Under
Armour
Table of Contents
Under Armour History
Product Description
Company Analysis
Customer Analysis
Competitors
S.W.O.T. Analysis
Marketing objectives
Communication Objectives
Advertising Objectives
Media Objectives
Public Relation Objectives
Launch Strategies
Success Metrics
Press Release
Executive Summary
Under
Armour
History
Less than 10 years after its launch, Under Armour ended the year
with $281 million in revenue.
In 2006, Under Armour wanted to achieve even more and set out
to clothe the athletes from head to toe.
Under Armour started a new campaign called, Click-Clack. This
branched into the footwear business and was done through a line of
football cleats. The brand captured a 23% share of the market in just
the first year. Due to the enormous success of the football cleats Under
Armour expanded to include baseball, softball and lacrosse cleats.
In 2008, Under Armour revealed its highly anticipated line of
performance trainers marking its official entry into the athletic
footwear market. The year 2010 ended with an incredible financial
milestone for Under Armour as it had surpassed $1 billion in annual
revenue almost quadrupling revenues in a five-year period.
As the company grew so did their ability to start making a
presence in other countries. They started making deals with
professional teams in Japan, Europe, Canada, and Latin America. In
2011 Under Armour opened its first-ever brand store in China. Also in
2011 Under Armour created a new line of Charged Cotton apparel that
dried fast and performed, which gave the athletes the same waterresistant technology that they had loved with UA other lines of
clothing.
17 years after its original launch of HeatGear, Under Armour took
it to a whole new level once again with the launch of Armour39. This
was the first-ever performance monitoring system that measures what
matters most to an athlete: their WILLpower. (explaine what this is in
detail)
Product
Description
Product Description
Mission Statement:
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AllSeasonGear
Due to exponential growth UA moved headquarters to Baltimore
Growth: 1999-2001
Jamie Fox
Bought first big print ad in ESPN generating $750,000 increase in
sales
Gained relationships with Major League Baseball, National
Hockey League, and the Baltimore Marathon
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Growth: 2002-2005
athletes
Launched its womens line in 2003
In 2004 launched a boys and girls line
In 2005 UA introduced it new line of Golf attire
10 years after its launch UA ended the year with $281 million in
revenue
Growth: 2006-2010
footwear)
Roster of athletes grew Ray Lewis, Lindsey Vonn, Georges
St0Pierre, Brandon Jennings, Michael Phelps, Tom Brady, and
Sloane Stephens
Opened a European headquarters in Amsterdam
Built first branded-retail store in Annapolis, MD
Growth: 2010-Present
Premier League
2011 developed cotton charged apparel that dries fast and
performs
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Positioning
Under Armour wants its customers to view the brand as top of
the line athletic performance gear with technologically advanced fabric
with wicking properties for every man, women, child, athlete, and
sports fan out there. They have a wide variety of clothing options for a
wide variety of sports and outdoor activities. They believe that every
activity needs its own identifiable products made with innovative
material that will never cease to impress. Under Armour continues to
grow and reposition its brand in new and innovative ways. Their
worldwide athletic campaign has taken the athletic market by storm
and they still continue to surprise us with their astounding products.
Points Of Difference
Features:
Attributes:
Microfiber Material
Wicking Technology
Wide range of products for different activities
Benefits:
Lightweight
Keeps you dry (absorbent)
Anti-odor technology prevents the growth of odor causing
microbes
Reaches large cliental
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Distributors:
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Company
Analysis
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Company Analysis
Goals:
Under Armour has been in a continuous state of growth since its
creating in 1996. They survived the recessions and continue to thrive
with their consistent ability to adapt and change to the growing needs
of the athletic market. However, now that the company has achieved
so much growth in annual revenue and a massive amount of market
share they need to focus more of their attention on corporate social
responsibility.
Focus:
Culture:
Cultures a really powerful thing. Its an incredibly important
thing in every organization, (Kevin Plank, Founder and CEO). Under
Armour wants to dedicate themselves to be a top of the line athletic
brand that will always go above and beyond the expectations of the
customer. Under Armour has so many famous and talented athletes
supporting their brand, that it has allowed them to grow within the
athletic market. Also Under Armours commitment to being the best has
given them numerous opportunities to be featured in movies and their
products worn by celebrities. This allows customers to see the extent
of their brand and the quality behind their products.
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Market Share:
In 2014 Under Armour surpassed Adidas to become the number
two athletic sports brand behind Nike. Under Armour had $1.2 billion in
sales, Adidas had $1.1 billion and Nike came in with $8.9 billion in
sales. Nike has 44 more years of market exposure than Under Armour.
