By

AYUSH MISHRA
PGDM III SEM
History
In 1924, Foundation of Gebrder Dassler Schuhfabrik, by
Rudolf and Adolf(Adi) Dassler

In 1948, the brothers split their business, Adolf called his
firm Adidas after his nick name; Rudolf called his new firm
Ruda - from Rudolph Dassler.

In 1948, introduction of the PUMA Atom,
PUMAs first football shoe
In 1986, it became a public company, and was
listed on the Frankfurt Stock Exchange

PUMA is one of the worlds leading sport lifestyle companies
that designs and develops footwear, apparel and
accessories.
It is committed to working in ways that contribute to the
world by supporting Creativity, SAFE Sustainability and
Peace, and by staying true to the values of being Fair,
Honest, Positive and Creative in decisions made and actions
taken.
PUMA starts in Sport and ends in Fashion. Its Sport
Performance and Lifestyle labels include categories such as
Football, Running, Motorsports, Golf and Sailing.
The PUMA Group owns the brands PUMA, Tretorn and
Hussein Chalayan.
The company distributes its products in more than 120
countries, employs more than 9,000 people worldwide and
has headquarters in Germany, Boston, London and Hong
Kong.

Logo
Puma logo grips a notion of strong and chic icon with the
help of a leaping animal and bold font. A distinguished
impression is immediately cast on the spectator, narrating
the kind of image the company possesses.

Shape of Puma Logo:
A leaping Puma, an animal known as cougar, panther or a
mountain lion, is highlighted in the Puma logo. It summarizes
the power beast-like nature of the firm and its products.
The logo enhances the attributes of the firms reliability
and its products aptitude in the international market.
Logo
Color of Puma Logo:
Puma logo is wrapped graciously in black hue which depicts
immense supremacy and strength of the firm itself.

Font of Puma Logo:
The complete Puma logo is a sign of authority and
confidence. The bold font
featured in Puma logo projects
the firms stability and
prominence.
Puma Today
Puma AG has approximately 9204 employees and distributes
its products in more than 80 countries.
CEO and Chairman Jochen Zeitz since 1993.
Puma is the main producer of enthusiast driving shoes and
race suits.
It is the official sponsor for FIFA World Cup.
Puma has partnership with Ferrari and BMW.
Puma Facts
Puma AG is the third top successful company in the world of
sportswear.

Puma AG manufactures athletic footwear (58.5% of 2007
revenue),apparel (34.8%), equipment and accessories (6.7%).

At the end of 2007, the company ran 116 concept stores worldwide.
Only 25.3% of its 2007 sales came from the Americas region.

Puma AG is aggressively pursuing expansion opportunities in emerging
markets as part of its growth strategy.

Puma AG generated $3.8 billion in revenues in 2007.
Puma Products
Foot wear
Custom made shoes ,sports shoes
Fancy Shoes
Apparels
T shirts,Tracks,Boxers
Accessories
Gloves,Helmets,Water bottles
Puma Competitors
Prada Sports
Well known luxury brand
4 years ago Prada dared to step into the sport segment
Focus on fashion and trends but their price strategy is still too
high

Diesel
Major fashion brand including: sunglasses, footwear, watches,
fragrances and writing tools
Experienced an unexpected growth rate
Brand is still situated in Italy (jeans production)

Puma Competitors
Nike Inc.
No. 1 sports brand in the world
US based: administrative activities, design and product
innovation
Sub brands like Tiger Woods and Michael Jordan

Adidas Salmon AG
Focus on core sports like soccer, tennis, athletics and skiing
6 times the financial resources
Design and marketing department are located in France and
Germany

Comparison between
Puma and Adidas
Adidas v/s Puma
PUMA
Puma brand has become synonymous with fashion, style, and sport.
Through fresh design, co-branding and partnerships with celebrities and
famous designers.
It has elevated their brand image so that it now competes with fashion
brands as well as their traditional rivals in the sporting footwear
industry.
The Puma brand communication strategy is flexible across multiple
categories, yet communicates innovation for an active lifestyle. To
extend their brand Puma has created concept retail stores that enable
people to experience the brand in engaging and compelling ways.
Puma also engages customers through their Mongolian barbeque concept
that enables customers to design and build their own footwear from
scratch.
Adidas v/s Puma
ADIDAS
Adidass mission is to improve every athletes performance through
innovation.
To compete with the value propositions of their traditional competitors,
Adidas has focused their brand communications in three different
areas:
sport performance, sport heritage , sport style.
Adidas spends the majority of its effort communicating to the sport
performance segment.
In response to the sports lifestyle trend being led by Puma, Adidas
has recently co developed product lines with famous designers and has
focused on the timeless and classic nature of their brand.
Adidas v/s Puma

Puma Adidas
Reason for
Being
Mixing the influences of sports, lifestyle,
and fashion
Improving every athletes
performance through
innovation
Value
Proposition
Fits your active lifestyle Perform at the highest level
Reasons to
Believe
- Distinctive trend setting styles
- Branded retail experiences
- Co-developed celebrity lines
- Co branding partnerships (Ferrari,
- Partnerships with famous designers
(Starck, Wanders)
- Mass customization
- Promotional events
- Footwear technology
innovations
- Automatic customization
(Adidas 1)
- Co developed celebrity
lines (Stella McCartney)
- Classic styles, tradition and
heritage
- Mass Customization
(Adicolor)
Persona
Mixing the influences of sports, lifestyle,
and fashion
Clear, orderly, practical, hi
tech, classic, sophisticated,
sincere
Adidas v/s Puma

