A Marketing Presentation on Sports Footwear Industry.

1. SPORTS FOOTWEAR
INDUSTRY
NAME ID No.
MANVENDRA SINGH 17A3HP505
MIMANSHA BAHADUR 17A3HP525
BINISH THOMAS 17A3HP552
HARIPRIYA RAMESH 17A3HP568
TAMOGHNA BAG 17A3HP572
KOUSHIK DAS 17A3HP587

2. INDIAN FOOTWEAR
INDUSTRY
• INDIA IS THE LARGEST GLOBAL
PRODUCER OF FOOTWEAR AFTER
CHINA, ACCOUNTING TO
APPROXIMATELY 13% OF WORLD
FOOTWEAR PRODUCTION, WHICH IS
CLOSE TO 16 BILLION PAIRS.
• THIS MEANS THAT THE AVERAGE
CONSUMPTION GLOBALLY IS ABOUT
2-3 PAIRS/PERSON.
• INDIA PRODUCES APPROXIMATE
2,000 MILLION PAIRS ANNUALLY IN
DIFFERENT CATEGORIES OF
FOOTWEAR.
• INDIA EXPORTS ABOUT 115 MILLION
PAIRS, THUS NEARLY 95% OF ITS
PRODUCE MEETS ITS OWN DOMESTIC
DEMAND.

3. STRUCTURE OF THE SPORTS FOOTWEAR IN
MARKET
Sports Footwear
Industry
Athletic Shoes Boot Shoe
Dress and
Casual Shoe
Dancing Shoe
Orthopedic
Shoe

4. MARKET
SHARE
• AS PER THE INDIA RETAIL REPORT,
INDIA’S TOTAL RETAIL MARKET IS WORTH
INR 33,592 CRORE, GROWING AT
18 PER CENT AND IS EXPECTED TO
CROSS INR 54,000 CRORES BY 2017.
OUT OF WHICH 7% IS ATTRIBUTED TO
SPORTS/ACTIVE FOOTWEAR I.E. INR
2351 CRORE.
• THE SPORTSWEAR INDUSTRY IN INDIA
IS VALUED AT BETWEEN INR 3,500
CRORES AND INR 5,000 CRORES.

5. KEY TRENDS SHAPING SPORTS FOOTWEAR MARKET
• CASUALIZATION AND THE GROWTH OF SPORTS SHOES: ACCORDING TO RAJEEV
GOPALAKRISHNAN, “THE SURGING DEMAND FOR DESIGNER YET COMFORTABLE SHOES AMONG
WOMEN AND SPORTSWEAR OR ATHLETIC SHOES AMONG MEN, HAVE BEEN BOLSTERING
OPPORTUNITIES FOR FOOTWEAR SALES.”
• INCREASED TRUST IN BRANDED FOOTWEAR: THOUGH THE MARKET SHARE OF BRANDED AND
NON-BRANDED FOOTWEAR IN THE COUNTRY IS ALMOST THE SAME TILL DATE, BUT BRAND
CONSCIOUSNESS OF THE INDIANS IS INCREASING SUBSTANTIALLY.
• GROWING OPPORTUNITIES IN THE WOMEN’S SEGMENT: WOMEN’S FOOTWEAR CONSTITUTES
ONLY 30 PER CENT MARKET SHARE CURRENTLY. BUT THE GROWTH RATE OF THIS SEGMENT IS
DOUBLE THAN THE MEN’S SEGMENT. WHERE THE MEN’S FOOTWEAR MARKET HAS REGISTERED
10 PER CENT CAGR GROWTH RATE IN THE LAST FISCAL, IT IS 20 PER CENT FOR WOMEN’S
SEGMENT.
• OMNI-CHANNEL RETAILING: RETAILERS HAVE STARTED VENTURING INTO OMNI-CHANNEL
RETAILING AND TRYING IN-STORE MARKETING SOLUTIONS SUCH AS BEACONS TO ENRICH THE
SHOPPING EXPERIENCE. TO ENGAGE USERS ON DIGITAL PLATFORM, MANY RETAILERS ARE USING
THE PLATFORM TO SHOWCASE PRODUCTS,AND TO ACTUALLY SELL THEM. THE SAME GOES FOR
MOBILE.

6. CUSTOMER ANALYSIS
FIVE CONSUMER SEGMENTS HAVE BEEN
IDENTIFIED, NAMELY:
• SPORTY,
• ELITE SPORTS,
• EVERYDAY WEARERS,
• FASHION SPORTS, AND
• BUDGET CONSCIOUS CONSUMERS.

7. CUSTOMER
ANALYSIS40%
12%
23%
18%
7%
Customer Perception
Past
performance
Publicity
General need
Word-of-
mouth
Other

8. COMPETITION ANALYSIS
• THE CURRENT MARKET LEADER IN
SPORTS SHOES IS REEBOK AS IT HOLDS
A 46% MARKET SHARE IN INDIA.
WHEREAS, NIKE HAS A MERE 11%
MARKET SHARE.
• THE TOP FOUR SPORTING BRANDS IN
INDIA ARE REEBOK, ADIDAS, NIKE,
AND PUMA. THERE ARE OTHER
BRANDS THAT MANUFACTURE SPORTS
SHOES SUCH AS BATA, LIBERTY,
WOODLAND, FILA, AND LOTTO, BUT
THEIR BRAND VALUE IS NOT AS
STRONG AS THE FOUR LEADING
BRANDS MENTIONED EARLIER.

