Adidas Advertising Campaign Sydney Loveday Agency 340w Duquesne University Table of Contents Section 1: A. Adidas Research Report…….1-8 Section 2: A. Marketing Strategy Document…….9-15 B. Media Strategy Document…….16-21 Section 3: A. Competitive Copy Report…….22-26 Section 4: A. Creative Work Plan…….27-32 B. Creative Work Plan Brief…….33 Section 5: A. Print and Alternative Media Ad Copies…….34-36 B. Electronic Media Ad Copies…….37-39 C. Digital Media Ad Copies…….40-41 Running head: ADIDAS RESEARCH REPORT The Adidas Research Report Sydney Loveday Agency 340w Duquesne University 1 ADIDAS RESEARCH REPORT 2 Summary This research report contains information regarding the sporting goods manufacturer Adidas. Basic background information will be given on the market climate that Adidas resides in. The beginning of the background section will include information regarding the footwear industry. It will cover the advancements that are being introduced in the market today. Following the information on the market climate will be statistics regarding the various competitors that Adidas competes with in the market. The background section will wrap up with information on Adidas itself. The history, structure and the various products and services that Adidas provides will be showcased. Statistics such as price, attributes, promotional strategies and what the ideal audience is for Adidas Originals will accompany the description of the product. The second half of this report will be an analysis of the strengths and weaknesses of the Adidas Originals product line. What they are doing right and what they can improve on will be shown through a SWOT analysis. Closing this report will be a recommendations section that showcases what Agency 340w will do to advance the advertising campaign for Adidas Originals. ADIDAS RESEARCH REPORT 3 Background External Enviroment: Market Climate The shoe industry can be described as competitive and driven by fashion and demographics. Ways that shoe companies can count on having success is improving comfort, performance and color schemes. Consumers are always looking for more comfort, more performance and more style (Gray, 2013). Companies are coming up with new ways to improve the various parts of the shoe. Sole Technology in particular is developing new ways to improve the sole of a shoe. Their product G2 Platinum aids cushioning in activity. Gel and mesh found in bulletproof vests help with absorption in the product. Etnies’ Ashton Maxfield says, “When sudden impacts occur, the mesh becomes rigid and spreads the force across a larger area to help absorb and distribute the impact. After the force has been dissipated, the mesh becomes soft and flexible again” (Sullivan, 2009). Technology in shoes is becoming state of the art. Competitive Atmosphere Nike and Puma are Adidas’ primary competition. Nike’s leading sales market is in footwear, accounting for 55% of total sales. Their second leading sales market is apparel, which accounts for 26% of its sales market. North American sales account for 37% of Nike’s total sales. Western Europe has 17% of total sales, and Greater China possesses 10%. Nike’s primary strategy is to use diverse advertising through the use of social media, promotions, and celebrity endorsements. They are spending over $2 billion a year on advertising and nearly $300 million on endorsements. The company is witnessing over 15% sales growth per year, along with 4% income growth (Hoover’s Company Records, 2013). The major footwear manufacturer continues to grow. Like Nike, Puma is a primary producer of footwear, apparel and sporting goods. Footwear accounts for 53% of their total sales. Apparel sits in second with 35%. Their primary market is in Europe, the Middle East and Africa. Close to 50% of their sales come from these regions. North America along with South America account for 28%, and Asia has 23% (Hoover’s Company Records, 2013). Puma is positioning itself to be a major player in the sport lifestyle market. They are currently on a five year plan named “Back on the Attack”(Hoover’s Company Records, 2013). The brand wants to identify itself as the premier lifestyle sports company. Internal Environment: Adidas was founded upon the ambition of two German brothers named Adi and Rudi Dassler. In the late 1920’s, the Dasslers were able to build a factory to manufacture their shoes. The 1940’s saw the two brothers go their separate ways, with Rudi ADIDAS RESEARCH REPORT 4 forming Puma and Adi forming Adidas. Adi and Adidas would go on to grow and become a leader in the athletic shoe market. Moving into the United States shoe market saw Adidas take control of the highly contested market. Popular U.S. brand Pf Flyers was taken over by Adidas in the 1950’s as the leading athletic shoe market in America (Hoover’s Company Records, 2013). Adidas’ two leading sales markets are apparel and footwear. These two markets make up 90% of their sales, with each tallying 45%. Sporting goods make up for the remaining 10%. Western Europe remains the largest market, making up for 31% of its total sales. North America sits in second with 23%, and Asia sits third with 16%. Adidas continues to witness annual sales growth. To date, they are seeing an 8.7% increase in sales per year, along with an income growth of 15.3% (Hoover’s Company Records, 2013). Adidas plans to improve their appeal for the consumer. They want to build on keeping a unique identity with their various brands and continue to build their standing in the U.S. market. Product:Adidas Originals The Adidas Originals line consists of a sport lifestyle inspired line of shoes and apparel. Most of the Originals footwear line possesses influence from street culture and sports, such as basketball and skateboarding. Adidas Originals offers footwear for toddlers, children and women. A small collection of sandals and slip-ons are produced as well (Adidas Originals, 2013). The featured product that Agency 340w will be focusing on is the Adidas Originals Campus 80s shoes. The shoe itself possesses influence from the basketball court, skate park and hip-hop culture. It is made with a suede upper body and a synthetic lining. Inside of it is a comfortable interior padding. The Campus 80s are conveniently priced at a retail value of $85. (Adidas Originals, 2013) Campus 80’s possess a style that remains timeless. Adidas Originals utilizes a unique promotion strategy to reach its target audience. Through the use of television and print ads, they are marketing their products by endorsing certain celebrities. Dwight Howard, Derek Rose, David Beckham, and Lionel Messi, along with music stars Snoop Dogg, Big Sean, B.O.B., and Katy Perry are their choice selections to endorse the lifestyle brand (Adidas News, 2011). Utilizing the influence of today’s popular athletes and music icons is the strategy of choice to promote Original’s line of products. Prime Prospects Adidas Originals appeals to the consumer that is interested in skateboarding, music, art, sports