Adidas: Client, Market Analysis, and Strategic Recommendations Report

This report provides a comprehensive analysis of Adidas, a leading sports apparel producer. It begins by outlining Adidas's core competencies, values, and target market, which includes urban upper and upper-middle-class consumers. The report then delves into Adidas's segmentation strategy, focusing on demographic and psychographic factors, and its positioning strategy, which emphasizes brand values and endorsements. A SWOT analysis is conducted, identifying Adidas's strengths (diverse product portfolio, effective distribution) and weaknesses (premium pricing, outsourced manufacturing), as well as external opportunities (tie-ups with sports clubs, product line expansion) and threats (rival brands, competition from Nike). Finally, the report offers recommendations on how Adidas can mitigate threats, capitalize on opportunities, and maintain its competitive advantage through strategic reforms and collaborations. The analysis is supported by references to relevant research and industry reports.

CLIENT AND MARKET
- A STUDY ON ADIDAS

ABOUT ADIDAS
•Adidas is one of the biggest sports apparel producer in
the globe
•The positioning of adidas is passion for sports
•The USP of adidas is clothing, sports gear and other
accessories

• The target group of Adidas are urban upper and upper-
middle class
• The vision of adidas is to enhance environmental as
well as social performance and strives to be world’s
leader in sports industry
• The core competencies of Adidas are-strategic
expansions, technology and innovation

VALUES OF ADIDAS
• Customer focused
• Global enterprise
• Innovative as well as design leaders in the market
• Dedicated to deliver financial outcome
• Committed to strengthen brands and goods

TWO SEGMENTS THAT ADIDAS TARGET
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Demographic Segmentation-It refers to division of
market into groups on the basis of demographic
variables such as age. adidas brand products
according to lifecycle and gender segmentation.
Psychographic Segmentation-It relates to the division
of market into groups based on lifestyle, social class,
personality features. adidas mainly focus on the
social class as individuals within given social class
apt to have similar purchasing behaviour.

POSITIONING STRATEGY OF ADIDAS
•Adidas establishes their positioning on the basis of
cresting values as well as beliefs
•Adidas has market segmentation that facilitates them
to build up positioning

• Adidas invest huge amount of money on sports
events as well as sports club across the globe for
promoting and positioning impressions of Adidas
sports products
• Adidas also uses celebrity and clubs for endorsing
products and positioning products in the market

TWO STRENGTHS OF
ADIDAS
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• Adidas has diversified product portfolio with
different range of sportswear and equipment’s
to accessories under the brand name adidas
• Adidas has effective distribution system for its
goods available through varied channels. they
sell their products from the online stores to
supermarket stores.

TWO WEAKNESSES OF
ADIDAS
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• Adidas has premium price range for
products owing to production
methods and innovative technology,
which made this brand affordable to
the customers.
• Adidas outsources manufacturing to
the third party producers for availing
low labour cost and availability of
resources

TWO EXTERNAL
OPPORTUNITIES ADIDAS
FACE
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• Tie-up with the emerging sports clubs, sport
teams and players internationally can
enhance the brand presence of adidas
• Expanding the product line can open new
opportunities but at the same time it might
differentiate itself from rivalries.

TWO THREATS ADIDAS
FACE Click icon to add picture
•Adidas faces threat from other rival brand
who manufacture sports equipment as
well as accessories at low cost
•Adidas is facing fierce competition from
other brand such as nike and adidas
being in the second position in premium
segment.