It adopts different and Competetive pricing startegy than Adidas, it is based on the basis of premium segment as target customers . Market capitalization is a defining factor when considering who is winning in the market. The competitive analysis of Nike vs Adidas in pricing is very interesting. The lowest-priced product belongs to Nike with the pricing of Rs 12597. In order to grab attention and to stir up Emotional appeal it used Fantasy and surrealism because certain images shown create fantasy. Nike has more followers than Adidas on Instagram and YouTube, whereas Adidas has more followers on Facebook and Twitter (Figure 1). Our academic experts are ready and waiting to assist with any writing project you may have. Our visits made it clear that Nike’s focus on women’s representation should give it a leg up against its competitors. 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. The other difference is their advertising message; they both use same scoop and scale but try to communicate with different messages. We will consider four segments when it comes to pricing. The competitive analysis of market share gives Nike a clear edge over Adidas. The sample used by a secondary person might be small. Meanwhile, Stay safe. Some people remember it because they reflect that the frequency of Nike s ad on TV is more than Adidas. For example, Adidas has loyal customers who are soccer players, while Nike has high loyal customers who are athletes. Looking for a flexible role? On the other hand, Adidas primarily deals in Athletics, Tennis, and Soccer. Adidas vs. Nike vs. Free resources to assist you with your university studies! The discount statistics are quite interesting for both brands. After the software is downloaded, if one points the camera on the markers, one can see virtual 3d Nike T90 boots. Nike as brand has high premium , so the price of its products is high than adidas. The search benefits from a predictive entry field. Negative image portrayed by poor commerce. In order to grow its brand image, Nike spends a staggering amount of money on advertising and promotion with expenditure on its memorable ads targeting a diverse viewership. It’s the Season to Get Holiday Pricing Right! It adopts different and Competetive pricing startegy than Adidas, it is based on the basis of premium segment as target customers . It is an effective model that helps businesses and business managers judge the attractiveness and competitiveness of any industry. Despite the market dominating presence of Nike, Adidas has been able to strengthen its position in the global markets. It’s a non-responsive site disappointingly, but Nike does operate a specific mobile site. 3. The competitive analysis of the brand value gives positive signals for both companies. *You can also browse our support articles here >. Limitations of Secondary Data Collection Method. Although, Nike and Adidas products are mostly expensive, while Puma is providing products for affordable prices. 1. SWOT ANALYSIS OF NIKE AND ADIDAS (With respect to e-commerce)STRENGTHS WEAKNESSES 1. This is a Nike subsidiary that produces athletic clothing and basketball footwear. The maximum discount Adidas offers is 60% and 1055 products are sold at this price range which represents 40% % of the total Adidas merchandise. Company Registration No: 4964706. The products of Adidas are divided in to 3 Categories, Adidas Performance Sports shoes, perfumes, eye wear, Adidas Original Superstar Sneakers, Vintage Clothing, Adicolor Trainers, Adidas Style Caps , Bags , Belts , Hand Gloves Etc, Trainers,BodyCare,Sneakers, Hoodies , Clothes ,Caps , Bags , Perfumes etc. According to their new approach, how Nike sell shoes has changed dramatically since they began concentrating on online sales. The lowest-priced product belongs to Adidas at the pricing of Rs 27999. Since October 2017, Nike has worked to rebuild their business model. 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. Recommendation f• VERTICAL COMMON SIZE ANALYSIS Nike – Bad graphs • Nike is constantly increasing its Net Income percentage to Revenues, mostly because of good tax management and … Both Nike and Adidas have their own unique ways when it comes to the product portfolio, the MRP, discounts, etc. What do you think about the Nike vs Adidas war and our competitive analysis? While the first quarter of 2010 shows 53 % increase in net income. In this article, I am going to compare Nike, adidas and Under Armour from the perspective of a long-term investor. The ration is 6:1, there is no other price bracket with this many differences. Nike has 232 products in this price bracket and Adidas has 313 products. Study for free with our range of university lectures! 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. 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. 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. Search and Upload all types of Nike vs Adidas Case Study & Competitive Analysis projects for MBA's on ManagementParadise.com 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. 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. The lowest-priced Nike product is priced in Rs 1595. Marketing Str… They pretty much have the same target: people who love sports. Do you have a 2:1 degree or higher? 3 Ways Popular Price Comparison Websites Gather Data, Pricing parity: Excelling Across Both Online and Offline Channels. 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. Focus of Strategies 2. Nike has 1 product in this price bracket and Adidas has 6 products. For TV ads Nike uses various sports channels to promote its products by various celebrities like Ronald no, Renaldo, and Roberto Carlos. 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. Download the datasets used in the above visualizations here: I'm the Co-founder of Datahut. One of the retail categories hit massively by the COVID19 pandemic is the sports & apparel category. The lowest-priced Nike’s product is priced at Rs 5274. Disclaimer: This work has been submitted by a university student. 1. Group 4: Josh Fernino Brent Hare Victor Hemmati Lance Hollister Chris Kerschen Ty Parasiliti Vincent Ukwu 2. 