History of the Company:
1. Who did you interview?
Store Manager: Stalin Varghese
2. How long have they been in business?
5 years
3. How has their business changed over the years?
The business over changed when Bata Adidas won “Global100 most sustainable
corporation in the world in 2014 adidas again become 8th in the world it is the most
trusted footwear brands
4. What is their mission statement?
Mission Statement
The adidas Group strives to be the global leader in the sporting goods industry with
brands built on a passion for sports and a sporting lifestyle. We are committed to
continuously strengthening our brands and products to improve our competitive
position.
Vision Statement
The adidas Group strives to be the global leader in the sporting goods industry with
brands built on a passion for sports and a sporting lifestyle. We are committed to
continuously strengthening our brands and products to improve our competitive
position.
Values
Performance
Sport is the foundation for all we do and executional excellence is a core value of our
Group.
Passion
Passion is at the heart of our company. We are continuously moving forward,
innovating, and improving.
Integrity
We are honest, open, ethical, and fair. People trust us to adhere to our word.
Diversity
We know it takes people with different ideas, strengths, interests, and cultural
backgrounds to make our company succeed. We encourage healthy debate and
differences of opinion.
1. Do they plan to expand, penetrate, diversify, or change their retail format in the
near future?
Sportwear major Adidas India after delivering strong results in the third quarter ended
December 2018 is eyeing double-digit growth going forward on the back of its massive
expansion planned next fiscal. Adidas is planning massive expansion during the current
financial year and their plan is to establish 1000 stores in india by 2020
B. Retail Strategy
1. Who is their Target Market?
Define their customer according to demographics (age, gender, income level, education
etc.)
Age: Involves all age group.they recently launched new shoes for kid sport entusiasts
Gender: Adidas manufactures men and women's shoes, Rebok is their brand reebok
has both women and men segment,they even have a brand called stella maccartney
especially for women
Income level: Adidas have premium brand it concentrate on brand they target premium
customers,who are enthusiastic about sports and the brand,it open for upper middle
class customers
Occupation: The broad elements of the strategy are to target the brand to urban youth
with their brand proposition from ‘competition to lifestyle’ ,they focus on working
professionals who will do sports in their leisure time.
Location; it would target principal consumption centres, namely metros and build
significant stand-alone exclusive store presence in significant locations.
Family Life Cycle: person who married with kids the men will chose stan smith as
their sneakers,while for kids they offer reebok kids model
Performance-oriented footwear, apparel and hardware products will always remain the
lifeblood of adidas.
Broader Distribution – Adidas follows the strategy of closely monitoring and
cooperating with the retailers, so that they can significantly improve the in-store
experience of the product. Retail partnerships is also helping the firm to improve
effectiveness in the market which is dominated by price and lack of differentiation.in
Kottayam store they partnered with ikea for brand and logo
Social Class This includes Upper class, middle class, lower class etc. Adidas segmented
their market in this way as well. Like for men they target upper middle class for men
they have sneakers in the name of messi,also stan smith for more brand enthusiasts,the
ultraboost segments which is famous in uk are now became wide popular here for
special jogging peoples
Trade Area – Adidas is primary trade area such as, The Company is evaluating new
locations and has currently identified 100 potential trade areas covering both malls, high
street areas. They would also like to open more stores in tier II and tier III cities through
the franchisee route. Ultraboost has shown good traction in recent times.
2. Merchandise Assortment:
What are the major brands they carry?
Reebok- Parent Company: Adidas
Ultraboost- Parent Company: Adidas
Do they have private brands?
Stan smith,Stella maccartney,messi,Gazile
Where does this retailer's merchandise fit on the category life cycle?
Why do you think they chose this stage of the life cycle?
Does this retailer carry convenience goods, shopping goods or specialty?
Adidas Carry out Specialty store, by finding strategic locations, medium sized layout and
merchandise on all shoe products,And merchandise mainly focusing on Adidas originals
3. Human Resources:
How does this store prepare and train their sales people?
Selected Sales people under go 2.5 months training period by the HR department and
every month they undergo training sections by store managers . Develop basic level
modules on communication skills,soft skills,sales and deliver internally. Facilitate
learning through a variety of delivery methods including classroom instruction, off site
training, on-the-job coaching
Store managers undergo 6 months training period.
Are they paid on commission, salary, or hourly wage?
Sales people are paid salary per month
Sales person: ₹ 8000+bonus
Store Manager: ₹ 17000+incentives
Are the sales people allowed to cross sell?
Yes, Adidas usually don’t encourages cross selling in their store,but if u buy a shoe
they will suggest the customer a matching branded socks
Do they outsource any activities in their business?
They outsource only the supply chain like distributors for their products and labour for
unloading and stock clearing purposes.
4. Store Location:
Where is this retail store located?
Adidas store,Shastri road opposite public library Kottayam pin.686001
Why do you think they chose this location?
Shastri Road is near kotayam town . People come and go very frequently because it is
the way to kottaym town also new overbridge is building there,bit has bus stops which
have buses all time this will attract the customers.
Is this site accessible for the customer?
Available facilities are Railway station, main road, bus stops etc.
What type of lease do they have?
They take this building for 10 years contract
5. Pricing: