Download Describe the elements that make up the marketing mix.

Case Study: Adidas
Marketing 1030
July, 16th 2015
Describe the elements that make up the marketing mix.
“As a market-orientated organization Adidas continuously identifies and reviews consumers’
needs to ensure its products meet these needs. It aims to exceed customer expectations by
adapting its product portfolio to meet the changing needs of consumers. It is this focus on its
customers, teamed with product and marketing innovation, that plays a key role in Adidas’
success.”
Adidas determines what its consumers want and then use the four P’s of advertising: product, price, place, and
promotion to tailor their marketing strategy. For Adidas they were among the first to see the potential in sports
marketing, which sponsors different sport competitions and athletes. They have been doing this since 1978, when
they sponsored the FIFA World Cup.
Explain the term sponsorship. Name a sponsorship deal that you think
was effective.
Sponsorship is defined as backing, supporting, funding or financing another individual or team. Adidas has
sponsored thousands of different athletes and teams across the globe over the years. This recognition has bought
them loyalty within the hearts of their customers, a few of these include:

Jesse Owens’ 4 gold medals in Berlin 1936.

Cassius Marcellus Clay (Muhammad Ali) taking gold in the
boxing light-heavyweight division at Rome 1960.

Dick Fosbury’s revolutionary new back-first high jump technique at Mexico 1968, known as the ‘Fosbury
Flop’.

Gymnast Nadia Comaneci’s perfect 10 at Montreal 1976.
This case study demonstrates how Adidas used innovative marketing strategies in its sponsorship deal with the
London 2012 Olympic Games to engage with young consumers in the UK and across the globe.
Analyze the importance of using both above-the-line and below-the-line
promotion for an effective marketing campaign.
Above-the-line promotion refers to traditional methods of advertising, such as, print adverts in magazines and
newspapers, billboards or online and TV advertisements. This form of promotion is expensive. Above-the-line
activity for Adidas’ campaign included TV adverts that showcased the best UK talent across sport, street and
style. Below-the-line promotion aims to reach more targeted groups of consumers. For example, through
sponsorship deals, direct marketing, public relations and social media. Below-the-line promotion targeted at the
youth audience was a key method for Adidas to achieve its marketing objectives. It used a wide range of
promotional activities to create deeper engagement with its audience, mixing traditional media with an innovative
use of social and digital channels. The scale of the activation of this campaign was an industry first.
The importance of using both was that Adidas was able to reach many more demographics with bot above and
below the line promotion. They were focused on the younger 14 – 19 age group, and the traditional above-the-line
method was not as effective in reaching this age group as it is for their older existing customer base. Using belowthe-line promotion through things like social media and YouTube videos, they were able to reach more of the
younger demographic. This helps them get younger, long lasting customers that will continue to buy their products
throughout their lifetime.
Evaluate the effectiveness of Adidas use of social media in its ‘Take the Stage’
campaign.
"Social media played an integral part in Adidas’ campaign. For example, on Twitter
#takethestage became the summer trend for supporting Team GB. Videos on YouTube created
hundreds of millions of views, including a video of Team GB athletes singing along to Queen’s
‘Don’t stop me now’. In addition, a large photo booth was set up at Westfield shopping centre
in Stratford. Members of the public then entered the booth to show support for Team GB.
Videos of peoples’ reactions to David Beckham making a surprise appearance received 3.2
million views, as well as international TV coverage."
The use of Adidas below-the-line promotion through social media with the ‘Take the Stage’ campaign was a huge
success. They were able to generate 8 million views on their #takethestage content through YouTube. Out of that 8
million, 2.5 million of the views were from 14 – 24 year olds. The Adidas “Don’t stop me now’ video of athletes
singing the popular Queen song, was the most viewed video on BBC’s website during the 2012 London Olympic
Games. They also increased their Twitter followers by 25% in this time, with 128 million impressions for the
#takethestage hashtag. This also was reflected in it return on investment. Adidas market share grew by 2% after
this campaign, and had 100 million product sales in 2012. This displays the effectiveness of this marketing
campaign.