Production Strategies 3. 1. For example, Adidas has loyal customers who are soccer players, while Nike has high loyal customers who are athletes. The first disadvantage of carrying primary research was difference in response. While the first quarter of 2010 shows 53 % increase in net income. It adopts different and Competetive pricing startegy than Adidas, it is based on the basis of premium segment as target customers . It’s a non-responsive site disappointingly, but Nike does operate a specific mobile site. Nike and Adidas have both seen their share prices gain momentum, hitting all-time highs in January 2020 before plummeting as the COVID-19 epidemic sweeps the world’s industries. In addition to these it sponserd soccerex football festival for 2010 football and has confirmed four year sponsership deal with it . Zeitz as CEO, the image and the value of Puma were compromised by Rudi Dassler’s son and his management style. In this article, I am going to compare Nike, adidas and Under Armour from the perspective of a long-term investor. SWOT ANALYSIS OF NIKE AND ADIDAS (With respect to e-commerce)STRENGTHS WEAKNESSES 1. Adidas uses internet in many ways to reach its target audience, it created its own website (adida.com) exclusive digital content where one can get all information about the company including company back ground, products, sales, new launches etc. 3 Ways Popular Price Comparison Websites Gather Data, Pricing parity: Excelling Across Both Online and Offline Channels. Registered office: Venture House, Cross Street, Arnold, Nottingham, Nottinghamshire, NG5 7PJ. The lowest-priced Adidas product is sold at Rs 12599. Nike from its modest start grown as a sporting leader in sporting goods. See the chart below to see the pricing variations. Some people remember it because they reflect that the frequency of Nike s ad on TV is more than Adidas. Adidas has six products priced at about 25000 and Nike has only one. There are two arguments people make when it comes to eCommerce consumer behavior. Both organizations focus greatly on technology, as well as make efforts to innovate and produce new products. On the other end the sales of Nike in the fourth quarter of 2009 was decreased down by 7 %. Nike has 171 products in this price bracket and Adidas has 118 products. 1. I've been helping companies solving their data extraction problems for the last six years. North America and Western Europe are the pair’s two top regions for sales. The lowest-priced Adidas product is priced at Rs 12,999. While Adidas markets itself as a streetwear sneakers with celebrity collaborations like Kanye West and Beyonce, Nike’s marketing is more sports-focussed. Each individual has its own view. The ration is 6:1, there is no other price bracket with this many differences. Then it didnt look back and today it is one of the most successful company in sporting goods. The first companies that grabbed all the benefits of such an approach were Nike and Adidas. They pretty much have the same target: people who love sports. The other difference is their advertising message; they both use same scoop and scale but try to communicate with different messages. Latest products are covered in a large carousel, which is thankfully only has three large images and the transitions are slow and smooth. Which was most effective advertisement strategy as it helped the compnay to increase 14 % brand ratings by gamers.Additionally popup ads can also be found on yahoo , espn home pages etc . Today’s Puma is not only sport clothing and equipment, but also accessories. That’s why Nike is dramatically cutting the time it takes to bring new products to market in order to stay up with current trends. Nike has 367 products in this price bracket and Adidas has 1496 products. Study for free with our range of university lectures! For TV ads Nike uses various sports channels to promote its products by various celebrities like Ronald no, Renaldo, and Roberto Carlos. Also Read: Use Data Analytics to Sustain Your Business During COVID-19. Wash your hands regularly and spend more time with family. One of the retail categories hit massively by the COVID19 pandemic is the sports & apparel category. I write about Web Scraping, Online retail, Sales, Marketing Tips etc, Nike spends a staggering amount of money on advertising and promotion, How to Build a Web Crawler in Python from Scratch, How To Scrape Amazon Data Using Python Scrapy, How to Bypass Anti-Scraping Tools on Websites, 5 Major Challenges That Make Amazon Data Scraping Painful, Scraping eBay: How to Scrape Product Data Using Python, Scraping Amazon Reviews using Scrapy in Python, Nike vs Adidas: Competitive Analysis with Data Visualizations. The lowest-priced Nike product is priced in Rs 1595. The segments are designed based on the MRP ( not the sale price ). Nike and Adidas are two of the largest footwear companies in the world. Nike uses different promotional strategies. The competitive analysis of social media data gives Nike a clear edge over Adidas. While to stir up Rational appeal it indirectly compared it s products with other products, the ad might be effective as it shows and considers its products superior in every game as compared to other companys products. Adidas has 2625 products with prices ranging from 899 to 29999, and Nike has 643 products with prices ranging from 1596 to 36500. First movers advantage in e- 1. Nike has become one of most recognizable companies in the entire world Nike is now the most popular … It’s the Season to Get Holiday Pricing Right! The organisation uses various groundbreaking outdoor advertisement such as billboard soccers, expansive wall scrappers , topiary styled billboards etc. The lowest-priced product belongs to Adidas with the pricing of 899. We’re going to keep an eye on how the market changes. Limitations of Secondary Data Collection Method. 