Factors That Contribute to Success of Adidas

The main goal of the paper is to understand how the Adidas Corporation benefits the society as a whole, considering their Sustainability

This paper is dealing with the German apparel “Adidas”, which is one of the world’s largest manufacturers for sportswear and sport utilities. But why are they one of the leading global players in this certain industry? There are some key factors, which influenced their

Adidas is a sportswear manufacturing company started by Adolf Dassler. Adidas group has incorporated brands including Adidas, Reebok, TaylorMade-Adidas and Rockport. The wings of the company are widespread and have assimiliated other productions including handbags, shirts, spectacles, watches, balls, and sportswear. Adidas is being the largest company that sells footwear in the European market and have achieved a momentous market share at the global platform. Adidas has achieved phenomenal sale and have reached the pinnacle of success on the global scale with other international footwear companies (McDonald & Milne, 1999).

As such it is important to organize the marketing functions by customer groups. This would permit Adidas focus marketing efforts particularly on the needs of each group. Though Adidas’ main customers are Athletes, teens and Young adults’, it still caters for the needs of older adults, Children and coaches, therefore catering to a broad customer base. These differentiation would be in two main categories; Male and Female and further differentiated into shoe (footwear), clothing and accessories.

However, Adidas used the five forces model: The reason for this model is directing an outer examination by measuring the: level of competition, the energy of providers, and energy of purchasers, the risk of substitutes, and danger of new entrants, in Dr. Syed Awais Ahmad Tipu Adidas Group Strategy Analysis.

Adidas’s creative team pumps consumers adrenaline through ads that are well made filled with energy and creativity. These ads are made to attract consumers towards the brand by sending the right marketing message to them. Product placement is next on line of promotion in Adidas. The popularity of the brand ties up with top players across the world such as Lionel Messi, Ronaldinho, Sachin Tendulkar, and may more. Adidas also sponsors teams some of the top teams they sponsor are Real Madrid, Great Britain in football, England and south Africa in cricket and many more teams. Under the line of marketing Adidas includes outdoor campaigns and events marketing. Adidas has sales promotions and trade promotions that are regularly offered by to channel their partners to promote sales of the

It seems Adidas works to be transparent with the global community, they are striving towards meeting all customers’ needs, in all walks of life, while giving back to communities. They follow a corporate mission that reflects human resources, social and environmental affairs, and community affairs; thus, good corporate social responsibility

Intro: Our research team has been tasked with observing the Adidas performance store located at the Water Tower Place. Adidas is a German multinational company that manufactures athletic wear, shoes, and accessories. The company started in 1924 and has since expanded globally and currently employs over 50,000 people (Torry). The company markets and sells their products in retailers, as well as their own stores around the world. Adidas is a publicly traded company that had 14 billion euros in revenue in 2013 and is currently has an approximated market value of 18 billion euros (Annual Report). Adidas mainly specializes in soccer wear, but has broadened its product focus to basketball and conventional western athletic wear as well. In 2005, Adidas bought Reebok in order to expand their influence and enter into different markets (NBC news). They also sponsor athletes such as Lionel Messi, who has large influence on a European culture, as well as Derrick Rose, who has helped raise awareness of their brand in western culture.

In the beginning, Adidas was an important supplier of German soccer teams after World War II. Later, they changed their strategy to expand their products to “fringe sports,” such as high jumping and bobsledding. By 1990s, Adidas have secured their global sales on soccer footwear. In 1998, Adidas began to focus on the U.S market. By sponsoring some famous basketball players such as Kobe Bryant. By doing so Adidas was able to gain doubled market share.

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

Starting out post World War II, Adidas was an important provider of the national German soccer team. Later, Adidas they changed their marketing approach to expand their products to “fringe sports,” such as high jumping and bobsledding. By the 1990s, Adidas secured their global sales on soccer footwear. In 1998, Adidas began to focus on the U.S market. By sponsoring some famous basketball players such as Kobe Bryant and by doing so Adidas was able to gain doubled market share.

Nike’s distinctive competency is in its marketing strategy, particularity in the area of consumer brand awareness and brand power. Its famous marketing campaigns and sponsorships programs were the leading factors behind its growth and success. Nike spends a substantial amount of funds on advertising because Nike believes that trough effective promotion and advertising it can reach its customers and build interest for its products. Also, it can differentiate its position in the mind of consumers and establish brand loyalty through marketing. For example, the "Just Do It” campaign, and symbols like the Nike "Swoosh’, couple with famous sports icons, serve as instant reminders of the Nike Empire.

In the surroundings of this Adidas retail store, we can find different competence from another retail stores such as Nike, Puma, and a bunch of different sportswear retailer (Foot Locker, Finish Line, and Modell’s)

Some known strengths of Adidas AG is their positive market picture, which the brand endeavors to maintain. As per Data screen Adidas is among the main players in the worldwide donning products industry. The gathering is the main wearing products assemble in Germany, France and Japan, the most critical markets outside the US. Adidas, through Reebok, has likewise a solid position in the US. The procurement

for the company is nowadays towards teams, global sports events and sport associations (Dogiamis & Vijayashanker, 2009). Adidas can this way connect itself with emotional events in sport; they sponsor the European football championship, the soccer World Cup and the Olympics. They also sponsor national and local teams around the globe (Dogiamis & Vijayashanker, 2009). Adidas has changed their image from just targeting elite athletes and is now more about participation. (Aaker & Joachimsthaler, 2000)