This newly emerging company is gaining more popularity among
activewear customers and is eating away at Nikes market share. This
company is growing and exceeding all expectations originally given.
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Customer
Analysis
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Customer Analysis
Market:
The activewear market has grown 1% in the past year and the
total sales have reached $206.3 billion. Activewear sales have
increased significantly because customers are no longer just wearing
activewear to the gyms, but they are now hanging out in activewear.
Consumers want to be comfortable and versatile. Activewear in this
current market has become a fashion statement that allows consumers
to express not only themselves, but also a sense of athleticism and
wellbeing. Due to this growing demand competitors have had to find
new and innovative ways to stand out amongst the competition. They
have done this with innovation, creativity, color and uniqueness with
their designs.
The main reason that the activewear market has boomed so
much is the comfort that is associated with the activewear. According
to Cotton Incorporated around 73% of the customers who have
adopted the activewear trend did so with purposes other than working
out, such as comfort. Wearing clothing meant for the gym has become
a new trend and style. Consumers not only want to be comfortable, but
they also want to look healthy. By wearing athletic clothing it can lead
them to be looked by others as if they workout or go to the gym.
Exercise and health are growing in awareness around the United States
and the demand for activewear is growing with it. (statistics behind it)
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Types of Customers:
Under Armour targets a wide variety of customers who are both
male and female with different athletic, outdoor, sport needs.
Primary Customer:
Female age 25-40
Income level $50,000 and above
Interested in gaining a better workout experience
Secondary Customer:
Tertiary Customer:
Adults Male and Female age 40 and over
Income level $50,000 and above
Interested in maintain a healthy lifestyle or spending more time
being active with family
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Value Drivers:
Under Armour has many female athletes and models in
numerous sports and activities that they endorse. Some of these
famous individuals that support and promote their brand are, Misty
Copeland, Lindsey Vonn, Gisele Bndchen, Brianna Cope, and Kelley
OHara. Under Armour has consistently delivered top of the line sports
apparel that caters to many of the needs of its customers.
Under Armour just released its new line of Cotton Charged tshirts that deliver the same dependability and high quality that the
microfiber t-shirts provide. This new line of Cotton t-shirt allows for
more movement while working out.
Under Armour does a large amount of sales through their website
and the websites of the retailers from which the goods are sold. Under
Armour is sold in almost every sports store in the country and is even
sold in numerous stores globally. They have 146 stores in the U.S.
However, most of Under Armour sales (80% of its business) are done
through 20,000 retail stores (such as Dicks Sporting Goods, the Sports
Authority and Big Five) in the U.S. and overseas.
(think about growing the brand)
Decision Making:
Under Armour promotes sustainability and responsibility to both
the environment and their workers. Although they are still trying to
improve their environmental footprint within the, manufacturing and
packaging of their products, they are committed to lessening their
environmental impact. Under Armours green products are made from
recycled plastic bottles and in the year 2011 they converted over
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Competitors
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Competitors
The athletic apparel industry is highly competitive in not only the
US, but around the world. The leading brands that compete globally
are Nike, Reebok, and Columbia Sportswear Company. When Under
Armour developed and became the leading provider of the wicking
technology the other competitors saw the success of this new idea and
did their best to copy the technology in order to stay a relevant brand.
There is intense competition with these brands and as styles and
trends are consistently changing and becoming brighter, more
outgoing, and full of patterns. Under Armour has not only managed to
remain the first mover of this wicking technology, but is also one of the
main providers of these colorful, pattern filled athletic goods.
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Strengths:
Very competitive pricing
Number one sports brand
Weaknesses:
Opportunities:
Threats:
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Strengths:
Lower costs appeal to majority of Americans
Most of its sales are through department and sporting good
stores
Does a lot of sponsorships with companies and teams nationally
and internationally
Weaknesses:
They are starting to lose their foothold within the athletic
industry because of new competition
They also suffer from counterfeit products being sold which hurts
their reputation.
Opportunities:
Company could expand more into youth clothing
They could look into improving products
Gaining more sponsorships from top tear athletes
Threats:
company
The issues with fake and duplicated products being sold under
their brand
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Strengths:
The brand is known in over 72 countries and has over 13,000
retailers
The brand has 7 decades of history as the largest American Ski
apparel brand
They own all facets of their production process which cuts down
on production costs
Weaknesses:
The brand is not very well know internationally
The brand does not advertise as aggressively as its competitors
Opportunities:
Threats:
Less consumer loyalty due to market fragmentation
Counterfeit products being sold at a much lower price
Not well known outside of the USA
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S.W.O.T.
