had earlier expressed an interest in such as jeans and Ray-Bans, the ultimate in
personalized advertising. But Simonson has this to say: “The fact that consumer preferences are
often fuzzy, unstable, and manipulatable is unlikely to change. So, the effectiveness of methods to
give customers exactly what they (say they) want has been grossly exaggerated.” His take on the
long-held assumption that individual marketing will supplant targeted marketing is “not so fast.”
In studies, he has learned that “even when customers have well-defined preferences and receive
offers that fit those preferences, it is far from certain that the response to such offers will
consistently be more favorable than those directed at larger market segments.”
11
It’s all psychology. Consumers with well-defined preferences may be skeptical that a marketer
could match expectations. Those who don’t know what they want may not ever see the fit with
what the seller wants them to buy. So, individualized offers depend on customers’ preferences &;
how the offer was extended &; and on trust. “Effective individual marketing requires not only an
understanding of individual preferences and matching offers to those preferences, but also a
thorough familiarity with the various factors that impact customers’ responses,” Simonson writes.
This is a tall order, one that some companies have been able to fill, at least to some extent. For
example, Amazon keeps track of customers’ purchases and suggests other books they might like.
Dell builds computers from mass-made parts to customers’ specifications. But Simonson argues
some companies can take the concept too far, like the Custom Foot chain of shoe stores that took
detailed measurements and specifications from each customer to design one-of-a-kind shoes.
Custom Foot didn’t consider that some customers were put off by the individualized attention,
Simonson says, and felt obligated to buy the shoes because the store went to so much trouble. They
often didn’t come back. So, knowing only the customer preferences is not enough. It is required to
understand other aspects of customer behavior. Kipping this in mind, present study will find out
and analyze consumer behavior of Nike shoes with reference to lady’s segment.
Objective of the study

a) To study the marketing of Adidas and about the current position of Adidas in market
b) To find out Adidas and Nike are main competitors.
c) To find out that how Adidas hold to the market and what are the area seen which adidas
can improve.
d) To find out the differences among perceived service and expected service.
LIMITATIONS Of the Study

a) The research project has been completed with ease and comfortably.
b) No limitation or shortcoming was realized during the analysis.
c) Also, due to time constraints, enough justice could not be done to the project.
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CHAPTER - 2
LITERATURE REVIEW
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The study of consumer behavior has evolved since the Information Processing Model (Bettman,
1979) assumed that the individual is logical in his/her buying process. This model was criticized
because it failed to treat different consumption phenomena motivated by symbolic meanings
(Holbrook and Hirschman, 1982).
Individuals are not always looking for efficiency and economy, but also for distraction, aesthetic,
expression, etc. (Boyd and Levy, 1963). Calling for a broadening of theoretical frameworks of
consumer behavior, many authors pleaded in favor of the study of all consumption forms
(Holbrook, 1986), being inspired by European semi logy and American semiotic (Levy, 1959,
1963, 1981; Hirschman, 1980; Keret-Ward, Johnson, and Louie, 1985; Mick, 1986; Holbrook,
1986; O’Shaughnessy and Holbrook, 1988; Nöth, 1988; Stern, 1988; Grafton-Small and Linstead,
1989).
These are the study of signs, meanings, and production of symbols. Fantasy, emotion, and pleasant
aspects of consumption were then tackled from an experiential point of view. The Experiential
View is a phenomenological perspective that perceives consumption as a primary state of
consciousness having a variety of symbolic meanings, responses, and hedonist criteria (Holbrook
and Hirschman, 1982.
Olshavsky and Granbois, 1979). The basis of the traditional Information Processing Model is the
optimization of the utility of a product under the basis of a utilitarian evaluation of its tangible
characteristics. Nevertheless, it neglects emotional aspects. On the other hand, the Experiential
View leaves out different factors such as economic conditions, expectations, some elements of the
marketing mix (price, distribution), perceived risk and conflicts, but mostly the social influence of
the consumers’ reference groups (Holbrook and Hirschman, 1982; Business Central Europe, 1994)
which is the aim of the Symbolic Interactionism Perspective. Acquisition, possession, and
consumption are activities taking place in a process of impressions creation or identity
management which is, according to Belk (1978), an interactive process concerning both the image
of goods consumed and that of the individuals consuming them. The Symbolic Interactionism
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Perspective deals with the relationship between consumers and the products they consume and
suggests that a significant proportion of consumption behaviors consist of social behaviors, and
vice versa (Solomon, 1983).
This leads us to consider the importance of socialization processes (family, reference groups)
through which individuals learn the meanings of symbols and those of consumption. With the
meanings being negotiated and built through interactions with others, consumption is not only an
individual activity, but also a social process of goods definition (Gallant and Kleinman, 1983).
Since individuals are often motivated to acquire products according to what they mean to them
and to members of their social reference groups (Leigh and Gabel, 1992), their behavior is subject
to the pressures of cultural norms and the expectations of socialization institutions rules such as
those coming from family and other reference groups (Faber, O’Guinn and McCarthy, 1987;
Engel, Blackwell and Miniard, 1993). Thus, Symbolic Interactionism Perspective considers the
human spirit as fundamentally social, and dependent on shared symbols. The symbols being
generated at a global level (Geertz, 1973; Solomon, 1983; McCracken, 1986, 1988; Leigh and
Gabel, 1992), the Symbolic Interactionism Perspective accepts as precept the fact that society and
its culture precede every individual action, and that a cultural consensus results from interactions,
communication, and negotiation between social actors (Charon, 1989).
If, at a conceptual level, the consumption good becomes an instrument of communication, at an

