MG526 CW1: Adidas Customer Experience Report and Recommendations

This report provides a comprehensive analysis of Adidas' customer experience, starting with its value proposition and how it translates into customer interactions. It identifies Adidas' key customer demographics and their relationship to the brand's value. The report then delves into The Six Pillars of Customer Experience Model, critically applying it to Adidas. Furthermore, it examines the implications of digital disruption on Adidas' customer experience delivery, highlighting the shift towards online and personalized interactions. Finally, the report concludes with strategic recommendations to enhance Adidas' customer experience, focusing on areas like personalization, time efficiency, and building trust, all aimed at improving customer satisfaction and brand loyalty in the face of evolving digital trends. The report leverages information from research papers to support its findings.

CUSTOMER EXPERIENCE

Contents
INTRODUCTION...........................................................................................................................3
Value proposition of company.....................................................................................................3
How this manifests itself in how it delivers the customer experience.........................................3
Who are its customers by frequency of use by key demographics and how they may relate to
value proposition.........................................................................................................................4
What is The Six Pillars of Customer Experience Model.............................................................4
Critically apply this model to the selected organization..............................................................5
What are the implications of digital disruption to the delivery of the customer experience.......6
Set out strategic recommendations on you could improve the customer experience for
customers.....................................................................................................................................7
CONCLUSION................................................................................................................................8
REFERENCES................................................................................................................................9

INTRODUCTION
Customer experience is a totality of cognitive, affective, sensory, and behavioral consumer
responses during all stages of the consumption process including pre-purchase, consumption, and
post-purchase stages. Adidas AG is a German multinational corporation, founded and
headquartered in Herzogenaurach, Germany, that designs and manufactures shoes, clothing and
accessories. It is the largest sportswear manufacturer in Europe. This report contains issues such
as value proposition of business. Delivery of customer experience, customers of company by key
demographics and their relation with value proposition and The Six Pillars of Customer
Experience Model. Implications of digital disruptions to delivery of customer experience.
Recommendations in order to improve the aspect of customer experience (Mbama and Ezepue,
2018).
Value proposition of company
Adidas have been consistent in delivering as per their promise to their customers by
offering them things as per their needs and wants. They have been so consistent in this aspect
that use it as their strategy of marketing and help them describe why a customer must buy their
product or service. Although Adidas has distributed its value propositions in four aspects and
that is to gain accessibility, innovation, customization and status of the brand. In the aspect of
accessibility they are offering a wide variety of options to customers and the line of products
they deal in helps them form up a vast and diversified portfolio. For instance other than shoes
they deal in apparels and sportswear which have helped them form a diversified culture. It was
difficult for company to achieve their value proposition as they have formed their structure by
conducting an analysis of R&D so that they can serve as per their vision. This was to serve in by
offering innovation for athletes, in the aspect of manufacturing, digital and experience
innovation, innovation in bringing more sustainability to areas and innovative measures for
female athletes (Nobar and Rostamzadeh, 2018).
How this manifests itself in how it delivers the customer experience
If the value proposition of business is set out in the right manner then it surely is going to
bring huge form of advantage over their competitors. The major issue in this set of criteria is that
not every company is able to set it effectively. Many few companies serving in market such as
Adidas have set their value proposition in a useful manner. It is important for businesses to focus

on this area otherwise they will turn their customers into their competitors which will affect their
share in market. This will happen because company won’t have insight about their needs and
wants.
Although if the value proposition is set in the right and useful manner then they will be
able to find the customers who have potential and will appreciate their offerings as these
customers are those who know what they want and they will assess that their needs are fulfilled
here. With the help of this they will be able to attract prospects in market which are right for
them and they will be able to serve with both in quantity with quality. If this is set in right
manner then customers will engage more with company as they will understand their terms and
conditions in a better way because they will be getting best service in market. By setting their
proposition more valuable they will be able to make a difference between themselves and their
competitors which will help them to increase their value and create an urge in the minds of
consumers to buy their products. Overall these are the measures which will help companies such
as Adidas to deliver optimum level of customer experience to their potential and existing buyers.
Who are its customers by frequency of use by key demographics and how they may relate to
value proposition
On the basis of segmenting their market every company chooses and segment their
market on the basis of products they offer because it is important to find out the suitable target
audience for it. Management of Adidas has divided their audience on the basis of sex and age.
Products offered by them are for both male and female clothing, shoes, eye care or body wear.
They have 3 brands which they have kept particularly for this segment which is performance,
originals and style. They use different variables in this aspect such as they assess personalities of
their audience and match them between personality of customer and personality of products. This
is because they believe that with this they will be able to meet their needs and wants. Many
people are satisfied with their implementation of strategies. This is because they consider that
drivers implemented by company are as per the changes in market and even the products offered
by them are able to meet the needs of fashion industry. The introduction of Originals by
company was to focus only on lifestyle and fashion. Even by categorizing them on the basis of
sex and age they go in detail for both the categories because they believe market is very large.
Many businesses such as Adidas use solutions that give them optimum results or software which

