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MARKETING MANAGEMENT ASSIGNMENT
                       ON
         ADVERTISING AND SALES PROMOTION




SALES PROMOTION – DO SOMETHING DIFFERENT TO
             STIMULATE CHANGE




Submitted By:

KAVITA SHARMA
N-33

KINSHOOK CHATURVEDI
N-35

FMS Part Time MBA Ist year 2009-12
Date of Submission:

15th February 2010
Objective
The objective of the assignment is to assess the advertising and sales promotion strategies
implemented by Reebok India for creating awareness among masses.

Overview of the Sector
The Indian footwear retail market is expected to grow at CAGR of over 20% for the
periods spanning from 2008 to 2011. The annual domestic consumption of shoes in India
is 1.1 billion pairs and it is estimated that the footwear market is around Rs 10, 000 crore
and will grow at 10% pa, this offers great opportunities for MNC Brands Sold in India
like Adidas, Aldo, Bally, Clarks, Ecco, Florshiem, Ferragammo, Hush Puppies, Lee
cooper, Lloyd, Marks & Spencer, Nike, Nine West, New Balance, Reebok, Rockport,
Stacy Adams, Levi Strauss , Lee Cooper, Puma and Indian Brands sold in India like
Bata, Red Tape, Liberty, Khadims, Lakhani, Metro, Action, Provogue, ID, M&B
Footwear.
 Reebok India commands a 54% market share in the premium sportswear industry in the
Rs 2000-crore premium sportswear market. Reebok reaches out to its target customers
through its 900 Reebok Stores & 2500 dealer outlets. The company has plan to tap tier II
and Tier III cities. Reebok is planning to add 55 new lifestyle stores by the end of this
year. It offers different segments for both men and women like sports and fitness
footwear, apparel, accessories, fitness equipment and the lifestyle section.

Reebok India
Reebok started its operations in India in 1995. Headed by Managing Director Mr.
Subhinder Singh Prem, Reebok India has a pan-India presence with branch offices in
Mumbai, Kolkata and Bangalore and ranks at the top amongst international footwear
companies in India. The Company's brand vision is fulfilling potential, its mission –
Always challenge and lead through creativity. Reeboks brand values are authentic,
individualistic, courageous, empowering, innovative and real.

Advertising Agencies
In 2004, Reebok hired McGarry Bowen as there advertising agency. Till 2007,
McGarry was Reebok’s brand agency. McGarry Bowen was founded in 2002 and has
offices in New York and Chicago. McGarry Bowen is a fully-integrated agency with
advertising, design, relationship marketing and a digital arm. The Agency has been the
recipient of many honors, including Adweek’s President’s Award for the “non-traditional
agency having the greatest impact on the industry.” The Agency works with many of the
of the world’s best known companies including JPMorgan, Chase, Kraft, Disney,
Marriott International, Chevron, Pfizer, HP, Reebok International, Crayola, InBev,
Century 21, News Corp, The Wall Street Journal and the U.S. Olympic Committee.
During the period of McGarry Bowen, Reebok had done advertising and marketing for
various products. Pump sneakers advertisements, “Two People in Everyone” ad
campaign, Runners head game- I am What I am ad campaign were all under this
advertising agency.
In early March 2009, Reebok appointed DDB Worldwide as its creative advertising
agency.DDB will provide creative solutions across a range of brand advertising and
marketing communications and will service the business from three hubs: Berlin,
Chicago, and Hong Kong.
DDB Worldwide Communications Group Inc (www.ddb.com) is the largest consolidated
advertising and marketing services global network in the world, according to Advertising
Age.
DDB also has been frequently ranked as the most awarded agency network in the world
by Creativity magazine and The Gunn Report, among others. With more than 200 offices
in over 90 countries, the DDB Group believes that creativity is the most powerful force in
business, building enduring and powerful brand experiences that create TalkValue,™
influence social communities and drive results. DDB Worldwide is part of Omnicom
Group Inc.
The agency handles brand advertising and marketing communications as the brand seeks
to establish the brand in the women's fitness market. The ad campaign “Your Move” was
done under this agency.
In September 2007 in Hong Kong, Reebok handed its regional advertising business to
WPP subsidiary Soho Square. Reebok is the founding client for Soho Square, which will
manage Reebok's key markets in the Asia Pacific including Hong Kong, Japan, Korea,
Australia and India and China.

