Under Armour Executive Summary
Executive Summary
Under Armour (UA) was the pioneer company that introduced performance apparel with moisture management to keep athletes dry, cool, and light while practising or competing. Founded in 1996 becoming a public company in 2005, UA now competes globally in the multisegment retail market for both sports apparel and active wear, though 90% of its sales are in North America. In 2011 UA’s market share was approximately 2.8% compared with Nike at 7.0% and Adidas at 5.4%. UA is in a good financial position with sales of almost $1.5 billion and consistent profits over the past five years, though 2011 saw an 80% increase in its debt obligations compared to the prior year.
Although UA has substantially increased its market share …show more content…
KP Sports was the originator of performance apparel engineered with supreme moisture management to keep athletes cool, dry, and light throughout the course of a game, practice, or workout.
The company’s operations started out of the basement of Kevin Plank’s grandmother’s house. Shortly after founding KP Sports, Kevin recruited one of his acquaintances from Maryland University to join the company as a partner. Kip Fulks, the gentlemen brought on as partner utilized his excellent credit rating to open 17 different credit card accounts to fund the cash flow requirements of KP Sports. By 1998 the company’s revenues had increased sufficiently enough for KP Sports to acquire a $250,000 small business loan. The company was ever growing with a broader product line and consumer segments and from time to time it would take out additional loans needed to fund their working capital requirements. It was not until 1999 that Kevin recruited another acquaintance, a gentleman by the name of Ryan Wood from high school, to join the company as Vice President of …show more content…
UA will have to remain vigilant in watching competitor prices and discounts given.
Brand and Product Image – Each competitor in this industry will need to continually work on communicating and maintaining its overall brand image that is consistent with its mission and vision. Additionally, certain key products should have high visibility in terms of the image they represent. Loyalty from customers will be driven in part by these branding images.
Customer Support and Services – In part a company is only as strong as it is perceived to be by its customers. UA’s retailers and its direct sale customers must be treated fairly and be given adequate support when purchasing UA products. Retailers (representing 70% of sales in 2011) will be driven to work with UA’s competitors if customer support and service is
Under Armour (UA) was the pioneer company that introduced performance apparel with moisture management to keep athletes dry, cool, and light while practising or competing. Founded in 1996 becoming a public company in 2005, UA now competes globally in the multisegment retail market for both sports apparel and active wear, though 90% of its sales are in North America. In 2011 UA’s market share was approximately 2.8% compared with Nike at 7.0% and Adidas at 5.4%. UA is in a good financial position with sales of almost $1.5 billion and consistent profits over the past five years, though 2011 saw an 80% increase in its debt obligations compared to the prior year.
Although UA has substantially increased its market share …show more content…
KP Sports was the originator of performance apparel engineered with supreme moisture management to keep athletes cool, dry, and light throughout the course of a game, practice, or workout.
The company’s operations started out of the basement of Kevin Plank’s grandmother’s house. Shortly after founding KP Sports, Kevin recruited one of his acquaintances from Maryland University to join the company as a partner. Kip Fulks, the gentlemen brought on as partner utilized his excellent credit rating to open 17 different credit card accounts to fund the cash flow requirements of KP Sports. By 1998 the company’s revenues had increased sufficiently enough for KP Sports to acquire a $250,000 small business loan. The company was ever growing with a broader product line and consumer segments and from time to time it would take out additional loans needed to fund their working capital requirements. It was not until 1999 that Kevin recruited another acquaintance, a gentleman by the name of Ryan Wood from high school, to join the company as Vice President of …show more content…
UA will have to remain vigilant in watching competitor prices and discounts given.
Brand and Product Image – Each competitor in this industry will need to continually work on communicating and maintaining its overall brand image that is consistent with its mission and vision. Additionally, certain key products should have high visibility in terms of the image they represent. Loyalty from customers will be driven in part by these branding images.
Customer Support and Services – In part a company is only as strong as it is perceived to be by its customers. UA’s retailers and its direct sale customers must be treated fairly and be given adequate support when purchasing UA products. Retailers (representing 70% of sales in 2011) will be driven to work with UA’s competitors if customer support and service is