operational level, image variables may be regarded as the intangible attributes of the product that
carry cultural and social meanings. According to Erickson, Johansson, and Chao (1984), an image
variable is defined as “some aspect of the product that is distinct from its physical characteristics
but that is nevertheless identified with the product”. The image variables emerge from four
cognitive representations individuals have of their environment: the symbolism of advertising, the
celebrity endorsement, the brand, and the country of origin of the product.
The made-in is considered by Dichter (1962) as the fifth element of the marketing mix and is
defined as the country where are located the corporate headquarters of the organization doing the
15
marketing of the product or the brand (Johansson, Douglas, and Nonaka, 1985). The country of
origin carries a rhetoric that influences consumers’ preconceptions towards the products of a
country. Its meaning can be conceived as an indication serving as a basis of evaluation (Bilkey and
Nes, 1982), when one considers a product as a bundle of information. Consequently, according to
Kaynak and Cavusgil (1983), the images of a foreign country that are formed by consumers are
made of cognitive, affective, and behavioral components. The first one represents the perceived
characteristics of the country. The second one concerns the appreciation or not of those
characteristics, and the third one corresponds to the actions about the country that the consumer
feels are appropriate. A tendency to evaluate positively the local production compared to imported
production, and biases in favor of industrialized countries have been found in previous studies
(Bilkey and Nes, 1982; Cordell, 1992). This does not mean the consumer will not buy the product,
but rather that he is not inclined to do so (Schooler, 1971). “When entering foreign markets, sellers
often face quotas, tariffs, and non-tariff barriers. In addition, they may face an intangible barrier
in the form of consumer bias based on product origin” (Schooler, 1971).
The informational value of the country of origin was also found to vary according to the level of
involvement of the consumer in purchasing the product and the presence of other cues such as
brand name, guarantee and price (Ahmed and d’Astous, 1993). In a recently published meta-
analysis of country-of-origin effects, Peterson and Jolibert (1995) conclude that the average effect
size is lower (0.19) for purchase intention, higher (0.30) for quality/reliability perceptions and
context dependent. More specifically, they found that the characteristics of the study (research
design, type of respondents, study cues, sample size, stimulus context etc.) influence the relative
effect of country-of-origin to a lesser degree for quality/reliability perceptions than for purchase
intention. However, the type of respondents (students, consumers, or businesspeople) had no
influence on quality/reliability perceptions.
Stanford GSB marketing professor Itamar Simonson and Ran Kivetz, an assistant professor at
Columbia University, asked a group of 195 Columbia students to do; eat a lot of sushi. Participants
were offered a "frequent diner" program that would reward them for their patronage at various
university dining locations and given a card that would track their purchases. They were randomly
16
assigned to one of two groups those in the "low" requirement group were told they would have to
purchase 12 sandwiches to get two free movie tickets, whereas those in the "high" requirement
group were told they would have to purchase 12 sandwiches and 12 orders of sushi to get two free
movie tickets. So, the second group had to do much more to receive the same reward. Kivetz and
Simonson also asked participants how much they liked sushi relative to the typical student. The
result? Students who liked sushi were much more likely to join the "frequent diner" program that
required them to purchase both 12 sandwiches and 12 orders of sushi. "It shows a common
mistake that consumers make & if they see an offer that seems to fit them better than other
consumers, for example, a program that requires sushi-lovers to eat sushi that fit completely colors
their assessment of how attractive the offer is," Simonson says. "As a result, by creating what
appears like personal fit, marketers can attract consumers to frequency programs and many other
promotional offers." Kivetz and Simonson replicated these findings regarding influences on
participation in frequency, or loyalty, programs in studies with travelers interviewed at domestic
airports. The sushi study is among several studies Simonson has been conducting since the late
1980s about how consumers make choices. Much of his work debunks the accepted theory that
giving consumers what they want and making a profit are the most basic principles of marketing.
The theme that pervades Simonson's work is that customers may not know what they want and
second-guessing them can be expensive. In his words, “The benefits and costs of fitting individual
customer preference are more complex and less deterministic than has been assumed." That's
because, Simonson says, "customer preferences are often ill-defined and susceptible to various
influences, and in many cases, customers have poor insight into their preferences."
In another recent paper, Simonson tackles the issue of one-to-one marketing and mass
customization. Supporters of these marketing approaches have suggested that learning what
customers want and giving them exactly what they want will create customer loyalty and an
insurmountable barrier to competition. In an example taken to the extreme in the 2007 movie
Minority Report, Tom Cruise's character Anderson runs through a shopping mall past talking
billboards that recognize him by name and urge him to buy products he has expressed interest in
such as jeans and Ray-Bans: the ultimate in personalized advertising. But Simonson has this to
17
say: "The fact that consumer preferences are often fuzzy, unstable, and manipulatable is unlikely
to change. So, the effectiveness of methods to give customers exactly what they (say they) want
has been grossly exaggerated." His take on the long-held assumption that individual marketing
will supplant targeted marketing is "not so fast." That's because consumers are very difficult to
figure out, science fiction and technology notwithstanding. "Furthermore, even when customers
have well-defined preferences and receive offers that fit those preferences, it is far from certain
that the response to such offers will consistently be more favorable than those directed at larger
market segments."
It's all psychology. Consumers with well-defined preferences may be skeptical that a marketer
could match expectations. Those who don't know what they want may not ever see the fit with
what the seller wants them to buy. So, individualized offers depend on customers' preferences;
how the offer was extended & and on trust. "Effective individual marketing requires not only an
understanding of individual preferences and matching offers to those preferences, but also a
thorough familiarity with the various factors that impact customers' responses," he writes.
This is a tall order, one that some companies have been able to fill at least to some extent. For
example, Amazon keeps track of customers’ purchases and suggests other books they might like.
Dell builds computers from mass-made parts to customers' specifications. But Simonson argues
some companies can take the concept too far, like the Custom Foot chain of shoe stores that took
detailed measurements and specifications from each customer to design one-of-a-kind shoes.
Simonson argues that Custom Foot didn't consider that some customers were put off by the
individualized attention and felt obligated to buy the shoes because the store went to so much
trouble. They often didn't come back. Indeed, an Internet search produces no Website.
Simonson, who has received many prestigious awards for his research on consumer behavior and
marketing, teaches MBA and Ph.D. marketing and consumer decision-making courses. The loyalty
program article is slated for publication in the Journal of Marketing Research this year.
18
Online customization gives consumers the opportunity to choose characteristics they want in a
product when they shop for it online. Many companies are looking at online customization as the
future of online business Janis Crow, Kansas State University marketing instructor, researched
how people make choices on the Internet. She recently studied consumers in an online environment
and their ability to customize several products - pizza, shoes, and electronic devices.
Crow said that her study posed two questions for respondents: first, how difficult is it to customize
a product, and secondly, how likely is the person to purchase the product he or she has customized?
All participants in the study chose to customize products. In terms of customers’ likelihood to
purchase, a greater number of customers made purchase decisions when there are more options to
choose, she said. However, it was slightly more difficult when more features were offered.
She created a website where people could customize products to their individual preferences and
needs. Crow selected three generic products: pizza, shoes, and a Personal Digital Assistant (PDA).
Thirty-one college students took part in the study.
"Students could customize the three products, and I provided a drop-down box on the site with
attributes to choose from," she explained. Consumers could click on a drop-down box to customize
a product they would want to purchase, she said. She found that more people relied on the default
choices rather than selecting other choices that were offered. She said, some research suggests that
many people do not want to put a lot of effort into purchase decisions. "A lot of times, people may
not have preferences already in mind," she said. When consumers have the chance to create
preferences, the question is whether they rely on previous preferences or if they develop new ones,
she said. In the future, Crow says she will be studying strategies that consumers go through during
purchase decisions. "I will be studying decision processes to develop computer aids that could help
the consumer reach their purchase decision," she said.
Although her current project involves analyzing the consumer behavior of college students in an
online environment, in future projects she plans to analyze other demographic groups.”
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Customization will be a key business opportunity in the future for businesses online or in more
typical shopping environments," Crow said.
She hopes her research will help consumers in making purchase decisions and help businesses
determine products to offer and how to offer them.
Hong Kong companies, including leather consumer goods suppliers, have shown a growing
interest in tapping the mainland consumer market after China's accession to the World Trade
Organization and gradual opening of its domestic market. For Hong Kong companies targeting
this vast market, a good understanding of the behavior of mainland consumers is necessary to
formulate an effective and suitable market strategy.
In view of this, the HKTDC conducted a survey study in four major mainland cities in February
2007. The study was composed of two interlocking surveys. The first survey (survey on shoppers)
successfully interviewed a total of 1,000 shoppers of leather consumer goods in four major cities,
namely Beijing (BJ), Chengdu (CD), Guangzhou (GZ) and Shanghai (SH). The second survey
(survey on retailers) interviewed managers/officers-in-charge of major department stores in these
four cities.
The survey study analyses leather consumer goods in terms of consumer behavior, the
competitiveness of Hong Kong brands and the consumer segments with the greatest biggest
spending power. The main survey findings are as follows:
CONSUMER BEHAVIOR
Shopping locations, Department stores were the most preferred type of retailers, followed by
outlets in shopping malls and chain stores. Product variety, guaranteed quality, brand choice, price,
services, and store environment were cited as the major reasons for visiting a leather consumer
goods store.
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SHOPPING TIME
Thirty-eight percent of respondents visited leather consumer goods shops at least once a month.
Shopping during weekends is common. Other popular shopping occasions include National Day
(1st October), Chinese New Year (January/February), New Year's Day (January) and Labour Day
(1st May).
MARKETING CHANNELS
Promotional activities in shopping malls and department stores are the most popular promotional
and sales activities, followed by discount/price reduction, TV commercials, discount coupons,
promotional stands, exhibitions, buy-one- (or more) gets-one-free.
PURCHASING POWER
On average, respondents owned 4.2 pairs of shoes, 1.2 pieces of wallets, 1.3 pieces of belts and
1.3 pieces of handbags/briefcases. Over the past 12 months, an average respondent's spending
on leather consumer goods was as follows:
1. Shoes: RMB 597 (total) RMB 328 (per pair)

