Compiled Project Word Document

Introduction The following is an analysis of the Puma brand as well as a report of market and industry trends for the company. Puma is a German based company that focuses on selling athletic and fashionable footwear, apparel, and accessories. From the research and analysis in this report, this is in- !tended to lay the groundwork for creating a unique communicative strategy for Puma. Company/Brand History & Evaluation Puma is one of the leading sportswear companies in the world; however, its inception originated due to a simple feud between the Dassler brothers, Adolf and Rudolph. The pair began their company in Herzogenaurach, Germany in 1924, and named it “Gebrüder Dassler Schuhfabrik“ (Dassler Brothers Shoe Factory). Originally, the brothers started by making slip- !pers and outdoor shoes, but shifted to producing athletic shoes. The company began to take off during the 1928 Olympics in Amsterdam when athletes were seen wearing Dassler shoes, but it wasn’t until the 1936 Berlin Olympics that Dassler had an in- ternational breakthrough; seven gold medals and five bronze medals were won sporting Dassler !spikes. Unfortunately, the rising success of the company could not mend the tensions between Adolf and Rudolph. They disagreed on everything, but most notably on the company’s future, and split in 1948. Rudolph moved across the Aurach River to begin his own company called Puma Schuh- fabrik Rudolf Dassler (currently known as Puma). Adolf also stuck to crafting athletic shoes, and created his company name by combining his nickname “Adi” and the beginning of his last name !“Das” to form what is now known as Adidas. Puma continued to expand, positioning itself as one of the leading sportswear providers, in the world and is responsible for the first soccer boot named the Atom. Other innovations include the Super Atom (the world’s first boot with screw-in studs) and the vulcanization production tech- nique which bonds a shoe’s sole and shaft together. Today, Puma specializes in three brand categories: footwear, apparel, and accessories. The company provides equipment and performance gear in soccer, running, training and fitness, golf, and motorsports. Their slogan, “The fastest sports brand in the world” is centered around the iconic black puma which has been the company’s official logo since 1967. Additional- ly, Puma is known for endorsing and collaborating with fa- mous athletes and celebrities such as Usian Bolt, Serena Williams, Rihanna, and Kylie Jenner. Puma distributes its products to over 120 countries and !employs more than 10,000 people worldwide. (“PUMA® Official Online Store,” 2016) Product Evaluation Puma’s large variety of products, most of which are branded with the company’s distinctive logo, can be divided into the categories of footwear, clothing, and accessories. For the most part, Puma is known for their athletic clothing and athletic shoes, but the company’s products extend much further; for instance, in the footwear department, Puma also manufactures fashionable shoes like sneakers and suedes and even delves into the more niche market of driving shoes. Also, on top of making athletic clothing one would wear while working out, Puma also produces !polos for both men and women, tops, and golf pants (“PUMA® Official Online Store,” 2016). Because of Puma’s wide breadth of products, the company caters to both the active, sports-ori- ented individual and the fashion savvy individual. As such, the company offers some products that tend to be more athlete-focused, such as running shoes, and some products that are more fashion-focused, such as suedes (“PUMA® Official Online Store,” 2016). This presents a unique opportunity for Puma, as fortunately for the company, there is a growing trend known as “athleisure,” which is when a person wears athletic clothing in a casual, non-athletic environment (Holmes, 2015). And since Puma is already marketed as both an athletic and fashionable product, much of Puma’s athlete-focused merchandise should also appeal to the fashion conscious indi- !vidual. Puma and its products, including the ones mentioned above, are often affiliated with prestige and luxury; this can be seen by the company’s partnerships with prominent sports figures like Usain Bolt, sports teams like Italy’s national soccer team, celebrities like Rihanna, and brands like Fer- rari. This can also be seen by the type of products the company makes; for example, Puma produces quality track jackets, polos, and golf and ballerina shoes. In fact, the sports for which Puma manufactures products tend to be sports that are affiliated with high amounts of class like golf, tennis, and motor racing. This also means, however, that Puma tends to cater toward upper class and upper-middle class individuals, making its products fairly expensive (“PUMA® Offi- cial Online Store,” 2016). This, stiff competition