and sport lifestyle. Originals prime prospects are 16-24 year old high school and college kids. Adidas Originals stays connected to its young fashion demographic by utilizing social media to keep them updated on what is going on with the brand and what they are currently offering. Currently, Adidas is a leader in the social media marketplace (Adidas Group, 2013). ADIDAS RESEARCH REPORT 5 One problem that the prime prospect audience is facing is that they are being misrepresented by Adidas. General misconceptions about what interests the young audience are being implemented into the product. The JS Roundhouse Mids are a great example of this. These unique shoes consist of a basketball inspired design accompanied with rubber shackles on the tops. Criticisms of the shoes arose from various parties, including the Rev. Jesse Jackson. He stated, “The attempt to commercialize and make popular more than 200 years of human degradation is offensive, appalling and insensitive,” (Solomon, 2012). These shoes showcase a failed attempt to appeal to the street culture influenced demographic. Conclusions: Adidas possesses certain qualities that showcase the characteristics of a strong company. They are experiencing yearly profit gains with healthy sales numbers all throughout the world. Weaknesses are present though. Nike proves to gain a significant advantage in sales by having a larger share in the North American market. Spending billions of dollars on advertisements and endorsements produce benefits as well. Adidas can gain an advantage over their competition by continuing to pursue their social media campaign and endorsing celebrities that have an influence on the young demographic. The only potential threats that Adidas faces is the technological advances that are being made in the shoe industry. Strengths: Adidas does possess certain strengths throughout the company. Their sales throughout the world are fairly evenly distributed with Europe taking 31%, North America 23% and Asia with 16%. Adidas continues to thrive in the footwear and apparel industry. The two markets combined make up 90% of its total sales. That proves to be a major strength and shows Adidas’s business in those two markets to be profitable. Adidas continues to experience yearly profit with 15% income growth. Having their overall sales evenly distributed throughout the world showcases the success of the company as a global enterprise. Weaknesses: Nike has a significant advantage over Adidas in the North American market. Nike currently has 37% of their global profits coming from the North American market, where Adidas has 23%. Nike has only 17% of their profits coming from Western Europe. Currently, Nike is gaining 15% sales growth per year. Adidas is only gaining 8%. This shows that a greater share of sales coming from North America has an advantage over Europe. Adidas’s lack of sales in North America is hurting them. Another area where Nike flourishes is advertisements. Nike is spending $2 billion on ads, and over $300 million on endorsements. Adidas’ lack of North American profits can also be attested to their lack of promotion compared to Nike. Lack of promotion will lead to lack of sales in a specific marketplace. ADIDAS RESEARCH REPORT 6 Opportunities: Adidas has an opportunity to continue to gain an advantage over its competitors. Adidas stands as the leader in the social media marketplace with its Adidas Originals line. Through the use of social media, they are reaching their target audience in a direct and simple way. They also have a unique promotional strategy that consists of endorsing major hip hop moguls such as Big Sean, Snoop Dogg and B.O.B. The audience will respond to a company that recognizes their social media interests, along with their cultural interests. Threats: Possible trends in the environment that could hurt Adidas is the current strive for technology in shoes. New strides in sole technology are contributing to advancements in comfort. Adidas needs to invest in new technologies in their Originals lineup. The Campus 80s are a simple and stylish sneaker, but an improvement to sole technology would do wonders for the sales of the shoe. Since the demographic of Adidas Originals is young and active consumers, it makes sense to invest in the comfort of the shoe. Young consumers will appreciate advancements made in an ageless shoe. If Adidas does not do so, they will see their young demographic buy elsewhere. Recommendations: Agency 340w is proposing that Adidas change their strategy in marketing. Agency 340w will introduce a new advertising campaign that consists of endorsing new celebrities that young North Americans look up to. Also, Agency 340w will improve Adidas’ approach in media strategy by increasing the use of multimedia. Adidas needs to pursue to endorse other cultural icons. Consumers will associate Adidas and its products as being culturally sound. This new advertising approach will certainly have positive effects for Adidas as a company. ADIDAS RESEARCH REPORT 7 APPENDIX SWOT Matrix: Strengths Weaknesses -Evenly distributed sales -Continue to thrive in footwear/apparel industry -Continue to experience yearly profit with 15% income growth. -Nike has advantage in North American market -Nike is gaining a 15% sales growth per year, Adidas is only gaining 8%. -Nike spends $2 billion per year on ads, over $300 million on endorsements. Opportunities Threats -Stands as the leader in the social media market -Current strive for new technology -Unique promotional strategy ADIDAS RESEARCH REPORT 8 References Adidas America. (2013). Adidas originals. Retrieved from http://www.adidas.com/us/content/originals/ Adidas Group. (2013). Adidas strategy. Retrieved from http://www.adidasgroup.com/en/investorrelations/strategy/adidas/default.aspx Adidas News Stream. (2011). Originals brand. Retrieved from http://news.adidas.com/US/IMAGES-AND-VIDEOS/ORIGINALS/BRAND Gray, J. (2013). Industry analysis: shoe. Retrieved from http://www.valueline.com/Stocks/ Industries/Industry_Analysis__Shoe.aspx Hoover’s Inc.. (2013). Hoover’s company records; Adidas, Nike, Puma. LexisNexis Academic. Retrieved from http://www.lexisnexis.com.authenticate.library.duq.edu Solomon, J. (2012, June 20). Adidas cancels ‘shackle’ shoes after outcry. CNN US. Retrieved from http://www.cnn.com/2012/06/18/us/adidas-shackle-shoes/index.html Sullivan, A. (2009, March 12). 