Reebok 2015 Annual Report Download - page 74

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GROUP MANAGEMENT REPORT – OUR GROUP
Group Strategy – TaylorMade-adidas Golf Strategy
•adidas Golf: A key component of adidas Golf’s strategy is creating innovative products that are targeted
to an athletic, competitive-minded golfer who is seeking a performance edge in every piece of footwear
and apparel. In 2015, adidas Golf launched the new Tour 360, incorporating the latest footwear technol-
ogies such as Boost and BOA. In addition, adidas Golf introduced the first fully asymmetrical golf shoe,
providing improved stability, grip and performance during all phases of the swing.
•Adams: Adams’ key strategy for growth is to adapt tour-proven technology to meet the needs of golfers
seeking equipment that makes the game easier to play and thus a better experience. Adams Golf has
been positioned to drive the recreational golfer market.
•
Ashworth: Ashworth focuses on re-establishing the brand’s reputation as an authentic golf brand
dedicated to bringing modern style to the golf course.
TOUR VALIDATION CRITICALTO SHOWCASING EQUIPMENTAT THE HIGHEST LEVEL
Golfers of all levels are influenced by the equipment that the world’s best professional players play with
and wear. Therefore, TaylorMade-adidas Golf ensures a strong presence on the world’s major professional
golf tours, as this is imperative for increasing brand exposure and consumer traction. The strength of the
TaylorMade-adidas Golf Tour Staff is best reflected in the quality of its top athletes, which include global
stars such as 2015 PGA Champion Jason Day, US Open winners Justin Rose and Martin Kaymer, as well as
Dustin Johnson, Sergio García and PGA Tour 2015 Rookie of the Year Daniel Berger. In addition, TaylorMade
remains the number one driver brand on the world’s six major tours – the PGA Tour, European Tour, Japan
Tour, Champions Tour, Web.com Tour and LPGA Tour. The visibility and credibility that TaylorMade enjoys
from the widespread use of its equipment is instrumental to brand and product awareness.
MARKETING INNOVATION AND EXCELLENCE IN EXECUTION
Innovative and effective marketing is critical to TaylorMade-adidas Golf’s success. Great effort is put into
creating compelling messages spread through a variety of channels. This includes television, print, digital,
social media, experiential events and activations at professional tournaments.
EFFECTIVE RETAIL STRATEGY LEVERAGES KEYACCOUNTSANDASSETS
TaylorMade-adidas Golf aims to create compelling point-of-sale communications and displays designed to
clearly educate the consumer on product benefits and advantages. There is a strong focus with key retail
partners to ensure a consistent and excellent retail experience for the consumer. Core channels include
green grass retailers, off-course golf specialty retailers and sporting goods retail formats with golf-specific
departments. In addition, TaylorMade-adidas Golf also maintains a close relationship with over 4,000 green
grass staff professionals worldwide, who act as brand ambassadors in their respective golf shops. To elevate
the off-price golf shopping experience, in 2015, TaylorMade-adidas Golf opened its first nine branded outlet
stores in the USA, with plans to open additional locations going forward. The product assortment of these
branded outlet stores consists largely of closeouts and previous seasons’ products while offering the most
complete range of golf products at substantial value to the consumer.
TAYLORMADE-ADIDAS GOLF ACTIVELY TACKLESTHE CHALLENGES
IN THE GOLF MARKET
Following a decade of strong and profitable growth, TaylorMade-adidas Golf experienced two very difficult
years in 2014 and 2015, caused by a number of structural, commercial and operational issues, which
resulted in sharp declines in net sales and profitability.
As a consequence, TaylorMade-adidas Golf initiated a major restructuring programme in June 2015, with
the main objective to significantly improve TaylorMade-adidas Golf’s profitability, while at the same time
delivering upon its mission to be the innovative leader in golf. The restructuring programme includes a set
of main levers with first initiatives already implemented during the second half of 2015: