 |
 |
| From the desk of Strategic
Resources For any query, discussion or feedback, please contact Pavan Chandra, Head of Strategic Resources at pchandra@zenithoptimediaindia.com, +91-124-4195100. Office Address : 10th Floor, Vatika Tower, Block-B, Sector 54 Gurgaon -122002, Haryana, India. | |
| Volume: XV |  |
June, 2008 |
| CLICK ON ANY OF THE ABOVE |
Ringside is a report that provides an overview of happenings in
categories of Airlines, Alcohol, Cars, Computers, Consumer Durables, Financial
Services, Food and Beverages, Hotels, Real Estate, Retail, Telecom Service
Providers, Two-wheelers, Skin Care and Athletic Shoes.
Each of these will
have sections on 1. Sales and market share 2. Trends 3. Launches 4. Advertising
campaigns
Navigation is easy. Simply click of any of the categories of
interest to you and you will have the latest news in front of you.
Drop
in a mail at pchandra@zenithoptimediaindia.com
with your suggestions and comments.
Sports Apparel
Share
Prices
Sales and Market Share
Source: Euromonitor-Footwear-India-October 2007
Trends and Strategic Initiatives
.
60. Reebok launches exclusive outlets for kids and women – June 12
Sports brand Reebok is entering the kids market through the launch of its exclusive Reebok Junior stores in Delhi, Mumbai, Bangalore, Hyderabad and Calcutta. To promote the Reebok Junior brand, the company has launched a `Made to Play' campaign targeted at kids aged 4-14 years. The company has also opened an exclusive outlet (owned by four women as franchise) for women in Chennai. The outlet will sell sportswear, casual wear and footwear products for women.
Source: Indian Business Insight, Indian Business Insight
61. adidas lines up a series of campaigns across its 350 stores in India for Euro 2008; plans to launch an apparel and accessories collection named after Sania Mirza– June 06
Sportswear and apparel company adidas is betting big on the Euro 2008, as the largest soccer tournament in Europe began on June 7, 2008. The company tied up with music channel MTV India to bring 'The Finger Football' tournament at adidas stores in five major metros of Delhi, Mumbai, Kolkata, Chennai and Bangalore. ‘The Finger Football tournament’ involved playing the game with little paper footballs with two fingers in a miniature field put up inside the stores. The campaign included a retail splash with Euro 2008 products such as footwear, lifestyle articles, outdoor hoardings, messaging, and prize contest for customers making purchases of more than Rs 2,800 from an adidas store. adidas, which is one of the official sponsors of Euro 2008, considers football as another sport after cricket that can help enhance brand value in India.
The company will also undertake major expansion by establishing nearly 160 new stores and setting footprints in 140 cities across India in 2008. The company is also planning to launch an apparel and accessories collection named after Indian tennis player, Sania Mirza. To be introduced in September 2008, the products under the Sania brand will be sold worldwide through adidas stores. The collection will target customers in the 15-27 age group, and comprise apparel, bags, sporting gear, headgear and accessories.
Source: The Press Trust of India Limited, The Economic Times, Indian Business Insight
62. Bata India to explore a new franchisee model for its upcoming retail stores to meet stiff competition from Chinese shoemakers – June 11
Under this model, the company will own the store and provide the necessary shoe stocks. It will also give a certain commission to the franchisee owner on sales of that particular store. These stores will operate in a four-tier retail format to help the company service its customers better in places where currently it does not have a presence. The company has planned to give its older employees, who are close to retirement, an option to quit their jobs and run the new outlets as franchisees.
Source: The Economic Times
|
Links provided will take you to the full articles appended at the end of the file. |
|
|
|
© 2008 Zenith Optimedia.
|
Full Articles
60. Reebok Focuses More On Kids
12 June, 2008
Reebok, a sports brand, is entering the kids market through the launch of its exclusive Reebok Junior stores. The company has set up seven such stores in Delhi, Mumbai, Bangalore, Hyderabad and Calcutta. To promote the Reebok Junior brand, the company has launched a `Made to Play' campaign targeted at kids aged 4-14 years. The company is also offering a return gift of Rs500 on every purchase of Rs1,000 as an introductory offer.
Reebok Sets Store By Women
2 June, 2008
Reebok India Company Ltd, a division of Adidas AG of Germany, has opened an exclusive outlet for selling womenswear of Reebok brand in Chennai. This is the first such retail outlet in South India, located on Khader Nawaz Khan Road, Chennai, owned by four women as franchise. The outlet will sell sportswear, casual wear and footwear products for women.
61. Adidas Plans Big For Euro'08
6 June, 2008
Sportswear and apparel major Adidas is betting big on the Euro 2008, as the largest soccer tournament in Europe kicks off tomorrow.
The company has lined up a series of campaigns across its 350 stores in India and has even tied up with music channel MTV for promotional programmes during the month-long tournament being held in Austria and Switzerland.
"After the success of IPL, we are now focusing on the Euro 2008 for our next big campaign covering 119 cities in India where we have presence," Adidas India Managing Director Andreas Gellner told PTI.