2009 fall footwear trends: High tops, sky tops, collabs & reissues. Transworld Business. Retrieved from http://business.transworld.net/13780/uncatorgorized/2009-fall-footwear-trends-high-topssky-tops-collabs-reissues/ Running Head: ADIDAS MARKETING STRATEGY The Adidas Marketing Strategy Sydney Loveday Agency 340w Duquesne University 9 ADIDAS MARKETING STRATEGY 10 Summary This document showcases the marketing strategy that Agency 340w will implement for Adidas Originals. It will first demonstrate the appropriate general marketing objectives that Adidas Originals will take. Following the marketing objectives is the source of volume that will put the marketing objective into motion. Concluding the document is the new target group, price strategy, product strategy, place strategy, and promotion strategy. All of these dynamics will collectively contribute to the new marketing strategy for Adidas Originals. ADIDAS MARKETING STRATEGY 11 Marketing Objectives: Adidas is experiencing annual sales growth per year. They are progressively experiencing an annual sales growth of 8.7% and are holding stable. Annual income growth is also producing positive outcomes. Every year, they are witnessing a 15.3% income growth. Adidas needs to advance through the next year by holding stable their financial volume. With a current sales growth at 8.7% for the 2013 fiscal year, it is recommended that the company maintains their total sales growth at 8.7% (Hoover’s Company Records, 2013). A new marketing strategy will produce financial gains that reflect these numbers. Adidas is experiencing reasonable success in the present day. It is prudent that the company continues to produce at least the same financial gains that they are currently obtaining. Source of Volume: A new source of volume for Adidas will come from consumers who currently do not endorse Adidas products. Adidas lacks in North American sales compared to Nike. Consumers in North America who purchase popular brands in the western hemisphere, like Nike, will be the prime target audience for Adidas. Consumers in North America who purchase Nike products will be persuaded that Adidas products possess the same quality, style and performance that Nike products do. They will be persuaded that the Adidas Originals line will give them a new sense of urban, cultural, and sport-influenced style. Adidas Originals is a product line that maintains an identity of being cultural and fashionable, while maintaining influence from sport lifestyle. Target Group: For the ideal prime prospect group, Agency 340w recommends that Adidas aims its focus toward young males in Pittsburgh that are currently in college or recently graduated from college. More specifically, the group defined by the Nielsen segment PRIZM as “Up and Comers” (Nielsen, 2013). Up and Comers are a group of singles in their 20’s that are college educated city dwellers, and considered to be young achievers. Up and Comers have a wide range of ethnic diversity consisting of White, Black, Asian, and Hispanic backgrounds. This ambitious group has moderate incomes, do not have kids, watch MTV, and read Maxim Magazine. More importantly, they are interested in athletic activities, new technology, and an active nightlife. Up and Comers are in a pre-marital building stage in their life. At this point in their lives, they are not interested in having a job where they are bound to a desk. Up and Comers are intrigued by having an exciting day-to-day life and own stylish possessions (Nielsen, 2013). This is the ideal target group for the Adidas Originals product line; Young, energetic individuals who are interested in modern culture and an exciting lifestyle. ADIDAS MARKETING STRATEGY 12 Marketing Strategy: PRODUCT: Adidas Originals Campus 80s shoes possess a simplistic style that is timeless. The shoe sports the basic black and white Three Stripe look that Adidas has carried for years. Campus 80s has the lifestyle shoe structure that is influenced from the likes of basketball, skateboarding and hip-hop culture. Unlike modern basketball shoes, Campus 80s are low-cut sneakers that resemble most casual skateboarding style shoes of today. Black suede composes the upper outside of the shoe, with a synthetic lining and a comfortable interior padding on the inside. The sole of the shoe has the old-school Herringbone pattern that skate shoes have embarked on for years (Adidas Originals, 2013). Agency 340w recommends not changing anything about the current product. Everything from design, function, and color schemes will continue to be the same. Campus 80s simplicity is a part of the product’s charm. It is something that will continue to be utilized in the product’s design and functionality. Keeping the product the same as it is now will appeal to the consumer by not having too much flash in the sneaker’s identity. The overall identity of the Campus 80s is to not have too much flash. Consumers shopping for a sneaker like the Campus 80s appreciate its simplicity. PRICE: Adidas Originals currently has the Campus 80s priced at $85. A few variations of the shoe, like the leather, Mita, and XLG, have different prices. The leather version is listed at a discounted price of $60. Luxury versions Mita and XLG are listed at a much higher prices of $120 and $136 respectively (Adidas Originals, 2013). There will not be a price change to the luxury versions Mita and XLG Campus 80s. However, a temporary price reduction as a sales promotion for the summer months will be made to the standard Campus 80s shoe. A small reduction from $85 to $60 will be implemented to the standard Campus 80 shoe. A $25 difference in price appeals to the consumers who do not want to spend over $80 on a simplistic shoe. A price tag of $60 appeals to the individual who does not make a substantial amount of money and wants a shoe that represents their lifestyle. Also, $60 compared to $85 appeals to the college student that does not have a great deal of money to begin with. This will consequently increase sales amongst that specific target audience. PLACE: Adidas Originals are found in an array of sporting goods distributors throughout the United States. Specific Distributors include Champs Sports, Zappos, Eastbay, Foot Locker, Foot Locker Kids, and online distributors such as Amazon and the Adidas online store. Adidas also has a special chain of Adidas Originals concept stores spread across the United States. These stores are located in Florida, Georgia, California, Washington D.C., and Philadelphia, PA. Agency 340w recommends not changing the current distribution strategy. Adidas Originals will continue to remain available in all of the distribution channels that it currently resides in. Consumers will have the ability to purchase Adidas Originals any time at any one of the distributors that carry Adidas Originals. One change that will occur is the ability to purchase Adidas Originals in Dick’s Sporting Goods stores. Adidas Originals will have their own ADIDAS MARKETING STRATEGY 13 specific section in the shoe department of each and every Dick’s Sporting Goods location. This will allow the consumer to have the ability to walk into any Dick’s Sporting Goods store and easily find their Adidas Originals shoes. They will also be readily available online. Having Adidas Originals available at every Dick’s Sporting Goods store will make the product line conveniently available to the prime prospect audience. This increase in availability will reflect on sales. PROMOTION: Adidas Originals currently aims at a specific target audience. They target young, 16-24 year old individuals