The VANS is an American shoe manufacturer, based in California, is first founded in the year of 1966 by Paul Van Doren together with his brother James and two other partners, targeting active individuals primarily in surfing and skateboarding. Skateboarding during 1960’s – 1970’s was considered as a disesteemed sports, was not so respectable, among the dominant culture in the society as it was aligned with the anti-establishment, anti-Vietnam, and anti-war sentiment.
1.1 VANS’ customers’ key characteristics during 1960’s – 1970’s
1.1.1 Who are the VANS customers?
VANS customers include from twelve years old to early twenties youngsters, including high school students, and the Southern California surfers. Majority of the VANS’ consumers were school-based groups like marching bands, cheerleaders and sports teams since VANS could match the shoes with school preferences of colors.
1.1.2 What are the key customers’ characteristics?
During 1960’s and 1970’s, the skateboarders and surfers as the main customers base of VANS’ characteristics were determined by bottom-line possession, youthfulness and ability to customizing the sneakers. Moreover, many consumers of the VANS at that time were mostly rebellious, individualist, competitive and aggressive since surfing and skateboarding were perceived as disfavoring sports in the mainstream culture in earlier
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In other words, people who used to be customers of VANS shoes were decreasing. Moreover, the company faced with cheap counterfeits and imitations – people were given more choices as other footwear firms arose in the market with trendier designs and more reasonable priced shoes according to lower overseas production costs, causing the company to losing one of its value propositions of being affordable shoes with good quality brand and fashionable
Levi’s decided to place their product in department stores as they had good relations with the retailers due to their volume sales of jeans. They did not have any real relationship with the specialty stores where the independent male shopped. Rather than placing their new products which would be considered as high-end in these specialty stores and where they would be among the lower price range, they chose to place their products in the department stores where their products showed a deviation from the regular Levi formula and were considered very pricy as compared to other high-end department store brands such as Haggar’s. This price raised some concerns among the retailers as they were unsure if Levi’s formal wear would move out of the stores at a required pace. Also, due to price-quality inference, if Levi’s was placed in a specialty store, the Q2 customer might prefer to buy a more expensive product. Levi tried to sell these formal clothes in the same stores as their casual clothes for the same segment of customers. Customers saw these formal clothes at the same place priced higher than the casuals, and therefore found them to be expensive.
sale of Nike’s high-margin products to high-end customers. Regardless of the low cost of the World Shoes, they
In 1960s, Vans Doren set out to make the most durable and affordable casual deck shoe in the market. Unlike other shoes manufactures, Vans sold its sneaker directly to customers out of its own retail store in Anaheim, California. Customers could enjoy customized Vans. But the industry insiders derided the unconventional business model which actually fulfilled customers' needs. By the end of 1960s, the canvas had developed a small but loyal following among the Southern California surf set.
Obviously, there is a big number of driving forces in the athletic footwear industry. Each of these driving forces has different impacts—some of them can have a more considerable effect than others on figuring out how much cross-company differences influence market shares and a number of units sold. The first line of most influential factors includes comparative prices, S/Q ratings, and a number of models offered among the footwear competitors. These three most important competitive forces affect customer decisions of which athletic footwear brand to choose. Furthermore, the decisions of customers whether to purchase one brand or another are also influenced by such forces as advertising, celebrity endorsements, the number of independent retail
Back in 1999, PacSun collaborated with shoe brand Vans to jumpstart Vans’ apparel line. The partnership was beneficial to both companies, bringing more people through the doors of PacSun stores. The retailer still carries the Vans brand of footwear and clothing.
Have you ever seen someone wearing a very rare pair of shoes that you have never seen before? Have you ever wondered how they got these shoes and how much they cost? Believe it or not Nike’s Air Jordan line of shoes has been at the forefront of a decade-long sneaker craze, which has grown so much it has become its own stock market. Jordan’s have been popular for many years and it is shown throughout pop culture, the increase in price and demand, the resale market that has skyrocketed in the last five years, and the history behind the shoe that made them so popular. Jordan’s are very well advertised through several popular outlets.