Puma Adidas
Associations Fashion brands (Gucci, Armani, Dolce
Gabbana)
Fringe / extreme sports
Music artists & movie stars
Elite Soccer players, soccer
teams, NBA stars
Hip hop artists (Run DMC)
Mainstream sports
Range of
Authority
Performance & casual footwear
Apparel & accessories
High performance footwear
Performance & casual
apparel
Audience Anyone who leads an active lifestyle Anyone who plays sports
Relationship Hip friend who shows you a good time Respected coach
SWOT Analysis

Strengths Opportunities
Experience in R and D Fitness hype
Branding Technology
Management and International
Strategy
Acquisitions and sponsorships
Weakness Threats
Missing Sports Segments Actual economic situation
Low financial resources compared to
rivals
High competition and imitation of
products
Strength
First, the company's financial position is extremely strong. The
financial growth of PUMA has been phenomenal. Secondly, Puma
is more diversified than the competition
Puma's brand image stands for quality, the latest technology and
prestige. The company has been in business for a longer time
than any of the competition, and the company has been able to
create favorable brand recognition.
Pumas top management is highly marketing oriented, and most of
the key personnel come from a marketing background. This is
strength in this business, since the industry is market driven
instead of product driven. Also, an increase in demand is the
expected market trend.
Puma is a global brand.


Weakness
It is that it doesnt promote much. There are not much of
Promotional Activities being done by the company. Not much
advertisement is done. Company should look for the same.
The organization does have a diversified range of sports
products. However, the income of the business is still heavily
dependent upon its share of the footwear market. This may leave
it vulnerable if for any reason its market share erodes.
The retail sector is very price sensitive. However, most of its
income is derived from selling into retailers. Retailers tend to
offer a very similar experience to the consume.

Opportunities
The brand is fiercely defended by its owners whom truly believe
that Puma is not a fashion brand.
The business could also be developed internationally, building
upon its strong global brand recognition.
For example, emerging markets such as China and India have a
new richer generation of consumers. There are also global
marketing events that can be utilized to support the brand such
as the World Cup, The Olympics, IPl, and Soccer World Cup.

Threats
To keep-up with the competition's penetrating efforts will cost a
lot of money and put a lot of pressure on marketing and research
and development. Also, the short product life cycles play an
important role in the return on investment in a particular product
line. Furthermore, weakening markets may be a serious threat.
Puma is exposed to the international nature of trade. It buys and
sells in different currencies and so costs and margins are not
stable over long periods of time. Such an exposure could mean
that Puma may be manufacturing and/or selling at a loss.

Success Factors
Strong presence: sports and lifestyle/fashion market.
Products meeting market demand.
High innovative and qualitative products.
Big distribution network.
Harnessing resources and experiences.
Ample knowledge in R & D.

Financial Highlights
Financial Reporting:
PUMA abides by the International Financial Reporting Standards
"IFRS", and reports
Its earnings on a quarterly basis.

Business:
PUMA is engaged in the development and marketing of a broad
range of sport and
lifestyle articles including Footwear, Apparel and Accessories.

Financial Highlights
Distribution:
PUMA distributes its products in more than 130 countries.

Total Revenue:
PUMAs revenue for the fiscal year 2008 was 2,524.2 million.
Sales
The sales breakdown for the fiscal year 2008 by segment was as
follows:
Consolidated Sales in % of Consolidated Sales
Footwear: 1,434.3 million 56.8 %
Apparel: 899.3 million 35.6 %
Accessories: 190.6 million 7.6 %
2,524.2 million 100%
Future of Puma
It aims to be the most desirable Sport lifestyle Company.
Aims at bolstering its position as one of the few true multi-
category brands, and at making effective use of the many
opportunities offered by the Sport lifestyle market in all
categories and regions.

It plans to evolve the organization.

Qualitative growth and a long-term strengthening of brand
appeal will be given priority, instead of growth at any cost.

PUMA plans to evolve the organization through the fostering of
unique company values, all compatible with the personality of the
brand. The can be best summarized in four words: Passion,
Openness, Self-belief and Entrepreneurship.
Passion
It is not a business that manufactures and sells soap powder or
ballpoint pens or instant coffee. It is a business rooted in the
passionate world of sporting endeavor. The history of the brand
resonates with the echoes of great athletes and legendary
performances, celebrated in stadiums across the globe. PUMA
makes products designed to facilitate the individual
achievements that evoke the most passionate responses.

Openness
Today's marketplace is one of the fastest changing and dynamic
on the planet. To respond quickly and effectively in this
environment demands a culture of openness, where opinions can
be shared without fear of blame and where old wisdom can be
questioned without the fear of antagonism.
In this culture, respect and understanding flourish naturally,
team workflows seamlessly, barriers dissolve and a much over-
used word, empowerment, takes on real meaning.


Self-Belief
Global businesses face new challenges every day. It is the quality
of the people in these businesses and their belief in their own
abilities that enable these challenges to be overcome. PUMA's
recognition of this is reflected in its determination that
everyone in the company understands and embraces the company
values, as well as benefits from the experience and integrity of
their colleagues. Only with self-belief will individuals have the
confidence to make things happen, take the tough decisions and
realize their ambitions for themselves and, ultimately, the
business.
Entrepreneurship
Few businesses succeed without great ideas. PUMA has been
built on them and needs them to flow relentlessly hour by hour,
day by day. This demands a willingness to think outside the box,
to zig where others zag and to seek inspiration beyond the more
obvious boundaries of our business universe. Such creativity has
inspired the PUMA brand strategy. It will also be needed to
make it a reality.

Thank You for Your
Attention !