that are in high school or college. Adidas Originals reaches this target audience by broadening their marketing horizons. Introducing new concepts and designs along with entering new markets, such as snowboarding with Burton, demonstrates their ability to do so. Adidas Originals utilizes new advertising trends to reach their young audience. They currently are a leader in the digital marketplace, reaching 7 million fans on their Facebook page (Adidas Group, 2013). Endorsing hip-hop artists Big Sean and Snoop Dogg, along with athletes like Derek Rose, are another way they reach the younger audience. Agency 340w proposes a new promotion mix for Adidas Originals (see table in Appendix). The majority of the promotion mix will come from advertising and event marketing. Increase in event marketing will take place throughout the summer months at concerts and sporting events. Increasing awareness of the brand at these events are great opportunities to showcase the energetic identity of Adidas Originals. New forms of advertising will be implemented on popular television channels that young people watch throughout the summer and fall months. Agency 340w wants to increase awareness of Adidas Originals on frequently watched television channels. Introducing new sales promotions at Adidas Originals distributors is another important factor. Frequent sales promotions will intrigue consumers to buy more Adidas Originals products. PR and direct marketing do not have the significant role that the others do, but they will still be important to the new marketing strategy. ADIDAS MARKETING STRATEGY 14 Appendix: ADIDAS MARKETING STRATEGY 15 References Adidas America. (2013). Adidas originals. Retrieved from http://www.adidas.com/us/content/originals/ Adidas Group. (2013). Adidas strategy. Retrieved from http://www.adidasgroup.com/en/investorrelations/strategy/adidas/default.aspx Hoover’s Inc.. (2013). Hoover’s company records; Adidas. LexisNexis Academic. Retrieved from http://www.lexisnexis.com.authenticate.library.duq.edu Nielsen. (2013). Segment explorer: PRIZM. Retrieved from http://www.claritas.com/MyBestSegments/Default.jsp?ID=30&menuOption=segmentexp lorer&pageName=Segment%2BExplorer Running Head: ADIDAS MEDIA STRATEGY The Adidas Media Strategy Sydney Loveday Agency 340w Duquesne University 16 ADIDAS MEDIA STRATEGY 17 Summary This document showcases the appropriate steps that Agency 340w recommends taking for Adidas’s new media strategy. Beginning the document will be a layout of media objectives that will be implemented to execute the strategy. An audience-media analysis will follow the objectives, displaying what types of media the target audience consumes. A media mix falls next in the document, displaying the various types of media that will be used. Concluding the document will be geographical considerations for the media and the budget that will be followed to execute the new media plan. ADIDAS MEDIA STRATEGY 18 Media Objectives: Agency 340w proposes a new strategy in the use of media for Adidas Originals. There will be a new aim in continuity, reach and frequency in Adidas Originals use of media. For media continuity, there will be a specific timeframe in which the new media strategy will be implemented. The new media campaign for Adidas Originals will run continuous over the course of eight weeks beginning on June 1st. During this time, Adidas Originals will aim to reach a minimum of 20% of the target audience within the first month of the advertising campaign. Any individual in the prime prospect range will be exposed to all Adidas Originals advertisements seven times per week during the campaign. Emphasis will be placed upon frequency because the more frequent the audience witnesses the advertisements, the more acquainted they will become with the Adidas Originals brand. Audience-Media Analysis: Adidas Originals’ prime prospect audience is 18-30 year-old males with moderate to low incomes. These individuals are still pursuing their college education or have recently graduated from college and are in the beginning stages of their careers. Young males in this demographic enjoy sports, nightlife, new technology, and also enjoy living an urban lifestyle. The majority of individuals in this demographic are not married. According to a Pew research report (2010), the majority of this target audience consumes media on the internet. In fact, 95% of this group go online and use the internet (Zickuhr, 2010). A significant portion of the targeted group focuses their media consumption toward the internet rather than television. 38% of individuals between the ages of 18 and 34 are considering replacing their laptop computers with tablets in 2013. 39% of them are planning on replacing their television provider with subscription services such as Netflix or Hulu Plus. 41% of the designated audience will use their laptop or tablets as their primary source of news and entertainment in 2013 (Print in the Mix, 2013). The designated audience does enjoy watching television. Some of the most popular television shows for 18-30 year old males are Family Guy, The Simpsons, the Big Bang Theory, The Office, Modern Family, How I Met Your Mother, and Parks and Recreation. Television networks such as FX, History, AMC and Comedy Central are also popular among this demographic (Consoli, 2012). Media Mix: Agency 340w recommends that Adidas Originals focus its media strategy more towards its prime prospect’s most sought after forms of media. The majority of the target audience utilizes their media use on the internet and television. The primary suggested media types to utilize for a new media strategy are broadcast and digital. Agency 340w suggests that the proper subtype for the broadcast media type be television and radio, and the proper subtype for digital be social media and websites. Specific local media vehicles will be used to advertise Adidas Originals to the audience. KDKA Channel 2 and 105.9 the X will serve as the broadcast media vehicles. Facebook and Netflix will serve as the digital media vehicles. Adidas Originals will also benefit from utilizing media types such as print and alternative forms of media. Magazines ADIDAS MEDIA STRATEGY 19 are the best form of print to reach the target audience of 18-30 year old males. Sports Illustrated will serve as the print media vehicle. Agency 340w recommends using graphic t-shirts as the alternative form of media for Adidas Originals. Males that are 18-30 years old utilize the internet and television the most for their media consumption. Having advertisements on Facebook, Netflix, Sports Illustrated and KDKA will reach the audience because their favorite forms of entertainment are found in these media vehicles. All of these vehicles are readily available to the audience, so frequency of the ads will be at a high. The continuity of the ads will not be in jeopardy because of the high frequency they will have. Geographical Considerations: Agency 340w recommends focusing the advertising campaign