The global Outdoor Jackets market was valued at USD 28610 million in 2020 and is expected to reach USD . Exhibit 39: Market share by geography 2020-2025 (%) 9.2 Geographic comparison. Additionally, we passed one million Segmentation. Targeting women specifically would fall under niche segmentation. Once again referring to their first campaign advertisement, they use ballerina Misty Copeland's powerful story of . B. One of these strategies is segmentation, which is the act of breaking down a large market into smaller categories and targeting them (Kardes, Cronley, & Cline, 2011). geographic, and consumption data of those segments (Cline, Cronley, & Kardes . Consumers are similar to that of competitors , but their product has further niche marketing strategy in the sense that, they focus on the athletes . 9.1 Geographic segmentation. Under Amour ventured into the female market segmentation bravely after witnessing fellow competitors fail to engage with . Women rank Under Amour as number . Brand partners such as Under Armour, an American sports equipment company, also leverage Zalora's insights through TRENDER Professional, a data solutions service. Under Armour and Market Segmentation Market segmentation is the action of further separating the mass market into smaller groups of individuals who share common interests, hobbies, characteristics, behaviors, or needs (Kardes, Cronley & Cline, 2013). Under Armour additionally used psychographics, which measure different lifestyles and social values (Kardes, Cronley, and Cline, 2020), in their marketing strategy through the focus of women empowerment and inner strength. Under Armour's Segmentation Strategy Under Armour was founded in 1996 by Kevin Plank. In Under Armours case they want to expand the demographic of their consumers by exploiting the woman segment. Explore the five specific ways that markets can be segmented in order to create successful sales opportunities, including behavioral, psychographic, demographic, and geographic segmentation . Under Armour is a pioneer of performance apparel. Competitive and Segmentation Analysis: . Under Armour is available through our website, www.underarmour.com . Under Armour entered the footwear business in June 2006 with the launch of football cleats. In the case study article, what market segments were identified and what segmentation strategies were implemented? Exhibit 95: Under Armour Inc . Under that women and men diverge in opinions. Under Armour analysis focuses on four segmentations, Demographic, Geographic, Psychographic, and Behavioral. For instance by combining demographic and behavioral . Once again referring to their first campaign advertisement, they use ballerina Misty Copeland's powerful story of . 9. Here are the weaknesses in the Under Armour SWOT Analysis: 1. . Under Armour's stock falls after removal from the S&P 500 . Segmentation allows a company to group a large diverse market into subgroups . This campaign using these celebrity female athletes created a lot of discussion on Social Media which in turn benefitted Under Armour. Relatively new company with limited stores and presence in few markets. 9.1 Geographic segmentation Exhibit 39: Market share by geography 2020-2025 (%) 9.2 Geographic comparison . Demographic segmentation is one of the most important factors in determining who Under Armour needs to market the Healthbox product for. The market segments that were identified were focused on women and the growth of women's apparel in the company. (Murray, 2017) It was then that owner Kevin Plank made it a goal to better capture the women . The segmentation strategies used were differentiated segmentation and . Geographic is another big one, a company that sells plows isn't going to target consumers who live in warmer climates like Florida or Alabama. Geographically Under Armour aims for worldwide buyers, focusing its targeted market on athletes and active life styles. I also have four key points to remember when implementing this strategy: 1) Be specific with your target market. age, gender etc), geographic, behavioral (e.g. The company has annual revenues in the range of $5 billion. 3) Behavioral Segmentation. Nike earned $8.3 billion from Greater China, $8.3 billion, and $5.3 billion from the LATAM and APAC regions. Under Armour entered this segment too, but is still working to keep the viral momentum. A strikingly large amount that put them firmly in competition with industry leaders such as Nike and Adidas. Under Armour analysis focuses on four segmentations, Demographic, Geographic, Psychographic, and Behavioral. The gender and age must be viewed by Under Armour as a key selling point. Under Armour stays in the competition by having . -4.01%. Market segments identified and the implementation of segmentation After careful analysis of the case study article, the market segments that are identified is the athletic wear meant for both women and men which Under Armour identifies. In the case study article, what market segments were identified and what segmentation strategies were implemented? . attitudes, benefits, motivation and personality). Fitness App Market Global Size, Share, Forecast 2022 - 2028. Under Armour Market Segmentation In the case study Under Armour's Willful Digital Moves, two key segments are discussed; Men's Athletic Apparel and Women's Athletic Apparel. What primary segmentation approach is being executed? So, in the article we noticed that Under Armour initially marketed to male football players, then . . They lack in woman sales so want to make a strategy to help reach the woman consumers. View Details Vantagemarketresearch.com. Darden Business Publishing - University of Virginia. Behavioral segmentation is different from the other market segmentations because the data you collect is based directly on consumer behavior. In this blog we have been asked to determine how to identify different types of market segments and consider the best marketing strategies for reaching them through the uses of the case study. The first ad with Misty Copeland was run on a multichannel platform, with social media at its core (Saghian and Murray, 2016). Although with apparel and sports the market