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The product range I would like to recommend for retail sales with the existing manufacturing capabilities and

brand for Private Label Worldwide is REEBOK. Reebok is an American-inspired, global brand that creates and markets sports and lifestyle products built upon a strong heritage and authenticity in sports, fitness and womens categories. The brand is committed to designing products and marketing programs that reflect creativity and the desire to constantly challenge the status quo. It produces Athletic shoes, apparel, and accessories.

Following are the reasons: Reebok is the first company to introduce athletic shoe designed especially for women called the Freestyle. Reebok anticipated and encouraged three major trends that transformed the athletic footwear industry: the aerobic exercise movement , the influx of women into sports and exercise and the acceptance of well-designed athletic footwear.

Reebok continues to produce the Freestyle as it is popular with cheerleading, aerobic dancing, the gym and consumers. Not only was the Reebok Freestyle popular as athletic wear, but also as casual wear.

Following the Freestyle success, Reebok also introduced an athletic shoe for men, called the Ex-O-Fit. It came in low-top and high-top versions.

(Above: Ex-O-Fit picture 1980s)

In 2002, Reebok launched Rbk a collection of street-inspired footwear and apparel hook-ups designed for the young man and woman giving exactly what they wanted : cool and edgy, authentic and aspirational.

Reebok's was founded cause athletes wanted to run faster. Reebok is the first brand to ever make running shoes with spikes in them creating a new product in the market

Reebok has more product categories. It also has explosive growth with new product categories. Reeboks focus area is: Men- Training, Running, Sports and Classics. Women Fitness, Running, Walking and Having Fun, Staying in, Shape for random. In April 2004, Reebok's footwear division became the first company to be accredited by the Fair Labor Association.

Reebok launched EasyTone footwear. Featuring first-of-its-kind balance pod technology, the shoes proprietary technology was invented by a former NASA engineer.

First company to engineer walking comfort in all types of dress and casual shoes.

Also Reebok began a transition from a company identified principally with fitness and exercise to one equally involved in sports by creating several new footwear and apparel products for football, baseball, soccer, track and field and other sports.

In INDIA : Reebok sponsored sports kits for the great rich Indian Premier League teams, such as the Royal Challengers Bangalore, Kolkata Knight Riders, Rajasthan Royals and Chennai Super Kings in the first edition of the league held in 2008. However for the second edition held in 2009 the sponsorships included (Royal Challengers Bangalore, Kolkata Knight Riders, Chennai Super Kings, Kings XI Punjab) kits.

INTERNATIONAL : Reebok is the official sponsor of the International Cricket Council. It manufactures uniform for ICC International Panel of umpires and referees. Reebok is the worlds leading producer of hockey apparel and equipment with its acquisition of The Hockey Company with all 30 NHL teams. Reebok then formed partnerships in the non-athlete field with rap musician Jay-Z for the S. Carter Collection by Rbk" and another superstar of the rap world, 50 Cent for G Unit Collection by Rbk. In the field of Football Reebok has Thierry Henry and Alexander Ovechkin as ambassadors. Driving ace Lewis Hamilton announced a multi-year partnership at a spectacular 3D event in Amsterdam, Reebok also signed Scarlett Johansson and introduced her own line of apparel and footwear called Scarlett Hearts, an Rbk Lifestyle Collection. Reebok also produce shoes for Emporio Armani under the label EA7. These shoes are marketed to the high-end fashion market.


Reeboks global marketing campaign, Your Move kicked off successfully. Reebok's
positioning as the brand that celebrates individuality, and supports those who choose to do things their way.

I AM WHAT I AM Articulates Brand Positioning. I AM WHAT I AM expresses the attitude at Reebok. It is an emotional call to action and a celebration of the consumers individuality, courage and accomplishments.

Reebok rolled-out an integrated marketing campaign that fused together sports, music, technology and entertainment, and was designed to connect the Reebok Brand to millions of new consumers around the world. Creating innovative products that generate excitement in the marketplace has been a central corporate strategy ever since Reebok introduced the Freestyle. In the late 1980s, a particularly productive period began with The Pump technology and continues today, with breakthrough concepts and technologies for numerous sports and fitness activities

Reebok uses footwear factories in 14 countries. Most factories making Reebok footwear are based in Asia In India. In the late 1980s, Reebok began an aggressive expansion into overseas markets and Reebok products are now available in more than 170 countries and are sold through a network of independent distributors.


