Nike 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. The competitive analysis of market share gives Nike a clear edge over Adidas. The athletic footwear, apparel, and equipment industry is highly competitive on a worldwide basis. At Datahut, we extract the pricing and product data of Adidas and Nike. It was difficult to find data from company s website as sometimes they might not say their weakness. Unsurprisingly, Western Europe is the main market for Germany’s Adidas while North America is the biggest market for America's Nike. 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. Nike was initially started in 1962 as a blue ribbon sports. 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. Comment below and let us know. The competitive analysis of Nike vs Adidas in pricing is very interesting. All work is written to order. Company Registration No: 4964706. The segments are designed based on the MRP ( not the sale price ). Adidas has six products priced at about 25000 and Nike has only one. While the first quarter of 2010 shows 53 % increase in net income. More products in the portfolio mean more options for customers to choose from, and it will increase net sales. 9th Oct 2017 One of the retail categories hit massively by the COVID19 pandemic is the sports & apparel category. In addition to shop, Adidas also gives online buying service. The lowest-priced product belongs to Nike with the pricing of Rs 12995. Adidas has almost four times the number of products than Nike has in its portfolio. Adidas vs. Nike vs. 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. It looks like Nike agrees to the first argument while adidas concurs with the second. 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. 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. Adidas and Nike are two giants in the apparel market with a large market cap and market share. It adopts different and Competetive pricing startegy than Adidas, it is based on the basis of premium segment as target customers . The lowest-priced Nike product is priced at Rs 1595. 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. Which was most effective advertisement strategy as it helped the compnay to increase 14 % brand ratings by gamers.Additionally popup ads can also be found on yahoo , espn home pages etc . Here is a competitive analysis of Nike vs Adidas with data, insights, visualizations, and more. The lowest-priced product belongs to Adidas with the pricing of 899. Adidas uses different media vehicles which can pop up its advertisement on television; it uses various sports channels like Star Sports, ESPN. Business Strategy Analysis for Puma's Management. The lowest-priced Nike product is priced at Rs 36500. The data is about men and women’s shoes. Nike has 418 products in this price bracket and Adidas has 757 products. View the interactive visualization here. Since October 2017, Nike has worked to rebuild their business model. To assemble primary data a questionnaire was designed which compares both athletic brand Adidas and Nike. More choices lead to decision fatigue and providing your customers with fewer options will increase your eCommerce Sales. In addition to these it sponserd soccerex football festival for 2010 football and has confirmed four year sponsership deal with it . Although, Nike and Adidas products are mostly expensive, while Puma is providing products for affordable prices. Group 4: Josh Fernino Brent Hare Victor Hemmati Lance Hollister Chris Kerschen Ty Parasiliti Vincent Ukwu 2. The lowest-priced Nike product is priced in Rs 1595. What we will have to see is how the patterns are going to change post-COVID. Market and Literature Review of Adidas and Nike. Both Nike and Adidas have their own unique ways when it comes to the product portfolio, the MRP, discounts, etc. ... and the competitive landscape. We will consider four segments when it comes to pricing. It adopts different and Competetive pricing startegy than Adidas, it is based on the basis of premium segment as target customers . Registered Data Controller No: Z1821391. You can view samples of our professional work here. 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. 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. There are various sports which are targeted by Adidas that includes gym regulars, NBA players, Football etc and also the youth who believes in living a sporty life style. Negative image portrayed by poor commerce. In 2020, Nike is valued at approximately 34.8 billion U.S. dollars, witnessing a two billion U.S. dollars increase from 2019. 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. 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. Each product has its own ‘shop now’ button. 2. *You can also browse our support articles here >. See the chart below to see the pricing variations.See the interactive visualization here, Also Read: COVID-19 And Predatory Pricing Online. So both companies are investing more and more in their promotional strategies, to attract more customers and at last to expand their growth. Trefis captures trends in key operating metrics for Nike vs. Adidas in an interactive dashboard, highlighting how Adidas … Nike uses different promotional strategies. It also focuses on offering total customer service at the place where customer goes to buy its products. 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 . Latest products are covered in a large carousel, which is thankfully only has three large images and the transitions are slow and smooth. No plagiarism, guaranteed! In 2009 the sales percentage of Adidas reported decline in profits. Social media followers of Nike and Adidas as of April 2020. Marketing Str… As compared to Adidas , the price of products of Nike are high. 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’s product majorly inclines towards industries of Children and Women shoes, Running, Cross-training and Basketball. 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. 