Introduction 04 Sports wear market 04 BCG Matrix 06 Ansoff’s Matrix 08 Conclusion 12 References 13
To: Richard small (tutor)
From: Abu Zahed Anchari
Re : Sportswear and Nike marketing approach
Date: 02nd august, 2012
The report looks into the changed of sportswear market over the last 10 years . The reports also include the analysis of BCG matrix and Ansoff’s Growth matrix for Nike new product- casual footwear. This report is supported by my personal experience, publicised and factual situation.
Introduction: Sportswear market is one of the most-price competitive markets in the United Kingdom. The UK sportswear market is boosting more and more every year. Nike which is famous for sportswear products, is one of top sports brand in the world and British market holds a great repute for Nike product. The success behind Nike is strong market analysis, customer focus, product development, strong brand image. (Www.Nike.com) Sportswear market: In 1970s, athletic sportswear started to changed from a product line aimed at tiny and distinctive into a typical fashion product. The difference between performance and fashion, formal and informal, function and style that one existed have become unclear. In 1980s, the sportswear market changed into the clothing market. The tendency was changed by boosting of sports participation. Approximately 70% of athletic footwear is bought for leisure, casual and normal use. In the United Kingdom, 20% of sportswear items is used for real sports or exercise. Most of the consumer purchases the sportswear items to use as leisurewear and not for which it was initially designed, the inspiration for “sports fashion” however comes from particular sports and the technical needs of clothing for these sports. A host of sports are engaged, grouped mostly into team sports (e.g. cricket, rugby), fitness activities (swimming, working out) and outdoor recreation. Examples of most markets produced by these activities (whether for “function” or for “fashion”) are model football shirt, sports shoes and fleece tops. Branding is very essential in sportswear both for fashion and for function. Nike and Adidas are global leaders in sportswear. Nike and Adidas are dominating the world sports market by their brand image. Nike had global sales of £19.63 billion and sponsored at the Beijing Olympics in 2008. Nike bought the united kingdom football brand Umbro. There are several sportswear companies in the united kingdom for example, Pentlands group which owns a portfolio of sports brands such as Speedo, Berghaus, Mitre and the controller of JD sports retail chain and sports direct, other famous brand as Dunlop, Slazenger and Kangol. Like Nike and Adidas, they produce all of entire sports product outside the United Kingdom to save the manufacture cost. As a result, United Kingdom sportswear market entirely depends on imports, mostly from Far East, where the people’s republic of china is currently the largest exporters of textiles. In recent year, the global recession and economic uncertainty have been the greatest threat for sportswear as the market suffering a decrease in sale in 2009. After 2009, sales have increased as customers are buying the sportswear more cautiously due to fear of another recession. Besides other factors which have affected the sportswear market such as the sportswear cost, global shortage of cotton, mounting the transportation cost, import and...