Friday, September 11, 2009

Marketing Strategy

UA has limited marketing dollars in comparison to their competitors. These dollars must be used strategically in order to achieve advancement in the market. Under Armour’s mission as stated on their website is, “To make all athletes better through passion, science, and the relentless pursuit of innovation”. The company utilizes a two-part marketing and branding strategy. The first part is selling its products to high profile athletes and teams. The other part involves using product placements and sponsorships. Since its inception the company has relied on positive word of mouth customer satisfaction. As detailed in the most recent Annual Report, Under Armour “seeks to drive consumer demand for products by building brand equity and awareness as a leading performance athletic brand”. Advertising campaigns, promotions, and marketing are all internally produced in order to keep key control over the brand image. Selling products to professional and collegiate athletes and teams allows Under Armour to create an ongoing marketing scheme that also increases its brand authenticity among potential consumers. These athletes and teams wear their Under Armour during the game and at practices. An ongoing marketing scheme is created by the various types of media that could capture the team or athlete performing while wearing Under Armour. For instance, Devin Hester is a wide receiver for the Chicago Bears football team. He also has a sponsorship agreement with Under Armour. Fans at the Sunday night football game will see him sporting the Under Armour gear as well as fans watching the game on television or even streaming it live online. Assume that he catches the winning touchdown in this game and his picture ends up on the front page of the Chicago Tribune or even in an article in the ESPN Magazine, yet another set of consumers are exposed to the image of this professional athlete performing while wearing Under Armour. All of these images reach different consumers. They all see a professional athlete using Under Armour. They also see it working for the athlete. This repetitive image invokes authenticity into the brand image. While Under Armour seeks established athletes, their main goal is to catch the new and upcoming sports stars. This strategy falls in line with their on the edge of technology, innovative reputation and it is also less expensive. Under Armour has used product placements as a main market strategy to increase consumer awareness. Any Given Sunday was Under Armour’s first break at product placement in a blockbuster movie. These strategies along with their fierce and passionate commercials create a brand that is viewed as a force to be reckoned with.

3 comments:

  1. I too am a lover of Under Armour! Clearly their marketing strategies surrounded by professional athletes work because the brand does very well. I'm fairly certain that in some shape or form Ralph Lauren's activewear competes with Under Armour, but definitely not for the endorsement of athletes. Too bad...I'd love to see Tom Brady in a Polo ad!

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  2. UA is our #1 athletic apparel seller at Hibbett, despite rarely going on sale. Nike Pro is a close 2nd (Nike is more apt to sale involvement), but UA is top-quality and the name sells itself. Very good stuff!

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  3. I love under aromour gear. It is my favorite to work out in. I agree with T Ryan the brand does sell itself.

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