Reference no: EM133200359
Assignment: Under Armour Inc Case Study
Textbook: Zubin Sethna and Jim Blythe, Consumer Behaviour, 4e. SAGE Publishing, 2019.
Chapter 2: Decisions, Behaviours and Interactions.
Case: Under Armour, Inc
When decisions are made with a degree of creativity and ingenuity, even small businesses can and have built strong branded businesses going up against much larger competitors with infinitely higher resources. One such example is a company called Under Armour.
Under Armour today is a major American sports clothing and accessory company founded by Kevin Plank in 1996, just after he graduated from college at the age of 23. The company specialises in sportswear and casual apparel. In particular, Under Armour focuses on hi-tech sportswear for professional athletes and thus has come to be known as a brand that specialises in professional sports.
The origins of the brand go back to the time when, as a high school and college level athlete, Plank got tired of the way his sport attire felt as sweat accumulated, as a result of his physical activities. To remedy this problem, he set out to design and manufacture sportswear that would not be weighed down by sweat. He believed that this would be appealing to professional athletes. The vision was there, the product was there and the quality was there. What were still missing were the awareness and the legitimacy of the brand.
Plank knew that he had limited resources and could not compete head on with the marketing power of the major players such as Nike, Adidas and Reebok in the sportswear industry. Instead of advertising through mainstream channels such as TV, billboards and magazines, as the major players did, Plank turned to his network: he took his brand to his friends in the locker room. By giving the clothing he had designed to his college friends who had now been drafted into professional football, he was able to get his clothing line into the locker rooms of a dozen or more professional football teams, as some of his friends who really liked what Under Armour had to offer started to use his line of clothing in practice sessions and after games.
Other sport celebrities who were introduced to the product by word of mouth in locker rooms also started to wear Under Armour clothing, becoming de facto free endorsers for the brand. As the Under Armour brand awareness and popularity grew among professional players, it also became apparent to the broader consumer market for athletic apparel, establishing the brand firmly in this broader market, both in terms of awareness and credibility. The company has since been invited by Warner Brothers to provide outfits for major films as well as having expanded into numerous other sports (for instance speed skating teams in the 2014 Winter Olympics). If this wasn't enough, they made a strategic decision to buy popular digital apps in the sports market. ‘MapMyFitness', ‘MyFitnessPal' and ‘Endomondo' are now all wholly owned by Under Armour. Thus, aligning a good product with a well-thought-out brand communication strategy can transform a small business into a successful branded business, even in a category dominated by global majors.
Task
A. How was the need for the product activated?
B. What is the relevance of the information search process to Under Armour?
C. How does involvement figure in the promotional process for the product?
D. Why would someone recommend Under Armour to a friend?
E. Why is the brand name important?