from competitors for similar demographics, and the fact that the sports for which Puma manufactures products tend to be more European (“25 World's Most Popular Sports”), makes increasing Puma’s market share a growing dilemma, es- !pecially in the United States. In regards to branding, manufacturing, and packaging, most of Puma’s products come embla- zoned with the company’s distinctive logo of a puma jumping. This image presents a unique opportunity for the company, as it can conjure a wide variety of thoughts ranging from strength and agility to sleekness and sexiness, all of which play into the feelings that the company wants its customers to feel when the use its products (“PUMA® Official Online Store,” 2016). Specifical- ly regarding the process by which its products are made, packaged, and distributed, Puma is ded- icated to becoming an environmentally sustainable company, and as such, their products are packaged in an environmentally conscious company. This can be seen by the company’s sustain- ability initiative it launched in 2010, which aimed to reduce its waste by 25% by 2015 (“PUMA's !New Packaging and Distribution System,” 2010). In conclusion, Puma offers an athletic and fashionable product that is recognizable and presti- gious. The growth of athleisure apparel presents a very unique and profitable opportunity for the company, as it is seen as more fashionable than its competitors, and the Puma name and logo seem to be a rather untapped opportunity as of late, as it works well with the athletic yet fashionable clothing the company provides. However, Puma products tend to be quite expensive, and the competition in the industry is fierce, which presents difficulties in reaching new markets, espe- !cially in the United States. Consumer Evaluation Puma products are equated with prestige and luxury; people who buy the products normally fall into the upper class or upper-middle class and want the most quality product money can buy. They are used widely by people ages 16-34 (Kahute,2006). Puma uses celebrities such as Rihan- na and Kylie Jenner, athletes such as Usain Bolt and Serena Williams, and even companies like Ferrari to endorse their products. This shows Puma consumers want to exude confidence, work diligently to achieve their goals, and maintain a stylish and reputable image. People who wear Puma products want to be confident in the brand they choose, and they expect their products to last, just! as their longstanding history and reputation has for 68 years (Puma “History,” 2016). These consumers also have certain goals they want to obtain, and they expect Puma to assist in reaching them, whether that be enhancing athletic performance or achieving an effortlessly sleek appearance. For instance, with Puma “the fastest sports brand in the world”, the athletes look to translate the image into tangible results. Maintaining a stylish and reputable image is also a major reason why consumers chose Puma. Because Puma crafts some more fashionable products than its competitors, the consumers who choose Puma tend to be more fashion-savvy. These people care deeply about their appearance and individual brand image, and Puma provides products that help them achieve this image. Puma uses celebrities and athletes to endorse their products such as Usain Bolt, Rihanna, and Kylie Jenner. Puma was not always the first brand that came to! mind when thinking of running or active apparel. In 2008, Puma changed their image to reach others and have a more competitive edge. They wanted to be known as the fastest shoe brand in the industry (Puma, “Strategy,” 2016). They helped this campaign by endorsing Usain Bolt, the World’s fastest runner. Usain wore Puma shoes in the Olympics and that skyrocketed sales when he won. They endorsed shoes lines in tennis, motocross, boating, golf, and soccer. There is a puma shoe for almost every sport, from simply running and track, to being on the green and golfing. This is an easy way to reach active men. Puma also came out with a clothing line of shirts, pants, socks, headbands, ext. This really appealed to active women when trying to find workout clothes. Now with Rihanna and Kylie en- !dorsing the product, girls are more likely to buy more Puma clothes. Puma has proclaimed a new the “future is female” campaign which focuses on women after sign- ing up brand ambassador Rihanna. (Chapman, 2016). This campaign focuses on appealing to women and how they have evolved over time. Women were not always as involved with sports and athletic wear, and now they are just as active, if not more, than men. This campaign helps indicate! that women are still, and will still be evolving in the future and years to come. Puma shoes are mostly distributed to multi-brand store fronts as well as exclusive Puma stores that can be found in major cities around the world.

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