2. Wallet: RMB 226 (total) and RMB 193 (per piece)
3. Belt: RMB 220 (total) and RMB 194 (per piece)
4. Handbag/briefcase: RMB 476 (total) and RMB 359 (per piece)
SELECTION CRITERIA.
When choosing leather consumer goods, product quality stood out as the principal consideration
for respondents, followed by product material, craftsmanship, style/design, price, and brand.
POPULAR BRANDS
Most respondents considered brands important
21
CHAPTER - 3
RESEARCH METHODOLOGY
22
RESEARCH METHODOLOGY
TYPE OF RESEARCH: -
Descriptive research
Descriptive research includes Surveys and fact-finding enquiries of different kinds. The main
characteristic of this method is that the researcher has no control over the variables; he can only
report what has happened or what is happening.
DATA SOURCES
There are two types of data.
Source of primary data for the present study is collected through questionnaire and answered by
consumers of Nike shoes. The secondary data is collected from journals, books and through
Internet search.
PRIMARY DATA
The data that is collected firsthand by someone specifically for the purpose of facilitating the study
is known as primary data. So, in this research the data is collected from respondents through
questionnaire.
SECONDARY DATA
For the company information I had used secondary data like brochures, web site of the company
etc.
The Method used by me is Survey Method as the research done is Descriptive Research.
RESEARCH INSTRUMENTS
Selected instrument for Data Collection for Survey is Questionnaire.
QUESTIONNAIRE DESIGN FORMULATION

Under this method, list of questions pertaining to the survey are prepared for marketing staff of
consumers of Nike shoes.
23
Questionnaire has structured type questions as well as unstructured type questions. Structured
objective type questions are prepared for the respondents with fixed response categories. Some of
the questions are of multiple-choice type. The questions have more than one alternative.
Questionnaire: - A questionnaire consists of a set of questions presented to respondent for their

answers. It can be Closed Ended or Open Ended
Open Ended: - Allows respondents to answer in their own words & are difficult to Interpret and
Tabulate.
Close Ended: - Pre-specify all the possible answers & are easy to Interpret and Tabulate.
TYPES OF QUESTION INCLUDED:

DICHOTOMOUS QUESTIONS
Which has only two answers “Yes” or “No”?
MULTIPLE CHOICE QUESTIONS

