A MARKET SURVEY REPORT

ON

CUSTOMER SATISFACTION TOWARDS ADIDAS

Submitted To:

COLLEGE OF MANAGEMENT AND COMPUTER

APPLICATIONS, MORADABAD

In Partial Fulfillment of the Requirement of the Degree of

Bachelor of Business Administration (BBA)

SESSION: 2010-2013

Department of Management
TEERTHANKER MAHAVEER UNIVERSITY
DELHI ROAD, MORADABAD

Project Guide: Project Incharge:

Ms. Prineeta Rastogi Mr. Mohit Rastogi
(Course Co-ordinator, B.B.A.)

Submitted By:
Akash Kumar
B.B.A. V Semester
Roll No.
 CERTIFICATE

This is to certify that Mr. Akash kumar is pursuing three year full time
Bachelor of Business Administration (BBA) Course from Teerthanker
Mahaveer University, Moradabad as regular student, in session (2010-2013).

In compliance with the provision/guidelines of Teerthanker Mahaveer

University, Moradabad, He/she has been assigner a market survey project. The
project work has been genuinely carried out by the student for the during
specified by the university.

He/she has made sincere efforts in the completion of the project work.

MS. PRINEETA RASTOGI

Project Guide
 STUDENT DECLARATION

I Akash Kumar hereby declare that the research work presented in this project report

entitled Customer Satisfaction towards Adidas. for the fulfillment of the award of

Bachelor of Business Administration from Teerthanker Mahaveer University;

Moradabad. The project embodies the result of original work and studies carried out by

me and the contents of the project do not form the basis for the award of any other

degree to me or to anybody else.

Akash Kumar
BBA 5th Sem
 ACKNOWLEDGEMENT

It gives me immense pleasure and privilege to acknowledge my deepest

sense of gratitude towards all those who helped me in the successful

execution of this project.

I would like to thanks Chancellor Sir, Shri Suresh Jain, Group Vice

Chairman Mr. Manish Jain, Additional Director Dr. Vipin Jain for their

able guidance. I also extend my gratitude towards the H.O.D. Dr. M.P.

Singh and my course co-ordinators Mr.Mohit Rastogi who entrusted me

for the completion of this project. I am highly indebted to my project guide,

Ms. Prineeta Rastogi whose constructive counseling and able guidance

helped me immensely in bringing out this project in the present form. And

lastly the entire faculty member and Mr. Sanjeev Singh (Librarian) & the

entire Lab staff for providing me this opportunity and expose me to

industrial culture.

The acknowledgement would be incomplete without thanking my family

and friend who were a big support throughout.

Akash kumar
BBA 5th SEM
 PREFACE

Theoretical knowledge without practical knowledge is of little value. In order to achieve

positive & concrete results along with theoretical concept the exposure of real life situation

existing in corporate is very much needed. To fulfill this need the management course has a

provision for the practical market survey. I thank my institute to provide us such opportunity

having market survey in our course so that students can have real feeling of a researcher.

In the coming pages an attempt has been made to present a comprehensive market survey

report is concerning different aspects.

 EXECUTIVE SUMMARY

Customer satisfaction is an abstract concept and the actual manifestation of the state of

satisfaction will vary from person to person and product/service to product/service. The state

of satisfaction depends on a number of both psychological and physical variables which

correlate with satisfaction behaviors such as return and recommend rate. The level of

satisfaction can also vary depending on other factors the customer, such as other products

against which the customer can compare the organization's products.

Adidas was formed by German sports apparel by the founder Adi Dassler during the 1920s.

For over 80 years, Adidas has been part of the world of sports on every level, delivering state

of-the-art sports footwear, apparel and accessories.

This project is based on the survey, which was done in the Moradabad city. The main aim of

the survey to find out customer satisfaction towards Adidas. We have covered almost all the

aspects, which are related to the customer satisfaction and Adidas. The company profile and

product range is given in the beginning of the report the data have been collected by help of

questionnaire with sample size of 100, which is given in the report. The collected data have

been analyzed and shown in the form of pie chart.

