Three Stripes Branding At Adidas

Running head: MARKETING 1

Case 3: Three Stripes: Branding at Adidas

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MARKETING 2

Case 3: Three Stripes: Branding at Adidas

According to Alsbiei (2015), not every business flourishes and is successful, some firms

stand out from others depending on their ability to satisfy their customers, attract trust and

loyalty from its customers. As noted in the video and echoed by Dumitriu (2012) and Alsbiei

(2015), branding is an essential marketing strategy that many firms use as a competitive

advantage and be a leading firm. If the customers are familiar with a particular brand the higher

the change of them procuring the product or service; thus, branding is a crucial tool worth

inflecting consumer-purchasing behavior (Grewal & Levy, Marketing, 2016).

Adidas is one of the leading and known brands in athletic footwear and other wears. It

has a large market across the globe (Hu, 2014). With an extensive market characterized by

diversified preferences and tastes among different customer needs, it is imperative for any

company to segment its markets based on the preferences, tastes, trends and demographic factors

among others (Grewal & Levy, Marketing, 2016). The most significant and primary target

market at the unveiling of Adidas was the athletics which remains the largest market for Adidas

products. Adi Dassler who was a passionate and dedicated athlete committed to making himself

and other athletes better founded the brand name Adidas, making the athletes brand’s first

market segment (Grewal & Levy, 2016). Besides the athletes and sportspeople, lifestyle

customers also constitute a significant market segment for the Adidas. The Adidas sports

performance target young demographics that engage in varies sports activities such as baseball,

soccer, football, among others in high school and college among other outdoor sports activities

(Mahdi, Abbas, Mazar, & George, 2015). The Adidas kids in the hallway brand target the kids

allowing the kids to match the footwear with fashionable clothes such as jeans. Adidas targets as

well consumers interested and more intrigued by the new trends in the market fast fashions

MARKETING 3

(Grewal & Levy, 2016). Adidas base their segmentation strategies of demographics; for instance,

they have products tailored for men, kids and women customers. Other segments are defined by

market trends, consumer behaviors, and based on the intention (athletes and lifestyle) (Grewal &

Levy, 2016).

Grewal and Levy (2016) note that branding promotes customer loyalty arguing that if

customers are more familiar with the brand, they are more likely to buy it. Besides, it acts as an

identity for the firm and reduces marketing costs. Chris Murphy, the corporate affairs manager

for Adidas America, notes that the “three stripes” logo of Adidas brand has been a milestone in

marketing and consumption of Adidas products (Grewal & Levy, 2016). The logo identifies the

brand enabling it easily distinguishable. Adi Dassler message and passion of making athletes are

embedded in the brand hence giving the company its iconic name and promoting its

identification. The three stripes logo helps the brand to stand out being authentic and unique

hence any customer who comes along with a shoe or clothing with three stripes, s/he recognizes

it as an Adidas product (Grewal & Levy, 2016). The “three strikes” logo has been consistent with

the entire history of Adidas brand to date even through stripes may be placed at different places

on the shoes (Grewal & Levy, 2016). The consistency of the iconic logo has continually

influenced a positive perception among the customers hence increasing its sales and customer

loyalty.

As a brand recognition expands, the customer base increases as it stretches to other

regions. As Adidas recognition expanded, it was imperative for the company to expand its

market domain and meet the needs of its markets as well (Mahdi, Abbas, Mazar, & George,

2015). The inception of the Neo, Sports Style and Performance sub-brands was aimed at

studying the meets of the market due to the diversification of consumer preferences and market

MARKETING 4

trends. Grewal and Levy (2016) emphasizes on the importance of being innovative, and the sub-

brands was a creative idea that has helped Adidas grow its sales and maintain its brand name as

opposed to if it could have unveiled a new brand.

MARKETING 5

References

Alsbiei, O. A. (2012). Adidas Group: Strategic Analysis. Sharjah, UAE: University of Sharjah.

Dumitriu, R. (2012). The Role of Branding In Marketing Strategy. Management & Marketing

Journal, 10(1), 125-132.

Grewal, D., & Levy, M. (2016). Marketing (5 Ed.). McGraw-Hill Education.

Grewal, D., & Levy, M. (2016). Three Stripes: Branding at Adidas. In Marketing (5 Ed.).

McGraw HIll Education.

Hu, J. (2014). Sportswear branding in China: a comparative case study of Li Ning and Adidas

(Thesis). University of Applied Sciences.

Mahdi, H. A., Abbas, M., Mazar, T. I., & George, S. A. (2015). 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.

International Journal of Business Management and Economic Research, 6(3), 167-177.

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