Where respondent is offered more than two choices.
IMPORTANCE SCALE
A scale that rates the importance of some attribute.
RATING SCALE
A scale that rates some attribute from “highly satisfied” to “highly unsatisfied “and “very
inefficient” to “very efficient”
SAMPLING UNIT: -
Who is to be surveyed? The marketing researcher must define the target population that will be
The sample Unit taken by me; General public of different age group, different gender, and different
profession
24
EXTENT: -
Where the survey should be carried out?
I have covered entire residential area of Hyderabad city for the survey
TIME FRAME: -
When the survey should be conducted?
I conducted my survey for 8weeks from 10th may to 10th July
SAMPLING FRAME: -
The source from which the sample is drawn
SAMPLING TECHNIQUE: -
How should the respondent be chosen?
In the Project sampling is done on basis of Probability sampling. Among the probability sampling
design, the sampling design chosen is stratified random sampling.
Because in this survey I had stratified the sample in different age group, different gender, and
different profession
SAMPLE SIZE
Consumers of shoes, 50 nos’
25
QUESTIONNAIRE
1. like to buy shoes which are less expensive but very stylish & of latest design.
 Strongly agree 30.00
 Agree 50.00
 Indifferent 14.00
 Disagree 4.00
 Strongly disagree 2.00
2. I Like to buy shoes which are not very stylish but comfortable (%. of Respondents)
 Agree 30.00
 Disagree 32.00
3. I like to buy Adidas shoes which are expensive & stylish but comfortable
 Agree 24.00
 Disagree 2.00
4. I like to buy Adidas shoes which are not very stylish but comfortable
 Agree 16.00
26
 Disagree 8.00
5. I like to buy Adidas shoes which are not stylish but comfortable and long lasting
 Agree 16.00
 Disagree 12.00
6. I like to buy Adidas shoes which are not very stylish but comfortable
 Agree 16.00
 Indifferent
 Disagree
 Strongly disagree
7. I like to buy Adidas shoes which are less expensive but very stylish & of latest design.
 Agree 10.00
 Disagree 14.00
8. I like to buy Adidas shoes which are very stylish & of latest design.
 Agree 6.00
 Disagree 22.00
27
9. I like to buy Tailor made shoes which are very stylish & of latest design.
 Agree 38.00
 Disagree 16.00
10. I will certainly buy shoes if high quality matching imitation jewelry given free.
 Agree 56.00
 Disagree 4.00
11. I will certainly buy shoes if high quality imported scent given free.
 Agree 60.00
 Disagree 2.00
12. My expectation is fulfilled by my shoe supplier.

 Agree 24.00
 Disagree 8.00
28
 25 Shoe companies should survey customer preferences.
 Agree 56.00
 Disagree 2.00
13. Shoe companies should suggest shoe design using celebrity.

 Agree 52.00
 Disagree 2.00
14. I know exactly what I want in my shoes.

 Agree 26.00
 Disagree 22.00
15. I don’t want to spend too much time on deciding my shoes.

 Agree 58.00
 Disagree 6.00
29
16. Store’s display is the best form of advertisement
 Agree 48.00
 Disagree 4.00
17. T. V advertisement is the best form of advertisement
 Agree 52.00
 Disagree 16.00
18. Buying customized shoe by internet is very attractive.

 Agree 52.00
 Disagree 16.00
19. Buying customized shoe by internet is very attractive. But no spam mail.
 Agree 28.00
 Disagree 10.00
30
Chapter – 4
COMPARATIVE ANALYSIS
Marketing Strategy – Adidas Other Strategy
31
Adidas, the brand with three stripes, seems to use the elements of high -tension in its
ads. Remember the Sachin Tendulkar commercial? How everything is near -frozen, and
the shattering glass signifies release. Release of tension. Adidas gives you a chance to
but the boundaries – in every sphere.
Only now, the setting is not the playground or the track or the court, it is the urban
landscape – with its omnipresent traffic jams, crowded streets and so forth. This way,
Adidas becomes a part of life. Anyone’s life. You don’t have to be the high -voltage
performer to be a part of the Adidas family. And it goes beyond that – Adidas becomes
something that makes you better. Not just as an athlete, bu t as a sports person, a better
human being.
One of the advertisements: The spot featuring Boldin, shows him chasing a thief
(who’d stolen a TV set when its owner was in the bath) through the dark streets. To
help a man (the owner, in a towel) in distress. And he uses all the power that he can, to
do what he must do and what he needs to do. And Adidas helps him perform better, than
he would otherwise have been able to. This is perhaps shown in an oblique way when
the spot ends at the feet of Boldin and the bather.
One is wearing a pair of Adidas shoes while the other is barefoot. Adidas makes you
better, goes the base. In short, the other man could have done as well as Boldin. The
bather reads any man. Any man who wears Adidas. And Adidas goes beyond athlet ic
performance – it becomes everyday life. In stark reality. Though humorously and light,
it has a deep meaning.
32
Marketing: Adidas
In 1997, Adidas became Adidas-Salomon with its US $1.4 billion purchase of Salomon, a French
manufacturer of skis and other sporting goods. The deal put Adidas one step closer to competitor
and world market leader Nike, and one step ahead of Reebok
Salomon, aside from its winter sport equipment, also owns golf club brand Taylor Made and cycle
brand Mavic. The merger makes Adidas/Salomon the second largest sport marketer in the world,
and number one in Europe. Salomon is currently very strong in North America and Japan, and
Adidas has the largest market share in Europe.
Adidas is, like Nike, very active insuring sponsorships advertising deals with celebrities. Some of
the most famous are Martina Hingis (tennis), Kobe Bryant (basketball), Peyton Manning, Paul
Palmer (swimmer), Jan Ullrich (racing cyclist) and the New York Yankees. David Beckham,
Patrick Kluivert and Zidane all wear Adidas boots, the Predator Accelerator.
Leveraging On Sachin: One Major Part of Marketing Strategy in INDIA
Continuing its association with trump card Sachin, the local four-ad print campaign tries to connect
Adidas’ product attributes with Sachin’s magic. “Instead of presenting just one dimensions:
The first ad connects Sachin’s choice of a heavy bat with Adidas’ Falcon Dorf light weight shoes.
Says the headline: ‘Sachin likes his bat heavy, not his shoe.’
The second new shoe range to be introduced for the first time in India. Sub-branded ‘Aksu’ and
priced at Rs 2,299, these are athletic sandals primarily meant for water-based adventure sports.
Finally, the next ad will convey that Adidas covers various price points by promoting its existing
Portland range priced at Rs 1,499 and 1,799 (the leather version).
The importance of celebrity sponsorship and events to Adidas is illustrated by Robert Louis-
Dreyfus’ letter in the company’s 1998 annual report:
33
“When it comes to showcasing our brands, 1998 was truly exceptional. Early in the year, the
Winter Olympics focused the attention of sports enthusiasts on Nagano. In summer, the Soccer
World Cup in France attracted more spectators than any single sports event before. When the
French team, promoting the three stripes, won the World Cup, we could not have wished for more.
These were great times for our brand.’
Adidas has reached an agreement with ISL Marketing G of Switzerland to become an official
sponsor of the 2000 UEFA European Championships. Adidas will have access to the official
emblems, mascot, and trophy for the design of its own products.
In 1998, the overall Adidas budget for promotion and sponsoring accounted for nearly 15% of
turnover.
The positioning is being communicated through its global campaign-released worldwide in

