Reebok’s Gameplan in

India“Have Fun While you Run”

Presented By:

Tushar Atrey Sumit Dhandhania Abishek K Rao Rohit Jamkhandi Nirav Patel Ananya Pandey

$3 bn fitness & sportswear giant

Came in India in 1995

Rs.1.3 bn business in India in 2002

50% market share in sports shoes in India

Near about 15% growth

The “Fitness Brand”

Rbk- Intro

Indian Footwear Market

Middle Class ( approx 10 mn) – Rs.500 to Rs.750

Premium ( 2 mn) – Rs.700 to Rs.1200

Super Premium – Rs.1200 and above

Super Premium – expected market of Rs.2.5 bn

Estimated Annual Growth – 10% to 12%

80:20 joint venture with Phoenix Overseas

Initially 65 types of shoes , and other sports garments in

5 exclusive stores in Delhi & Mumbai

In 1999 , 40 models introduced b/w range of Rs.990 –

Rs.1500

Cricket Shoes Pro & Golf Footwear range was introduced

First Concept store – Planet Reebok

Tie-Up with Bata for retailing footwear

By 2001, Reebok had 65 exclusive stores & 700 shops in

78 cities

Reebok Gymansium set up in Delhi & Bombay

Also organizes certification courses for fitness training

instructors.

Reebok in India

Reebok’s Strategies for Indian Market

Reebok

Focus

Diversification

Fundamental

Approach

Brand Visibility

Strategies

Celebrity endorsements like MS Dhoni and Bipasha Basu

Investing 30% in ATL and 70% in BTL activities.

Sponsored 4 teams in IPL Season 1 & 2

Targeting Women

Kids Range

Targeting developing countries

Offering variety of products – Fitness Products & Accessories

Market Share in India

40%

20%

15%

15%

Market Share

ReebokAdidasNike Others

* Only Market where Reebok is No.1Source:Technopak Advisors

Rbk’ Fitness PlatformVision : To enhance fitness

consciousness Till Now………..

Created awareness about fitness among Indians Reebok instructor alliance program (RIA) Set up Reebok gymnasiums in Bangalore & Mumbai Customized fitness apparels for women Range of personal fitness equipment More spending on fitness related events & activities

Road Ahead :

Indian Fitness Industry expected to grow 20-30% annually. Sponsorships in Sports Launching RunTone & TrainTone under EasyTone Collection Coming up with Fit to Fly and Fit to Flex fitness centres soon ReeZig – introducing Zig Technology for men

Reebok for Kids

Tapped Indian Kids Market Market Estimate Rs 10 Billion Special Edition Shoes for Kids Relatively low priced Customized Schools shoes with

Reebok Logo Brand Ambassador : Rahul Dravid Pricing Range: Rs 840 – Rs 2000 In 2002, Reebok for Kids became a

brand extension.

Competitive Analysis

Adidas• Performance Brand

•Selective Retailing Distribution

• Focus on Brand Visibility

• Targeted Diversification and Segmentation

Nike• Retail Promotion of Brand

• Awareness to be major promotional tool

• Structured Marketing Campaigns

• Creation of Distinctive Identity

Rbk Vs. Adidas Vs. Nike

Adidas moves out of the picture as a major competitor

Nike offering Wide range of Products

Aggressive marketing strategies by Nike with 40-50 models

of footwears & 100 new kinds of apparels every month

Reebok focusing on Fitness products

Opportunities in IndiaLow & Medium Priced RangeRun Easy CampaignsPlethora of opportunities in untapped Ladies & Kids Segment• Lion share around 80% of unorganised players in Ladies &

Kids segment• Tier II and Tier III towns can be potential targets

Estimated growth in the Industry is 12% & estimated to touch Rs,47000cr by 2025 Reebok Fitness Online workout Footwear export is growing at 18% annually Lifestyle brand for 17-35 yrs group

Question 1

Reebok was one of the first multinational sports footwear and apparel manufacturers to enter India. Soon after its entry, Nike and Adidas, the other two global players, also entered the Indian market. What were the strategies adopted by Reebok India to stay ahead of its competitors? Do you think these strategies can sustain Reebok’s lead position in the future.

Question 2

Globally, Reebok is positioned as a total fitness brand. However, the fitness footwear and apparel market in India is at nascent stage, and has limited scope. Do you think Reebok can maintain its lead position in India by banking on its fitness platform? Give reasons to justify your answer.

Question 3

Nike and Adidas are two strong competitors of Reebok. What are the strategies adopted by Nike and Adidas to compete with Reebok in the Indian market? Do you think they are capable enough to compete with Reebok?

Thank You ….