S.W.O.T.
Analysis
Analysis
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S.W.O.T. Analysis
Strengths:
Weaknesses:
Opportunities:
Expand on designs and products for the female market
Increase number of brand stores
Expand into new markets that have yet to be explored
Threats:
Fairly new company
New expanding competitors
Marketing
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Marketing Objectives
2016.
Objective #2: To grow market share to 20% for fiscal year 2016,
Objective #3: To open up new brand stores through out
California, Florida, and New York for fiscal year 2016.
In order to reach our marketing objectives Under Armour has
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Communication
Objectives
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Communication Objectives
Primary Market:
Middle age working females interested in maintain a healthy lifestyle
Tertiary Market:
Adults Male and Female age 40 and over
Income level $50,000 and above
Interested in maintain a healthy lifestyle or spending more time
being active with family
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Advertising
Objectives
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Advertising Objectives
Billboards:
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Magazines:
Cosmopolitan Magazine
Womans Health
Runners World
Oxygen
FitnessRx
T.V. Commercials:
MTV
ESPN
Lifetime
E!
Oxygen
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Media Objectives
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Media Objectives
Internet
https://www.facebook.com
https://www.twitter.com
https://www.instagram.com
https://www.tumblr.com
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Public Relations
Objectives
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Social Responsibility
To help improve their social responsibility Under Armour will start
a campaign with two companies, Project WomanKIND and Women for
Women. We have decided to target our campaigns for improving life for
women.
Project WomanKIND is a web series campaign that is featured
online to help promote a positive body image. As Under Armour tries to
target a new market they need to reevaluate what that market might
look like. UA wants to start promoting a wide variety of body images in
its new add campaign to better appeal to all of its clients who may
work out, but not have that perfect size two body.
UA plans to hold a special launch of new lines at a fashion show
in New York. Tickets will be advertised and sold with all profits being
given to the Women for Women organization. Promotions, teasers, and
invites would be created prior to the even in March of 2016. This event
will also be broadcast across the country and will be featured in the
new Under Armour brand stores.
Women for Women is an international foundation that was
created more than 20 years ago. They help women who are facing
violence, marginalization, and poverty as a result of war or conflict.
Their mission is about teaching women the basic skills in life needed to
take care of yourself. This organization shows them how to earn and
save money, develop health and well-being, how to have a voice, and
how to stay connected within their society.
Under Armour wants to promote its new Womens line of clothing
with the knowledge that there are women out there suffering, so what
can we do to help? They are going to take 10% from every womans
item sold throughout the fiscal year 2016 and donate it to the Womens
resource centers throughout these struggling countries.
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New York, NY (March 26, 2016) Today Under Armour (NYSE:UA) unveiled its Project
WomanKIND marketing campaign, which defines the brand's vision for promoting a healthy body
image for women. The campaign started at their fashion show in New York today, which featured a
wide variety of models in all shapes, sizes, and ethnicities. Along with the fashion show Under
Armour plans to launch their new TV Ad campaign featuring more average sized models.
The concept of the 'Project WomanKIND' campaign is simple you should love your
body and what you wear. Under Armour wants to promote its new line of clothing for all woman no
matter their size. Due to society norms woman have been branded with a body image that relates
to the typical size 2. However, most athletes are larger and stronger and Under Armours new
campaign hopes to promote that success and feature more average sized women. "Under Armour
provides the gear, equipment and digital tools that every athlete needs to push through a tough
workout. But they also want to give them that extra inspiration to improve everyday, to keep
building their inner army and to stay focused on success even when the going gets tough.
Adam Peake, Executive Vice President, Global Marketing, Under Armour.
From the original tight t-shirt to the Armour Collection of today, Under Armour's goal
has remained the same: to revolutionize the way athletes dress and train. The key to this
campaign is the average women who will be featured throughout the campaign, demonstrating
how products function across various end uses.
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March 5, 2015
Under Armour Opens First of Ten "Brand House" Specialty Retail Store
Global performance brand expands to cities throughout California, Florida, and New York
with its largest Brand House opening yet in New York, NY.
Baltimore, MD (April 5, 2016) - Under Armour will open the doors of its newest specialty
retail location tomorrow in the heart of New York at the city's premier retail destination. With a
focus on cutting-edge products and design, the New York Brand House will serve as a
stunning example of the brand's commitment to offering customers a superior shopping
experience.