February 1999 but in India, only in May-as well as through a four-ad print campaign developed
locally by RK Swamy/BBDO. Says G Kanan, general manager, marketing, Adidas: “We are the
only brand with heritage in sports. As a brand, we’re not an attitude that’s fashionable. We’re an
attitude that is relevant all the time.
The campaign also introduces a new brand line for Adidas: ‘Forever Sport’. The line sums up the
“deeply-felt” and “long-term love affair” (it has been involved with sports since 1928) that Adidas
has with sport in all its forms. Interestingly, the new brand line has been introduced almost after a
decade, when it was using ‘Earn your stripes’ as its tag-line. The company dropped it during the
late 80s after it found that it wasn’t connecting too well with its consumers.
But the golden question is that will the campaign make Adidas run?
34
The company expects the campaign to strengthen the image of the brand since research had
indicated that neither of the three multinational sports shoe brands present in India had a clear
image: most were perceived as diffused brands and personality led. Says Kanan: “Sachin has and
will play a major role in pushing the brand. He is important, as there are certain values a consumer
needs to know about Adidas. But after a certain duration, we have to present a global perspective
too and hence the Forever Sport campaign.”
Interestingly, Adidas claims that it did not want to be caught up in the clutter of the World Cup
promotions-and deliberately chose not to associated with the World Cup. Instead, according to
Kanan, the campaign has been broken now to coincide with the peak season (April-June). “The
World Cup is incidental. It’s too large an event to make significance for us”, says Kanan.
However, the company is maintaining a steady and dominant presence in the media during the Cup
strewn over select channels like Star, Discovery, and ESPN are the Sachin ads promoting Adidas.
“Star News is delivering good value while through Discovery, we can catch the elite customer”,
Kanan says.
Although Kanan admits that the sports shoe and apparel market is at a nascent stage, he claims that
Adidas has grown by over 250 per cent from last year. As a company that takes pride in not joining
the price brawl, Adidas does not intend to bring down the prices of its products. Says Kanan, “We
don’t look at driving down the market by lowering the price. We are willing to wait for the market
to evolve.”
For Adidas, the real breakthrough, says Kanan, has come through a combination of strategies:
signing on Sachin, Leander and Bhupathi; expanding its reach (it opened 45 stores last year); a
revamped range which covers a band of price points; and support to the brand. "“e built-in value
pricing in our products and supported them through sports icons who are looked up to. We have
realized that to have just one good guy endorsing your brand is more important than having several
unknown faces”, says Kanan
35
The company is enlarging the scope of its business by concentrating on apparel. “Apparel is driving
the business. Most consumers start experimenting with the brand through apparel”, admits Kanan.
Essentially perceived as a male brand, Adidas however defends its range by pointing out that
currently it has 50 items out of a total of 250, for women.
Further, Adidas is planning to add 30 new stores this year. “We’re looking at driving the market
through exclusive stores”. Says Kanan. The logic is clear: use Forever Sport to ensure sales forever.
Never achieved profitability and collapsed under the weight of its own unrealized ambitions.
Adidas’s objective with the new line of footwear is to generate sales leads through its Web site,
either through direct purchase or a retailer finder. Villota says that every style of footwear has a
story, particularly those endorsed by star athletes, and it’s these stories that sell the shoes to buyers.
While Villota wouldn’t disclose how much of Bryant’s Adidas footwear is sold online, he did say
one of three visitors to the Bryant portion of the Adidas site demonstrated purchase intent by
clicking through to the store or to the retail finder.
The newest version of Bryant’s footwear hits the street Nov. 1, coinciding with the start of the
2003-2004 NBA season. While Adidas won’t comment on the new site’s features, citing
competitive pressure, Villota says it is Adidas America’s most ambitious integration of Web
content and electronic marketing.
The Adidas - Salomon Executive Board will propose paying a dividend of CC 0.92 per share to
the Annual General Meeting of Shareholders on May 10, the same amount as in the previous year.
This decision to maintain a stable dividend level, despite the EPS decline in 2004, underlines
Management’s confidence in its ability to achieve its 2005 targets. Management views 2004 as a
year of consolidation and restructuring and has increased the payout percentage to reward long-
term shareholders.
36
THE ADIDAS LOGO
The “Trefoil” was adopted as the corporate logo in 1972. It represents the heritage and history of
the brand. In 1996, it was decided that the Trefoil would only be used on heritage products.
Examples of product featuring the Trefoil logo include the Stan Smith, Rod Laver, A-15 warm-
up, and Classic T-shirt.
Equipment
The Adidas Equipment line was launched in 1991. This line of footwear and apparel represents
the most unique and functional of Adidas products. Equipment is the ultimate expression of what
is uniquely possible by design when form follows function.
In January 1996, the Three-Stripes brand mark became the worldwide Adidas corporate logo. This
logo represents performance and the future of the Adidas brand. This logo is used in all advertising,
printed collateral and corporate signage.
Since 1949, the Three-Stripes have been an integral part of our brand and product designs. This
trademark has become synonymous with Adidas and its dedication to producing high-quality
athletic products to help athletes perform better
37
ADIDAS: Company’s
Financial Facts
For over 83 years Adidas has been part of the world of sports on every level, delivering state-of-
the-art sports footwear, apparel, and accessories. Today, with total net sales of £182 million,
