Reebok 2011 Annual Report Download - page 87

adidas Group
2011 Annual Report
GROUP MANAGEMENT REPORT – OUR GROUP
83
2011
02.4 Other Businesses Strategy TaylorMade-adidas Golf Strategy
To attract the most talented players, TaylorMade-adidas Golf offers a
comprehensive service to the world’s leading players. For example,
the TaylorMade support fleet travels the PGA Tour and the European
Tour with 18-wheel tractor-trailer trucks, each with a fully staffed,
state-of-the-art workshop where thousands of clubs, balls, apparel
and footwear items are custom-built each year for TaylorMade-adidas
Golf’s Tour endorsed players.
Today, the TaylorMade-adidas Golf Tour Staff is arguably the strongest
in the world, including high-profile players like Sergio García, Dustin
Johnson, Martin Kaymer, Darren Clarke, Justin Rose, Jason Day, Sean
O’Hair, Y.E. Yang, Camilo Villegas, Retief Goosen, Greg Norman, Nick
Faldo, Paula Creamer and Natalie Gulbis. In China, a market where
golf offers significant growth opportunities, TaylorMade-adidas Golf
entered into an agreement with the China Golf Association, which
has appointed TaylorMade-adidas Golf as the exclusive equipment
supplier of the national golf team.
Marketing excellence a critical success factor
Compelling consumer-relevant and well-coordinated marketing
strategies are paramount to attaining sustainable market leadership.
Therefore, the product marketing, brand communication and
retail marketing teams work closely together and use a variety of
marketing tools to achieve TaylorMade-adidas Golf’s objectives.
Product launches are supported by substantial PR, social media and
marketing campaigns, involving key assets and best-in-class point-of-
sale support to drive sell-through of new products.
02 TaylorMade
Sergio García at the “White Out” event in New York
In addition to traditional marketing manoeuvres, TaylorMade-adidas
Golf is also dedicated to executing new and innovative ways to
promote its products and attract consumer awareness. For example,
in February 2011, TaylorMade teamed up with a retail partner to build
a temporary, all-white driving range on a New York City street in which
Sergio García and Martin Kaymer fired Penta TP golf balls with R11
drivers at a target PICTURE 02 . Furthermore, throughout the final round
of the U.S. Open 2011, TaylorMade held a sweepstake to give away
a new R11 driver every 11 minutes. In August, a unique Facebook
app called “Raise Your Game” was launched to promote R11 irons.
Featuring renowned instructor Hank Haney, the app helps partici-
pants identify flaws in their swing and puts them on a programme to
promote improvements in their ball striking.
Intelligent and effective retail and e-commerce
strategies
TaylorMade-adidas Golf works with retail partners that can effectively
showcase the performance advantages and modern design creden-
tials of TaylorMade, adidas Golf and Ashworth products. In order
to drive retail sell-through, each brand offers a multitude of useful
tools to attractively display products and communicate key messages
regarding product features and benefits, both in-store and on retailer
websites. Core channels include green grass retailers, off-course golf
specialty retailers and sporting goods retail formats with golf-specific
departments.
Close working relationships with key accounts will continue in 2012,
as will efforts to build additional brand presence at smaller retailers
and on-course golf shops. In emerging markets around the world,
the company employs established adidas Group infrastructures to
distribute products, promote awareness and drive growth.
TaylorMade-adidas Golf is also focusing on aggressively growing its
e-commerce business. Current plans include the integration of the
TaylorMade brand and e-commerce websites into a single site in order
to simplify the buying process for the consumer.
Pricing strategically determined to increase
market share
Expanding market share in golf is mainly achieved by delivering
best-in-class products at multiple price points. Accordingly,
TaylorMade-adidas Golf’s pricing policy mirrors the positioning of its
three brands. TaylorMade’s pricing strategy is to dominate the market
at premium price points and compete aggressively in the high-volume
mid-price segment. adidas Golf supports its market reputation as
the innovation leader by selling its products primarily at premium
price points. Ashworth positions its products in both premium and
mid-price segments.