9. COMPETITION ANALYSIS (AS PER SURVEY RESULTS)
16
2
2
2
2
3
4
14
21
25
25
40
0 5 10 15 20 25 30 35 40 45
Others…
Converse
Decathlon
HRX
Lotto
Fila
POWER
Sparx
Reebok
Adidas
Puma
Nike
Brand Preferance

10. CHANNEL ANALYSIS
WE CAN CATEGORIZE SALES BY 5 MAJOR
RETAIL CHANNELS, NAMELY (BELOW
CUSTOMER PREFERENCE IN THESE
CHANNELS):
• MALL,
• NEIGHBOURHOOD MARKET OR LOCAL
RETAILER,
• FACTORY OUTLET,
• ONLINE (AMAZON, FLIPKART, ETC.)

11. PORTER’S 5 FORCES
ANALYSIS
• COMPETITIVE RIVALRY OR COMPETITION- (HIGH)
 AGGRESSIVE MARKETING DONE BY OF ALL THE MAJOR PLAYERS
(ADVERTISING)
 VOLATILITY IN THE MARKET SHARE FOR EVERY FIRM IN INDUSTRY
 MODERATE BUT POWERFUL COMPETITORS IN THE INDUSTRY
• BARGAINING POWER OF BUYERS OR CUSTOMERS- (MEDIUM TO LOW)
 COST OF SWITCHING IS VERY LOW
 VERY HIGH DEMAND IN THE MARKET
• BARGAINING POWER OF SUPPLIERS- (LOW)
 LARGE NUMBER OF SUPPLIER

12. PORTER’S - 5 FORCES ANALYSIS (CONT.)
• THREAT OF SUBSTITUTES OR SUBSTITUTION- (LOW)
LESS NUMBER OF SUBSTITUTES AVAILABLE FOR SPORT SHOE
LOW QUALITY IN THE AVAILABLE SUBSTITUTES
• THREAT OF NEW ENTRANTS OR NEW ENTRY- (MEDIUM TO HIGH)
THOUGH MAY NOT BE ABLE TO COMPETE WITH MAJOR PLAYERS, ONE CAN
START A SMALL SCALE PRODUCTION
VERY HIGH AND UNMET DEMAND IN INDIA (LOW COST SEGMENT)
GOVERNMENT SUPPORT (MAKE IN INDIA)

13. POSITIONING BY MAJOR PREFERRED BRANDS
NIKE HAS POSITIONED IT
SELF AS A PREMIUM
PRODUCT WITH HIGH
QUALITY AND TARGETING
HIGH END CUSTOMER.
ADIDAS IS KNOWN FOR
PRODUCING THE MOST DURABLE
AND FLEXIBLE PRODUCT. THEY
ALSO PRODUCE THE FASTEST
SHOES. THEY HAVE ADIDAS-
PERFORMANCE IN COMPETITIVE
SPORTS.

14. POSITIONING BY MAJOR PREFERRED BRANDS
PUMA OFFERS PERFORMANCE AND
SPORT-INSPIRED LIFESTYLE
PRODUCTS IN CATEGORIES SUCH AS
FOOTBALL, RUNNING AND TRAINING,
GOLF, AND MOTORSPORTS
SPARX IS TRYING TO POSITION ITSELF
AS A PREMIUM SPORTS SHOE BRAND.
PREMIUM IN TERMS OF IMAGE AND
NOT IN TERMS OF PRICE.

15. MARKETING MIX
Product
There are a wide variety of
products available in the market.
Promotion
All major firm spend large sums
in advertising may it be
Newspaper, TV, or Social Media.
Place
• Malls and Shopping Complex
• Local Retailer,
• Factory Outlet,
• Online (Amazon, Flipkart, etc.)
Price
Though the competition is high,
there are different and varied pricing
strategy in the market which is
different for Premium customer and
Budget conscious

16. SEGMENTATION AND
TARGETING
0
5
10
15
20
25
30
35
40
45
50
Reebok Nike Adidas Puma Sparx POWER Nivia Other
Segmentation of Major Brands
Sporty (Sports on a regular basis)
Elite sports (Highly committed to a particular sport)
Everyday wearers
Fashion sports (Not for sports, but for its style, look and brand image)
Budget conscious consumers
Can't Say
•TARGET POPULATION
ATHLETES
ADVENTURE SEEKING
AND OUTGOING
OLD AND ELDERLY
WITH ORTHOPEDIC
NEEDS
FASHIONABLE AND
DRESSING
HEALTH CONSCIOUS
ETC.

17. PERCEPTUAL MAP
Reebok NikeAdidas
Puma
Sparx
Power
Nivia
Sports footwear industry
Price
Sporty UsagePrice
sporty Usage

18. SOURCES OF THE DATA
• PRIMARY DATA
 GOOGLE FORMS :HTTPS://GOO.GL/FORMS/ZIWLUB3TQXZOBRMG1
• SECONDARY DATA
 HTTPS://WWW.OUTLOOKBUSINESS.COM/STRATEGY/FEATURE/THE-NEW-WORKOUT-2180
 HTTP://WWW.MBARENDEZVOUS.COM/GENERAL-AWARENESS/SPORTS-SHOE-INDUSTRY-IN-INDIA/
 HTTP://WWW.SEGMENTATIONSTUDYGUIDE.COM/
 ICRA : HTTPS://WWW.ICRARESEARCH.IN/RESEARCH/

19. THANK YOU !