by region. Focusing the relative weigh on a specific region will give Adidas Originals a solid basis on how well the advertising campaign is executed. Adidas Originals needs to keep in mind the interests and habits of individuals in a specific region of the United States. What one region of the country is interested in may not be what another likes. It is recommended that Adidas Originals focuses its aim toward the northeast United States first. The city of Pittsburgh will serve as the first city to run the campaign. The strength of the advertising campaign will be tested in this region. If it brings forth positive results, Adidas Originals will continue to spread the advertising campaign throughout the rest of the United States. Media Budget: Adidas Originals will have a $1,000,000 media budget to execute the new media plan (See Media Budget in Appendix). $500,000 of the budget will be used to fulfill the broadcast advertisements on KDKA Channel 2. A significant percentage of the Adidas Originals audience watches television programs on this channel. Agency 340w suggests that Adidas Originals primary focus for the new advertising campaign be geared towards broadcast television. $100,000 of the budget will be used for the radio broadcast advertising on 105.9 the X. Young males aged 18-30 enjoy the Alternative music that is played on this channel. Another $100,000 each will be utilized for both the advertising on Facebook, and the advertising on Netflix. Social networking and entertainment on the internet are growing phenomenon with the young audience. The remaining $200,000 will be used to fulfill the print advertising in Sports Illustrated. Sports magazines will always appeal to the young audience, especially those interested in Adidas products. ADIDAS MEDIA STRATEGY 20 Appendix Alternative-T shirts 5% Adidas Media Mix by Effort Print-Magazine 10% Digital-Website 10% Digital-Social Media 20% Broadcast-TV 40% BroadcastRadio 15% Adidas Media Budget Media Vehicle Budget Print – Magazines Sports Illustrated $ 200,000 Broadcast-TV KDKA Channel 2 $ 500,000 Broadcast – Radio 105.9 the X $ 100,000 Digital-Website Netflix $ 100,000 Digital - Social Media Facebook $ 100,000 Alternative T-shirts $ Total 0 $ 1, 000,000 ADIDAS MEDIA STRATEGY 21 References Consoli, J. (2012, December 14). What are men watching other than sports in broadcast tv primetime?. Retrieved from http://www.broadcastingcable.com/article/490878What_Are_Men_Watching_Other_Than_Sports_in_Broadcast_TV_Primetime_.php Print in the Mix. (2013). Media consumption trends: Increased interests in tablets and streaming media. Retrieved from http://printinthemix.com/fastfacts/show/673 Zickuhr, K. (2010, December 16). Generations 2010. Retrieved from http://www.pewinternet.org/~/media//Files/Reports/2010/PIP_Generations_and_Tech10. pdf Running Head: ADIDAS COMPETITIVE COPY REPORT The Adidas Competitive Copy Report Sydney Loveday Agency 340w Duquesne University 22 ADIDAS COMPETITIVE COPY REPORT 23 Summary The Adidas Competitive Copy Report is an analytical piece that will dissect the advertisement of a competitor’s product. More specifically, this document will analyze a Nike advertisement that is directly in competition with Adidas Originals. Agency 340w will analyze everything from the copy of the advertisement to the effectiveness of the message that Nike is trying to convey. The end of the document will provide a list of recommendations that will progress Adidas Originals’ advertising campaign. ADIDAS COMPETITIVE COPY REPORT 24 Identification: Company: Nike- American shoe and sportswear manufacturer Product: Air Force 1 shoes Source: The advertisement is a video commercial for Nike Sportswear’s Air Force 1 shoe (2013). The advertisement can be seen on the video source YouTube. Nike Sportswear published the 35 second commercial on February 5, 2013. It has been available for viewing for over three weeks on YouTube. Since it is readily available on the internet, this particular ad is considered to be an international advertisement. Creative Strategy: Nike Sportswear’s target audience is individuals in their 20’s and early 30’s, who prefer to live in urban areas and enjoy active lifestyles. Their direct competitors are lifestyle shoe brands such as Adidas Originals and Puma. Nike’s unique brand/selling position is the notion that the Nike Air Force 1 can be worn in a variety of arenas. The Air Force 1 can be worn strolling through the city, break dancing, playing basketball, riding bikes, in the club and spending time with friends. It is a versatile shoe that does not lack in street style. Nike promises that the Air Force 1 will satisfy the consumer’s active and stylistic needs. The scenes of people riding bikes, playing basketball, dancing and partying in the club all showcases the Air Force 1’s versatility. Nike wants to show a brand image that is active and stylish at the same time. Strategy Analysis: Nike Sportswear’s strategy is appealing to the targeted audience. It shows all of the characteristics of the shoe and how it is appealing to them. Their ad shares similarities with the competitors. Adidas’ video ads contain the same urban and active theme. Nike does have a unique brand position, as it satisfies both the active lifestyle while maintaining style. The variety of ways that Nike Air Force 1’s can be utilized in a person’s life is unique, and the support in the commercial showcases the specific ways. Nike’s strategy does allow for innovative insights because the unique brand image allows for a variety of peer models to endorse the product and increase its relevancy and reliability. Tactics Analysis: Nike’s theme in the Air Force 1 commercial is active and stylish. The selling idea of the Air Force 1 shoe is they can be worn doing strenuous activities such as dancing and basketball, but they can also be worn in casual and stylish settings such as the dance club or in a city. This is executed by showing scenes of people dancing, playing basketball, riding bicycles and ADIDAS COMPETITIVE COPY REPORT 25 partying in the club. Nike executes their creative strategy by using peer models as endorsers with the combination of descriptive Twitter hash tags. This gives the shoe an image of being active and stylish. The various scenes of activity in the commercial showcase the image. Key visuals in the ad are the scenes of dancing, basketball, the club DJ, and urban settings. Camera shots that follow the action along and give the audience the perspective of action are the primary ways that it is put together in the commercial. The music in the commercial is electronic with influence from hip-hop, directly correlating to the young audience. Effectiveness Analysis: Nike wants to convey a message to their audience that says the Air Force 1 is a shoe that fits their lifestyle. Not only does the shoe fulfill their active needs, it also fits their stylistic needs. The strategies that they are using are appropriate to accomplish the objectives. Also, the strategies