"Marketing mix" is a term used to describe the "four Ps" of marketing, which are price, product, place and promotion. Price is determined by supply, demand, and competition--and within these parameters marketers can choose three types of pricing strategies: skimming, penetration or competitive. The competitive price of a good is set by the market, and marketers can set their price on par with competitors (competitive strategy), higher than competitors (skimming strategy), or lower than competitors (penetrating strategy). The different kinds are : Premium Pricing : Use a high price where there is a uniqueness about the product or service. This approach is used where a substantial competitive advantage exists. Such high prices are charge for luxuries such as Reebok Armani collection or the Rbk collections by Rap artists. Penetration Pricing : The price charged for products and services is set artificially low in order to gain market share. Once this is achieved, the price is increased. Economy Pricing : This is a no frills low price. The cost of marketing and manufacture are kept at a minimum. Supermarkets often have economy brands for soups, spaghetti, etc. Price Skimming : Charge a high price because you have a substantial competitive advantage. However, the advantage is not sustainable. The high price tends to attract new competitors into the market, and the price inevitably falls due to increased supply.

For Sports Label India the following pricing strategies can b applied: Competition-based pricing: Setting the price based upon prices of the similar competitor products. Competitive pricing is based on three types of competitive product. Products have lasting distinctiveness from competitor's product. Here we can assume
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The product has low price elasticity. The product has low cross elasticity. The demand of the product will rise.

Products have perishable distinctiveness from competitor's product, assuming the product features are medium distinctiveness. Products have little distinctiveness from competitor's product assuming that:
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The product has high price elasticity. The product has some cross elasticity. No expectation that demand of the product will rise.

Cost-plus pricing : Cost-plus pricing is the simplest pricing method. The firm calculates the cost of producing the product and adds on a percentage (profit) to that price to give the selling price. Creaming or skimming: Selling a product at a high price, sacrificing high sales to gain a high profit, therefore skimming the market. Usually employed to reimburse the cost of investment of the original research into the product. This strategy is often used to target "early adopters" of a product or service. These early adopters are relatively less pricesensitive because either their need for the product is more than others or they understand the value of the product better than others.

Limit pricing : A limit price is the price set by a monopolist to discourage economic entry into a market, and is illegal in many countries. The limit price is the price that the entrant would face upon entering as long as the incumbent firm did not decrease output. The limit price is often lower than the average cost of production or just low enough to make entering not profitable. The quantity produced by the incumbent firm to act as a deterrent to entry is usually larger than would be optimal for a monopolist, but might still produce higher economic profits than would be earned under perfect competition. High-low pricing : Method of pricing for an organization where the goods or services offered by the organization are regularly priced higher than competitors, but through promotions, advertisements, and or coupons, lower prices are offered on key items. The lower promotional prices are targeted to bring customers to the organization where the customer is offered the promotional product as well as the regular higher priced products

Value Based pricing : Pricing a product based on the perceived value and not on any other factor. Pricing based on the demand for a specific product would have a likely change in the market place. Promotional Pricing : Pricing to promote a product is a very common application. There are many examples of promotional pricing including approaches such as BOGOF (Buy One Get One Free).

These promotional strategies are ways companies communicate information about their products and services with the end goal of increasing sales . Examples of promotional strategies in marketing include advertising, public relations, personal selling and sponsorship Advertising : Advertising is a promotional marketing strategy companies use to create awareness about their products and services. The goal of advertising as a promotional strategy is to generate a response from your target customer. Sports Label India can use a variety of different types of advertising - television and radio advertisements; print advertisements in newspapers, magazines and journals, direct mail advertisements and outdoor advertising such as posters, banners, signs and bus ads.

Public Relations : Public Relations is a promotional strategy that seeks to establish and maintain communication and understanding between your company and the public. Public relations is a long-term promotional marketing strategy that helps communicate positive updates about your company, product or service, and helps you control damage when a problem arises that puts your business in the public spotlight. Examples of public relations strategies you can use include press releases, media interviews, corporate web videos, company blogs and interactions in social media.

Personal Selling : Personal selling is another promotional strategy you can use to market your business. Personal selling involves hiring one or more sales people to manage personal customer relationships and sell your products and services. Whether you have a large sales force or you do all the selling yourself, personal selling is an important strategy for the majority of businesses.

Sponsorship : Sponsorship is a promotional strategy in marketing in which your company pays to be associated with a certain event, cause or other organization . In exchange for sponsoring these events, companies get brand exposure and publicity. Sports Label India could use sponsorship from brands already tied to Reebok.

MARKETING STRATEGY AND MARKET SEGMENTATION: Market segmentation and the identification of target markets, however, are an important element of each marketing strategy. They are the basis for determining any particular marketing mix. Basic steps in marketing strategy are as follows:

Market Segment Variables - Consumer Characteristics:: Geographic: Region, city size, metropolitan area, density,etc. Demographic: Gender, age, race, life stage, birth era, HHDsize, residence tenure, marital status, etc. Socioeconomic: Income, education, etc. Psychographic: Personality, values, lifestyle, etc.