9th Oct 2017 Registered Data Controller No: Z1821391. The person who wrote secondary data might be biased. While the target audience of both the brands are same as well as the brand building strategy adopted by both the company seems to be same. After applying the discounts, Nike has 53 products in this price bracket and Adidas has 1744 products. Here is Nike.com (for the purposes of this article I’ll be using the UK version of the site). While to gather secondary data internet, magazines, annual reports of the company, articles were used. Nike as brand has high premium , so the price of its products is high than adidas. The founders of Nike were Bill Bower man and Phil Knight. Adidas uses different media vehicles which can pop up its advertisement on television; it uses various sports channels like Star Sports, ESPN. It is an effective model that helps businesses and business managers judge the attractiveness and competitiveness of any industry. The intimidation of substitutes is very high in this market. The maximum discount Adidas offers is 60% and 1055 products are sold at this price range which represents 40% % of the total Adidas merchandise. Adidas also uses various sales promotion startegies in order to increase its sales, one of the recent sales promotion strategies is adidas coupons and coupons code in which adidas distributes coupons through dealtaker.com in which if a customers code matches with the adidas code , discount up to 30% or more than that will be given by company on various types shoes. I am going to focus on several aspects, such as competitive … 3. We're here to answer any questions you have about our services. Nike has 1 product in this price bracket and Adidas has 6 products. Since October 2017, Nike has worked to rebuild their business model. The lowest-priced product belongs to Adidas with the pricing of Rs 5159. The lowest-priced product belongs to Adidas with the pricing of Rs 27999. Focus of Strategies 2. The lowest-priced product belongs to Adidas with the pricing of Rs 499. The maximum discount Nike offers is 40% and only 43 products are sold at this price range which represents only 6.6% of the total Nike merchandise. Adidas’ focus is on the people and the soccer, tennis. The intensity of competition from its competitors is high for each firm competes in various key areas of business. 30 % of total sample remembers and likes, TV ad of Adidas because they use well-known celebrities like Beckham, Messy, Kaka etc and they are more eye-catching. The lowest-priced product belongs to Adidas at the pricing of Rs 27999. No plagiarism, guaranteed! (Referred To questionnaire). Marketing Str… So it was difficult to generalise the information. Recent ad was a sort Comparative Advertisement because as the title describes Nike: My better is than your better, in this ad it shows all sports games like basket ball , baseball, Running etc and try to deliver a message that Nike products are best in every game whether it is basket ball , base ball , jumping . Adidas main marketing is … In last quarter of the 2009 its sales percentage was declined by 5 % which was because of their increase in marketing costs. Adidas and Nike both have powerful brands that are sold around the w orld. The competitive analysis of market share gives Nike a clear edge over Adidas. Nike Total estimated time used to complete this report will be 9 week. Adidas and Nike both are dominating the social media game at present. Adidas is the second largest company who manufactures sporting goods all over the world. The main target audience of Adidas are between 12-34 years consumers specially involved in sports. The Adidas Logo is three stripes, consisting of the three parallel bars. According to me , the objective of using internet marketing was to attract the younsters who spends more time online than watching TV. But generally it uses Market skimming strategy, that is the price of the product depends upon its colour, look etc for example: white colour shoes of Adidas is more expensive than other colour shoes. COMPLETE Shopify Tutorial For Beginners 2020 - How To Create A Profitable Shopify Store From Scratch - Duration: 2:14:53. Company Registration No: 4964706. Unlike Nike, Adidas has invested very little in securing celebrity endorsements for its products. While in 2010 the financial report shows that there is 15 % increase in their sale because of 2010 FIFA World Cup. We've received widespread press coverage since 2003, Your UKEssays purchase is secure and we're rated 4.4/5 on reviews.co.uk. It also uses yahoo to promote its products, according to me the objective of using yahoo and other popup ads is to make youngsters who often goes online, aware about the brand. Search and Upload all types of Nike vs Adidas Case Study & Competitive Analysis projects for MBA's on ManagementParadise.com The lowest-priced Nike product is priced at Rs 36500. On the other hand, Adidas has increased its advertising spending in the United States as well as noted a huge increase in customer satisfaction as well; recording the highest score of customer satisfaction for athletic shoe companies in the U.S, Also Read: Cost control for web scraping projects. What we will have to see is how the patterns are going to change post-COVID. While Nike on the other end has very specific target audience .It focuses mainly on males and females, who are between 18 35 years old. Out of the total 643 products of Nike 429 products are sold at MRP which is 66.7 % of the total products. We visited Nike and Adidas to see for ourselves which store does it better. Negative image portrayed by poor commerce. The lowest-priced Nike’s product is priced at Rs 5295. Adidas AG, Nike Inc. (NKE), and Under Armour Inc. (UA) are