To be successful across consumer segments, we acknowledge that a strategy of mass production or mass marketing is no longer sufficient. Only by identifying and understanding consumers’ buying habits, their fitness level, their motivations and goals for doing sport and their individual lifestyle, can we create meaningful products, services and experiences that build a lasting impression. In this respect, we have identified five key global trends which will be important to address with our brands and sub-brands over the duration of Route 2015:
– Fit for life: Sport is no longer just about competing and winning. Sport is becoming more embedded in consumers’ everyday lifestyles. Motivations and goals are becoming more holistic, relating to fun, socialising and quality of life.
– You are what you know and what you do: Society is embracing a life-long learning attitude, and placing more emphasis on what we know and do versus what we have and where we come from.
– Celebrating individuality: Consumers increasingly fulfil their desire to differentiate from one another by being more creative – on the one hand mixing and matching products and services they need, and on the other hand seeking personalised offerings tailored for them.
– Together is better: There is an increasing need for meaningful social interaction, both online and offline, as consumers are forced to be more mobile, and the rise of digital technologies makes it easier for them to connect with like-minded people.
– Back to basics: For everyday life, products and services are desired to be simple and authentic, making consumers’ lives easier, rather than complicating things further. There is a growing interest in outdoor activities, reflecting the desire to reconnect and be in tune with nature.
To match these trends and fulfil consumer demands, Global Brands teams will need to adhere to the following principles:
We believe that our multi-brand structure gives us an important competitive advantage. Through our brand architecture, we seamlessly cover the consumer segments we have defined, catering to more consumer needs, while at the same time keeping clarity of brand message and values. In each case, the positioning of adidas and Reebok and their respective sub-brands is based on their unique DNAs – their history and their values.
As a true global brand with German roots, adidas through its sub-brands is targeting competitive sports based on innovation and technology with adidas Sport Performance. This sub-brand is the multi-sport specialist.
Our positioning here clearly starts in producing the best products for use in specific sports such as football, basketball, running and regional sports. We then seek to leverage brand loyalty and strength in innovation in other categories. adidas Originals and adidas Sport Style leverage the potential in sports lifestyle and fashion markets.
Reebok, conversely, is an American-inspired global brand and starts with fitness and training as the backbone for the brand’s positioning, especially for active and casual sports. Consumers who identify with Reebok’s values and positioning will subsequently also be attracted to the brand when they go for a run, or play basketball. Therefore, Reebok capitalises on the opportunity to leverage its technology concepts and designs also into specific sports categories. Reebok thus bridges the two ends of the consumer spectrum, from performance athletes to style setters see 02. Through these differences in positioning, we are therefore not cannibalising each other in the market, but rather challenging and supporting each other as friendly competitors with different target groups in mind.