Analysis of Reebok Taglines and Logos
Reebok Taglines Development
Tag lines give a brand the momentum it can only dream of, if it is used the right way. It is
very important to develop a catchy corporate tagline in addition to a great corporate logo
that will effectively communicate in one sentence what services or products the company
sells.
In 2008, Reebok joined hands with the celebrity Bipasha Basu to make fitness fun with
Reebok. The Easytone campaign prompts people to “Ree-think” the definition of sport.
 Reebok's challenger approach is to provide consumers with the choice to take the
boredom out of working out. Running online, out-of-home, in-store, and in print, the
campaign features fun, engaging taglines such as, "Less work, more play. Fitness is what
you make of it. “Your Move" and "Confusing fitness with fun?


Some of the other Taglines of Reebok are:
June 2009 – “Have Fun While You Run”
Early 2008 – “I am what I am”
             “Take the gym with you”
             “Eye candy for your feet”
             “Little Said, greatly Felt! ”
Promotion Strategy
                        Reebok is committed to make fitness fun – challenging men and
                        women to fulfill their potential in sport and in life by providing
                        them with the opportunity, the products and the inspiration to
                        have fun staying in shape
                        The company uses various promotional tools to bring awareness
                        among its customers. It offers discounts, vouchers, coupons and
                        custom made sneakers on their products. Apart from this, there
                        are celebrity endorsements, road shows, sponsorship events,
                        television commercials, print ads, billboards, alliance events.




Print Media Advertising
Print Media Advertising consists of newspapers and Magazines. It also includes outdoor
billboards, transit posters, the yellow pages, and direct mail.

Magazine
                                                                     Reebok features its
                                                                     print     ads     on
                                                                     magazines       like
                                                                     Flimfare, Cineblitz
                                                                     and Stardust. The
                                                                     famous            ad
                                                                     campaign          of
                                                                     Mahindra      Singh
                                                                     Dhoni and Bipasha
                                                                     Basu were featured
                                                                     in these magazines.




Newspaper
Reebok features its ad in supplement papers of national dailies like HT City of Hindustan
Times, Delhi Times of Times of India, Mumbai Times of Times of India
Electronic Media Advertising
Television Media
In 2008, Reebok commercial of
“Your Move” ad campaign
featured celebrities like Bipasha
Basu and Mahindra Singh
Dhoni.
In 2007, global campaign of
“Two People in One”, television
commercials include Rahul
Dravid.



Infomercial
Infomercials are also known as direct response television (DRTV) commercials or direct
response marketing.
The main objective in an infomercial is to create an impulse purchase, so that the
consumer sees the presentation and then immediately buys the product through the
advertised toll-free telephone number or website. Infomercials describe, display, and
often demonstrate products and their features, and commonly have testimonials from
consumers and industry professionals. Reebok arranges several infomercials in the sports
based program.
Reebok first infomercial was in April 2001 for the Reebok Core Board, a stationary
muscle training program. It was a 28-minute infomercial which demonstrated the system,
including the workout regimens, user testimonials and the system functions.

Internet Advertising
Reebok.com sells the same products on their web site as they do in the stores, providing
the users more ways of getting what they want. The prices of goods sold at Reebok.com
are comparable to those sold by their retail partners, so as not to take away sales and
revenues from their traditional channel partners.


TIE UPS
Reebok innovates in colours and styling and has tied up with Manish Arora to launch
collections.
Reebok recently unveiled “My Name is Khan” collection, which is a fusion of sports and
lifestyle and is targeted at a growing, globally sports and fashion conscious Indians.
Other great brands like Whirlpool are tying up with Reebok as they see it as a good
value-add, incentivising purchase through Reebok products instead of doling out price
discounts. So, it is a win-win situation for everybody involved.



