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ABOUT
Type
Aktiengesellschaft
Traded as
Industry
FWB: ADS,
OTCQX: ADDYY
Apparel,
accessories
1924 as Gebrder
Dassler
Founded
Schuhfabrik
(registered on 18
August 1949)[1]
Founder
Headquarters
Area served
Adolf Dassler
Herzogenaurach,
Germany
Worldwide
Igor Landau
Key people
(Chairman)
Herbert Hainer
(CEO)
Footwear,
Products
sportswear, sports
equipment,
toiletries
Revenue
Operating
income
Profit
Total assets
Total equity
Number of
employees
14.49 billion
(2013)[2]
1.202 billion
(2013)[2]
787 million
(2013)[2]
11.59 billion
(2013)[2]
5.489 billion
(2013)[2]
53,731 (2014)[2]
Reebok, Runtastic
Subsidiaries
www.adidas-
Website
group.com
ABOUT
Adidas was founded on 18 August 1949 by Adolf Dassler, following a family feud at the Gebrder
Dassler Schuhfabrik Company between him and his older brother Rudolf. Rudolf had earlier
established Puma, which quickly became the business rival of Adidas. Both the Adidas and Puma
companies still remain based in Herzogenaurach, Germany to this day.
The company's clothing and shoe designs typically feature three parallel bars, and the same motif is
incorporated into Adidas's current official logo. The company revenue for 2012 was listed at 14.88
billion.
HISTORY
Christoph Von Wilhelm Dassler was a worker in a shoe factory, while his wife Pauline ran a small
laundry in the Bavarian town of Herzogenaurach, 20 km (12.4 mi) from the city of Nuremberg.
After leaving school, their son, Rudolf "Rudi" Dassler, joined his father at the shoe factory. When
he returned from fighting in World War I, Rudolf received a management position at a porcelain
factory, and later in a leather wholesale business in Nuremberg.
Adolf "Adi" Dassler started to produce his own sports shoes in his mother's wash kitchen in
Herzogenaurach, Bavaria after his return from World War I. In July 1924, his brother Rudolf
returned to Herzogenaurach to join his younger brother's business, which became Gebrder Dassler
Schuhfabrik (Dassler Brothers Shoe Factory) and prospered. The pair started the venture in their
mother's laundry, but, at the time, electricity supplies in the town were unreliable, and the brothers
sometimes had to use pedal power from a stationary bicycle to run their equipment.
By the 1936 Summer Olympics, Adi Dassler drove from Bavaria on one of the world's first
motorways to the Olympic village with a suitcase full of spikes and persuaded U.S. sprinter Jesse
Owens to use them, the first sponsorship for an African American. Following Owens' haul of four
gold medals, his success cemented the good reputation of Dassler shoes among the world's most
famous sportsmen. Letters from around the world landed on the brothers' desks, and the trainers of
other national teams were all interested in their shoes. Business boomed and the Dasslers were
selling 200,000 pairs of shoes each year before World War II.
PUBLIC RELATIONS
The adidas group are intent in sticking to founder Adi Dasslers spirit make athletes perform
better. This is the technique they have been using for years to reach out to the consumer by being
up to date, and almost in the future compared to the performance technology of competitors. The
campaign, ongoing today reflects this. The Impossible is Nothing campaign has a long speech
about reaching or achieving the impossible, selling the IDEA of this to the consumer.
Sponsorships and endorsements are where Adidas spreads, the biggest celebrity endorsements being
David Beckham and Lionel Messi of Football fame. Rap Group Run-DMC released a song about
Adidas called My Adidas, which expressed the groups love of their clothing (trainers and hoodies
mostly). This sparked an idea in the owners, who struck a 1.6 million dollar endorsement
partnership. They went on to design shoes and tracksuits for the company, becoming more and more
linked to the brand, and helping expand the brand into rap fashion, building on its already booming
sports industry.
NEGATIVE PR
1. Adidas under fire for unveiling new trainer with orange 'shackles' like those worn by black slaves
Critics have compared the JS Roundhouse Mids, to be released in August, to the chains worn
by black slaves in the 19th century.
The firm unveiled the trainers on its Facebook page. They feature plastic orange shackles
attached to the ankles by chains in the same colour.
The shoes have sparked an angry debate online. More than 2,000 Facebook users have
commented, with many calling the design offensive and ignorant, saying the firm has sunk
to new lows with its slavewear product.
2. Adidas has seen the largest percentage increase of negative sentiment of all the brands
associated with the ongoing FIFA scandal, according to social data.
3. Adidas suffered a big backlash after refusing to soften its position, prompting some
retailers to reduce the price themselves, eating into their profit margins.
Adidas is one of the strongest sports brand in the world. Known most prominently for its range of Shoes, the brand is
also a manufacturer for clothing and accessories. Here is the SWOT analysis of Adidas.
CONCLUSION.
Based on the all the data I collected, I can conclude that in overall customers are quite satisfy with Adidas product
and services. Customers has no doubt in the durability of material that used in produced Adidas product, however
in term of price and design, Adidas might need to put in more effort and come out with a newest design that can
attract more customers. Adidas can also launch a promotion or give a special offer of price in a certain period of
times to increase the sales volume and attract more customers.
Moreover, Adidas might also need to come out with a better idea on advertisement to promote and differentiate its
product from its competitive. Because in overall, Adidas advertisement has less influence in consumers mind and
therefore become one of its marketing weaknesses. I suggest that Adidas can invite famous athletes or artists as a
brand spokesperson to make it a more memorable brand name in consumer mindset.
In term of services, customers also were quite satisfied with Adidas services they provided and I believe Adidas still
able to improve their service to serve their customer even more sufficient to truly maximize their sales and make
their customer satisfy and happy each time they enter and leave Adidas store.