 CONTENTS

1. Introduction

2. Company Profile

3. Objectives of the study

4. Literature Review

5. Research Methodology

6. Data Analysis & Interpretation

7. Findings/ Conclusion

8. Suggestions & Limitation

9. References/ Biblography

10. Annexure- Questionnaire

INTRODUCTION
 INTRODUCTION

Customer satisfaction, a business term, is a measure of how products and services supplied

by a company meet or surpass customer expectation. It is seen as a key performance indicator

within business and is part of the four of a Balanced Scorecard.

In a competitive marketplace where businesses compete for customers, customer satisfaction

is seen as a key differentiator and increasingly has become a key element of business

strategy.

Measuring customer satisfaction

Organizations need to retain existing customers while targeting non-customers. Measuring

customer satisfaction provides an indication of how successful the organization is at

providing products and/or services to the marketplace.

Customer satisfaction is an abstract concept and the actual manifestation of the state of

satisfaction will vary from person to person and product/service to product/service. The state

of satisfaction depends on a number of both psychological and physical variables which

correlate with satisfaction behaviors such as return and recommend rate. The level of

satisfaction can also vary depending on other factors the customer, such as other products

against which the customer can compare the organization's products.

Work done by Parasuraman, Zeithaml and Berry (Leonard L) between 1985 and 1988

delivered SERVQUAL which provides the basis for the measurement of customer

satisfaction with a service by using the gap between the customer's expectation of

performance and their perceived experience of performance. This provides the researcher
with a satisfaction "gap" which is semi-quantitative in nature. Cronin and Taylor extended the

disconfirmation theory by combining the "gap" described by Parasuraman, Zeithaml and

Berry as two different measures (perception and expectation) into a single measurement of

performance relative to expectation.

The usual measures of customer satisfaction involve a survey with a set of statements using a

Likert Technique or scale. The customer is asked to evaluate each statement in terms of their

perception and expectation of performance of the service being measured. Arguably,

consumers are less complex than some of these surveys tend to portend. They are basically in

two simple states; satisfied or not satisfied. On or off, just like a switch. A business can

measure its customer satisfaction index by relating the aggregates of satisfied customers

versus dissatisfied customers.

Measuring customer satisfaction is a relatively new concept to many companies that have

been focused exclusively on income statements and balance sheets. Companies now

recognize that the new global economy has changed things forever. Increased competition,

crowded markets with little product differentiation and years of continual sales growth

followed by two decades of flattened sales curves have indicated to today's sharp competitors

that their focus must change.

Competitors that are prospering in the new global economy recognize that measuring

customer satisfaction is key. Only by doing so can they hold on to the customers they have

and understand how to better attract new customers. The competitors who will be successful

recognize that customer satisfaction is a critical strategic weapon that can bring increased

market share and increased profits.

The problem companies face, however, is exactly how to do all of this and do it well. They

need to understand how to quantify measure and track customer satisfaction. Without a clear

and accurate sense of what needs to be measured and how to collect, analyze and use the data

as a strategic weapon to drive the business, no firm can be effective in this new business

climate. Plans constructed using customer satisfaction research results can be designed to

target customers and processes that are most able to extend profits.

Too many companies rely on outdated and unreliable measures of customer satisfaction.

They watch sales volume. They listen to sales reps describing their customers' states of mind.

They track and count the frequency of complaints. And they watch aging accounts receivable

reports, recognizing that unhappy customers pay as late as possible--if at all. While these

approaches are not completely without value, they are no substitute for a valid, well-designed

customer satisfaction surveying program.

It's no surprise to find that market leaders differ from the rest of the industry in that they're

designed to hear the voice of the customer and achieve customer satisfaction. In these

companies:

Marketing and sales employees are primarily responsible for designing (with customer

input) customer satisfaction surveying programs, questionnaires and focus groups.

Top management and marketing divisions champion the programs.

Corporate evaluations include not only their own customer satisfaction ratings but also

those of their competitors.

Satisfaction results are made available to all employees.

 Customers are informed about changes brought about as the direct result of listening to

their needs.

Internal and external quality measures are often tied together.

Customer satisfaction is incorporated into the strategic focus of the company via the

mission statement.

Stakeholder compensation is tied directly to the customer satisfaction surveying program.

A concentrated effort is made to relate the customer satisfaction measurement results to

internal process metrics.

To be successful, companies need a customer satisfaction surveying system that meets

the following criteria:

The system must be relatively easy to design and understand.

It must be credible enough that employee performance and compensation can be attached

to the final results.