This branded house will feature all of their men's, women's and youth apparel, footwear
and equipment, the New York Brand House will also be the first to launch the new line of Project
WomanKIND apparel. Under Armour's newest store will feature two floors of the brand's latest
innovations across various product categories, including outdoor, team sports, training,
running, golf, studio, youth and footwear.
The New York Brand House features nearly 30,000 square feet of interactive retail
space and delivers a fully immersive brand experience, telling the brand story through digital
displays that inform and inspire. There will also be digital displays that feature the new Project
WomanKIND campaign and also more that feature the I Will What I Want campaign.
Under Armour's newest specialty retail location also reinforces the brand's connection to
New York and the surrounding areas. This is very important to Under Armour to make sure that it is
staying connected with its customers and making sure that all of their needs and addressed. These
ten new Bran House stores will give Under Armour a new competitive edge. Making them the
destination spot for many of their customers.
To celebrate the store opening, Under Armour will be giving away some of its new Project
WomanKIND apparel and the will also have personal trainers on staff to run workouts and boot
camps for the day.
The New York Brand House will be open Monday - Saturday 10:00 a.m. to 9:00 p.m., on
Sundays 11:00 a.m. to 7:00 p.m. and can be reached at857-985-8756. For more information on
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Under Armour and the Under Armour Brand House, please visit UA.com and @UnderArmour
on Twitter and Instagram using #UANewYork.
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Launch Strategies
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Launch Strategies
Media Schedule:
The objectives that I have implemented for the fiscal year 2016
will be met with a carefully calculated media plan. Throughout this next
year our new womans campaign along with the opening of our new
stores will be marketed at the most pivotal points of the year, near
Christmas time, after the first of the year, and before summer.
Along with promoting ourselves through media we will also be
using social media. Postings on our social media accounts are free so
we will create more here in hopes of reaching out to a larger
community. We will be placing our ad for our new womans campaign
on our social media as well as a copy of the fashion show after it
happens in March. We will also advertise for tickets to the fashion
show starting in January.
All our new athletic endorsements will be centered on promoting
women. We hope to gain a wider variety of endorsers that range
outside of just your average athlete. We want women to relate to the
new brand through a more realistic endorser such as Rebal Wilson.
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Advertisements
I
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ADVERTISEMENTS
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Project WomanKIND
I Will What I Want
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Summary
Protect This House I Will
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Success Metrics
While we understand our objectives are obtainable we do realize
that they may not be reached, this is the minimum number that we
would like to see in order to have completed a successful campaign for
the fiscal year of 2016.
The marketing success that Under Armour wants to achieve are
sales of 3 billion, market share growth of 15%, Launch at least 10 new
brand stores, and become more socially responsible. We will be
successful if we reach 50% of our target market through our branded
communications and also strive to improve brand impressions, there
by increasing awareness and trial.
Advertising is the key to our success this next year and we will
strive to increase trial and brand awareness buy at least 15%. Under
Armour wants to increase its social media coverage by 10% on
Facebook, Twitter, and Instagram in order to maintain strong brand
recognition.
Finally Under Armour wants to obtain at least 5 new worthy
articles every quarter in order to promote their corporate social
responsibility. They also want to increase their involvement with social
issues in hopes to create a more positive brand image.
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Executive Summary
Under Armour entered into the athletic apparel industry 15 years
ago and has grow into a globally known company. It has become one of
the top industry leaders for athletic apparel and gear. Through
continual market expansion this company has been growing at a
steady rate and has the potential to grow even more.
Under Armour plans to reach a sales goal of 4 billion for the fiscal
year 2016. As well we intended to grow our market share to 20% to
gain a larger foothold within the athletic apparel market. It is our hope
that with our extensive 12-month campaign we will achieve the goals
that we have set out to reach and grow more as a company.
After completing our fist year of the Project WomanKIND
campaign Under Armour believes that not only will the reach their
goals, but they will also solidify a stronger future within the Athletics
industry. Following this campaign we hope to see a continual growth for
their womans apparel line.
In order for us to reach their success we will depend on us
reaching our marketing objectives of $4 billion for sales, 20% market
share gain, and brand expansion with the launch of our new Under
Armour brand stores. This new channel of distribution will allow Under
Armour to have more recognition. With stores centered around their
new Project WomanKIND campaign and the already existing We Will
What We Want campaign we will reach not only the target market but
the secondary market as well.
The strategy that we plan to implement will allocate certain
times of the year where our advertising and new social responsibility
events will be held and marketed to obtain the most coverage and
recognition possible. With this media schedule in place the company
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should continue to grow along with its presence in the lives of our
consumers.
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