Adidas-Salomon is a global leader in the sporting goods industry and offers the broadest portfolio
of products. Adidas-Salomon products are available in virtually every country of the world. Our
strategy is simple: continuously strengthen our brands and products to improve our competitive
position and financial performance. The company’s share of the world market for sporting goods
is estimated at around 19 percent.
SWOT ANAYSIS
Strengths:
• The main strength of Adidas is his Product Quality. The quality and the material use in Adidas is
very good.
• The company has a good brand image in the market, the publicity and the advertisement are also
very good and lastly company hold a healthy market share in the market.
• Another strength of the company is its well efficient and effective management, which works as a
team.
Weakness:
• The major weakness in the Adidas is that the manufacturing of the products of Adidas is not done
in India itself it is being import hence the cost become high and the margin of profit becomes low
that’s why company must give a deep thought on manufacturing their products in India.
38
• Another major weakness in the company is that it is not catering to all the segments which I have
already discuss above, if these two weakness in the company can be eradicated then the company
may earn high profit and better market status
Opportunities:
• Adidas does have many products for the urban segment or poor people, but there is hardly any
product, or we can say that there are no products for this segment. India is more a rural country, in
the total population of India major part of population lives in rural area and these people cannot
afford the costly products of the company like Adidas hence company must target this segment
they must introduce the shoes and other product according to their demands.
• Also, price is one of the major factors which may influence this type of segment hence company
should make their policy accordingly.
• Company must also consider the range and the variety of the products as compared to Nike and
Reebok.
In my opinion the company must introduce more rage or more variety in the market to compete
with their competitors and the customer has more choices to choose the product from.
Threats:
• Adidas does not have strong distribution network as compared to Nike and Reebok in India. Nike
has a greater number of retail outlet then Adidas and Reebok have a unique distribution network,
the company Reebok not only uses its outlet for the sale of their product but also use some other
shoes company outlet like “Bata”. In a Bata showroom u can find Reebok shoes and other products.
But this is not a case with Adidas hence Reebok has an extra advantage over Adidas.
• Adidas do not have any competitive advantage as compared to Nike and Reebok.
39
CHAPTER – 5
DATA ANALYSIS
40
• Demography of respondents
ANALYSIS:
It was observed that most of the respondents consist of professional from various fields like
engineers, software professionals, working executive etc. who effective form 38% of our database.
While 36% were students from various fields. Others constitute designers and athletes etc. the
further study is carried on the buying behavior of the above-mentioned categories of consumer,
which shows that our consumer is well educated and is very well informed about the product.
41
1. Consumer’s income level and spending capacity on shoes
ANALYSIS:
In the survey conducted a direct relation between the income level and the spending capacity was
observed. Also, it was found that students were spending in the range of Rs 1000 – Rs 3000 as
compared to the working-class professionals who were ready to spend between Rs 3000 – Rs 6000,
since they have higher spending power because of higher income levels.
42
SHOPPING SEASON
ANALYSIS:
Amongst the student and the professional, it was found the consumer buying BEHAVIOR does
not change with respect to the seasons and occasion as most of the consumer would like to buy
their shoes as and when need arises, whereas the businessman generally do their shoes shopping
during traveling or on special occasions.
43
BRAND RECOLLECTION:
ANALYSIS:
When asked about reconciling a sports shoes brand about 70% of the respondent were able to recall
REEBOK or NIKE whereas rest were able to remember ADDIDAD and FILA brands. This was
since REEBOK has brand ambassador like RAHUL DRAVID and YUVRAJ SINGH.
44
FACTOR INFLUENCING THE BUYING PROCESS:
ANALYSIS:
Among the various factors like social, psychological, personal, and cultural factors it was observed
that the consumer gives more preference to his personal choice and psychological factors like 50%
of the people consider comfort and they generally do not consider durability as an important aspect
because they believe that it comes along with the brand. Also, the social factor like style was
second most important factor behind the consumer buying motives.
45
46
(B) COMPARISON WITH OTHER BRANDS
ANALYSIS:
In response to the question about giving, out of 100 points to the various factors affecting their
buying BEHAVIOR between ADDIDAD and OTHER’S following was observed:
OTHERS ADDIDAD
a. Style ____20____ ___30_____
b. Price ____10____ ___10_____
c. Comfort _____30___ ___30_____
d. Brand ____10____ ___20_____
e. Durability _____30___ ___10____
this further shows that the consumer looks for style in the ADDIDAD more in comparison to the
other brand, hence, gave their 30 points to it whereas 20 in case of other brands it was seen that
the comfort remains at equal place even while choosing a competitive brand.
47
BUYING FORCES
ANALYSIS:
It was observed that consumer is forced by no factors like peer pressure, family and friends and
sometime people would like to buy a product because it is being endorsed by their favorite
celebrity. It was observed that the beside that personal choice of the respondent, the pressure from
the friends plays an important buying force for the students, while the peer and college in case of
the professional and the least pursuing factor is family which was seen in case of the respondents
belonging to age group 35 years and above.
BOUGHT REEBOK?
24%
76%
Yes No
NO OF PEOPLE BUYING ADDIDADSHOES & REEBOK SHOES:

