Branding
Adidas - How did they do it?
Perhaps I should have mentioned in my first blog that I will be posting based on large, well known brands and discussing the marketing strategies and branding methods they have used to gain power, success and social status that they have today. These brands I will look into, interest me hugely, inspire me and most definitely manipulate me in such a way; that I have the desire to want what they provide which they aim to instil in people like me. What I enjoy researching is actually how they have managed to do this to me, and discovering their journey from being perhaps one person with an idea, to the worldwide ‘brand’ they are today.
The History of Adidas
Every great story has a beginning! and this one started in 1924, in a small town in Germany called Bavaria, when Adi Dassler registered his business - “Gebrüder Dassler Schuhfabrik” with aim to provide athletes with the best equipment possible. Providing Amsterdam in 1928 and Berin in 1936 with gold medals, were huge steps for Adi. The business was then put on slight hold, down to war and corruption, until 1949 when Adi started over, at the age of 49 with a team of 47 employee’s to register the company -
“Adi Dassler adidas Sportschuhfabrik” , and on the same day they released a shoe with the signature 3 stripes we still see today!
This kicked the shoe supplying company off to a great start. in 1969, once the kick game was cracked Adi released its first clothing product. This was a tracksuit names after Franz Beckenbeuar - A famous football player/manager. This tracksuit became the first apparel for Adi Dassler’s brand and opened a whole new business to a company known for providing sneakers.
In 1970 adidas conquered yet another branch of business by manufacturing and providing the footballs to for the FIFA wold cup - the ball was created black and white for visibility reasons while watching the game on TV. In 1972, Munich held the olympics - It was for this Adidas brought out the new ‘trefoil’ logo which represents lifestyle and street.
Adi Dassler unfortunately died on the 6th September 1978 after single handedly changing the sport wear industry, however his son - Horst, carried the business on to what it is today. In 1984 Horst took a big step for Adidas and released a sneaker that had a small computer on its tongue, tracking steps and miles etc which provided stats on your sporting activities. Horst then realised that Adidas had cracked the sporting side of things but wanted to make the company a more commonly worn brand, so he felt he had to break into the fashion industry.
The hip hop Legend - Run DMC worked with Adidas to launch the song ‘my adidas’ - which was about people from troubled neighbourhood’s having passion for shoe wear. This co-lab of hip hop art and streetwear set the everlasting street wear fashion off and also allowed adidas to promote in a ‘non-sporty’ way as well.
Horst’s sudden death in 1987 left Adidas in a vulnerable position as this meant the brand had to either die with the family or be passed onto someone un-related. A man called Robert Louis-Dreyfus became the next CEO of Adidas in 1993, and made the impossible job look very simple. He took the almost bankrupt brand and decided it simply ‘needed to be steered down a new path’. In 1995 the new and improved brand became public with a new slogan that fits better than bangers and mash - ‘we knew then, we know now’. in 1994, as money issues were still being resolved, Adidas’ marketing team turned back to the original focus (of making athletes better) by producing the ‘equipment concept’ , the ‘street ball campaign’ and the ‘Predator football boot’.
In 1998 Adidas moved into a new HQ just outside Herzogenaurach and as of 2013 the ‘World of Sport’ is now home to over 3000 employee’s. In 2004, a marketing campaign was launched using David Beckham to promote the new slogan and prove that ‘impossible is nothing’. Since the Adidas have continued to prove that they support and dominate both the fashion and sporting industries, and continue to use huge names to promote the brand.
Target Audience
It is no secret that Adidas is originally a sporting brand which aim their product’s at those who play sports and aim to achieve sporting activities at a high level..or at least those who love or have a passion for sports. By convincing people that their products will enhance and better them at any sporting activity they do - in the early days of existence - they successfully set this image for their brand. They continued this idea throughout the brands whole life span and by publicly linking with huge sporting names such as : David Beckham, Lionel Messi, Dustin Johnston, Sergio Garcia and Usain Bolt (which are just a fraction of the sportsmen they have sponsored) - They have continued to convince their target audience that if you use adidas products or wear adidas clothes this will help you be the best in the world at your specific skill.
Adidas admit that their strongest consumer market is people between the ages of 18 and 29, however feel that the 14-19 year old target market is one of the most influential consumer group in the world and are realising that more and more of this age range are becoming ‘adidas lovers’ .
Recently Adidas have focused slightly more on their ‘adidas original’ sub-brand which also satisfies the fashion side of the brand. They are now very popular in street wear and have used the huge up and coming grime MC - Stormy, very recently, for their campaign which involved linking up with the famous Japanese fashion designer NIGO, this involved a drop of a new range of clothes. By doing so, Adidas are effectively adding to the image that their clothes are cool and satisfy those who are out and about, always active and therefore ‘street’.
Effective Marketing Methods
When the German national football team faced the unbeatable Hungarians in the 1954 World Cup final, they won so much more than just a trophy. Their victory was heard around the world for decades to come but it was Adidas who benefited hugely. That was the first game that a lot of the players wore the adidas football boots, which were the first boot to have screw in studs. This made adidas a household name on football pitches all round the world.
‘impossible is nothing’ is a very famous phrase which Adidas released as their slogan in 2004. This was a marketing strategy which inspired a lot of people and is something their target audience can relate to. This managed to convince many potential consumers and get them on board the adidas hype. Many customers are now continuous and loyal to the brand.
By teaming up and gaining promotion off those who already have a huge following will increase your hype too! - very like an ‘insta famous’ profile shouting out one with less follower. This smaller profile will obviously gain more followers, a bigger hype and more awareness. Like this Adidas sponsored huge events such as : FIFA, UEFA, NBA, Cricket and Olympics. And by doing so gained the same effect of a world wide following and a humungous fan base.
Future Plans
The adidas group have recently presented a business plan which should run until 2020. This plan focuses on sales to grow at a high, single digit percentage rate each year and will drive the net income up by 15% on average each year. Adidas now also want to show a strong focus on ‘speed cities and open source’. The adidas Group aims to continue its growth in all relevant markets with a focus on six key cities: Los Angeles, New York, London, Paris, Shanghai and Tokyo. Across these cities, the adidas Group will invest in talent, attention and marketing spend.
