Reebok 2015 Annual Report Download - page 61

GROUP MANAGEMENT REPORT – OUR GROUP
Group Strategy
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The combination of these three initiatives will transform our current set-up to a new speed-enabled
end-to-end business model, with the goal of winning the consumers with constantly fresh and desirable
products.
Besides focusing on Speed in our current supply chain and production process, we also look into new,
disruptive business models and technologies to make us faster. A prime example in this area is our
Speedfactory project: using automated manufacturing to bring production to where the consumer is.
Our 2020 targets for Speed: Today, almost 15% of our sales are generated on Speed programmes. As of
2016, we plan to start moving that business under our new end-to-end business model. It is our ambition
to increase the share of speed-enabled products to 50% of our net sales by 2020. Our initiatives will put
us in the position to provide consumers with appealing and up-to-date products. As a consequence, our
full-price share of sales is forecasted to improve by 20 percentage points by 2020.
Cities
Major metropolitan centres are playing an increasingly influential role in shaping global trends and
consumers’ perception, perspectives and decisions across a number of topics. Given this megatrend
of urbanisation and the continued influence of cities, the adidas Group has defined Cities as one of its
strategic choices.
Creating the New will therefore focus on six global cities: London, Los Angeles, New York, Paris, Shanghai
and Tokyo. These six cities were chosen based on the size of their population, their landscape of sport, their
level of economic and commercial activity and their concentration of global media, among others. Across
the six cities, the adidas Group will disproportionately invest in marketing, retail experiences, leadership
focus and the development of local teams with the singular goal of maximising consumers’ experiences
with our brands. We will constantly evaluate our activities and, if necessary, expand our focus of Cities
beyond the initial six.
It is our goal to create an integrated brand and business ecosystem designed to touch and enable all phases
of the consumer journey. This includes:
•Product: Leading innovation and design, executed through global product launches and campaigns.
•Retail experiences: Holistic development of the omni-channel approach across the various consumer
touchpoints.
•Activation: Activation of sports marketing assets and consumer communities.
We are refining our focus on consumers in key cities by engaging more deeply with them in communities
where they live, places where they work, fields, courts and streets where they play and doors where they
shop. And we further intend to create more synergies between our commercial and activation efforts and
give our consumers tangible reasons to seek our brands, while offering them premium brand experiences
in doors and destinations. This also includes aligning our initiatives with similar efforts of our key account
partners.
Our 2020 targets for Cities: In 2015, we set the foundation for this strategic choice. We focused on creating
visions and plans for each city, enabling them via new organisations and investment in systems and
processes. At the same time, we started to execute on the strategy with first results of these efforts
becoming visible across several key performance indicators. Going forward, we will continue to converge
all of our major global initiatives in our key cities, including the other strategic choices Speed and Open
Source. It is our goal to achieve a leading position within these cities by 2020 and we will track our impact
via improvement in our city-specific Net Promoter Score and market share.
see Research and
Development, p. 80
see Global Operations, p. 74
see Internal Group Management
System, p. 102