Celebrity Endorsement
This type of advertising focuses upon using
celebrity power, fame, money, popularity
to gain recognition for their products and
promote them. Reebok India took Indian
cricket stars like M.S Dhoni and Yuvraj
Singh.




Sponsorship Advertising
Reebok sponsors many sports both internationally and nationally.

Reebok India
Reebok sponsored sports kits for the great rich Indian Premier League teams, such as the
Royal Challengers Bangalore, Kolkata Knight Riders, Rajasthan Royals, Chennai Super
Kings and Deccan Chargers in the first edition of the league held in 2008.
Reebok also became the official partner of Force India on February 2009. Force India -
India’s only Formula One Team - is all set to speed its way into the fast-paced lives of
more and more Indians by partnering with premier sports and lifestyle products giant
Reebok as its official apparel and footwear merchandising partner for the next 5 years.
After inking the association in 2008, the partnership between Force India F1 team and
Reebok has rolled out with the 2009 Force India Team wear collection.
Reebok sponsors top three football clubs in India including East Bengal club and Mohan
Bagan. In Tennis they are sponsoring three budding Tennis players in India.


Reebok below the Line Promotion
In 2007, Reebok India had started with its Run Easy Campaign. In an attempt to
encourage consumers to participate in the campaign, Reebok will give away ten thousand
pairs of shoes in the first phase. The company has decided to explore the parks frequented
by joggers to undertake promotional activities for the campaign.
Reebok Easy Vans along with trainers will demonstrate the spirit of Reebok Run Easy at
    the parks in cities like Delhi, Mumbai and Bangalore. The trainers will also teach fitness
    steps like warm ups, breathing patterns and foot movements to the joggers. The campaign
    enables Reebok to associate directly connect with the consumers, unlike cricket where
    they are involved as mere viewers. Reebok has launched three new footwear collections
    to attract the consumers who have just started running.




Interview with Subhinder Singh Prem, MD Reebok India published in Economic Times, 11th
February 2010, Thursday.

SUBHINDER SINGH PREM MD, REEBOK INDIA
In India, cricket has made us a masstige brand
HE HEADS the
biggest sports
and       fitness
brand in the
country,         a
brand         that
enjoys       over
54%       market
share in India.
Yet      Reebok
India
managing
director
Subhinder
Singh Prem is
still running to
the fun beat. A
company
displaying
challenger
mindset, Prem
says that the
brand          will
continue        to
expand
operations,
explore      new
distribution
models        and
offer
innovative
products to the
consumers.
Reebok
recently
unveiled       My
Name is Khan
collection,
which is a
fusion          of
sports        and
lifestyle and is
targeted at a
growing,
globally sports
and      fashion
conscious
Indians. In an
interview with
Amit Sharma,
Prem
discusses
about winning
strides         of
Reebok.
Excerpts:
REEBOK INTERNATIONAL APPOINTS DDB WORLDWIDE AS LEAD
CREATIVE AGENCY



CANTON, MA (March 20, 2009) – Reebok International has appointed DDB Worldwide as its
lead creative agency, Rich Prenderville, Reebok’s Head of Global Brand Marketing announced
today.


DDB will provide creative solutions across a range of brand advertising and marketing
communications and will service the business from three hubs: Berlin, Chicago and Hong Kong.
Amir Kassaei, Executive Creative Director of DDB Germany will spearhead global creative efforts
on the account.


"DDB showed us incredible depth of creative resources around the world, deep thinking in non-
traditional arenas and a passion for creative solutions beyond advertising," said Prenderville.
"Under the leadership of Amir and the team he and DDB have assembled, we are on the global
offensive to drive great creative results for our brand."


“Reebok is a fantastic brand and we are delighted with our partnership with Rich and his team,”
Chuck Brymer, President and CEO of DDB Worldwide Communications Group Inc, said. “I am
also very proud of the partnership and creativity our DDB offices have once again demonstrated
on behalf of a client.”


Kassei, who is known for his work on such brands as Volkswagen and Ikea, noted, "There is
great heritage and strength in the Reebok brand, and it will be a great honor and opportunity to
create a clear, differentiating point of view for it on a global basis."




