Brand Audit

A brand audit is a thorough examination of a brand's current position in the market compared
to its competitors and a review of its effectiveness. It helps you determine the strength of
your brand together with its weaknesses or inconsistencies and opportunities for
improvement and new developments.
Internal brand audit
Brand :
Adidas
Adidas AG is a German multinational corporation, founded and headquartered in
Herzogenaurach, Germany, that designs and manufactures shoes, clothing and accessories. It
is the largest sportswear manufacturer in Europe
Internal brand audit
MISSION:
TO BE THE BEST SPORTS BRAND IN THE WORLD
The adidas brand's mission is to be the best sports brand in the world, by designing, building
and selling the best sports products in the world, with the best service and experience, in a
sustainable way.
VISION
Adidas vision statement is to be the design leaders with a focus on getting the best out of the
athletes with performance guaranteed products inthe sports market globally.

Innovations. Adidas clearly shows that creative mindset is at the heart of all its operations as
demonstrated by the constant rollout of incredible sports shoes and other related products.
The designs characterizing its work are precise and tailored to the specific needs of the
athlete, showing just why the company has become a darling in the sports sector.

Core Values

Adidas core values comprise “performance, passion, integrity, and diversity.” They are the
principles that have kept Adidas ahead of its game for decades. They ensure the strategic
approaches of the company align with the mission and vision statements. They reveal the
following details:

Performance. In everything it does, Adidas emphasizes on the need for all stakeholders to
maintain the ultimate rate of performance. The company acknowledges the competitiveness
of the sportswear, boots and accessories market, and therefore, only the best players can
thrive there. 

This value relates to the second one that is all about an appetite of sports and everything good
about it. Adidas is also categorical on the influence of a culture of doing things right has on
the growth trend of a company. It stresses that this is what keeps the customer loyal and
enthusiastic about what the company has on offer. To sum up, the type of culture that gives
Adidas the reputation it boasts, the value of diversity, not only in the products it produces but
also the backgrounds it associates and calls Adidas family gives it a global outlook.

Slogan

Adidas slogan is: Impossible is Nothing

Advertising
 is one of the ways Adidas add value to their products. They make their advertisements look
interesting to the consumer's eyes. This then influences the consumers to buy their new
products.

Adidas Brand Positioning Strategy

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. The importance of having a good positioning
strategy is to help the company to create its competitive advantage create a consistent image
for a product offering and to utilize particular strengths. Brand portfolio of Adidas Group is to
build and manage a diverse brand portfolio with distinctive brands covering consumers from
sport performance to sport lifestyle. There are two types of positioning, that is product
positioning and market positioning .
For example, adidas has include the adidas sport performance, adidas Originals and Sport Style.
The adidas Sport Performance is for gaining sales and market share in the running and
basketball categories

Swot analysis
Adidas strengths

An Iconic Brand with a Prestigious Legacy: Adidas has nurtured a strong and
prestigious legacy and heritage over its long, illustrious history by influencing and
shaping numerous aspects of society across the world.
 Diversified Portfolio: Even though the Adidas brand is restricted within the
sportswear industry, the company’s products are diversified. It offers multiple
products that are designed to cater to a wide range of sports, including footwear,
apparel, and hardware accessories.

 Young Customers prefer Adidas: The consistent focus on product quality and
customer experience has enabled Adidas to nurture a global and loyal customer base,
particularly teens and young adultsbetween 16 and 24 years in urban areas.
 Adidas Weaknesses

 Supply Chain Shortage: Adidas outsources the production of most of its products to

3rdparty or independent manufacturing suppliers, mainly in China, Cambodia, and
Vietnam. It has exposed Adidas to the risk ofoverdependence on foreign suppliers.
 Expensive Products: Adidas charges a premium or high prices for its products, which
has alienated low-income consumers. Only upper- and middle-income group
customers can afford over a $100 shoe.
 Limited Product Line: Adidas Group has only Adidas brand and Reebok brand under
its portfolio, which has restricted the company within sports footwear, sports apparel,
and accessories. Therefore, a decline in demand for sports-related products can be
disastrous to Adidas
 Adidas Opportunities
 Growing Sportswear Industry: Sports and fitness have grown in popularity with no
sign of slowing down soon, which means there will be a consistent increase in
demand for sportswear products and assortments.
  Investing in Smart Materials:Technological advancements have enabled the
development of new synthetic materials that are better and more beneficial than
traditional materials.
 Increasing Demand for Premium Sports Products: Improved economic situation in
developing countries has increased purchasing power and demand for premium
products. Adidas can capitalize on this by expanding into countries such as India,
where discretionary income is expected to increase by 45% by 2025.
 Product Development in Space: In 2019, Adidas has partnered with International
Space Station National Lab to explore new product development “Boost midsole
creation” process without gravity.

Adidas Threats

Competition: The main threat facing Adidas is increased competition due to

globalization and technological advancements, which has enabled entry and
penetration of small and medium companies. This implies that Adidas has
to compete against main rivals such as Nike, Under Armour, Puma while fending-
off new entrants and penetrators.
 Supplier Dominancy: The fact that Adidas outsources most of the manufacturing of its
products implies that the suppliers have more bargaining power than the company.
The skewed balance of power exposes Adidas to the possibility of being held hostage
by its biggest suppliers.
 Loss of Trademark: In 2019, Adidas lostthe three-strip logo trademark case in the
General Court of the European Union, which exposes the brand to the threat of
imitation.
 Exchange Rates: Fluctuations of major currencies such as the Euro and the US Dollar
can negatively affect Adidas’s profits since it operates in the global marketplace.
 Fake Products: According to CEO Rorsted, 10% of Adidas products in Asia could be
fake. The number and quality of fake products for premium shoe brands have
increased significantly in the recent past, which poses a threat to shoe-manufacturing
companies.

External brand audit