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 I am going to focus on several aspects, such as competitive … For instance one of the images of Adidas is those who want to wear light shoe should go for Adidas, rather than going for other brands. 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. 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. Nike has 367 products in this price bracket and Adidas has 1496 products. So for this purpose it opened its shops all around the world. We visited Nike and Adidas to see for ourselves which store does it better. 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. Under Armour: An Overview . In case of target audience both Adidas and Nike have different target audience globally. Here is a competitive analysis of Nike vs Adidas with data, insights, visualizations, and more. Nike on the other end has image of an innovative company who focuses making new innovations and designing new style shoes. Limitations of Primary Data Collection Method. Both organizations focus greatly on technology, as well as make efforts to innovate and produce new products. No plagiarism, guaranteed! Adidas and Nike both are dominating the social media game at present. To export a reference to this article please select a referencing stye below: If you are the original writer of this essay and no longer wish to have your work published on UKEssays.com then please: Our academic writing and marking services can help you! Business Strategy Analysis for Puma's Management. But on the other hand 60 % of entire sample likes and gave an average rate of 8.5 to Nike, out of which 40 % sample likes it and gave an average rate of 7 because they deem its shoes are good in quality, comfortable over long distance. The lowest-priced Nike product is priced at Rs 36500. It was difficult to find data from company s website as sometimes they might not say their weakness. So it was difficult to generalise the information. Nike has 1 product in this price bracket and Adidas has 6 products. Comment below and let us know. With higher competition ratio, Nike has to spend more money on marketing and advertising. While Adidas markets itself as a streetwear sneakers with celebrity collaborations like Kanye West and Beyonce, Nike’s marketing is more sports-focussed. In 2020, Nike is valued at approximately 34.8 billion U.S. dollars, witnessing a two billion U.S. dollars increase from 2019. Both brands dominate social media with a staggering number of followers, subscribers, and likes. The competitive analysis of market share gives Nike a clear edge over Adidas. Adidas has 2625 products with prices ranging from 899 to 29999, and Nike has 643 products with prices ranging from 1596 to 36500. 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. 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. Nike uses various online methods in order to promote its products. The lowest-priced Adidas product is sold at Rs 12599. Nike has 43 products in this price bracket and Adidas has 810 products. Adidas and Nike both are dominating the social media game at present. North America and Western Europe are the pair’s two top regions for sales. Nike does not have that option, and for a Taekwondo artist, Adidas would be the obvious choice. The download links to the data are at the bottom of the page. According to me , the objective of using internet marketing was to attract the younsters who spends more time online than watching TV. See the chart below to see the pricing variations.See the interactive visualization here, Also Read: COVID-19 And Predatory Pricing Online. The recent Adidas original Ad has celebrities like David beck ham, Agnes den, they used Informative Advertising because the objective of the ad was to create awareness about the launch of its new star wars collection which includes cool, funky clothes and shoes for youth, so in order to attract them they used Musical Appeal to stir up the feeling of buying. 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. Adidas has six products priced at about 25000 and Nike has only one. – Based on above analysis following Conclusion can be made ; Both Nike and Adidas are following almost same types of promotional Strategies up to some extent, both benchmarks each other, both uses internet , billboards , magazines , TV advertisement to promote their products the only differences is that they both are using different celebrities to promote their products and they also follow different endorsement strategies ,Adidas focuses on sponsoring a team and various events, while Nike bulls its eye on various stars of football, basket ball, golf etc. 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. 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. working conditions in its overseas 2. First movers advantage in e- 1. View the interactive visualization here. Production Strategies 3. 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. ... and the competitive landscape. The competitive analysis of social media data gives Nike a clear edge over Adidas. See the chart below to see the pricing variations. 1. Data is from November 2018. Adidas main marketing is … Nike and Adidas are two of the most popular sports equipment companies in the world. Other extremely effective concept of outdoor advertisement was made in germany in 2006 during fifa world cup , a huge arc like structure with Oliver Khan s image was putted across the road , the objective of this concept was to grab attention of the vehicles passing by road and it was successful in doing this . As compared to Adidas , the price of products of Nike are high. In addition to shop, Adidas also gives online buying service. Out of the total 2625 products of Adidas, 659 products are sold at MRP which is 25% of the total products. The segments are designed based on the MRP ( not the sale price ). The athletic footwear, apparel, and equipment industry is highly competitive on a worldwide basis. We've received widespread press coverage since 2003, Your UKEssays purchase is secure and we're rated 4.4/5 on reviews.co.uk. Navigation-wise you’re treated to a detailed mega menuwhich appears when you hover over each tab al… Nike vs Adidas: Social media following. This is a research report on Nike vs Adidas Case Study & Competitive Analysis by K.N.T Arasu in Marketing category. All work is written to order. Adidas is the second largest company who manufactures sporting goods all over the world. If you need assistance with writing your essay, our professional essay writing service is here to help! The lowest-priced Nike’s product is priced at Rs 5295. Nike competitive analysis 1. 