Bibliography
   1. Interview with Subhinder Singh Prem, MD Reebok India – published in
       the Economic Times, 11TH Feb 2010, Thursday.
   2. www.reebok.com,
       http://corporate.reebok.com/en/news/2009/Reebok_Appoints_DDB.asp
   3. U Magazine, January Edition.

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Mm assignment 15[1].02.10 reebok india

  • 1. MARKETING MANAGEMENT ASSIGNMENT ON ADVERTISING AND SALES PROMOTION SALES PROMOTION – DO SOMETHING DIFFERENT TO STIMULATE CHANGE Submitted By: KAVITA SHARMA N-33 KINSHOOK CHATURVEDI N-35 FMS Part Time MBA Ist year 2009-12
  • 2. Date of Submission: 15th February 2010
  • 3. Objective The objective of the assignment is to assess the advertising and sales promotion strategies implemented by Reebok India for creating awareness among masses. Overview of the Sector The Indian footwear retail market is expected to grow at CAGR of over 20% for the periods spanning from 2008 to 2011. The annual domestic consumption of shoes in India is 1.1 billion pairs and it is estimated that the footwear market is around Rs 10, 000 crore and will grow at 10% pa, this offers great opportunities for MNC Brands Sold in India like Adidas, Aldo, Bally, Clarks, Ecco, Florshiem, Ferragammo, Hush Puppies, Lee cooper, Lloyd, Marks & Spencer, Nike, Nine West, New Balance, Reebok, Rockport, Stacy Adams, Levi Strauss , Lee Cooper, Puma and Indian Brands sold in India like Bata, Red Tape, Liberty, Khadims, Lakhani, Metro, Action, Provogue, ID, M&B Footwear. Reebok India commands a 54% market share in the premium sportswear industry in the Rs 2000-crore premium sportswear market. Reebok reaches out to its target customers through its 900 Reebok Stores & 2500 dealer outlets. The company has plan to tap tier II and Tier III cities. Reebok is planning to add 55 new lifestyle stores by the end of this year. It offers different segments for both men and women like sports and fitness footwear, apparel, accessories, fitness equipment and the lifestyle section. Reebok India Reebok started its operations in India in 1995. Headed by Managing Director Mr. Subhinder Singh Prem, Reebok India has a pan-India presence with branch offices in Mumbai, Kolkata and Bangalore and ranks at the top amongst international footwear companies in India. The Company's brand vision is fulfilling potential, its mission – Always challenge and lead through creativity. Reeboks brand values are authentic, individualistic, courageous, empowering, innovative and real. Advertising Agencies In 2004, Reebok hired McGarry Bowen as there advertising agency. Till 2007, McGarry was Reebok’s brand agency. McGarry Bowen was founded in 2002 and has offices in New York and Chicago. McGarry Bowen is a fully-integrated agency with advertising, design, relationship marketing and a digital arm. The Agency has been the recipient of many honors, including Adweek’s President’s Award for the “non-traditional agency having the greatest impact on the industry.” The Agency works with many of the of the world’s best known companies including JPMorgan, Chase, Kraft, Disney, Marriott International, Chevron, Pfizer, HP, Reebok International, Crayola, InBev, Century 21, News Corp, The Wall Street Journal and the U.S. Olympic Committee. During the period of McGarry Bowen, Reebok had done advertising and marketing for various products. Pump sneakers advertisements, “Two People in Everyone” ad campaign, Runners head game- I am What I am ad campaign were all under this advertising agency. In early March 2009, Reebok appointed DDB Worldwide as its creative advertising
  • 4. agency.DDB will provide creative solutions across a range of brand advertising and marketing communications and will service the business from three hubs: Berlin, Chicago, and Hong Kong. DDB Worldwide Communications Group Inc (www.ddb.com) is the largest consolidated advertising and marketing services global network in the world, according to Advertising Age. DDB also has been frequently ranked as the most awarded agency network in the world by Creativity magazine and The Gunn Report, among others. With more than 200 offices in over 90 countries, the DDB Group believes that creativity is the most powerful force in business, building enduring and powerful brand experiences that create TalkValue,™ influence social communities and drive results. DDB Worldwide is part of Omnicom Group Inc. The agency handles brand advertising and marketing communications as the brand seeks to establish the brand in the women's