Customers make purchasing decisions based on the information they have among products and the values of goods a company offers. For that reason, companies have to promote their products to increase products awareness. In order to achieve organizational goals, companies must understand the market’s needs to ensure the success of their businesses. Such information can be gained through research. The industry that will form the basis of this paper is Western Canadian Shoe Association. The three brands under study are Reebok, Adidas, and Nike.
There are other footwear’s that provide the same level of comfort and satisfaction such as the shoes designed by Nike, Adidas, Bata etc. as well as sell at a competitive price.
The sportswear industry is growing and becoming more competitive so the will be new producers and entries in the market with new ‘’aces up their sleeves’’. More competition in the market
The primary target market of TOMS is males and females between the age of 19-24 that want to combine the creativity of being a trend-setter with the satisfaction of being socially responsible. This age range is a part of what is known as Generation Y, or the Millennials. Generation Y has brought a trend of social awareness and activity. From 2002 to 2005 the number of people volunteering went up 25%. This generation is all about giving back to the people, so Toms allows this group to give back by purchasing their shoes. TOMS has also done its homework on this group as well. Utilizing social media, TOMS reaches out to over 488,000 twitter followers, 280,000 Facebook fans, and several thousands of YouTube users. TOMS understands that generation Y prefers hands on involvement. In order to make that happen, TOMS fans are allowed to take part in a yearly One Day Without Shoes movement to understand what it is like to be shoe-less. In addition to the giving back and the social movements, TOMS shoes let young adults be expressive in their style. The plain shoe design makes way for creative minds to manipulate the shoe as anyone may please. TOMS is mainly focused in the U.S., but the shoes are available in over 30 countries globally
When Quiksilver announced the start of its women line Roxy in 1990, they defined the brand as a “fun, bold, athletic, daring and classy” brand for young women. Market segmentation is a crucial marketing strategy and Roxy utilizes the four bases that are commonly used for segmenting consumer markets including geographic, demographic, psychographic, and benefits sought segmentation. The geographic segmentation is ideally unlimited for the Roxy target market because the brand offers clothes for both warm and cold weather, however, it focuses mainly on the “beach lifestyle” and is generally more popular in beach towns. The demographic segmentation of the Roxy brand, is aimed to attract young women between the
Many of the big established shoe brands have seen consolidation and hence they have become bigger and more powerful in terms of competing with the rest.
The use of substitutes in the footwear industry is very high because of the large number of companies and similar products in the industry. There is a great deal of rivalry and the customers’ bargaining power is high. If the store experiences a large demand for unusual small or large sizes not kept in stock and cannot fill these request within a reasonable time frame customers could stop patronizing the store. If competitors with similar business models locate in the same area this could pose problems for the shoe store. If Johnson’s misjudges the path of current fashion and over stocks shelves with the wrong products, this could cause problems in moving merchandise.
Market analysis C & J Clarks LtdCONTENTSEXECUTIVE SUMMARY1.INTRODUCTION2.COMPANY HISTORY AND PROFILE2.1C&J Clark2.2History2.3Manufacturing2.4Range of Shoes2.5 K Shoes3.MARKET ANALYSISA. MICRO ENVIRONMENT3.1 Market Data3.2Competition3.3Consumer demandB. MACRO ENVIRONMENT3.4Political3.5Social3.6Technological3.7Economic4.SWOT ANALYSIS5.IDENTIFICATIONS OF STRATEGIC ALTERNATIVES6.RECOMMENDATIONS6.1Short Term6.2Medium Term6.3Long TermEXECUTIVE SUMMARYI have been asked by C & J Clark Limited (Clarks) to prepare a report which would include a market analysis of the UK footwear industry and to propose a number of strategic recommendations which would ensure that Clarks secures its short, medium and long term future as the market leader in the shoe
Threat of Substitute Products: Atheletic shoes are designed for comfort, fit and personal safety during periods of iintense or increased movement. The existence of close substitute products increases the propensity of consumers to switch to alternatives in reponse to price increases. The availability of substitutes in the athletic shoe industry, invites customers to make price, quality and performance comparisons. If the athletic shoe is used for a specific sports, there maybe relatively few substitutes. If the shoe is used because of comfortability, they are interchangeable with minimal switching cost. This holds true for athletic shoes worn for fashion. Overall the threat of substitute products is moderate and depends on the motivation for purchasing the product. The impact to profit potential is moderate to high.