Expert: Leo Lingham - 1/29/2008

Question
Hi,
I have to analyse the marketing strategy of Adidas. I think about to apply the 4p's. Could you please guide me for the research and the application of this tool ( like a table content).
Thank you in advance.
Hanane

Answer
HANANE,
HERE  IS  SOME  USEFUL MATERIAL.
REGARDS
LEO LINGHAM
=====================================
WHEN  DEALING  WITH  THE   MARKETING  STRATEGY,
YOU  MUST  INCLUDE  ALL  THE  APPLICABLE FACTORS  FOR EACH  ITEM.

P1 = PRODUCT
-functionality
-quality
-appearance
-packaging
-brand
-service
-support
-warranty/ guarantee
----------------------------------------
P2 = PRICE
-list  price
-trade discounts
-financing
-trade spend [ rebates  on  volume  purchase
-consumer  discounts
----------------------------------------
P3 = PLACE
-locations
-logistics
-channels
-channel  motivation
-market  coverage
-service  levels
-internet  usage
-mobile  technology usage
------------------------------------------------------
P4 = PROMOTIONS
-advertising
-public  relations
-messages
-direct marketing
-sales
-media
-budget
=============================================
Marketing Strategy  Reviews

Marketing Strategy - PRODUCT
PRODUCT MIX
product strengths and weaknesses
PERCEPTUAL  MAPPING
PRODUCT LIFE CYCLE MANAGEMENT/ NEW PRODUCT DEVELOPMENT
BRAND, brand image, and BRAND-EQUITY
the  AUGMENTED  PRODUCT
product PORTFOLIO analysis
CONTRIBUTION  MARGIN ANALYSIS
QUALITY  FUNCTION DEPLOYMENT
** MARKET  SHARE  objectives
by products,
by customer segments,
by geographical markets
===================================
Marketing Strategy - PRICE
PRICING  OBJECTIVES
pricing method (eg.: cost plus, demand based, or competitor indexing)
pricing strategy (eg.: skimming, or penetration)
DISCOUNTS   AND  ALLOWANCES
PRICE  ELASCITY and customer sensitivity
PRICE  ZONING
BREAK EVEN  ANALYSIS at various prices
==========================================
Marketing Strategy - PROMOTIONS
promotional goals
promotional mix
ADVERTISING   reach, frequency, flights, theme, and media
SALES FORCE  requirements, techniques, and management
SALES  PROMOTIONS
PUBLICITY  and PUBLIC  RELATIONS
electronic promotion (eg.:WEBSITE  or TELEPHONE)
==============================================
Marketing Strategy - DISTRIBUTION
geographical coverage
distribution channels
physical distribution and logistics
electronic distribution
=====================================================
WHEN  YOU  REVIEW  THE  MARKETING  STRATEGY,
YOU  MUST  REVIEW  THE  SITUATION  UNDER  WHICH  
IT  IS  FUNCTIONING.

Marketing  strategies means   changing   the marketing mix
to respond to changing customer expectations
P1=PRODUCT
P2=PRICE
P3=PROMOTIONS
P4=PLACE [ SALES/DISTRIBUTION]
========================================
HERE  ARE  TWO  CASES  AS  APPLIED  BY  ''ADIDAS''

CASE  ONE

Market Penetration Strategies.

P1 [PRODUCT]
1.ATTRACTING COMPETITORS' CUSTOMERS.

Sharper product differentiation.

Finding other products' uses.

Increasing promotional effort.
---------------------------------------
P2 [PRICE]
2.INCREASING PRESENT CUSTOMERS' RATE OF USAGE.

Increasing the units of sales.

(Special price packages/cross‑selling products)

Reduction in price.

Price incentive for increased use.
-----------------------------------------------
P3 [PROMOTIONS]
3.REDUCING NUMBER OF LOST CUSTOMERS.

Improving communication with present customers.

Promotion aiming at existing customers.

Understand reasons for losing customers.
---------------------------------------------------------

P4 [ PLACE ]
4.   CONCENTRATING RESOURCES ON MOST PROFITABLE CUSTOMER SEGMENTS.

Concentrating on distribution channels reaching most profitable segments.

Offering total customer service at higher price.

========================================================================

=======================================
CASE  TWO


New Market Development Strategies.

P1 [ PRODUCT ]
1..Repositioning.
----------------------------------------
P2  [ PRICE ]
2.ATTRACTING NON‑USERS.

Inducing trial use, BY EXPOITING PRICE POINTS.

Being flexible in pricing.
---------------------------------
P3 [PROMOTIONS]
3.ATTRACTING OTHER MARKET SEGMENTS.

Seeking other distribution channels.

Advertising in other media.
-------------------------------------
P4  [ PLACE ]
4.NEW GEOGRAPHICAL MARKETS.

National market expansion.

Regional market expansion.

Export market expansion.

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