are executed efficiently to accomplish the overall goal. Nike’s commercial for the Air Force 1 is persuasive and memorable. The use of hash tags engages the audience on a personal level by integrating social networks. Showing various scenes of people doing activities, while wearing the shoe, is convincing to the audience and shows the shoe’s ability. The action shots and music choice make it memorable. Visual design in the commercial seeks to be engaging and to grab the audience’s attention. Recommendations: Agency 340w proposes the following suggestions to Adidas Originals. Adidas needs to take action in conducting more research on what strategies the consumer responds to the most. In addition, Adidas needs to pursue a different strategy than the current one they are executing. It is beneficial to the brand that they endorse people like Nicki Minaj, but it is also important to focus on the product itself and not the people that wear them. Nicki Minaj may only appeal to a certain audience demographic, rather than appealing to a variety of demographics that are interested in the Adidas Originals brand. Adidas should focus its video advertisements on the identity and function of the product and not the celebrity who is wearing the product in the ad. Associating Adidas Originals with function is just as important as style. ADIDAS COMPETITIVE COPY REPORT References Nike Sportswear. (2013, February 5). Nike presents: AF1 keep it coming. Retrieved from http://www.youtube.com/watch?v=xJk09fmBcE4 26 Running Head: ADIDAS CREATIVE WORK PLAN The Adidas Creative Work Plan Sydney Loveday Agency 340w Duquesne University 27 ADIDAS CREATIVE WORK PLAN 28 Summary The Adidas Creative Work plan will provide a plan to direct the brand’s new advertising campaign. Agency 340w will determine the best advertising strategies and objectives to convey the message of the Adidas Originals line to the prime prospect audience. Media considerations and message strategies will be included in the document to showcase the best direction to take the Adidas Originals advertising campaign. ADIDAS CREATIVE WORK PLAN 29 Client and Product Identification: The client that Agency 340w is working with is Adidas. Adidas’ lifestyle clothing line Adidas Originals is the primary focus for Agency 340w. The chosen product that will be advertised is the Adidas Originals Campus 80s shoes. Key Fact/Background: The Adidas Originals line contains a style that is inherited from street culture and the world of sports. Footwear for toddlers, children, women and men are produced by Adidas Originals. The Campus 80s are a product that possesses influence from skateboarding, basketball, and hip-hop. It is composed of a suede upper body and a synthetic lining. A comfortable interior padding is placed on the inside of the shoe. The Campus 80s are priced at a retail of $85 (Adidas America, 2013). Problem: Current advertising for Adidas Originals does not put emphasis on the products. This is resulting in an unsuccessful advertising campaign. The emphasis in the current ads is placed upon the celebrities who are endorsing them. Product awareness is not in abundance with Adidas Originals. It is all about who wears them, not the product themselves. Advertising Objective: Agency 340w wants to achieve what is considered to be an attainable advertising objective. The objective is to achieve 20% higher positive attitude amongst consumers toward the Adidas Originals products within one month. Message Objectives: Agency 340w wants to achieve a specific effect on the target audience. In order to achieve a 20% increase in attitude towards the product, a certain message strategy has to be utilized. Agency 340w wants to create a positive recognition with Adidas Originals Campus 80s. The primary goal is to inform the target audience about the functionality and style that the Adidas Originals Campus 80s provide to the consumer. Creative Strategy: PRIME PROSPECT DEFINITION: Demographics: College level, college educated males aged 20-30, living in the Pittsburgh region. Psychographics: Have moderate incomes, do not have kids, watch MTV, read Maxim Magazine, interested in athletic activities and new technology, and an active nightlife. In the pre ADIDAS CREATIVE WORK PLAN 30 marital stage in their lives. Intrigued by having an exciting day-to-day life, and own stylish possessions (Nielsen, 2013). Current perceptions: Do not have an impression of Adidas Originals because they do not know much about the products. Consumers do not identify with the endorsers that Adidas Originals currently uses. PRINCIPAL COMPETITION: Primary competitors: Nike Indirect competitors: Dockers Nike’s prime prospect group coexists with Adidas Originals prime prospect group. Nike stands by the fact that their shoes are well-rounded, and can be worn in a variety of different arenas. The consumer will be able to ride a bike, play basketball and go dancing in a club all with the same shoe on. The function and style of the shoe allows the consumer to do the activities that they desire. BRAND POSITION/UNIQUE SELLING PROPOSITION: The consumer needs to position Adidas Originals as a leading brand that not only has street style and cultural influence, but also has athletic function and fit. The Campus 80s have a unique influence from a variety of different cultures, compared to the Nike AF1s. Adidas Originals is a one-of-a-kind brand that can deliver the best of both worlds. The comfort of the suede shoe, accompanied with the comfortable interior padding gives the Campus 80s impeccable style and superior performance. KEY PROMISE/BENEFIT: Product benefit: Campus 80s give the consumer the ability to have a functional shoe, while also maintaining a certain level of style. Consumer benefit: Consumers will no longer have to choose between having a shoe with style, or a shoe with function. Adidas Campus 80s provide both at the same time. SUPPORT: Simplistic, classy color schemes give the shoe its sense of style. Influence from hip-hop, skateboarding and basketball also give the shoe its sense of style and cultural influence. The suede upper body and synthetic lining, along with the interior padding give the shoe its ability to be functional (Adidas America, 2013). All of these aspects combined are what make the Campus 80s a stylish shoe with function. Mandatories/Limitations: All advertisements for the Adidas Originals Campus 80s must contain the Adidas logo. ADIDAS CREATIVE WORK PLAN 31 Media Considerations: Agency 340w proposes using six different media types to execute a new advertising campaign. A variety of media forms is an important aspect of getting the message across to the prime prospect audience. Adidas Originals needs to be advertised using Print, Broadcast, Alternative and Digital forms of media. Print: Magazine- Sports Illustrated, continuous for eight weeks after June 1st. Broadcast: Radio and Television- radio channel 105.9 the X and television channel KDKA Ch.2, continuous for eight weeks after June 