Wait a second!
More handpicked essays just for you.
More handpicked essays just for you.
Shoe industry case
Shoe industry case
Athletic footwear industry analysis
Don’t take our word for it - see why 10 million students trust us with their essay needs.
Recommended: Shoe industry case
For an extended period of time shoes have been an integral part of the modern consumer’s life. According to the vast majority of fashionably inclined individuals, shoes can either make or break a person’s entire appearance, which explains why people invest their hard earned coins into comfortable abodes for their feet. Particularly, the annual budget consumers spend on shoes in the United States is approximately $20 billion dollars, and $6.46 billion dollars stem from running shoes alone. This is what initially piqued my interest and compelled me to interview a manager from one of most popular shoe stores known as Footlocker. As a side note, the interviewee was only willing to share the information because he is no longer an employee of …show more content…
Even though this policy is practiced throughout the entire district, this particular Footlocker did not always adhere to the aforementioned rule. Primarily, the company was willing to do whatever it takes to perpetuate customer retention. The interviewee explained that there was no such thing as a customer wearing a pair shoes out beyond the 90 day policy. Strictly speaking, if the product failed the customer in any way, shape, or form, Footlocker was willing to jump through hoops to appease the consumer. Essentially, this behavior derives from Footlockers customer service training. When employees are hired, they are taught the form, fit, and function, of the shoes, in addition to jargon such as pronating, and supinating. This allows the managers and sales associates to determine what shoe is best fitted for the consumer, which generates many accurate …show more content…
It is imperative for customers to understand why different brands do not fit similarly on the feet. Customers who are not receptive to the information Footlocker employees are relaying to them, often become baffled or confused when their shoe size varies between two or three brands. Further, this is one of the vital reasons Footlocker’s managers are adamant about teaching its employees the three F’s (fit, form, function). When employees are knowledgeable of the company’s product lines, helping the customer find the right pair of shoes is a simple
In the mock press release create by “The Onion”, the new shoe insert Magnasoles are described as being set apart from all other shoe inserts by the pseudoscience that the sole imploys. The new soles are being marketed as having magical powers are curing peoples injuries and changing the ways that people are walking. The writers of the press release use falsified ethos and claims in order to show the public how gullible consumers are becoming.
For example, lifestyle is one the major psychological factors that pushes the organization’s strategy. Lululemon wanted to create a “community hub where people could learn and discuss the physical aspects of healthy living, mindfulness and living a life of possibility”. Customers buy high end ‘lulu’ leggings to be part of the self-transformation movement lifestyle. The clienteles who purchase Lululemon’s leggings also perceive them to be of higher quality, thus don’t mind spending more if they receive better quality in return. Overall these psychological factors make Lululemon a popular exclusive brand that promotes the idea of a better lifestyle, this consumer behavior has helped Lululemon become more known with many sociocultural influences. With the increase of yoga and social media throughout the years, Lululemon is presented as a staple for yogi’s and athletes online and in person. Yoga instructors teach classes, pose in Instagram photos, and participate in self-exploration experiences all while wearing Lululemon leggings. This sparks the interest of consumers new to the lifestyle who view this as an influence to buy a pair. Lululemon also have a loyal clientele base that rave about the quality and comfort that come with buying a pair of Lululemon leggings. With the popularity, and the higher cost, many see buying a pair of leggings as
Sneakers are one of the many things we wear day to day. You’ve most likely gone to the mall or a local store to buy a pair. If you’ve never bought a pair of sneakers from Foot Locker, then stop what you’re doing and go get yourself a pair right now! Foot Locker only sells what's best out there in the market, if a pair of sneakers is Foot Locker approved then you won't even have to hesitate about getting them. Not only will you be satisfied with the shoes you buy but Foot Locker is always supplied with the latest athletic clothing. Foot Locker was founded in 1879. This company is one of the many on the NYSE (New York Stock Exchange). The headquarters of the store is located in New York City, New York. This company is one of the most successful athletic sportswear and sneaker retailer in the world. Throughout North America, New Zealand, Europe, and Australia this company operates about 3,335 athletic retail stores under the brand names of: Footaction, Lady’s Foot Locker, Kids Foot Locker, Foot Locker, Champs Sports, The Locker Room, and SIX:02. Foot Locker focuses on their customers too, its more then just the money they make, and getting the good quality shoe, equipment, or apparel to you, they also give away scholarships. On the stores website (www.footlocker-inc.com) after you click the “About Us” section a banner appears. The banner talks about how they give away 20 of their $20,000 scholarships. The chance to apply only comes from October 2nd- December 19th, The following are the rules and what you need according to the Foot Locker website, “ The applicant must:
People are often deceived by some famous brands, which they will buy as useless commodities to feel they are distinctive. People require brands to experience the feeling of being special. People spend their money to have something from famous brands, like a bag from Coach or Louis Vuitton which they think they need, yet all that is just people’s wants. Steve McKevitt claims that people give more thought on features or brands when they need to buy a product, “It might even be the case that you do need a phone to carry out your work and a car to get around in, but what brand it is and, to a large extent, what features it has are really just want” (McKevitt, 145), which that means people care about brands more than their needs. Having shoes from Louis Vuitton or shoes that cost $30 it is designed for the same use.