the three largest retailers in the competitive athletic apparel industry. Nike competitive analysis 1. It is also now recognised as world s leading manufacturer, designer, marketer and distributor. From simple essay plans, through to full dissertations, you can guarantee we have a service perfectly matched to your needs. Despite the market dominating presence of Nike, Adidas has been able to strengthen its position in the global markets. According to a recent report by Brandwatch, Adidas features in over 6 million images and Nike features in over 5 million on social media each month. Nike has 418 products in this price bracket and Adidas has 757 products. It promotes its products by adopting endorsement focus scheme, creating a prevailing media existence, establishing flagship stores and use of magazines, billboards, mobile etc. In comparison to Adidas, Nike uses different ways of billboard advertisement to promote its products, in recent times in Hong Kong to promote its Nike s T90, a series of black and white markers were posted in local Nike stores, subways, stations and also in magazines. Nike is very competitive in products and new things that come out in America. All work is written to order. This is a Nike subsidiary that produces athletic clothing and basketball footwear. This is not an example of the work produced by our Essay Writing Service. To assemble primary data a questionnaire was designed which compares both athletic brand Adidas and Nike. Nike vs Adidas: Social media following. Dan Vas Recommended for you Adidas is among the most financially stable companies globally and utilizes its financial superiority to fend-off competition from other global companies such as Nike and Puma. working conditions in its overseas 2. Adidas has its own unique brand positioning in the mind of customers. Search. The lowest-priced Nike product is priced at Rs 1595. VAT Registration No: 842417633. So both companies are investing more and more in their promotional strategies, to attract more customers and at last to expand their growth. Nike vs Adidas. If you need assistance with writing your essay, our professional essay writing service is here to help! More products in the portfolio mean more options for customers to choose from, and it will increase net sales. Social media followers of Nike and Adidas as of April 2020. Other than this recently adidas used windows messenger game platform in order to promote its Predator and f50 boots to the age group of 15-24 years old males. 70 % of overall sample remembers and likes TV commercials of Nike because every time they demonstrate foot ball game in a unique and a bit comical way. Analyzing the prices of Puma and comparing with its competitor prices was discovered, that all of them are more or less on the same price levels – medium to high. The discount statistics are quite interesting for both brands. For example many of the samples said I would go for Adidas because they are cheaper and also I feel myself more comfortable in the products of Adidas, particularly youngsters who are fascinated in playing foot ball because David Beckham wears it. Marketing At Datahut, we extract the pricing and product data of Adidas and Nike. Increased competitive pressure – Although, Nike is a dominating the athletic industry, competition, and new emerging brands are still potential threats to the company. Recently in order to improve its brand positioning , it made a deal with NFL by paying 1 billion dollar (approximately) , Nike will produce all the on-field apparels , it will also produce game uniforms and other side line personal apparel and fan gear. It was difficult to find data from company s website as sometimes they might not say their weakness. Out of total respondents, only 70% of respondents were able to give description of recent ad of two companies out of which 40 % of respondents described Adidass new star war collection, while other 30 % of respondents described Nike s War hawk Matt Scott s No excuses commercial. In 2020, Nike is valued at approximately 34.8 billion U.S. dollars, witnessing a two billion U.S. dollars increase from 2019. Each product has its own ‘shop now’ button. The download links to the data are at the bottom of the page. Data is from November 2018. Nike as brand has high premium , so the price of its products is high than adidas. These types of billboard s were specially launched for the target market of Hong Kong who is found of latest technology. The competitive analysis of the brand value gives positive signals for both companies. The sample used by a secondary person might be small. The competitive analysis of market share gives Nike a clear edge over Adidas. Under Armour: An Overview . For example sample 4 said I like Nike because the products are very much cool and also there are various types choices available and various types of pattern and styles are available, So it looks that People are more concerned about quality and comfortableness than price, so by this it can recommended to Adidas to focus more on its quality. In addition to these it also cuts down the prices of product during special festivals and events in order to increase its sales or to finish the old stock . Air Jordan. Other positioning of Adidas in customers mind is basketball shoes , this is because generally basketball players wears it because of its unique design and light weight. It mainly shows its ad during football games. Download the datasets used in the above visualizations here: I'm the Co-founder of Datahut. Navigation-wise you’re treated to a detailed mega menuwhich appears when you hover over each tab al… These markers were a kind of 3D Window Display, and to watch it, customer need to text the key word displayed on the marker and has to download the Nike application. It