Under Armour's Market Segmentation

a. Under Armour’s approach towards innovation is very unique, they think and plan out their projects thoroughly in order to create a one of a kind product that could be appealing to their consumers. The company has been extremely progressive throughout the years in order to stay ahead of the other competitive companies in their targeted industry. By constantly updating and coming up with different product lines, such as compression shirts and cleats, Under Armour is able to compete with other top athletic wear company’s in their market. If

The five key growth drivers for Under Armour are: “Men’s and Women’s Apparel, Footwear, International and Direct-to-Consumer” (Under Armour 10K, 2009, pg.1). In 2009 Apparel revenues

Under Armour, Inc. is ranked among the established sports Kit producers across the globe. It thus enjoys massive sales in several markets. Under Armour has its headquarters Baltimore, Maryland with Kevin Plank as the current Chief Executive Officer (CEO) and Robin Thurston as the Chief Finance Office. The company is committed to developing its brand continuously through advertisement. It is presently listed on the New York Stock Exchange (NYSE) market with a share price of $46.99. The company through its CEO believes that for the company to remain viable in the market, it has to ensure that that its products satisfy the taste of the consumers (Thompson, 2015). Clearly, this has bored fruits, basing the argument on the high consumer

Under Armour should exercise a focused, differentiated approach by exclusively developing performance apparel. Its non-standardized products are good for customers who prefer performance than price. For this reason, the corporation should have more emphasis on research and development to offer products, which are superior to what is in the market. On the other hand, its focus strategy should aim at particular sports, serving each sport’s needs more precisely than the broad apparel companies like Adidas and Nike. Combining a focus differentiation strategy will enable the firm to create a fertile niche positioning meanwhile meeting the customer’s specific needs (Kenyon,

Under Armour is in the Textile- Apparel Clothing industry, in the consumer goods sector. The market has been driven by economic recovery, new product offerings and a

Target Market Strategy As competition grows and the market changes it is important to change with it. Over the years the demographic segmentation for Under Armour has evolved from focusing on male collegiate athletes between the ages of 17 and 23 to include older men, women, and children. Under Armour uses high quality products and the price that comes with that is geared towards consumers who are financially stable. They cover a wide area the family life cycle, but their primary focus is younger consumers whether they are married or have children.

The rapid success of Under Armour is not a mistake. The company dominates the performance apparel category. According to Founder Kevin Plank, “The mission of Under Armour is to make technically advanced products that are engineered with superior fabric construction, to provide proven innovation available to the masses-aimed at making athletes perform better” (UnderArmour.com). Under Armour uses many marketing initiatives including athlete endorsement, product placement, and popular culture which illustrates the success of Under Armour.

Though in competition. Under Armour and Nike have a lot in common. Not only do they both offer premium sports and athletic apparel, but they also utilize professional athlete sponsorships to aid in driving sales. With so much in common there are different marketing approaches between the two. Under Armour acts like the underdog in a sales world which is dominated by Nike. While proving others wrong is Under Armour’s forte. Nike is about proving yourself right. Both of these tactics have worked to their advantage as it appeals to the different senses we as Americans have. Even though Under Armour is growing they do not have the tradition or brand awareness that Nike has. With that being said: They are heading in the right direction by toppling Adidas and taking the second spot behind Nike in the sports apparel business. The things that Under Armour is doing to differentiate themselves from their competition is being clear and concise about their brand mission. Targeting the right audience by appealing to humanistic experiences to expand brand audience. Finally, giving the consumer an experience that goes well beyond just purchasing their products. (Chen, 2015)

Today 's companies may struggle with developing and maintaining a strategy to ensure long-term success in the current global marketplace. Under Armour is no exception, they desire to challenge industry titans, Nike and Adidas, and seize market share in the demanding sports apparel arena. Explored in detail, Under Armour’s strategy through examination of the company’s history, mission, influences, and capabilities along with recommendations, based on a study by Arthur A. Thompson, to achieve their long-term objectives.

Under Armour is currently one of the leading companies in the sports apparel industry whose mission is to “Make all athletes better through passion, science, and the relentless pursuit of innovation”.1 When Under Armour first broke into the sports apparel industry it was a disruptive pioneer that initially made the two giants, Nike and Adidas, a little weary. Under Armour revolutionized the sports apparel industry by creating apparel that used synthetic materials as an alternative to natural fibers, such as cotton, or other materials, such as polyester. This all-important switch to these materials resulted in a 2“shirt that provided compression and wicked perspiration off your skin rather than absorb it. A

Who better to create the perfect athletes’ apparel than an actual athlete? In 1996, Kevin Plank decided to divorce his sweat drenched t-shirts. Like any football player, Plank would have to change his undershirt multiple times when practicing with his team at the University of Maryland because it became soggy and heavy as it soaked up his sweat. (Mark Brewer Brandi Chauvin Eric Mitchell Eric Partington Mark Radel Don Riddle Yinghong (Sara) Song Robin Chapman Gail Christian Arizona State University, 10e) Using his grandmother’s basement as a laboratory, Plank created a synthetic fabric that wicks away sweat, this lead to the common phrase, “wicking fabric or wicking technology.” By the end of its first business year, Under Armour had developed five lines of clothing, one for each climate type. Most of its popularity and fame is thanks to its celebrity marketing. From professional athletes to movie stars, Under Armour has many famous faces wearing its products making it THE brand to wear. Although relatively small in size and financial standing when compared to its competitors, it has established its spot as a competitive player in the athletic apparel market. (Mark Brewer Brandi Chauvin Eric Mitchell Eric Partington Mark Radel Don Riddle Yinghong (Sara) Song Robin Chapman Gail Christian Arizona State University, 10e)

1. Strengths: the company is the leader in giving high tech undergarments for athletes competing in diverse climates using innovative technology and high quality of their apparel. Under Armour is gaining market shares at a higher rate than their competitors because they create opportunities for product differentiation. The apparels under the company allow it to stay competitive. The brand has a good reputation to consumers. The brand design is simple and facilitates customers to easily spot the products. The brand is endorsed by professional athletes. And the management is comprised of experienced

Under Armour (UA) is a publicly traded consumer products company specializing in athletic apparel and accessories. According to Google Finance, UA is “engaged in the development, marketing and distribution of branded performance apparel, footwear and accessories for men, women and youth”. Under Armour was founded in 2006 by a University of Maryland football player, Kevin Plank. The company originated with selling compression undershirts that were made of synthetic fabric and could wick sweat away. UA is best known for their ColdGear ® and HeatGear® product lines that are known for keeping athletes comfortable and performing in all elements. UA’s target market are men, women and children that are health conscious or looking to better themselves physically, “to make all athletes better through passion, design and the relentless pursuit of innovation.” (uabiz.com)

The company’s second strategic factor is its narrow product focus. Unfortunately, because the company began as a producer of compression shirts and it maintained this offering for long period, it eventual hampered their product offerings. At the moment, Under Armour are only focused on athletic wear apparel and as a result have a limited product offering. This also translate to the offerings geared towards women, which are significantly lower than their male clientele.

Sports industry is breaking into the business of sports. There grow was about $145.3 billion between 2010-2015, the industry of sports is flourishing with a lot of opportunities around the world. That including sports marketing and many more higher education, which the rate of sports industry grows to 15%. When interdiction sports industry I truly know that Under Armour sports wear is a great fix to the business of sports because it give the entire step of the sports industry. When introduction Under Armour sportswear must have to understand the creator of Under Armour CEO Kevin Plank.