can be broad, for the most part Nike primarily targets consumers who are between the ages of 15-40. In Under Armours case they want to expand the demographic of their consumers by exploiting the woman segment. In 2013, Under Armour had amassed its sales revenue to $2.3 billion. Nike consistently generates more revenue from North America than any other region. The demographic segmentation of this market is wealth, all age groups, mostly male, athletes and sport . In the case of Under Armour, the company decided to target the market segment of women. Exhibit 94: Under Armour Inc. - Business segments. In the case study article, what market segments were identified and what segmentation strategies were implemented? Demographic segmentation is a factor used by Nike to target individuals according to their age, life-cycle stage, gender, occupation, and generation. (Iacobuci,2013) Under Armour's target are the athletes, "To make all athletes better through passion, design and the relentless pursuit of innovation. Under Armour's demographic segmentation has changed over the years. The YouTube ad went viral with 4 million views in the first week", (Murray & Saghian, 2016). Yet still, only $500 million of their sales were from women's apparel. More than 10,000 employees are a part of the organization globally. which centers on Under Armour's. "I Will What I Want . We know that the demographic base was gender specific with a target on females. Founded in 1996 by Kevin Plank, a former University of Maryland football player, Under Armour products were positioned as . The four segments to consider were demographic (age, income), psychographic (lifestyles, personalities, and values), behavioral (purchasing conversion rates), and geographic (areas more apt to relate) to capitalize on women's fashionable sporting apparel. In the Under Armour's Willful Digital Moves article it dives into how the athletic company Under Armour took their brand to a whole new level through focusing its marketing efforts solely on a vaguely capitalize female market segmentation in the sporting goods industry. Global Outdoor Jackets key players include Nike, Adidas, Under Armour, PUMA, Sketchers, etc. Our current price estimate for Under Armour has priced in a high annual growth rate of ~20% for this market till the end of our forecast period. By gathering insights about the market and segmenting effectively, Under Armour was able to build a profitable and competitive brand. Strategic Issues= primarily leading to do with the fit of the segments needs to corporate philosophy and intended positioning. In the Under Armour case study article, Under Armour identified women and women athletes as their next market segments. Data based segmentation on consumers Demographics = gender, age, stage in household, lifestyle etc. In 2013 Under Armour launched a market campaign called, "I Will What I Want" on a multi-channel platform, with social media as it's main source (Saghian & Murray, 2016). Under Armour's Willful Digital Moves. Under Armour was created in 1996 and originally targeted the football -guy image with football pads and shirts to be worn under football gear. (Kardes, Cronley, Cline, p 45, 2013). Demographic-based segmentation is the most popular segmentation because they are easy and inexpensive to measure (Kardes, Cronley, & Cline, 2013). 2. They still focus on marketing and selling their products to consumers for use in athletics, fitness . Under Armour's operating income worldwide 2008-2021 Revenues of the leading companies in the sporting goods retail sector in Germany 2020 U.S. retail sales of outdoor products in 2019, by type Under Armour's segmentation & strategy. In the quarter ended June 30, its net revenue dropped by 41% to $707.6 million, wholesale business revenue dropped by 58%, and direct-to-consumer sales fell only 13%. Under Armour Weaknesses. In 1998, they moved to a new headquarter and warehouse in Baltimore. Under Armour went public in 2005. Global Outdoor Jackets key players include Nike, Adidas, Under Armour, PUMA, Sketchers, etc. Under Armour Inc. VF Corp. . What primary segmentation approach is being executed? Running head: SPORTSWEAR MARKET SEGMENTATION Under Armour Market Segmentation in Singapore Author Note Table of Demographic, Geographic, Psychographic, Behavioral, and Combination- knowing and understanding your target market is essentially the first step in success selling. Launched in 2020, the service provides consumer insights on geographic segmentation, buying behavior, and pricing preferences through interactive dashboards with filterable views. To help increase sales and market share, a new campaign called "I Will What I Want" was created to target only women in the $277 billion health, fitness and weight loss industry (Under Armour's Willful Digital Moves, 2016). Copy Link. But, how did Under Armour break through the giants of sports apparel Adidas, Nike, Puma etc? Under Armour Inc. is gaining favor with an older crowd of shoppers, according to the most recent athletic survey from B. Riley. . Based on my segmentation, I would target the geographic top UK areas for young professionals focussing on the places with the highest average salaries. Try our corporate solution for free! They lack in woman sales so want to make a strategy to help reach the woman consumers. 2014). The combination of these segmentation bases and a creative approach to the campaign resulted in $15 million, a 28% increase in women's sales and a 42% increase in traffic to UA.com, which made it "the largest global women's marketing campaign Under Armour had ever run." (Darden, 2016). Exhibit 39: Market share by geography 2020-2025 (%) 9.2 Geographic comparison. Under Armour Inc. is a multinational firm founded in 1996 by Kevin Plank which sells sports shoes, accessories and apparel. They identified their need to break into the female segment and chose to do so by using emotion to attract women to the Under Armour brand. Even more so, implementing market segmentation strategies means breaking down markets into demographic, geographic, psychographic, attributes/benefits and behavioral slices to better focus on the parts you want and need to .