was time consuming, costly as it takes lots of time to find a respondent who can fill questionnaire. According to me the message of ad was if one wants look modish and funky as David Beckham and Agnes then should go for this new collection of Adidas. In order to grab attention and to stir up Emotional appeal it used Fantasy and surrealism because certain images shown create fantasy. Nike vs. Adidas: The three stripes is making gains on the swoosh — but that doesn't tell the whole story. Do you have a 2:1 degree or higher? It was established in 1920.The Original founders of Adidas were two brothers Rudolph and Adi Dassler .The companys first manufacture were slippers and after that they decided to make sport shoes which went so successful that it led them to open their own shoe making factory in 1926. After the software is downloaded, if one points the camera on the markers, one can see virtual 3d Nike T90 boots. Nike’s product majorly inclines towards industries of Children and Women shoes, Running, Cross-training and Basketball. Both of their popularity has become so immense that they are literally household names. The competitive analysis of Nike vs Adidas in pricing is very interesting. Reference this. Comparison of Strategies Adidas and Nike operate and use same platform for marketing strategies with different approaches of implementation. In 2009 the sales percentage of Adidas reported decline in profits. Place/ Distribution Adidas Brand recognition and reputation. Nike does not have that option, and for a Taekwondo artist, Adidas would be the obvious choice. Trefis captures trends in key operating metrics for Nike vs. Adidas in an interactive dashboard, highlighting how Adidas … In 2009, the Market shares of Adidas was 22% of the worldwide athletic footwear while on the other end the market shares of Nike was about 33 % . We will consider four segments when it comes to pricing. It used Peripheral Cues because it might have thought people would not be able to process information that their new collection is very cool and stylish, and so they used fashionable celebrities like Beckham and Agnes to influence target audience attitude positively. Although, Nike and Adidas products are mostly expensive, while Puma is providing products for affordable prices. As Nike s one of the main target audience are football players its key positioning in customers mind is to provide competitive edge; help athlete to perform well. For example, Adidas dominates soccer, having endorsement deals with superstars such as David Beckham and sponsorship of the top events like the FIFA World Cup. Disclaimer: This work has been submitted by a university student. The brand has built several sources of competitive advantage which include technology, marketing, supply chain as well as product design and quality. We will consider four segments when it comes to pricing. Recent research founded that Nike scored low rates as compared to Adidas in terms of positioning; this is because they primarily focuses on men, only 10% of female supposed that they would buy Nike sneakers again, while rest of the women likes Adidas because it focuses on both men and women uniformly. Free resources to assist you with your university studies! There are various sports which are targeted by Adidas that includes gym regulars, NBA players, Football etc and also the youth who believes in living a sporty life style. While other 20 % likes it and gave an average rate of 7.5 because they feel Nike provides more variety of design in shoes than Adidas and they look more stylish. Adidas is much smaller than Nike, but what makes Adidas different is that it has a better sense of what its customers are looking for and works on it. Another observation we made is that Adidas provides specialized footwear options like Shoes for Taekwondo, a martial art form. Click on the bell icon to get the updates. What do you think about the Nike vs Adidas war and our competitive analysis? This five forces analysis highlights the forces that are favorable and unfavorable for Adidas and how that affects its ability to overcome competitive … Revenue for Nike came in at $39.1 billion for the 2019 fiscal year.Adidas, on the other hand, reported revenue of $23.6 billion for the same period. The lowest-priced product belongs to Adidas with the pricing of Rs 5159. Both Nike and Adidas have their own unique ways when it comes to the product portfolio, the MRP, discounts, etc. Nike on the other end has image of an innovative company who focuses making new innovations and designing new style shoes. Our visits made it clear that Nike’s focus on women’s representation should give it a leg up against its competitors. Business Strategy Analysis for Puma's Management. Its main rival is Nike. Same as Adidas, it also sells its products online. There are various Pricing strategies which are followed by Adidas according to its product. A Comparative Analysis of Strategies and Business Models of Nike, Inc. and Adidas Group with special reference to Competitive Advantage in the context of a Dynamic and Competitive Environment Hussain A. Ali Mahdi1, Mohammed Abbas2, Taher Ilyas Mazar3 1,2,3MBA Student, University of Bahrain, Kingdom of Bahrain Dr. Shaju George4 Limitations of Primary Data Collection Method. This is objectively a weakness, since it has led to Adidas constantly lagging behind Nike in terms of growth. Grew by 8 % to EUR 21.9 … Air Jordan Vincent Ukwu 2 a blue ribbon sports it increase! Benefits of such an approach were Nike and Adidas has 1496 products different of. Stripes, consisting of the lean startup to their new approach, how sell. Specialized footwear options like shoes for Taekwondo, a company registered in England and Wales the price of products. 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