reebok project ppt

8/2/2019 Reebok Project PPT

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AMITY BUSINESS SCHOOL

MARKETING

MANAGEMENT



Reebok ’s Overview

Reebok’s principal business activity is to design, development &worldwide marketing of high quality footwear, apparel &

equipment.

Reebok is 3rd largest seller of athletic footwear and athletic apparel

in the world.

2008 Annual Sales = $ 2.66 billion and 2009 Annual Sales = $ 2.49

billion

Reebok India commands a 51% market share in the premium sports

wear industry .

Over 500 exclusive Reebok Stores, 200 Shop in the shop outlets &

2500 dealer outlets.



History

Reebok's United Kingdom-based ancestor company for athletes

those wanted to run fast.

In 1958, two of the founder's grandsons started a companion

company that came to be known as Reebok, named for an Africangazelle.

Reebok started its operations in India in 1995.

Reebok was the first multinational footwear company to enter India

after the liberalization of the country's economy and post profits



Marketing

Strategies



Proposed Mission Statement

“To continue to offer quality products with increasing growth in

the industry and expanding globally. Our mission has always

been to provide a competitive edge by developing the most

technological products. Keeping in mind fair labor practices in

all our suppliers ’ factories, while maintaining a competitiveadvantage, with the shareholders interests, and company profits

in mind. We also believe our employees are one of our most

important assets. To increase the responsibility towards the

environment by evaluating the impact of day to day operation

and attempts to change operations that have a negativeimpact.”



List Of Reebok Technology

DMX Shear DMX Plus

EasyTone

RunTone

KineticFit(K.F.S)

HexRide

U-Form

Hardlink

Bead Away

Griptonite

SmoothFit

X-Beam

Graphlite

Reebok Pump E.R.S

Hydromove

ZigTech

Hexalite

PlayDry

PlayWarm

PlayShield

3D Lite

DMX DMX10

DMX6

DMX I-pack

DMX Reflex

http://en.wikipedia.org/wiki/Reebok_Pump

http://en.wikipedia.org/wiki/Energy_Return_System

http://en.wikipedia.org/w/index.php?title=ZigTech&action=edit&redlink=1

http://en.wikipedia.org/w/index.php?title=ZigTech&action=edit&redlink=1

http://en.wikipedia.org/wiki/Energy_Return_System

http://en.wikipedia.org/wiki/Reebok_Pump



Market Segmentation

The products of Reebok are divided into

different segment that is:

a) HIGH LEVEL CLASS: for men, women and

kids.

b) MIDDLE LEVEL CLASS: for men, women

and kids.Reebok has not produce products for lower

level class.



Market Segmentation

(Continues…)

Reebok has segmented its products as per the

sets of needs and wants of customers.

Shoes- athlete shoes, aerobic shoes, basketball

shoes, football shoes, golf shoes etc.

Clothes- t-shirts, jackets, track suits, shorts,

pants, short sleeves, jerseys, vests etc.

Sports Equipments- gloves, cricket bats, caps,

sports guards, sports kits or gear etc.



Athletic Shoe Market Share, 2000



Athletic Shoe Market Share, 2009



Competitive Profile Matrix (CPM)

PROFILE:



Reebok

Marketing Mix

4P’s



Product

Footwear, apparel, fitness equipment, licensedwatches, sunglasses, caps, jackets, bags etc.

Products may be merchandised as collections

or assortments requiring coordinated delivery.

Products may require special fixtures.



Products (Continues…)



Reebok EASYTONE



Reebok ZIGTECH



Price

Different prices for different products likeshoes, watches, kits, equipments, jackets, socks

etc.

Prices of Reebok products are facing comparative price competition with other

products such as NIKE and ADIDAS.

Reebok provides comparatively high range pricein any of its product.



Promotion

Reebok promotes its productsthrough advertising in the form

of different T.V. channels,

newspapers, magazines, internet,banners etc.

Now days main promotion is

done by the brand ambassador.Current ambassador is current Indian Captain M.S. Dhoni

in India. He is also brand ambassador of 24 companies in

Jan-June 2010.



Place (Channel Of Distribution)

Department stores

Sporting goods

Specialty retailers Company-owned stores

Internet

Wholly-owned, international Subsidiaries anddistributors.



Practical Example: Nike vs. Reebok (Buy-Side)

Active Buy-Side Institutional Ownership

Nike ReebokRank Investor Name Rank Investor Name

1 Fidelity Management & Research 1 MFS Investment Management

2 Janus Capital Management LLC 2 Boston Partners Asset Management, L.L.C.

3 Marsico Capital Management, L.L.C. 3 Lazard Asset Management, L.L.C.

4 Wellington Management Company, LLP 4 First Pacific Advisors, Inc.

5 Lord, Abbett & Co. LLC 5 I. G. Investment Management, Ltd.

6 RCM Capital Management LLC 6 Fidelity Management & Research7 Putnam Investment Management, L.L.C. 7 Glenview Capital Management, L.L.C.

8 J.P. Morgan Investment Management Inc. (New York) 8 Neuberger Berman, LLC

9 AIM Management Group, Inc. 9 Goldman Sachs Asset Management (US)

10 Berkshire Hathaway Inc. 10 Hotchkis and Wiley Capital Management, LLC

11 Enhanced Investment Technologies Inc. 11 Stonebrook Fund Management

12 Robert M. Bass (Oak Hill Strategic Partners) 12 Principled Capital Management, L.L.C.

13 MFS Investment Management 13 American Century Investment Mgmt.

14 Capital Research & Management Company 14 Jennison Associates LLC15 ING Investment Management Co. (CT) 15 Suffolk Capital Management, LLC

16 Fiduciary Asset Management Co. 16 Victory Capital Management Inc.

17 Tudor Investment Corporation 17 Wachovia Securities

18 Northern Trust Global Investments 18 Dalton, Greiner, Hartman, Maher & Co.

19 Capital Growth Management L.P. 19 PPM America, Inc.

20 Chase Investment Counsel Corporation 20 I. G. International Management Ltd.

Red = Common Owners



21

Practical Example: Nike vs. Reebok

Nike Item Reebok Major Differentiation

$22 billion Market Cap $3 billion Yes

1.62xEV/Sales

0.66x Yes

8.57% Net Income Margin 5.06% Yes

1.15% Dividend Yield 1.32% No

13.72% Total Debt/Total Capital 30.04% No



SWOT Analysis

Teams more connected to the

consumer

Multi-brand strategy

Dedication to employees

Hydro mover moisture technology

DMX technology.

4 major divisions & 6 SBU’s

Advertisement campaign

Rely on retail stores to sell

products

Issues with foot lockers

Poor employment practices at

their international manufacturing

sites

Heavy dependency on footwear

sales

STRENGTHS: WEAKNESSES:



SWOT Analysis Continue

•Established objectives

•Result-oriented culture

•Strengthen management

team

•Contemporize products •Relevant advertising and

marketing campaigns

•Grow quality market share

•Restructured production

creation teams

•Strong US dollar may affect

brand

•Having weak department

store channel•Foreign market is suffering

OPPORTUNITIES THREATS



SWOT Analysis Continue

•“ The Sounds and Rhythm of

Sport.” – fashion consumers

•National Football League

campaign

•Changed leadership for

difficult brands

•Ability to create synergybetween brands

•Special Technology

•Economic decline in key

markets•Chinese products

•Strong Competition



Thank You

reebok project ppt

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