1st. Digital: Websites- Netflix, continuous for eight weeks after June 1st. Digital: Social Media- Facebook, continuous for eight weeks after June 1st. Alternative: T-shirts at local sporting events, continuous for eight weeks after June 1st. Creative Direction: Agency 340w wants to associate Adidas Originals with being a brand that can deliver comfort, support and style all at the same time. Adidas Originals is a brand that loves to have fun, but can be trusted to get the job done. Agency 340w wants to construct advertisements that will get this point across to the target audience. The tone of voice will be serious, but comforting in knowing that the brand is trustworthy and competent. The advertisements will appeal to the consumer’s left brain style of thinking, be a lecture format, and showcase the benefit of wearing Adidas Originals Campus 80s. Specific advertising techniques will be utilized to execute the strategy. The following advertising techniques will be considered to convey the message that Agency 340w is trying to express. A.Straightforward Message B.Slice-of Life Message C.Personification ADIDAS CREATIVE WORK PLAN 32 References Adidas America. (2013). Adidas originals. Retrieved from http://www.adidas.com/us/content/originals/ Nielsen. (2013). Segment explorer: PRIZM. Retrieved from http://www.claritas.com/MyBestSegments/Default.jsp?ID=30&menuOption=segmentexp lorer&pageName=Segment%2BExplorer Creative Work Plan Brief: 33 Client and Product: Client-Adidas Product-Adidas Originals Campus 80s Shoes Background: Adidas Originals line is a style that is inherited from street culture and the world of sports. Footwear for toddlers, children, women and men are produced by Adidas Originals. Problem: Current advertising does not put emphasis on the products. Product awareness is not in large quantity with the Adidas Originals line. Advertising/Message Strategies: Advertising- To achieve 20% higher positive attitude within one month. Message-To inform the target audience about the functionality and style of the shoes. Creative Strategy: Prime Prospects: College level, college educated males aged 20-30, living in Pittsburgh. Principal Competition: Direct-Nike Indirect-Dockers Brand Position/USP: Leading brand that has street style, cultural influence, athletic function and fit. Key Promise/Benefit: Campus 80s give the consumer the ability to have function and style. Consumers will no longer have to choose between having a shoe with style, or a shoe with function. Support: Simplistic, classy color schemes give it style. Suede upper body, synthetic lining, and interior padding give the shoe its ability to be functional. Mandatories/Limitations: Must contain the Adidas logo Media Considerations: Print: Magazine- Sports Illustrated Broadcast: Radio and Television- radio channel 105.9 the X and television channel KDKA Ch.2 Digital: Websites- Netflix banner Digital: Social Media- Facebook Alternative: T-shirts at local sporting events Creative Direction: Brand Character: Loves to have fun, but can be trusted to get the job done. Tone of Voice: Serious, but comforting. Message Strategies: Appeal to the consumer’s left brain style of thinking, lecture format, and showcase the benefit of the shoes, utilizing Straightforward, Slice-of Life, orPersonification message strategies. 34 Adidas Ad Copies: Print and Alternative Magazine Ad Copy 35 Identification: Client: Adidas Product: Adidas Originals Campus 80s Shoes Medium: Magazine Ad-Sports Illustrated Headline: Getting down to brass tacks Sub-Headline: Adidas Originals is bringing simplicity in comfort, style and function to feet where it really counts. Body Copy: Adidas Originals Campus 80s shoes have everything you could ever want. Suede on the upper body, synthetic lining and interior padding allow you to take on the day with ease. Simplistic style, accompanied with athletic function and fit make you feel like you’ve conquered the day. Characteristics that are undeniable. What else could really matter? Visit www.adidas.com/originals to learn what else Originals offers. Typography Considerations: The headline print will be all white, all capitalized, using impact typeface, with 48 point font size. Sub-headline print will be light grey, San Serif typeface, size 24 font and bold. Subheadline print will not be in all caps, it will instead use upper and lower case lettering. Body copy print will be in light blue, San Serif typeface, size 14 font and will not be bold or in all caps. Upper and lower case lettering will be used in its place. Visual Considerations: The headline will grace the top of the page. Pictured below the headline is an image of a young male between the ages of 20-30, dressed smart and casual. Below the image of the male is the sub-headline and the body copy will be positioned at the bottom of the advertisement. The male is posed standing up, with a straight posture, hands in his pockets, looking straight down at his feet as if his attention is fixed upon the shoes he is wearing. He is dressed in casual clothing: khaki pants, with a dark blue buttoned-down shirt. The Adidas Originals Campus 80s are on his feet. Visual attention will be fixed upon the shoes, making them the focal point of the advertisement. The shoes will be straight black with the Three-Stripe Adidas logo showcased on the side of the shoes. Color scheme in the ad will be dark. Background color in the ad will be all black, and the image of the male will be brought out by artificial lighting. The Adidas Originals symbol will be positioned at the bottom right hand corner of the page. Alternative Ad Copy 36 Identification: Client: Adidas Product: Adidas Originals Campus 80s Shoes Medium: Alternative Ad- T-Shirts Headline: Adidas function. Original style. Sub-Headline: Putting individuals in a separate category since 1949. Typography Considerations: Headline print will be blue and white, all capitalized, using impact typeface. The font size will be 48 point. Sub-headline print will also be all capitalized, all black, impact typeface and font size 24 point. Visual Considerations: The headline will be positioned on the front of the t-shirt at the top half. The first line in the headline will be positioned on top of the second line. The first line in the headline will also be colored blue, while the second line will be colored white. Positioned below the headline will be a picture of a Campus 80s shoe with the shoelaces loose and untied. The shoe itself will not be positioned flat, but rather tilted forward showcasing the side and the top of the shoe. The shoe will appear to be transparent with the background color of the t-shirt showing through the shoe. The image of the shoe will be more of an outline rather than a solid image. The sub-headline of the ad will be positioned on the back of the t-shirt at the top. Pictured below the sub-headline will be the Adidas Trefoil logo. The color of the t-shirt will be light grey. Design Considerations: The t-shirt will be made of 100% premium cotton. The fit of the t-shirt will be more vintage and will be form fitting. All sizes from Small to Extra Large will be available for the t-shirts. The tshirts will be available at local sporting events as a promotion item. Special promotion nights at baseball and hockey games will distribute the t-shirts to the fans at the entrance. 