It must generate actionable reports for management.

Defining customer satisfaction

Because the concept of customer satisfaction is new to many companies, it's important to be

clear on exactly what's meant by the term.

Customer satisfaction is the state of mind that customers have about a company when their

expectations have been met or exceeded over the lifetime of the product or service. The
achievement of customer satisfaction leads to company loyalty and product repurchase. There

are some important implications of this definition:

Because customer satisfaction is a subjective, no quantitative state, measurement won't be

exact and will require sampling and statistical analysis.

Customer satisfaction measurement must be undertaken with an understanding of the gap

between customer expectations and attribute performance perceptions.

There should be some connection between customer satisfaction measurement and

bottom-line results.

"Satisfaction" itself can refer to a number of different facts of the relationship with a

customer. For example, it can refer to any or all of the following:

Satisfaction with the quality of a particular product or service

Satisfaction with an ongoing business relationship

Satisfaction with the price-performance ratio of a product or service

Satisfaction because a product/service met or exceeded the customer's expectations

Each industry could add to this list according to the nature of the business and the specific

relationship with the customer. Customer satisfaction measurement variables will differ

depending on what type of satisfaction is being researched. For example, manufacturers

typically desire on-time delivery and adherence to specifications, so measures of satisfaction

taken by suppliers should include these critical variables.

Clearly defining and understanding customer satisfaction can help any company identify

opportunities for product and service innovation and serve as the basis for performance

appraisal and reward systems. It can also serve as the basis for a customer satisfaction
Customer Satisfaction
surveying program that can ensure that quality Measurement Facts
improvement efforts are properly focused on issues A 5-percent increase in loyalty can
increase profits by 25%-85%.
that are most important to the customer. A very satisfied customer is nearly
six times more likely to be loyal and
to repurchase and/or recommend
your product than is a customer
who is just satisfied.
Only 4 percent of dissatisfied
customers will complain.
Objectives of a customer satisfaction surveying program The average customer with a
problem eventually tells nine other
people.
In addition to a clear statement defining customer Satisfied customers tell five other
people about their good treatment.
satisfaction, any successful surveying program

must have a clear set of objectives that, once met,

will lead to improved performance. The most basic objectives that should be met by any

surveying program include the following:

Understanding the expectations and requirements of all your customers

Determining how well your company and its competitors are satisfying these expectations

and requirements

Developing service and/or product standards based on your findings

Examining trends over time in order to take action on a timely basis

Establishing priorities and standards to judge how well you've met these goals
Before an appropriate customer satisfaction surveying program can be designed, the

following basic questions must be clearly answered:

How will the information we gather be used?

How will this information allow us to take action inside the organization?

How should we use this information to keep our customers and find new ones?

Careful consideration must be given to what the organization hopes to accomplish, how the

results will be disseminated to various parts of the organization and how the information will

be used. There is no point asking customers about a particular service or product if it won't or

can't be changed regardless of the feedback.

Conducting a customer satisfaction surveying program is a burden on the organization and

its customers in terms of time and resources. There is no point in engaging in this work unless

it has been thoughtfully designed so that only relevant and important information is gathered.

This information must allow the organization to take direct action. Nothing is more

frustrating than having information that indicates a problem exists but fails to isolate the

specific cause. Having the purchasing department of a manufacturing firm rate the sales and

service it received on its last order on a scale of 1 (terrible) to 7 (magnificent) would yield

little about how to improve sales and service to the manufacturer.

The lesson is twofold. First, general questions are often not that helpful in customer

satisfaction measurement, at least not without many other more specific questions attached.

Second, the design of an excellent customer satisfaction surveying program is more difficult

than it might first appear. It requires more than just writing a few questions, designing a

questionnaire, calling or mailing some customers, and then tallying the results.
Understanding differing customer attitudes

The most basic objective of a customer satisfaction surveying program is to generate valid

and consistent customer feedback (i.e., to receive the voice of the customer, which can then

be used to initiate strategies that will retain customers and thus protect the most valuable

corporate asset--loyal customers).

As it's determined what needs to be measured and how the data relate to loyalty and

repurchase, it becomes important to examine the mind-set of customers the instant they are

required to make a pre-purchase (or repurchase) decision or a recommendation decision.