fitness market. The ad campaign “Your Move” was done under this agency. In September 2007 in Hong Kong, Reebok handed its regional advertising business to WPP subsidiary Soho Square. Reebok is the founding client for Soho Square, which will manage Reebok's key markets in the Asia Pacific including Hong Kong, Japan, Korea, Australia and India and China. Analysis of Reebok Taglines and Logos Reebok Taglines Development Tag lines give a brand the momentum it can only dream of, if it is used the right way. It is very important to develop a catchy corporate tagline in addition to a great corporate logo that will effectively communicate in one sentence what services or products the company sells. In 2008, Reebok joined hands with the celebrity Bipasha Basu to make fitness fun with Reebok. The Easytone campaign prompts people to “Ree-think” the definition of sport. Reebok's challenger approach is to provide consumers with the choice to take the boredom out of working out. Running online, out-of-home, in-store, and in print, the campaign features fun, engaging taglines such as, "Less work, more play. Fitness is what you make of it. “Your Move" and "Confusing fitness with fun? Some of the other Taglines of Reebok are: June 2009 – “Have Fun While You Run” Early 2008 – “I am what I am” “Take the gym with you” “Eye candy for your feet” “Little Said, greatly Felt! ”
  • 5. Promotion Strategy Reebok is committed to make fitness fun – challenging men and women to fulfill their potential in sport and in life by providing them with the opportunity, the products and the inspiration to have fun staying in shape The company uses various promotional tools to bring awareness among its customers. It offers discounts, vouchers, coupons and custom made sneakers on their products. Apart from this, there are celebrity endorsements, road shows, sponsorship events, television commercials, print ads, billboards, alliance events. Print Media Advertising Print Media Advertising consists of newspapers and Magazines. It also includes outdoor billboards, transit posters, the yellow pages, and direct mail. Magazine Reebok features its print ads on magazines like Flimfare, Cineblitz and Stardust. The famous ad campaign of Mahindra Singh Dhoni and Bipasha Basu were featured in these magazines. Newspaper Reebok features its ad in supplement papers of national dailies like HT City of Hindustan Times, Delhi Times of Times of India, Mumbai Times of Times of India
  • 6. Electronic Media Advertising Television Media In 2008, Reebok commercial of “Your Move” ad campaign featured celebrities like Bipasha Basu and Mahindra Singh Dhoni. In 2007, global campaign of “Two People in One”, television commercials include Rahul Dravid. Infomercial Infomercials are also known as direct response television (DRTV) commercials or direct response marketing. The main objective in an infomercial is to create an impulse purchase, so that the consumer sees the presentation and then immediately buys the product through the advertised toll-free telephone number or website. Infomercials describe, display, and often demonstrate products and their features, and commonly have testimonials from consumers and industry professionals. Reebok arranges several infomercials in the sports based program. Reebok first infomercial was in April 2001 for the Reebok Core Board, a stationary muscle training program. It was a 28-minute infomercial which demonstrated the system, including the workout regimens, user testimonials and the system functions. Internet Advertising Reebok.com sells the same products on their web site as they do in the stores, providing the users more ways of getting what they want. The prices of goods sold at Reebok.com are comparable to those sold by their retail partners, so as not to take away sales and revenues from their traditional channel partners. TIE UPS Reebok innovates in colours and styling and has tied up with Manish Arora to launch collections. Reebok recently unveiled “My Name is Khan” collection, which is a fusion of sports and lifestyle and is targeted at a growing, globally sports and fashion conscious Indians.