ANALYSIS:
This question was asked to know the market capture by the REEBOK and the time of association
of the customers with REEBOK. It was deduced that more than 75% of the respondents were using
48
the REEBOK shoes and were mainly associated with it for a period of 1 year or more. While the
remaining respondents were using either the NIKE or ADDIDAS brand shoes.
SATISFACTION
16%
28%
4%
22%
30%
a. Very Satisfied b. Satisfactory c. Ok d. Poor e. not applied
CUSTOMER SATISFACTION:
ANALYSIS:
Because of the quality product offered by the REEBOK about 60% of the respondents were either
very satisfied or satisfied, while 10% did not gave any response as they were not using the
REEBOK shoes.
49
2. Do you ask for a specific brand by name?
No
10%
Yes
90%
Yes No
90% people say yes to this. and the remaining 10% say no.
3. Which brand do you generally use?
People in India prefer NIKE the most as we can see that 24% % people prefer Adidas sportswear.
Lotto
Nike
16%
24%
Action
17%
Reebok
Addidas 20%
23%
Nike Reebok Addidas Action Lotto
Then comes Adidas and Reeb
50
Has any sports shoes ad (seen on TV/in a magazine) made an impact on you?
YES NO IF YES, THEN WHY

NIKE 43 57
ADIDAS 63 37
REEBOK 45 55
ACTION 30 70
70 70
63
60 57
55
50
45
43
40 37
30
30
20
10
0
NIKE ADIDAS REEBOK ACTION
YES NO
Most of the people are influenced with Adidas’s ad, then with Reebok and then Adidas. The most
un-influential is that of action.
51
4. What according to you is the relative importance of the following?
V. Imp Imp. Not so Doesn’t
Imp. matter
PRICE 50 28 12 10
DURABILITY 55 45 0 0
BRAND IMAGE 40 20 15 15
COMFORTABLE 54 36 10 0
LOOKS 40 40 15 5
CHART TITLE
V. Imp Imp. Not so Imp. Doesn’t matter
60
55 54
50
50
45
40 40 40
40
36
30 28
20
20
15 15 15
12
10 10
10
5
0 0 0
0
PRICE DURABILITY BRAND IMAGE COMFORTABLE LOOKS
By this we infer that the consumer wants the shoe to be durable that is of primary importance for
them. Then the price is also very important for them. The shoe should be comfortable. Along with
that look and the brand image is also important.
52
5. What features of Adidas do you like the most?
Chart Title
11%
18%
14% Air system

Light weight
Enhanced toe support
Laceless models
One size fit all
22% 35%
The most liked feature of Adidas is the lightweight shoe. Then it is the enhanced toe support. From
here we can infer that most important aspect for the consumers is the comfort they get from the
shoes.
53
6. What range you prefer?
Percentage of people
45
42
40
35
30
27
25
22
20
15
9
10
0
1500-3500 3500-5500 5500-7500 7500-9500
Larger number of people goes in for shoes that come under the range of Rs. 1500-3500. A s we
know that Adidas is a premium brand 27% of the buy shoes that falls under the range of Rs. 3500-
7500 and lesser no. of people buy shoes ranging in between 3500 and 5500.
54
7. How often you buy Adidas?
PERCENTAGE OF PEOPLE
Weekly Monthly Yearly Not even once
2%
12%
24%
62%
62% of the consumers buy Adidas only once a year. Here we notice one thing that some don’t buy
Adidas.
55
8. Are you satisfied buying Adidas?
Fully Satisfied Not satisfied Can't say
70
64
60
50
40
30
21
20
15
10
0
The people who buy Adidas are fully satisfied buying it, their percentage is 64%. Only 15 % are
not satisfied buying it.
56
9. Do you think Adidas serves the purpose of being a good brand, for Sports wear?
60
50
40
30 56
20
27
10
17
0
Yes
No
Can't say
Yes No Can't say