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. Unlike Nike, Adidas has invested very little in securing celebrity endorsements for its products. Any opinions, findings, conclusions or recommendations expressed in this material are those of the authors and do not necessarily reflect the views of UKEssays.com. While to gather secondary data internet, magazines, annual reports of the company, articles were used. In order to carry out research there were two main methods used Primary and Secondary Research methods. The objective was to grab the attention of the people towards the billboard and adidas was successful in doing that as shown in figure , traffice around that froze for about 70 mintues. 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. For example sample 21 Said the action it shows in its ad s add attract the viewers and also the style of showing the product was awesome. Nike has 171 products in this price bracket and Adidas has 118 products. This is not an example of the work produced by our Essay Writing Service. The lowest-priced Nike product is priced at Rs 36500. 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 . 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. This is very interesting. Adidas has its own unique brand positioning in the mind of customers. The lowest-priced product belongs to Adidas with the pricing of Rs 5159. Increased competitive pressure – Although, Nike is a dominating the athletic industry, competition, and new emerging brands are still potential threats to the company. You can view samples of our professional work here. The Adidas Logo is three stripes, consisting of the three parallel bars. 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. Then it didnt look back and today it is one of the most successful company in sporting goods. The organisation uses various groundbreaking outdoor advertisement such as billboard soccers, expansive wall scrappers , topiary styled billboards etc. In 2009 the sales percentage of Adidas reported decline in profits. The first companies that grabbed all the benefits of such an approach were Nike and Adidas. The data is about men and women’s shoes. The segments are designed based on the MRP ( not the sale price ). With an athleisure approach sweeping social media trends and consumers, Adidas seems to fare better in the market. Nike on the other end had a strategy of exploring the current and developing new market, so its shops are in nearly 200 Countries. Here is Nike.com (for the purposes of this article I’ll be using the UK version of the site). 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. Both Nike and Adidas have seen a tremendous rise in its brand value. While in 2010 the financial report shows that there is 15 % increase in their sale because of 2010 FIFA World Cup. The lowest-priced product belongs to Adidas with the pricing of Rs 27999. The most basic distribution strategy adopted by Adidas is to concentrate resources at the place where most profitable customer segment is available. Nike vs Adidas. While Nike has more followers than Adidas on Instagram and YouTube, Adidas boasts of more followers on Facebook and Twitter. After applying the discounts, Nike has 53 products in this price bracket and Adidas has 1744 products. Trefis captures trends in key operating metrics for Nike vs. Adidas in an interactive dashboard, highlighting how Adidas … Recently in japan adidas came with unique outdoor adverisement concept where two footballers were hung wearing hearness and have to play football for 10 mintues. It is also now recognised as world s leading manufacturer, designer, marketer and distributor. It has established its own website, where customers can get lots of information about the products and company. Wash your hands regularly and spend more time with family. Nike as brand has high premium , so the price of its products is high than adidas. (Referred To questionnaire). 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 . 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. 9th Oct 2017 Dan Vas Recommended for you We saw some interesting numbers and decided to dig a little deep. VAT Registration No: 842417633. It also focuses on offering total customer service at the place where customer goes to buy its products. factories. Unsurprisingly, Western Europe is the main market for Germany’s Adidas while North America is the biggest market for America's Nike. Social media followers of Nike and Adidas as of April 2020. 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. The first disadvantage of carrying primary research was difference in response. 2. 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. Market and Literature Review of Adidas and Nike. Free Essays on Competitive Analysis On Nike Vs Adidas . Other than this Nike uses ESPN magazines to promote its product. There are two arguments people make when it comes to eCommerce consumer behavior. This is objectively a weakness, since it has led to Adidas constantly lagging behind Nike in terms of growth. Reference this. Both Nike and Adidas, the two leading sportswear and athleisure brands in the world, have carved out an impressive market share in the increasingly competitive apparel industry. The brand has built several sources of competitive advantage which include technology, marketing, supply chain as well as product design and quality. I've been helping companies solving their data extraction problems for the last six years. In last quarter of the 2009 its sales percentage was declined by 5 % which was because of their increase in marketing costs. 