Buying Situations: Outlet type: Instore, direct, etc. Benefits sought: Product feature, needs, etc. Usage: Usage rate, user status, etc. Awareness & intentions: Product knowledge, etc. Behavior: Involvement

Product Differentiation: In a broad sense, it involves a firms using different marketing mix activities, such as product features and advertising, to help consumers perceive the product as being different and better than competing products. The perceived differences may involve physical or nonphysical features, such as image or price. In a narrower sense, it involves a firms selling two or more products with different features targeted to different market segments

Criteria for Target Market: Size: The estimated size of the market to determine whether or not it is worth going after. E x p e c t e d G r o w t h : T h e s i z e o f t h e m a r k e t m a y b e small, but if it is growing significantly it may be worth going after. Competitive position: The less competition the more attractive the market. Cost of reaching the market: Is the market a c c e s s i b l e t o a firms marketing actions? If not it should not be pursued. Compatibility with the organizations objectives and resources.

Position Planning : Positions are described by variables and within parameters that are important to the customers. Common examples are price, supporting services, quality, reliability, and value for money. Often, customers position a product in relation to a brand or product that is especially visible to them. This could be the market leader or any other offer with a high media exposure and an above average marketing budget. Therefore, it is advisable to use in-depth market research to

determine relevant parameters in order to understand how customers rate different products and marketing variables.

Porter's Five Forces

Barriers to Entry - Low Reebok should control the costs effectively, giving them an advantage over emerging competitors in the industry. Their web sites are well- prepared and updated promotions attract online shoppers. There are many exclusive product differences in this industry that gives brand identity an immediate competitive advantage. Reebok brand is well-known globally and plays a major role in consumer decision making. Selling footwear is highly competitive; however, barriers to enter into this industry are quite low. Therefore, the footwear industry is broad with hundreds of retailers. Switching cost is low for the consumer, and may occur frequently depending on consumer preference and other factors affecting consumer buying decision.

Bargaining Power of Buyers - High There are a large number of buyers relative to the number of firms in this industry. Therefore, companies like Reebok must continuously market their product and differentiate their brands against competitors, in order to increase sales and market share. The use of online tools has helped to enhance the accessibility among users. Brand identity plays a critical role in the buying behavior; strong identity will offer consumers trust and loyalty.

Bargaining Power of Suppliers Low There are many suppliers in this industry. In essence, there is very little differentiation among the suppliers which makes suppliers' bargaining power nonexistent. Leather, rubber, and cotton are commodity items and are available abundantly in the market place. Conglomerates such as Reebok have a definite advantage and power over their suppliers. These suppliers become dependent on these firms as their means to survival. Additionally, Reebok has standardized their input procedures pertaining to the materials used, their labor force, supplies, services, and logistics. Firms are able to switch between suppliers quickly and cheaply, due to the globalise networks of cheap labour on various continents.

Threats of Substitutes - Low Buyers' propensity to substitute is low. Consumer substitutes for athletic footwear products are low because there are little alternatives to switch, some substitutes for athlete footwear could be boots, sandals, dress shoes or bear feet. Consumers are not likely to substitute due to the performance specification of the product. For instance, a basketball player would not wear boots to play basketball. Therefore, there are no real substitutes for athletic footwear.

Rivalry among Existing Competitors - High The rivalry among existing competitors in the footwear industry is quite high. Large firms such as Nike, Adidas and Reebok have grown immensely over the last two decades. Their global reach has expanded through all continents; this is evident using the Internet and e-commerce. Online selling has enlarged the reach for these firms allowing them to increase sales while minimizing operating costs. Almost every large firm has a web site, and most of these web sites contain virtual stores which provide convenience to consumers.

In an effort to distinguish itself from the competition, each company has developed exclusive relationships with highly recognizable organizations and individuals. Reebok had the exclusive rights to market its products for the NBA, NHL, NFL, and the WNBA. Similarly, Adidas had obtained contracts with professional European soccer clubs such as Chelsea, Bayern Munich, Real Madrid, and AC Milan. On the other hand, without an established superstar, Nike's current endorsements lack the influence they once held with the likes of Michael Jordan. "At the moment, virtually none of the current NBA stars wear Nike.

While there are many possible avenues to exploit in terms of sales opportunities for these companies, the market is highly segmented in such a way that it is important for the three to engage in target marketing. For example, in this market of athletic shoes, a firm can either offer an all-purpose crosstrainer shoe or a running shoe and a basketball shoe. While the cross-trainer shoe has broad appeal for all consumers it does not satisfy any consumer's needs in particular. In contrast, the running shoe and basketball shoe combination will each satisfy a particular market segment but will have modest appeal to the other segment. This is the point where the particular companies must decide whether they will individually follow a niche market or a full-line strategy. In order to make this decision, the firms must weigh the cost of offering an additional product and the revenue generated by doing so. By utilizing Porter's generic strategies framework (previously discussed), the methods employed to compete for customers in the industry become easily apparent. While both Nike and Adidas make use of a differentiation strategy to attract its customers, Reebok concentrates its efforts on a broad cost strategy approach. The differentiation strategy of the two companies, Nike and Adidas, can be seen in action by examining the various productions of both these companies.