"Opinion | Your TOMS Shoes Won't save the World." The Miami Student. N.p., n.d. Web. 29 Nov. 2013.
Footlocker’s marketing plan entails selecting the target market, integrating the best marketing tactic to reach as many customers as possible, and customer retention initiatives. Essentially, this customer-driven marketing blueprint is classified as the marketing concept, which does not rely heavily on promotions to procure sales. Instead, the company learns to pinpoint what the customer wants before he or she does, to accommodate existing and future needs. Moreover, within the past five years, a new store entitled House of Hoops has made its debut in the same mall as Footlocker, which has caused the veteran shoe store to experience a decline in sales. This suggests that Footlocker may need to modify its sales strategy to help the company attract more customers to the store. “House of Hoops has a variety of shoes, and a large store front,” stated the interviewee, “customers are drawn to the store because it is new and possesses a
CIMA is not sure what percentage of sales the typical footwear company makes through t...
Nike’s goal is to remain unique and different from others in terms of the items offered on the market. Arguably, Nike belongs to a monopolistically competitive market as there only a few organizations with the ability to regulate the amount charged for their product which means they cannot make their prices high as this is likely to make customers move on to other available choices (Nike, Inc., 2012). However, Nike can find a balance between the prices to charge for their products and remaining competitive with other companies in the industry. Nike has formed a distinction between the appearance and performance of their footwear and that of their competitors. Although products are differentiated from other companies, they still influence each other because they are items of the same
Although we have been expanding our facilities by building extra capacity, we have not been able to contribute shoes to the private-label and therefore, we have not employed a global strategy for that market. When we are able to sell shoes to the private-label footwear industry, we will also use a global strategy for that region as well.
According to consumer research conducted by GFM, both consumers and retailers regarded socks as a product category, which was hard for companies to achieve product differentiation. In fact, most companies in this market like Chipman-Union manufactured unbranded socks for private label merchandise, because it was extremely hard to get consumers' brand awareness, and to make them recognize the product features. As a result, there were only two companies which manufactured branded socks : Burlington and Interwoven.
Along with ample amounts of deals, Shoe Carnival also sets itself apart from the rest of the footwear market by stocking a greater amount of shoes than other retailers. Michael Smith, the Vice President of Real Estate, says that “Our average store will stock 28,000 pairs of shoes,” (Retailer Merchandiser). “That is far superior to our competitors. We can carry more colors, more sizes, and that gives us the ability to satisfy the consumer on a consistent basis,” he continued, “We have everything from athletic shoes to work boots to sandals and slides. We provide quality brands at a reasonable price, which is why most of our customers buy multiple pairs” (Retailer Merchandiser). Some of their
Main drivers for US profitability has been within women shoes, broken down in sub categories of casual (17%), dress (13%), and athletic (10%) shoes, composing roughly a 40% demand of the market. However, domestically men’s athletic shoes represent 20% of the market and show signs of increase, globally men’s athletic shoes make up 30% of the market. This increase in sales within the athletic sub-category can be lead by the increase in demand for shoes that allow easy, fast movement. Studies show that ages within 18 and 45 in the U.S. have increased physical fitness by 17% since 2006. According to the Outdoor Industry Association, outdoor footwear grew...
Charles & Keith, a well-recognized women’s footwear brand was established in 1996 in Singapore Amara shopping centre by the two young brothers, Charles Wong and Keith Wong. The company began its foreign market venture in 2000. To date, Charles and Keith has a presence in more than 20 major cities around the world. The brand are well-known internationally today with the vision “to be the most admired fashion-forward company” and the mission “to offer high quality products and services, with a commitment to perfection” in mind all the time (Charles & Keith, 2013).
I slip my feet in a new pair of Nike sneakers, and try and get a feel for what they are like. My feet are supposedly a size ten and a half. “These are nice, but not what I’m looking for.” My mom chimes is, “Ok, let’s try these. These are cool right? You kids like these don’t you?” She hands me a pair of no-arch Adidas Sambas. Still a size ten and a half. I pop off the other shoes and grip the edges of the shoes as I try and shove them on. The shoes glide on with an odd sense of ease. “They are way too big. I can’t walk without my heel springing out.” Mom says, “It says they are a ten and a half.”
In reviewing the case of New Balance Athletic Shoe, Inc. it is clear that there are a few major problems that the company is facing. First of all, New Balance falls behind its other major competitors, Nike, Adidas and Reebok, in the area of marketing. Unlike its competitors, New Balance does not undertake celebrity endorsements. This puts them at a disadvantage when it comes to brand building. This also causes the company to lose out somewhat on gaining awareness on a global scale as it lacks endorsements in major sporting events. Most global brand names generate strong brand recognition through celebrity endorsements in sporting events that would give them the needed momentum to carry their brand name further into the global market.