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. It’s a non-responsive site disappointingly, but Nike does operate a specific mobile site. What do you think about the Nike vs Adidas war and our competitive analysis? 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 … Here is Nike.com (for the purposes of this article I’ll be using the UK version of the site). Registered office: Venture House, Cross Street, Arnold, Nottingham, Nottinghamshire, NG5 7PJ. Adidas AG, Nike Inc. (NKE), and Under Armour Inc. (UA) are the three largest retailers in the competitive athletic apparel industry. There are various Pricing strategies which are followed by Adidas according to its product. – 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. While to gather secondary data internet, magazines, annual reports of the company, articles were used. 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. The person who wrote secondary data might be biased. Free resources to assist you with your university studies! Reference this. 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 . Both Nike and Adidas have seen a tremendous rise in its brand value. 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. 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. Brand recognition and reputation. 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. Also Read: Use Data Analytics to Sustain Your Business During COVID-19. Nike As compared to Adidas , the price of products of Nike are high. Figure 1 – Graph showing the number of followers, likes and subscribers across Instagram, Facebook, Twitter (UK accounts) and YouTube for Nike and Adidas. According to their new approach, how Nike sell shoes has changed dramatically since they began concentrating on online sales. Limitations of Secondary Data Collection Method. Nike has 1 product in this price bracket and Adidas has 6 products. The intimidation of substitutes is very high in this market. Adidas and Nike both are dominating the social media game at present. 2. While Adidas markets itself as a streetwear sneakers with celebrity collaborations like Kanye West and Beyonce, Nike’s marketing is more sports-focussed. 40 % of respondents prefer and gave an average rate of 6.9 to Adidas because it is cheaper and lighter in weight. While Nike on the other end has very specific target audience .It focuses mainly on males and females, who are between 18 35 years old. Disclaimer: This work has been submitted by a university student. 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. Adidas and Nike both have powerful brands that are sold around the w orld. The ration is 6:1, there is no other price bracket with this many differences. 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. 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 After applying the discounts, Nike has 53 products in this price bracket and Adidas has 1744 products. (Referred To questionnaire). Like Adidas, it sells the products to independent distributors, licenses and subsidiaries. Both organizations focus greatly on technology, as well as make efforts to innovate and produce new products. Nike from its modest start grown as a sporting leader in sporting goods. Nike and Adidas are two of the largest footwear companies in the world. Then it didnt look back and today it is one of the most successful company in sporting goods. Study for free with our range of university lectures! Click on the bell icon to get the updates. 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. We're here to answer any questions you have about our services. Increased competitive pressure – Although, Nike is a dominating the athletic industry, competition, and new emerging brands are still potential threats to the company. There are two arguments people make when it comes to eCommerce consumer behavior. Nike on the other end has image of an innovative company who focuses making new innovations and designing new style shoes. For example, Adidas has loyal customers who are soccer players, while Nike has high loyal customers who are athletes. Each individual has its own view. COMPLETE Shopify Tutorial For Beginners 2020 - How To Create A Profitable Shopify Store From Scratch - Duration: 2:14:53. It was … 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. Free Essays on Competitive Analysis On Nike Vs Adidas . Manual Method is used to get output information after analysing data. Meanwhile, Stay safe. Limitations of Primary Data Collection Method. 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. 1. Nike is very competitive in products and new things that come out in America. 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. Adidas and Nike are not offering any discounts in the range of 0 – 20%. With higher competition ratio, Nike has to spend more money on marketing and advertising. Copyright © 2003 - 2020 - UKEssays is a trading name of All Answers Ltd, a company registered in England and Wales. Air Jordan. 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. So it was difficult to generalise the information. 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 . Data is from November 2018. Nike vs. Adidas: The three stripes is making gains on the swoosh — but that doesn't tell the whole story. 