What is Puma’s marketing strategy? Puma has become a leading sports brand in the world. Thanks to its quality, is one of the companies with the highest performance when it comes to sports style. A good marketing strategy is essential to their success.
This German company was founded in 1948 and has since expanded to selling its products in more than 130 countries. If you are interested in learning about its marketing strategy and how it could influence your own brand, continue reading this post.
Who is Puma’s Target Audience?
Puma was initially targeted at professional athletes who competed nationally and internationally. However, it has since then reinvited itself for a young, upper-middle-class audience between 20-35. It’s a demographic interested in healthy lifestyles, making it a perfect one for Puma to focus on. Puma also markets to general audiences as well.
Positioning of the Puma Marketing Strategy
This combination of strategies is essential to the development of Puma’s products and categories.
The brand has attracted people who want to move forward positively through life. Therefore, the positioning of the Puma brand adds value to the company.
Competitive Advantage of Marketing Strategy
The competitive advantage of Puma marketing is divided as follows:
90 percent of the brand’s products come from Asian markets since the manufacturing and production plants are located there. Supply is essential to Puma as they maintain stable coordination with more than 200 suppliers located in more than 36 countries.
Extensive Product Portfolio
For a long time, Puma has been responsible for several categories of its products. These include personal care, footwear, sports accessories, eyewear, clothing, watches and much more.
All these different products help the brand have a greater share of the market. In turn, having a greater share of the market helps Puma increase its portfolio of potential customers.
BCG Matrix in Marketing Strategy
The BCG matrix works as a growth matrix used to evaluate the product portfolio within a company. In Puma’s case, it took over Puma & Cobra Golf, which dealt with the same products in the sports market.
In 2015, this group generated 45 percent of net sales. From 2015 until today, the segmentation of this product has developed a high amount of income.
Distribution Strategy in Puma Marketing
Puma’s distribution strategy is an essential component of its sucess. This company has distributed its offers through three exclusive channels, including its exclusive retail stores, wholesale sites and e-commerce sites such as Alibaba and Amazon. Typically, the largest percentage of your sales comes from the wholesale channel.
Brand Equity in Puma’s Marketing Strategy
Because Puma has been in the footwear industry for such a long time, customer confidence in its other products — such as sportswear — increases over time. This increasing strength in brand equity means Puma can further increase it because they already know they have a loyal target audience.
For instance, Puma has achieved meaningful collaborations with world-renowned sports personalities such as Tyger Woods. Engaging collaborations make good use of brand equity.
Analysis of the Puma Marketing Strategy
Puma’s marketing strategy consists of two sections: competitive analysis and market analysis. Here is a brief breakdown of both.
Puma focused on manufacturing their products in Asia. Why do they do that? Because the price of labor is lower. In addition to that, it costs less money to procure raw materials there. These two advantages help Puma stay one step ahead of the competition.
Many factors can hinder a business trying to survive in the sportswear market. These include the bargaining power of suppliers, lifestyle changes, the migration of the population, and the increase in labor costs. Puma must constantly be aware of these tricky factors. Then, Puma can avoid potential complications. This allows them to stay on top within the market.
Do You Want To Use Puma’s Marketing Strategy in Your Own Brand?
Puma has become a leading sports brand — and stayed at the top of the market — using the marketing strategy covered in this blog. Now that you’ve read this blog and know everything there is to know about Puma’s marketing strategy, perhaps you can use some of them in your own brand.
At BluCactus, we have the marketing professionals you need to make a strategy that fits your objectives and your target audience. Contact us and we will gladly assist you.
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