He said as part of the Euro campaign, the company has entered into collaboration with MTV India to bring 'Finger Football' tournament at Adidas stores in five major metros of the country.
"The Finger Football tournament will be played in our stores in Delhi, Mumbai, Kolkata, Chennai and Bangalore and shown on MTV. It will involve playing the game with little paper footballs with two fingers of the hand in a miniature field put up inside the stores," Gellner said.
The campaign incorporates a retail splash with all kinds of Euro 2008 products, from footwear to lifestyle articles, outdoor hoardings, messaging, and prize contest for customers making purchases of more than Rs 2,800 from an Adidas store, he added.
Adidas, which is one of the official sponsors of Euro 2008, considers football as another sport after cricket that can help enhance brand value in India, Gellner added.
"Besides direct revenue accumulation from soccer related products, the company also looks at the game as a medium to target the soccer talent in India," Gellner said.
Adidas On Expansion Spree, To Add 160 New Stores In 2008
8 June, 2008
German sportswear and apparel major Adidas is going for a major expansion across India in 2008, which will involve setting up of around 160 new stores and setting footprints in 140 cities.
"We are identifying properties in various cities and will set up 150-160 stores this year which is much more than 2007 figures. By 2008 end, we will reach the figure of 450 franchise stores by the end of 2008," Adidas India Managing Director Andreas Glenner said.
When the planned expansion completes, Adidas would have presence in 140 cities as against 119 cities currently, he added.
The company is expanding not only in the metros and Tier I cities but going to Tier II towns also.
"It is important for us to expand to smaller cities as the revenue contribution from metros and Tier I cities are equal to that coming from lower Tier II towns," Glenner said.
The company, which has also launched its 'Adidas Originals', the premium range of products, is also planning to add more such stores in select cities.
"Currently, there are two 'Originals' stores, one in Delhi and the other in Chandigarh. By mid-2009 we plan to have eight such stores," he added.
Commenting on the rising rentals, Glenner said while it would not stop the company expanding but "had the rents been more reasonable we would have had more stores".
"Retail rentals are unrealistically high and a big challenge. However, it will not slow down our growth," he said.
27 May, 2008
The Adidas Group of Germany is preparing to launch an apparel and accessories collection named after Indian tennis player, Sania Mirza. The products under the Sania brand will be sold worldwide through Adidas stores. The lifestyle range will be introduced in Sep 2008 and the sports gear in Jan 2009. The new collection will target customers in the 15-27 age group and comprise apparel, bags, sporting gear, headgear and accessories. The portfolio of products has already been designed at the company's headquarters in Germany.
62. Bata Eyes Franchisee Model To Tackle Chinese Challenge
11 June, 2008
Amid stiff competition from Chinese shoemakers, Bata India (BIL) is exploring a brand new franchisee model to launch its upcoming retail stores. It has decided to give older members of its workforce who are close to retirement an option to quit their jobs and run the new Bata outlets as franchisees.
Bata India, however, has not specified who will be eligible to opt for the franchisee route. For instance, it has not defined the age limit (read: number of years away from retirement) of existing employees to opt for the franchisee scheme. Senior Bata India official told ET: “The scheme is being done to foster entrepreneurship among employees. The company, in all likelihood, will offer franchisee to employees who are experienced and have a few years of service left. They may leave the company and start afresh with this new venture.”
The company will own the store and provide the necessary shoe stocks. It will also give a certain commission to the franchisee owner on sales of that particular store. The franchisee owner, in turn, will be allowed to appoint his own workforce who will be trained by Bata. But the franchisee owner will have to pay his workforce out of the commission earned.
The company expects the scheme to receive good response, even though the unions are skeptical. All India general secretary of Bata India salesmen union Tapan Chakraborti said: “We are open to the idea of coming up with new stores with permanent employees on a new salary structure. But we do not support the policy of asking existing employees to take franchise of Bata stores. We have faith in the management and hope the it will look into it.”
In 2007, Bata India had opened 67 new stores and remodelled 40 existing outlets. Incidentally, better shoeline, aggressive sales pricing, optimum procurement of finished goods and better negotiation on raw materials had resulted in the improvement in margins of the shoe major in 2007.
The company has lined up major investments for the upcoming new stores in the country. Bata is the largest footwear retailer in India with more than 1,100 stores across the country. To maintain its leadership position and growth, the company is expanding and adding 200 new stores in next two years.
These stores will operate in a four-tier retail format under a new retail model - up market flagship stores, smart and trendy city stores and super stores and traditional family stores. This will help the company service its customers better in places where currently it does not have presence.
The company is also in the process of putting in place a strategy to retain the best talent in the company and reduce attrition rate. The shop managers at Bata retail stores have signed individual agreements and have been given performance-linked salary increase.
Bata India has decided to focus more on the ladies shoes category. The Indian footwear market is estimated to be about Rs 10,000 crore in value terms and is growing at 10% annually. Men’s footwear accounts for almost half of the total market with women’s shoes constituting 40% and kids’ footwear making up for the remainder.