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. This is not an example of the work produced by our Essay Writing Service. SWOT ANALYSIS OF NIKE AND ADIDAS (With respect to e-commerce)STRENGTHS WEAKNESSES 1. Nike has 43 products in this price bracket and Adidas has 810 products. For TV ads Nike uses various sports channels to promote its products by various celebrities like Ronald no, Renaldo, and Roberto Carlos. Marketing I am going to focus on several aspects, such as competitive … Adidas is the second largest company who manufactures sporting goods all over the world. factories. While Nike has more followers than Adidas on Instagram and YouTube, Adidas boasts of more followers on Facebook and Twitter. The most basic distribution strategy adopted by Adidas is to concentrate resources at the place where most profitable customer segment is available. See the chart below to see the pricing variations. Market capitalization is a defining factor when considering who is winning in the market. The Adidas Logo is three stripes, consisting of the three parallel bars. Nike and Adidas are two of the most popular sports equipment companies in the world. The lowest-priced product belongs to Adidas at the pricing of Rs 27999. The intensity of competition from its competitors is high for each firm competes in various key areas of business. The discount statistics are quite interesting for both brands. The download links to the data are at the bottom of the page. Compare And Contrast Nike Vs Adidas 791 Words | 4 Pages. Nike vs Adidas. The brand has built several sources of competitive advantage which include technology, marketing, supply chain as well as product design and quality. The founders of Nike were Bill Bower man and Phil Knight. This is very interesting. Adidas main marketing is … Wash your hands regularly and spend more time with family. This is objectively a weakness, since it has led to Adidas constantly lagging behind Nike in terms of growth. Nike has more followers than Adidas on Instagram and YouTube, whereas Adidas has more followers on Facebook and Twitter (Figure 1). Other than this , adidas also uses various maganizes and newspapers in order to promote its products . Out of the total 2625 products of Adidas, 659 products are sold at MRP which is 25% of the total products. Adidas’ focus is on the people and the soccer, tennis. Nike has become one of most recognizable companies in the entire world Nike is now the most popular … While Adidas markets itself as a streetwear sneakers with celebrity collaborations like Kanye West and Beyonce, Nike’s marketing is more sports-focussed. 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. 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. Nike vs Adidas: Social media following. Unlike Nike, Adidas has invested very little in securing celebrity endorsements for its products. It was time consuming, costly as it takes lots of time to find a respondent who can fill questionnaire. They pretty much have the same target: people who love sports. Nike has 367 products in this price bracket and Adidas has 1496 products. It promotes its products by adopting endorsement focus scheme, creating a prevailing media existence, establishing flagship stores and use of magazines, billboards, mobile etc. While the Adidas brand is strong enough as it is now, there’s no doubt that paid endorsements could only improve it. In last quarter of the 2009 its sales percentage was declined by 5 % which was because of their increase in marketing costs. It’s the Season to Get Holiday Pricing Right! We saw some interesting numbers and decided to dig a little deep. The lowest-priced Adidas product is priced at Rs 12,999. The competitive analysis of the brand value gives positive signals for both companies. 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. Do you have a 2:1 degree or higher? The segments are designed based on the MRP ( not the sale price ). The lowest-priced Nike’s product is priced at Rs 5295. Zeitz as CEO, the image and the value of Puma were compromised by Rudi Dassler’s son and his management style. Both brands dominate social media with a staggering number of followers, subscribers, and likes. 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. Adidas has 2625 products with prices ranging from 899 to 29999, and Nike has 643 products with prices ranging from 1596 to 36500. From simple essay plans, through to full dissertations, you can guarantee we have a service perfectly matched to your needs. 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. Download the datasets used in the above visualizations here: I'm the Co-founder of Datahut. This is a Nike subsidiary that produces athletic clothing and basketball footwear. Nike does not have that option, and for a Taekwondo artist, Adidas would be the obvious choice. The maximum discount Adidas offers is 60% and 1055 products are sold at this price range which represents 40% % of the total Adidas merchandise. The main target audience of Adidas are between 12-34 years consumers specially involved in sports. Nike has 171 products in this price bracket and Adidas has 118 products. Dan Vas Recommended for you The first companies that grabbed all the benefits of such an approach were Nike and Adidas. I've been helping companies solving their data extraction problems for the last six years. It mainly shows its ad during football games. 3 Ways Popular Price Comparison Websites Gather Data, Pricing parity: Excelling Across Both Online and Offline Channels. 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. It has established its own website, where customers can get lots of information about the products and company. Focus of Strategies 2. Nike has 1 product in this price bracket and Adidas has 6 products. In April 2020, Nike’s market capitalization stood at $136.69 billion: more than double that of Adidas’s $45.21 billion. 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. Comparison of Strategies Adidas and Nike operate and use same platform for marketing strategies with different approaches of implementation. Search and Upload all types of Nike vs Adidas Case Study & Competitive Analysis projects for MBA's on ManagementParadise.com North America and Western Europe are the pair’s two top regions for sales. The lowest-priced Nike’s product is priced at Rs 5274. Our visits made it clear that Nike’s focus on women’s representation should give it a leg up against its competitors. First movers advantage in e- 1. 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. Both of their popularity has become so immense that they are literally household names. 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. 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