  • 7. Other great brands like Whirlpool are tying up with Reebok as they see it as a good value-add, incentivising purchase through Reebok products instead of doling out price discounts. So, it is a win-win situation for everybody involved. Celebrity Endorsement This type of advertising focuses upon using celebrity power, fame, money, popularity to gain recognition for their products and promote them. Reebok India took Indian cricket stars like M.S Dhoni and Yuvraj Singh. Sponsorship Advertising Reebok sponsors many sports both internationally and nationally. Reebok India Reebok sponsored sports kits for the great rich Indian Premier League teams, such as the Royal Challengers Bangalore, Kolkata Knight Riders, Rajasthan Royals, Chennai Super Kings and Deccan Chargers in the first edition of the league held in 2008. Reebok also became the official partner of Force India on February 2009. Force India - India’s only Formula One Team - is all set to speed its way into the fast-paced lives of more and more Indians by partnering with premier sports and lifestyle products giant Reebok as its official apparel and footwear merchandising partner for the next 5 years. After inking the association in 2008, the partnership between Force India F1 team and Reebok has rolled out with the 2009 Force India Team wear collection. Reebok sponsors top three football clubs in India including East Bengal club and Mohan Bagan. In Tennis they are sponsoring three budding Tennis players in India. Reebok below the Line Promotion In 2007, Reebok India had started with its Run Easy Campaign. In an attempt to encourage consumers to participate in the campaign, Reebok will give away ten thousand pairs of shoes in the first phase. The company has decided to explore the parks frequented by joggers to undertake promotional activities for the campaign.
  • 8. Reebok Easy Vans along with trainers will demonstrate the spirit of Reebok Run Easy at the parks in cities like Delhi, Mumbai and Bangalore. The trainers will also teach fitness steps like warm ups, breathing patterns and foot movements to the joggers. The campaign enables Reebok to associate directly connect with the consumers, unlike cricket where they are involved as mere viewers. Reebok has launched three new footwear collections to attract the consumers who have just started running. Interview with Subhinder Singh Prem, MD Reebok India published in Economic Times, 11th February 2010, Thursday. SUBHINDER SINGH PREM MD, REEBOK INDIA In India, cricket has made us a masstige brand
  • 9. HE HEADS the biggest sports and fitness brand in the country, a brand that enjoys over 54% market share in India. Yet Reebok India managing director Subhinder Singh Prem is still running to the fun beat. A company displaying challenger mindset, Prem says that the brand will continue to expand operations, explore new distribution models and offer innovative products to the consumers. Reebok recently unveiled My Name is Khan collection, which is a fusion of sports and lifestyle and is targeted at a growing, globally sports and fashion conscious Indians. In an interview with Amit Sharma, Prem discusses about winning strides of Reebok. Excerpts:
  • 10. REEBOK INTERNATIONAL APPOINTS DDB WORLDWIDE AS LEAD CREATIVE AGENCY CANTON, MA (March 20, 2009) – Reebok International has appointed DDB Worldwide as its lead creative agency, Rich Prenderville, Reebok’s Head of Global Brand Marketing announced today. DDB will provide creative solutions across a range of brand advertising and marketing communications and will service the business from three hubs: Berlin, Chicago and Hong Kong. Amir Kassaei, Executive Creative Director of DDB Germany will spearhead global creative efforts on the account. "DDB showed us incredible depth of creative resources around the world, deep thinking in non- traditional arenas and a passion for creative solutions beyond advertising," said Prenderville. "Under the leadership of Amir and the team he and DDB have assembled, we are on the global offensive to drive great creative results for our brand." “Reebok is a fantastic brand and we are delighted with our partnership with Rich and his team,” Chuck Brymer, President and CEO of DDB Worldwide Communications Group Inc, said. “I am also very proud of the partnership and creativity our DDB offices have once again demonstrated on behalf of a client.” Kassei, who is known for his work on such brands as Volkswagen and Ikea, noted, "There is great heritage and strength in the Reebok brand, and it will be a great honor and opportunity to create a clear, differentiating point of view for it on a global basis." Bibliography 1. Interview with Subhinder Singh Prem, MD Reebok India – published in the Economic Times, 11TH Feb 2010, Thursday. 2. www.reebok.com, http://corporate.reebok.com/en/news/2009/Reebok_Appoints_DDB.asp 3. U Magazine, January Edition.