is leading in their business. It is important for them to assess and study the demographics of
market so that the offerings introduced by them are able to meet their needs and wants and
become successful so that they can stay ahead of their competitors (Kuppelwieser and Klaus,
2021).
What is The Six Pillars of Customer Experience Model
Integrity-
This aspect relates with trust which can happen when company delivers consistent
performance in their line of business. They can engage in events that builds trust by getting out
of a very complex situation. Other than that they will have to work in other areas such as offer
them the right thing, focus on something more important other than profit. No interrelation must
be there with negative stories as it breaks their trust (McLean, Al-Nabhani and Wilson, 2018).
Resolution-
It is concerned with changing a bad experience to better. In order to that they focus on
service recovery. During the pandemic it was the duty of company to provide solutions instead of
launching a new product. In order to do that they would have to work on extra efforts, keep them
aware about the progress they have made etc.
Expectations-
In order to meet the satisfaction of customers it is important that they understand the
difference between expectations and date of delivery. If they are able to deliver it on proposed
time then they will be able to meet their expectations. It is important that they understand in right
manner. Other than this they need to match the satisfaction level of customers so if required they
can make the necessary changes in the process.
Time and Effort-
It will be helpful if efforts of customer are minimized and they are able to generate a
process which is frictionless. Many of the customers do not have time and they want instant
service to beat that. This is why companies have to remove obstacles which are not necessary so

that they can achieve their objectives clearly and this will help them to retain them for a long
period of time (Kandampully, Zhang and Jaakkola, 2018).
Personalization-
The attention that company gives to customers must link with emotional needs too. So
that they believe that management is focusing on their special needs which will make their
experience better. The products offered by company must make customers feel valued and take
control over their lives by giving them the required control.
Empathy-
After company has completed the analysis to understand the needs of customer they work
on showing and presenting as per their needs. This is done in order to present customers that
company keeps their needs as their prime concern. This is done by understanding the importance
of situation as it is done by investing a lot of time and generating the right response in an
emotional manner.
Critically apply this model to the selected organization
Integrity-
It is important for Adidas to engage in activities that build more trust with their target
audience as this way they will be able to get audience with more potential and make their
experience better. It is up to management to engage in extracurricular activities which grabs the
attention of people and they can serve them (Jain, Aagja and Bagdare, 2017).
Resolution-
Adidas is working on making the experience of those people better who have faced bad
incidents with them in the past. This is a better opportunity for them to make their reputation in
market better by taking a nice initiative to improve their word of mouth as this will automatically
do half the work for their management.
Expectations-

It is important that management of Adidas first invests in the area of research and
development so that they have the right insight of where to make changes in their process
through which they can satisfy needs of their customers. Many of the customers keep on
expecting that when their needs will be fulfilled, more fast the company works on it more
chances are that they will not lose them to their competitors.
Time and Effort-
It is important for Adidas to come up with schemes that help their customers to invest
less time in them and make quick decision and for that they need to come up with a process that
is smooth and has no errors. This will be considered successful when waiting time for customer
is reduced and they are able to get information instantly.
Personalization-
Company needs to focus on branding and marketing their products in such a way which
connects human emotions. This can be done easily after they have understood the needs of their
target audience and serve with their offerings which make them feel more valued (Flavián,
Ibáñez-Sánchez and Orús, 2019).
Empathy-
It is important for Adidas to show themselves that they take care of their employees and
feel for their safety. They even introduced schemes and strategies at time of pandemic which
made people realize the efforts put by company in maintaining their relationship and making
their experience better.
What are the implications of digital disruption to the delivery of the customer experience
This aspect of digital disruption is linked with innovative measures brought up by people
who have advanced the way of operating things and offering them the feel of more personalized
interaction. For instance companies such as Adidas can nowadays deal online from their own
website or third party sites easily which makes it more convenient for customers to get access to
them from more places and they choose the most convenient method across them. This method is
treated to be more personalized as people can interact with them anytime and get the required
information they want. Relationship is maintained even from the management of company as