Surveying these decisions leads to measures of customer loyalty. In general, the customer's

pre-purchase mind-set will fall into one of three categories--rejection (will avoid purchasing

if at all possible), acceptance (satisfied, but will shop for a better deal), and/or preference

(delighted and may even purchase at a higher price).

This highly subjective system that customers themselves apply to their decisions is based

primarily on input from two sources:

The customers' own experiences--each time they experience a product or service, deciding

whether that experience is great, neutral or terrible. These are known as "moments of truth."

The experiences of other customers--each time they hear something about a company,

whether it's great, neutral or terrible. This is known as "word-of-mouth."

CUSTOMER SATISFACTION IN 7 STEPS

Its a well known fact that no business can exist without customers. In the business of

Website design, its important to work closely with your customers to make sure the site or

system you create for them is as close to their requirements as you can manage. Because its

critical that you form a close working relationship with your client, customer service is of

vital importance. What follows are a selection of tips that will make your clients feel valued,

wanted and loved.

1. Encourage Face-to-Face Dealings

This is the most daunting and downright scary part of interacting with a customer. If youre

not used to this sort of thing it can be a pretty nerve-wracking experience. Rest assured,

though, it does get easier over time. Its important to meet your customers face to face at least

once or even twice during the course of a project.

My experience has shown that a client finds it easier to relate to and work with someone

theyve actually met in person, rather than a voice on the phone or someone typing into an

email or messenger program. When you do meet them, be calm, confident and above all, take

time to ask them what they need. I believe that if a potential client spends over half the

meeting doing the talking, youre well on your way to a sale.

2. Respond to Messages Promptly & Keep Your Clients Informed

This goes without saying really. We all know how annoying it is to wait days for a response

to an email or phone call. It might not always be practical to deal with all customers queries

within the space of a few hours, but at least email or call them back and let them know
youve received their message and youll contact them about it as soon as possible. Even if

youre not able to solve a problem right away, let the customer know youre working on it.

A good example of this is my Web host. Theyve had some trouble with server hardware

which has caused a fair bit of downtime lately. At every step along the way I was emailed

and told exactly what was going on, why things were going wrong, and how long it would be

before they were working again. They also apologized repeatedly, which was nice. Now if

they server had just gone down with no explanation I think Id have been pretty annoyed and

may have moved my business elsewhere. But because they took time to keep me informed, it

didnt seem so bad, and I at least knew they were doing something about the problems. That

to me is a prime example of customer service.

3. Be Friendly and Approachable

A fellow Site Pointer once told me that you can hear a smile through the phone. This is very

true. Its very important to be friendly, courteous and to make your clients feel like youre

their friend and youre there to help them out. There will be times when you want to beat

your clients over the head repeatedly with a blunt object it happens to all of us. Its vital

that you keep a clear head, respond to your clients wishes as best you can, and at all times

remain polite and courteous.

4. Have a Clearly-Defined Customer Service Policy

This may not be too important when youre just starting out, but a clearly defined customer

service policy is going to save you a lot of time and effort in the long run. If a customer has a

problem, what should they do? If the first option doesnt work, then what? Should they

contact different people for billing and technical enquiries? If theyre not satisfied with any

aspect of your customer service, who should they tell?

Theres nothing more annoying for a client than being passed from person to person, or not

knowing who to turn to. Making sure they know exactly what to do at each stage of their

enquiry should be of utmost importance. So make sure your customer service policy is

present on your site and anywhere else it may be useful.

5. Attention to Detail (also known as The Little Niceties)

Have you ever received a Happy Birthday email or card from a company you were a client

of? Have you ever had a personalized sign-up confirmation email for a service that you could

tell was typed from scratch? These little niceties can be time consuming and arent always

cost effective, but remember to do them.

Even if its as small as sending a Happy Holidays email to all your customers, its something.

It shows you care; it shows there are real people on the other end of that screen or telephone;

and most importantly, it makes the customer feel welcomed, wanted and valued.

6. Anticipate Your Clients Needs & Go Out Of Your Way to Help Them Out

Sometimes this is easier said than done! However, achieving this supreme level of

understanding with your clients will do wonders for your working relationship.