Percentage of people 56 27 17
56% of the people agree that Adidas serves its purpose for being a sport brand. Only 27% people
don’t agree with it.
57
10. Will you prefer Adidas launching a new range which can serve the purpose of service class?
16%
Yes
17% No
Don't know
67%
67% say yes to the idea of launching a new range for the service class. 36 don’t have any idea of
this.
58
Chapter – 6
CONCLUSION & FINDINGS
59
The specific brand objective of Adidas India would be to build up its brand reputation, image, and
equity. A brand is not simply a collection of products and benefits, but also a storehouse of value
stemming from awareness, loyalty, and association of quality and brand personality. A brand is a
name, term, sign, symbol or design or a combination of them intended to identify the goods or
services of one seller or group of sellers and to differentiate from those of competitors. In essence,
a brand identifies the seller or maker. It can convey up to six levels of meaning: Attributes,
Benefits, Values, Culture, Personality and User. If a company treats a brand only as a name it
misses the point. The branding challenge is to develop a deep set of positive associations for the
brand.
Although these six meanings are noticeable in the Adidas brand in the west and other parts of the
world, they are yet to be cultivated in India. Adidas must ensure that their brand is built up on these
pillars in India.
The secondary brand objective of Adidas India would be to ensure that they match the market
share and sales volumes of its competitors. After all, a company is in business to make profits and
stay ahead of its competitors. A company, product or brand may have a very good reputation and
image, but if it is not profitable, it does serve its purpose. At the same time sales figures and data
can be misleading. Hence market share has also to be paid attention to.
Adidas despite being one of the most popular brands in the world has not really caught on in India.
Yet, there is reason to believe that Bata’s Power and Liberty would be ahead of Adidas in terms
of popularity. We also notice that Adidas is at par with Reebok. This again does not reflect too
well on the brand, considering that Adidas outsells Reebok everywhere else in the world.
Hence it is reasonable to state that Adidas’s popularity level in India could do with a boost. The
best way to achieve this would be some serious brand building. The image of the brand must be
improved, and people must be made aware of its presence. Thus, the rationale behind choosing
improvement of brand image and reputation as the company’s primary objective is quite clear.
60
Adidas’s distinctive competency lies in marketing, particularity in consumer brand awareness and
brand power. On the global scale this key distinctive competency towers over the competitors. As
a result, Adidas’s market share is number-one in the athletic footwear industry in most places
around the world. Catch phrases like, "Just Do It," and symbols like the Adidas "Swoosh," couple
with sports icons to serve as instant reminders of the Adidas Empire. It is about time that this
competency is leveraged on to India.
Two key attributes of a distinctive competency are its inability to be easily replicated and the value
or benefit it offers to consumers. Few companies have such a recognizable image and the resources
to promote it. This ultimately translates into added value for consumers. The public benefits from
the strength of Adidas’s image at the point of purchase. For decades, consumers have come to
associate the Adidas image with quality products. By associating star athletes and motivational
slogans like, "Just Do It," with marketing campaigns that emphasize fitness, competition, and
sportsmanship, consumers identify their purchases with the prospect of achieving greatness.
Younger consumers especially benefit from this positive influence. This image is something that
competing companies cannot easily duplicate by simply enhancing the physical characteristics of
their products.
Adidas’s vision is to remain the leader in the industry. The company will continue to produce the
quality products that have been provided in the past. Most importantly, Adidas will continue to
meet the ever-changing needs of the customers, through product innovation. In the past, the
company has utilized product differentiation as the main competitive strategy. As Adidas’s
reputation dictates, it will continue to place emphasis in this area. Adidas has built its business on
providing products that rise above all others and this has made it the worldwide success that it is
today.
Adidas is known for its technologically advanced products and is the leader in this area. This
allows Adidas’s products to stand out from the rest. The company’s focus also allows it to maintain
a somewhat narrow niche that enables it to effectively capture the needs and wants of the
61
consumers. An example of Adidas’s superior and innovative technology is its new range of shoes
called “Air Presto”. Termed as the first T-shirt for the feet, these shoes can take the shape and size
of the wearer’s feet. Unlike regular shoes it comes are sizes like XL, L, M, S and XS. Each of these
sizes can accommodate three conventional foot sizes. Adidas will continue to produce such path-
breaking products in the future and stay a step ahead of its competitors.
Adidas will also focus on making a strong effort in price leadership. Adidas’s products in the past
have been concentrated in the higher end of the pricing category. An entrance will now be made
into lower price categories with these quality products. This will enable Adidas to capture an even
greater hold on market share.
Presently, the only form of customer relationship management activity that Adidas has adopted in
India is product warranty. Adidas shoes come with a six-month warranty. If the shoe is found to
be defective or wears out within six months due to no fault of the wearer, Adidas replaces the
product. This is only the first step and more needs to be dome in this area.
Being a company that always strives towards excellence, Adidas needs to know exactly what its
customers think about their products. A good way of assessing this would be to have the customer
fill in a form at the point of purchase. The form will ask the customer his / her opinion on the
product as well as the showroom. Suggestions and comments would be welcome. However, care
must be taken to ensure that these forms are not too cumbersome and do not take up too much of
the customer’s time. Surveys have indicated that normally people don’t mind filling in forms if
they are not too long.
Another good method would be to introduce a system of customer points. Every time a customer
makes a purchase, he would earn himself a certain number of points, depending on the price of the
product. After he crosses a certain point level, he would be entitled to a gift from the company or
choose a product of a certain value from the range. This would be helpful in building customer
loyalty and give them an incentive to make repeat purchases. A most valued customer database
could be created from her e and various forms of direct marketing could be directed at them. This
would help the company to retain its existing customers.
62
A third way to improve customer relationship would be to issue gift coupons and vouchers. People
would have the facility to buy these vouchers and present them to their dear ones. This would be
a good way to reach out towards newer customers through existing ones.
RECOMMENDATIONS
To explore the mainland market, Hong Kong companies should position themselves in areas in
which they are strong. From the viewpoint of mainland consumers, Hong Kong's leather consumer
goods are considered competitive in the high-end and mid-range. Mainland consumers are brand
conscious, and it is vital to promote own brands which have clear image.
This survey also shows that Hong Kong products are preferred for their design/style and quality.
Bearing these in mind, Hong Kong companies should never compromise on quality, and they
should allocate more resources to product design, selection of material and craftsmanship.
63
BIBLIOGRAPHY
64
Books:
❖ PHILIP KOTLER, MARKETING MANAGEMENT, EDITION 2005.
❖ V.S RAMASWAMY AND S. NAMAKUMARI MARKETING MANAGEMENT, SECOND
EDITION.
❖ WILLIAM STANTON.J, MICHALL J. ETJEC, BRUCE J. WALKER FUNDAMENTAL
OF MANAGEMENT.
❖ RAVICHANDRAH.N COMPETITION IN INDIAN INDUSTRY.
Web Sites
• www.adidas.com
• www.indiainfoline.com
• www.webcrawler.com
• www.indiatimes.com
Class Notes is referred
Magazines
• A&M
• Business India
• India Today
• Business Today
Newspapers
• The Times of India
• The Hindustan Times
• The Economic Times
65

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A MINOR PROJECT REPORT

“The Study on Marketing strategies of ADIDAS”

Submitted in the partial fulfillment for the award of Degree of Bachelor in

B.Com (H): 2020-23

Under The Guidance: Submitted By:

Ms. Parul Agarwal Dheeraj

MCIT Professor, CPJCHS 00721588820

CHANDERPRABHU JAIN COLLEGE OF HIGHER STUDIES & SCHOOL OF LAW

An ISO 9001:2015 Certified Institute (Approved by the Govt of NCT of Delhi

Affiliated to Guru Gobind Singh Indraprastha University, Delhi)

Plot No OCF Sector A-8, Narela New Delhi - 11004

DATE- 30 th June,2020 DHEERAJ

I Dheeraj hereby declare that the Dissertation, entitled ‘Study on Marketing

Date: 30th June,2021

S.NO TITLE PAGE

a. They have Adidas-performance in Competitive sports,

Strong relationship with the organizations such as International Laboure organization,

Distribution strategy in the Marketing strategy of Adidas – As the consumer environment

Competitive analysis in the Marketing strategy of Adidas – Adidas Group’s multi-brand

BACKGROUND OF THE PROBLEM

Objective of the study

LIMITATIONS Of the Study

If, at a conceptual level, the consumption good becomes an instrument of communication, at an

1. Shoes: RMB 597 (total) RMB 328 (per pair)

Most respondents considered brands important

QUESTIONNAIRE DESIGN FORMULATION

Questionnaire: - A questionnaire consists of a set of questions presented to respondent for their

TYPES OF QUESTION INCLUDED:

MULTIPLE CHOICE QUESTIONS

12. My expectation is fulfilled by my shoe supplier.

13. Shoe companies should suggest shoe design using celebrity.

14. I know exactly what I want in my shoes.

15. I don’t want to spend too much time on deciding my shoes.

18. Buying customized shoe by internet is very attractive.

Leveraging On Sachin: One Major Part of Marketing Strategy in INDIA

The positioning is being communicated through its global campaign-released worldwide in

NO OF PEOPLE BUYING ADDIDADSHOES & REEBOK SHOES:

a. Very Satisfied b. Satisfactory c. Ok d. Poor e. not applied

Then comes Adidas and Reeb

YES NO IF YES, THEN WHY

14% Air system

Fully Satisfied Not satisfied Can't say

Yes No Can't say

Class Notes is referred

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