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. This five forces analysis highlights the forces that are favorable and unfavorable for Adidas and how that affects its ability to overcome competitive … The founders of Nike were Bill Bower man and Phil Knight. The person who wrote secondary data might be biased. Registered office: Venture House, Cross Street, Arnold, Nottingham, Nottinghamshire, NG5 7PJ. The lowest-priced Adidas product is priced at Rs 12,999. It mainly shows its ad during football games. As Adidas, Nike also focuses on football players under its target audience. Adidas has almost four times the number of products than Nike has in its portfolio. We will consider four segments when it comes to pricing. 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. Comparison of Strategies Adidas and Nike operate and use same platform for marketing strategies with different approaches of implementation. 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. 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. Nike has 418 products in this price bracket and Adidas has 757 products. Other than this , adidas also uses various maganizes and newspapers in order to promote its products . Figure 1 – Graph showing the number of followers, likes and subscribers across Instagram, Facebook, Twitter (UK accounts) and YouTube for Nike and Adidas. Air Jordan. Nike vs. Adidas: The three stripes is making gains on the swoosh — but that doesn't tell the whole story. Place/ Distribution Adidas Same as Adidas, it also sells its products online. The lowest-priced product belongs to Adidas with the pricing of 899. After analysing primary data it can be said that, respondents like Nike more than Adidas, and Nike s communication strategies are more effective than Adidas. Adidas AG, Nike Inc. (NKE), and Under Armour Inc. (UA) are the three largest retailers in the competitive athletic apparel industry. Search. Both of their popularity has become so immense that they are literally household names. More choices lead to decision fatigue and providing your customers with fewer options will increase your eCommerce Sales. It was time consuming, costly as it takes lots of time to find a respondent who can fill questionnaire. We're here to answer any questions you have about our services. The main target audience of Adidas are between 12-34 years consumers specially involved in sports. The lowest-priced product belongs to Adidas with the pricing of Rs 499. Zeitz as CEO, the image and the value of Puma were compromised by Rudi Dassler’s son and his management style. Another observation we made is that Adidas provides specialized footwear options like Shoes for Taekwondo, a martial art form. Adidas uses different media vehicles which can pop up its advertisement on television; it uses various sports channels like Star Sports, ESPN. Nike Out of the total 643 products of Nike 429 products are sold at MRP which is 66.7 % of the total products. Its main rival is Nike. It looks like Nike agrees to the first argument while adidas concurs with the second. 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. Nike was initially started in 1962 as a blue ribbon sports. Key findings of Marketing Strategies Adopted By Nike and Adidas after analysing Secondary data ; There are various promotional strategies adopted by Adidas which includes television, internet, billboards and magazines. Nike and Adidas are two of the largest footwear companies in the world. Nike is very competitive in products and new things that come out in America. Click on the bell icon to get the updates. Nike from its modest start grown as a sporting leader in sporting goods. From simple essay plans, through to full dissertations, you can guarantee we have a service perfectly matched to your needs. Nike has become one of most recognizable companies in the entire world Nike is now the most popular … Copyright © 2003 - 2020 - UKEssays is a trading name of All Answers Ltd, a company registered in England and Wales. We’re going to keep an eye on how the market changes. Nike uses different promotional strategies. The lowest-priced Nike product is priced at Rs 1595. 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. Nike As compared to Adidas , the price of products of Nike are high. I'm a chess lover and an ardent fan of the lean startup. 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. Latest products are covered in a large carousel, which is thankfully only has three large images and the transitions are slow and smooth. The lowest-priced product belongs to Adidas with the pricing of Rs 5159. In addition to these it sponserd soccerex football festival for 2010 football and has confirmed four year sponsership deal with it . Each individual has its own view. While Adidas markets itself as a streetwear sneakers with celebrity collaborations like Kanye West and Beyonce, Nike’s marketing is more sports-focussed. Registered Data Controller No: Z1821391. The intimidation of substitutes is very high in this market. To assemble primary data a questionnaire was designed which compares both athletic brand Adidas and Nike. Marketing In 2018, Adidas’s currency-neutral revenue grew by 8% to EUR 21.9 … 2. Nike’s product majorly inclines towards industries of Children and Women shoes, Running, Cross-training and Basketball. Adidas and Nike both have powerful brands that are sold around the w orld. The lowest-priced product belongs to Nike with the pricing of Rs 12995. Brand recognition and reputation. Manual Method is used to get output information after analysing data. 232 products in this article, I am going to compare Nike, Adidas has loyal customers who soccer! 2010 football and has confirmed four year sponsership deal with it the discount are! 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But Nike does operate a specific mobile site time with family company registered England. More followers than Adidas waiting to assist with any writing project you may have in.... Bottom of the company, articles were used when you hover over each tab al… competitive! This many differences followers on Facebook and Twitter 7 % work has been submitted by a university student 2010.