37 Electronic Ad Copies: Radio and Television Radio Script 38 Client: Adidas Product: Adidas Originals Campus 80s shoes Commercial Name: Campus 80s Commercial Length: 60 second radio spot for 105.9 the X Version/ Date: Version 1, 2013 Sound: Hip-hop beat playing in the background. Setting: Urban environment, city setting. Intro: The first 10 seconds of the commercial will consist of the background music (hip-hop beat) playing with the sound of casual conversation, people walking and cars in an urban environment behind it. Delivery Person: (In a young, professional male tone of voice) Sometimes having a busy lifestyle means having to put up with some sacrifices. Maybe your career is taking off before your eyes. Maybe your relationship is speeding up. Maybe you have a little family starting right in front of you....(3 second pause) Your life may indeed have all of these things happening and it may come to the point where the man in the mirror is unrecognizable. But one thing is for certain. Now, thanks to the Adidas Originals Campus 80s, you will not have to sacrifice your style to go with your busy lifestyle....(3 second pause). The Adidas Originals Campus 80s are simplistic, stylish shoes that reflect a certain characteristic that is timeless. The Campus 80s consist of a casual, athletic look that is accompanied with a synthetic lining, a suede upper body, and an interior padding that give you the right amount of function so that you can continue to tackle your ever-changing lifestyle. I don’t know about you, but I sure don’t want to have to sacrifice any kind of style as I get older. So I will leave you with this....(3 second pause), are you willing to sacrifice your style, or are you going to do what we both know is right? Announcer: ( In a stern, professional male tone of voice) The Adidas Originals Campus 80s are readily available in most sporting goods distributors along with the Adidas Originals website at www.Adidas.com/Originals. Stop by your local sporting goods store or visit www.Adidas.com/Originals to check out a pair today. You won’t regret it. 39 Client Name: Adidas Product: Adidas Originals Campus 80s shoes Commercial Name: Campus 80s Commercial Length: 60 second TV spot for KDKA Ch.2 Version/Date: Version 1, 2013 Video Time Audio Setting: Urban Pittsburgh area. Music: Hip-hop music beat playing in the background. (CUT)(MS) SCENE OF PEOPLE WALKING :00-:10 IN THE CITY, LAUGHING, TALKING AND SITTING AT CAFES OUTSIDE. (CUT)(MS) IMAGE OF A YOUNG MALE, DRESSED IN BUSINESS CASUAL CLOTHING AND THE CAMPUS 80S, WALKING UP A STREET WITH SUNGLASSES ON AND GLANCING AT THE SCENE OF THE STREET. :11-:21 Announcer (Young Male in comforting tone of voice): There are Only a Few Things a Guy Really Counts on in Life. Those Two Things are Looking Good and Feeling Good. Thankfully, Both of Those Things Can be Taken Care of in a Simple Way. SFX: Sounds of a busy, downtown area. (CUT)(CU) YOUNG MALE SITTING ON A BENCH, LOOKING DOWN THE STREET. (CUT)(CU) IMAGE OF THE CAMPUS 80S :22-:32 ON THE FEET OF THE YOUNG MALE. Announcer: Adidas Originals Has Given us the Special, One-of-a-Kind Opportunity to Have Both Function and Style With the Campus 80s Shoes. Something That is Rare and Unique, and Goes Great With The Busy Lifestyle of a Young Professional. Music: Hip-hop beat softly playing in the background of the announcer. (No SFX) (CUT)(CU) VARIOUS SCENES OF DIFFERENT YOUNG MALES ALL THROUGHOUT THE CITY SETTING WEARING THE CAMPUS 80S WITH EACH :33-:43 INDIVIDUAL PAIR BEING A DIFFERENT COLOR. (CUT)(MS) SCENE OF THE YOUNG MALE WALKING WITH TWO OTHER YOUNG MALES SMILING AND WAVING TO A GROUP OF GIRLS. (CUT)(MS) SCENE OF THE GROUP OF GIRLS WALKING TOWARD THE GROUP OF MALES, IN THE OPPOSITE DIRECTION, SMILING :44-54 AND GREETING THE MALES BACK. (CUT)(CU) SCENE OF THE MALES LAUGHING AND SHOVING EACH OTHER AFTER THE GIRLS GREETED THEM ON THE STREET. Announcer: It Does Not Matter Who You Are, Where You Came From or Whatever Walk of Life That You Are Currently on, Adidas Originals Campus 80s Have an Individual Personality With Each Pair. (No SFX) Announcer: Confidence, Style, Attention and Sophistication Will Come in Every Direction. Gone Are the Days of Being Just Another Face In the Crowd. Music: Hip-hop beat playing over the scene. (No SFX) 40 Web Ad Copy Web Ad 41 Identification: Client: Adidas Product: Adidas Originals Campus 80s shoes Medium: Digital Web Ad Ad Type: Full Banner Ad-animated & interactive Media Vehicle: Websites- Facebook and Netflix Version/Date: Version 1, 2013 Headline: Original Style. Traditional Adidas Function. Sub Headline: Campus 80s. Bringing Out Your Sophisticated Originality. Typography Considerations: The typography of the headline will consist of two different colors. The first half of the headline, “Original Style,” will be colored white. The second half of the headline, “Traditional Adidas Function,” will be colored black. Both parts of the headline will be Impact typeface, with a 24pt size font. The sub headline will be the same color throughout using the color maroon. Typeface on the sub headline will be Sans Serif, utilizing 18pt font size. Visual Considerations: Placed on the top, left half of the banner will be the first half of the headline stating “Original Style.” Directly positioned to the right of the first half of the headline, in the middle of the banner, will be a picture of the Campus 80s shoes. One of the shoes will be lying flat and the other will be lying on its side, showing the bottom of the shoe. Positioned to the top, right of the image will be the second half of the headline stating “Traditional Adidas Function.” Below the image of the shoes will be the sub headline, placed on the bottom and middle of the banner. The image of the shoes will be black and white, putting emphasis on the Adidas logo on their sides. The background of the banner will be metallic silver, giving the banner a glossy look. The Adidas Originals logo will be placed directly at the bottom, right hand corner of the image. Interactivity Considerations: When the surfer first arrives to the Facebook and Netflix websites, each component of the ad will pop up toward the surfer. The first half of the headline will pop out first, the second half will pop up second, and then the image of the shoes will come third with the sub headline following. If the user clicks on the image of the shoes, it will direct them to the product page on the Adidas website. If the user clicks the Adidas Originals logo, it will direct them to the Adidas Originals website. The Adidas Originals logo will have a reflection of light periodically shine on it, in order to grab the surfer’s attention.