Take this as an example: youre working on the front-end for your clients exciting new

ecommerce endeavor. You have all the images, originals and files backed up on your desktop

computer and the site is going really well. During a meeting with your client he/she happens

to mention a hard-copy brochure their internal marketing people are developing. As if by

magic, a couple of weeks later a CD-ROM arrives on their doorstep complete with high

resolution versions of all the images youve used on the site. A note accompanies it which

reads:
Hi, you mentioned a hard-copy brochure you were working on and I wanted to provide you

with large-scale copies of the graphics Ive used on the site. Hopefully youll be able to make

use of some in your brochure."

Your client is heartily impressed, and remarks to his colleagues and friends how very helpful

and considerate his Web designers are. Meanwhile, in your office, you lay back in your chair

drinking your 7th cup of coffee that morning, safe in the knowledge this happy customer will

send several referrals your way.

7. Honour Your Promises

Its possible this is the most important point in this article. The simple message: when you

promise something, deliver. The most common example here is project delivery dates.
COMPANY

PROFILE
 COMPANY PROFILE

Adidas Inc. is a marketer of sports apparel and athletic shoes. The German manufacturer,

through its marketing strategy which rests on a favorable brand image, has evolved into a

large multinational enterprise. In keeping with the brand image is its association with the

distinctive logo and its advertising slogan, "Impossible is Nothing." In order to maintain and

sustain this image, the company makes huge investments in advertising and brand

promotion. At the critical time of global economic crisis, Adidas will react to the consumers

pessimistic attitude and stressful emotion during this period. It may become a good chance

for Adidas because it can take advantage of its previous advertising way of Impossible is

Nothing campaign by sponsoring sports stars to express the corporate philosophy of grit,

determination, passion and humor, giving people more courage and psychological comfort in

face of economic crisis. But besides that, we also focus more about family function

especially in Asian countries which emphasize a lot on family, which can provide caring

emotional communication. Therefore, from both strong-willed hero worship and water-like

fork environment, customers can easily link Adidas image with not only strength, but also

warmth. The preferred media we choose are TV, specific magazines, outdoor and internet.
 INTRODUCTION

Adidas was formed by German sports apparel by the founder Adi Dassler during the 1920s.

While Dassler was in his mothers wash room

he decided to begin an athletic shoe. After he

made the shoe he had help from his brother and

twelve other people to produce around 50

handmade shoes per day. These athletic shoes

were made for running and training.

For over 80 years, Adidas has been part of the world of sports on every level, delivering

state-of-the-art sports footwear, apparel and accessories. Today, Adidas is a global leader not

only in the shoe industry, but also in the sporting goods industry. Shoes from the Adidas are

available in virtually every country of the world. Oddball is proud to carry quality large size

Adidas, (www.oddballshoe.com).

Recently Adidas and the NBA joined forces and made The Brotherhood. The

Brotherhood consists of Tracy Mc G Rady of The Houston Rockets, Dwyane Wade of The

Miami Heat, Tim Duncan of The San Antonio Spurs, Chauncey

Billups of the Detroit Pistons and Gilbert Arenas of the Washington Wizards. When it came

down to it Adidas and the NBA came up with the slogan called Basketball is a

Brotherhood.

The main focus of The Brotherhood was Adidas to sponsor the NBA. The way these six

players were selected was by their athletic ability which is why they are also known as all
stars. Then these six players decided to form a series that would help kids to discover their

dream by playing with NBA Stars.

A strong advertising and public Relation events makes Adidas as a worldwide recognized

brand and it would be more sustainable in the world market.

HISTORY OF ADIDAS

The company Adidas was founded in the early 1920s as Gebruder Dassler

Schuhfabrik, in Herzogenaurach in Germany.

Adolf Dassler designed a pair of sport shoes in

1925 and few years later he and his brother

Rudolph were selling special shoes for tennis

players and began design specific shoes for

different sports. The family company split in

1948. After the split, Adolf (Adi) Dassler

founded Adidas and his brother Rudolph founded Puma. The three-stripe logo

was designed in 1941 by Adi Dassler and he registered it as a trademark for

Adidas after the split.

The strength of Adidas was its product innovation. Adi Dassler registered more

than seven hundred patents. Adidas began selling its shoes in the United States

after 1968 and in few years the company dominated the American market. The

most important marketing breakthrough was the active promotion of global

sporting events, especially the Olympics. The connection of Adidas to the

Olympics has a rich heritage. At the 1972 Olympic game in Munich, every

official wore Adidas.