they keep their regular customers aware about the deals and offers they have ongoing on their
products. This way they have changed their shopping experience for their customers. This is
because they have understood that personalization is an effective strategy in engaging with
customers and convince them to keep buying their products.
Apart from this now Adidas have the option of working with augmented reality through
which they can offer their customers to try their products off virtually which can save their time
and resources and they can quickly make the decision for buying the product. With the help of
this company as well as customer is focusing on reducing the methods that are used for
traditional marketing. With the help of this Adidas have been successful in improving their
shopping experience for customers and in return they are getting the expected results they
wanted in their shopping patterns and behavior. With the help of this, company was even able to
operate at the time of pandemic with less flexible durations of shipping. They kept their
operations open for their customers through online channels although the rate of distribution
affected their availability in limited areas (Fernandes and Pinto, 2019).
Set out strategic recommendations on you could improve the customer experience for customers
There are many ways through which Adidas can improve their customer experience such
as-
Superior customer experience-
Adidas must keep their customer service with a focus on customers not on themselves. In
order to improve the experience of customers they need to evaluate the interaction of customers
within the company. As per the analysis of market companies who follow this set of protocol are
more profitable than others who don’t. With the help of strategies such as these they can attain
the benefit of word of mouth through which they can get more customers to serve (Pekovic and
Rolland, 2020).
Soft Skills-
By making their communication effective they can enhance set of their values. It is
important to manage their team and make them understand importance of patience, empathy so

that they are able to promote their brand and help them build more customers in near future. This
way they can even understand their problem and help them with a reasonable solution.
Self service options-
It is important that they offer self service to customers so that customers have a chance to
work their query out. For instance if they need to get information about Adidas or their products
they can get it from their official website. This way they can save their time and it won’t affect
the goodwill of company (Bustamante and Rubio, 2017).
Social Proof-
This is concerned with getting reviews that are positive or ratings on platform that are
good. Most of these things are done online when a customer founds themselves satisfied with
their product. It is important that Adidas focus on it because almost every potential customer
goes up for reviews or rating before making a decision of purchase. This also helps them to set
up trust with them and help them to serve as a premium brand over other competitors in market.
CONCLUSION
From the above studies it has been assessed that Adidas needs to conduct market study
and invest on research and development so that they can deliver optimum level of customer
experience as per their needs and wants. Without that it is not possible to understand their
expectations and they may lose them to their competitors who will affect their business and its
growth. With the help of online and advanced measures they have came up with better solutions
which have helped them achieve the benefit of word of mouth. Management also needs to
monitor that their customers are satisfied from initiatives taken by them so that they introduce
their processes as per that.

REFERENCES
Books and Journal
Bustamante, J.C. and Rubio, N., 2017. Measuring customer experience in physical retail
environments. Journal of Service Management.
Fernandes, T. and Pinto, T., 2019. Relationship quality determinants and outcomes in retail
banking services: The role of customer experience. Journal of Retailing and Consumer
Services, 50, pp.30-41.
Flavián, C., Ibáñez-Sánchez, S. and Orús, C., 2019. The impact of virtual, augmented and mixed
reality technologies on the customer experience. Journal of Business Research, 100,
pp.547-560.
Jain, R., Aagja, J. and Bagdare, S., 2017. Customer experience–a review and research agenda.
Journal of Service Theory and Practice.
Kandampully, J., Zhang, T.C. and Jaakkola, E., 2018. Customer experience management in
hospitality. International Journal of Contemporary Hospitality Management.
Kuppelwieser, V.G. and Klaus, P., 2021. Measuring customer experience quality: the EXQ scale
revisited. Journal of Business Research, 126, pp.624-633.
Mbama, C.I. and Ezepue, P.O., 2018. Digital banking, customer experience and bank financial
performance. International Journal of Bank Marketing.
McLean, G., Al-Nabhani, K. and Wilson, A., 2018. Developing a mobile applications customer
experience model (MACE)-implications for retailers. Journal of Business Research, 85,
pp.325-336.
Nobar, H.B.K. and Rostamzadeh, R., 2018. The impact of customer satisfaction, customer
experience and customer loyalty on brand power: empirical evidence from hotel industry.
Journal of Business Economics and Management, 19(2), pp.417-430.
Pekovic, S. and Rolland, S., 2020. Recipes for achieving customer loyalty: A qualitative
comparative analysis of the dimensions of customer experience. Journal of Retailing and
Consumer Services, 56, p.102171.