Adidas: Share Of Market, Targets And Segments

• Explain demographics, Geographic’s, psychographics and why companies use these methods to segment the market effectively

Markets for any product comprises several segments of consumers, each with different needs and wants. Market segmentation can be categorised in the following manner:

Adidas is a German company that designs sportswear: shoes, clothing and accessories. It is the second leading company in this market. Adidas’ headquarters are in Herzogenaurach, the home town from its founder, Adolf Dassler. Adidas has many points of sale all over the world: in 2015, 1698 concept stores, 872 factory outlets, and 152 corners in department stores. Adidas group employs more than 46 000 people across the world. Adidas turnover in 2015 was 2 416 796 euros.

To know more about why segments market, we will but case for Reebok shoes, showing how different Reebok shoes reach segments of customers with different needs

It is the division of a market into homogeneous groups of consumers, each expected to respond to a different marketing mix (Dictionary of Business). Segmentation bases on: (1) Geographic segmentation: divides customers into segments based on geographical areas such as regions, states and cities. (2) Demographic segmentation: divides customers into segments based on demographic values i.e. age, sex, occupation, and nationality. (3) Psychological segmentation: perception. (4) Cultural

Psychographic segmentation is based on people’s personalities, interests, opinions and lifestyles (Perreault, Cannon & McCarthy, 2015). As a new Amazon customer, you are profile by your attitudes and psychographics so that they can determine your behavior profile. Amazon is concern on what you want to purchase so that they can match other products of similar interests and lifestyles.

“Everything we do is rooted in sports.” Adidas was created to unite the individuals who love to have a sporty lifestyle and fashion sense. Not only have they been providing satisfactory athletic footwear and apparel for athletes since 1900s, but they’ve also continuously deliver products that exceeds consumer standards. Adidas targets potential customers that their products will appeal the most to, because of this they are more successful in selling their product and a trend of increasing profits despite other competitive brands. Through consumer profiling, we are better able to categorize and target consumers based on preference, lifestyle, stage of life, attribute, trait. “Everything starts with the consumer.” Depending on each category,

1. What is adidas’ position in the athletic shoe market? How does the brand seem to be doing in this market? Position: the position of adidas has transferred from “leading supplier of soccer footwear worldwide” to “leading sport brand”. Adidas was founded in Germany in 1920. In 1995, it became a public company as well as the leading supplier of soccer footwear due to its great performance of footwear sales. In 1998, adidas began to move into the U.S. market. Adidas doubled its U.S. market share within only one year, so it hoped to continue to make big move in following years. In its way to U.S. market, adidas confront with the

providing
a
variety
of
high
quality
products
to
consumers
interested
in
sports.
It
is
 currently
the
number
two
brand
in
the
sporting
goods
industry,
trailing
its
main
 competitor
Nike.
Adidas
has
a
strong
focus
on
both
performance
and
style,
as
opposed
to
 Nike’s
more
pure
performance
emphasis.
Adidas
is
currently
surviving
in
its
market
but
 has
many
barriers
holding
it
back
from
becoming
a
more
dominant
and
thriving
company.
 
 Right
now,
adidas
is
facing
an
array
of
opportunities
that
it
can
choose
to
capitalize

This Adidas retail store happens to be located near to New York City; which according to the 2010 U.S. city population ranking, it is number one with an approximated population of 8,175,133, which at least 30% of this statistics fit within the 13- to 30-year-old target market of Adidas. This makes of this area a really good trading area that geographically contains a large amount of potential customers of this particular retailer store.

In this report I will analyse how Adidas is influenced by its contemporary business environment. Furthermore, I will portray how Adidas if influenced further by several other factors including social, economic, technological,political and legal factors throughout the company. Adidas is a

Different organisation follow different kinds of market segments, and creates product differentiation strategies, however some different ways of variable we can segment in our market include the following- demographic,geographic, psychological and behavioural segmentation.

Adidas is a major German sports apparel manufacturer, which was founded in 1948. It is the largest sportswear manufacturer in Europe and the second biggest sportswear manufacturer in the world, after Nike. The company's clothing and shoe designs typically feature three parallel bars. The company revenue for 2009 was listed at €10.38 billion. The market segmentation; targeting and position play an important role in this company. This essay will use the three factors to analyze this company.

Market segmentation is dividing a market into direct groups of consumers who might separate products requirements or marketing mixes, the process of classifying customers into groups with different need and requirement. (Kotler et al 2010, p.264). In this proposal, the market segmentation will be discussed from three aspects, which are demographic, behaviours and psychographic.

The Adidas Group strives to be the global leader in sporting goods industry with brands built on a passion for sports and sporting lifestyle.