Activities: manufacture and distribution of textiles, shoes and appliances for sport and related

products. Adidas has 107 subsidiaries in 20 countries, and exports to 160 countries.

Exploitation of the registered trademark Adidas is made where ever it is an opportunity.

Activities of the company and its subsidiaries are directed from Adidas-Salomon AG's

headquarters in Herzogenaurach, Germany.

Products: Adidas - Footwear, apparel, and

hardware such as bags and balls. Salomon -

Winter sports incl. skis, snowboards, snowblades,

ski boots and bindings, inline skates, hiking,

apparel. Mavic -Cycle components, Bonfire -

Snowboard apparel. Arc'Teryx - Outdoor apparel,

climbing equipment, Clich - Skateboard equipment, footwear and apparel, Taylor Made-

Adidas Golf - Golf equipment, golf apparel, golf shoes and finally, Maxfli - Golf balls, irons

and accessories.

In 1990, Adidas was holding on to just a two to three percent share of the U.S. market.

Between 1988 and 1992 Adidas total sales dropped from nearly $2 billion to $1.7 billion. In

the same period, Nikes sales went from $1.2 billion to more than $3.4 billion. From being

the U.S. market leader in the late 1970s, Adidass market share dropped to 3 percent in 1992.

The European market shares dropped while Nikes shares grew.

Adidas also have had problems with the upstream value activities in their value chain.

Traditionally, the company have their own factories and wholly owned subsidiaries. What
happened in the '70s and forward, during the Adidas recession, was that Adidas was unable to

ship products when it was needed, and they had a long supply chain - it took 18 months to get

a new shoe into the market.

SITUATION ANALYSIS

Adidas AG (pronounced [AH-dee-'dahs]; often in English, FWB: ADS) is a German sports

apparel manufacturer and part of the Adidas Group, which consists of Reebok sportswear

company, Taylor Made-Adidas golf company, and Rockport. Besides sports footwear, the

company also produces other products such as bags, shirts, and other sports and clothing

related goods. The company is the largest sportswear manufacturer in Europe and the second

biggest sportswear manufacturer in the world, to its US rival Nike. The company's clothing

and shoe designs typically feature three parallel bars, and the same motif is incorporated into

Adidas's current official logo. The company revenue for 2008 was listed at 10.799 billion

and the 2007 figure was listed at 10.299 billion, or about US$15.6 billion. The situation

analysis consists of the market trend analysis and competitor analysis.

MARKET TREND ANALYSIS

Adidas earn from EU 877 million in worldwide sales to EU 9.2 billion in the ten years

between 1988 and 1998. The market demand from teenagers who should be Adidas and

most important target market increased very fast and Adidas started to expand its targeting

market to younger consumers because of its severe competition with Nike and Reebok.

Therefore, since the late 1980s, Adidas has worked to transform itself from a brand of

sneakers to a product integral to the sports culture. During this stage, the Adidas brand has

become so strong as to place it in the rarified air of recession-proof consumer branded

giants, in the company of Coca-Cola, Gillette and Proctor & Gamble. Consumers are willing

to pay more for brands that they judge to be superior in quality, style and reliability. A

strong brand allows its owner to expand market share, command higher prices and generate

more revenue than its competitors. With its Impossible is Nothing campaign and strong

product, Nike was able to increase its share of the domestic sport-shoe business from 18

percent to 43 percent.

Chart-1: Adidas Net Sales data in Euro (million)

2002-06 (Source-www.adidas.com)
COMPETITOR ANALYSIS

Adidas has two lager competitors Nike and Rebook. Besides that it would have several small

competitors. A SWOT analysis would be helpful to understand the competitive environment.

SOWT ANALYSIS:

A SWOT analysis comprise of strength, Weakness, Opportunity and Threats. This four trends

are analyze below.

Figure: Adidas expense to advertising (billion Euro), (Source-www.wekipedia.org)

STRENGTHS

Largest International portfolio of sport ambassadors.

Sponsors football teams with maximum fan following in India and USA.

Highest brand image in India according to our survey.

WEAKNESSES

Rigid pricing structure.

Our survey shows Nike behind Reebok & Adidas in market share in India.

Has not do well in Indian subcontinent market.

OPPORTUNITIES

Has a great opportunity to expand international market.

Increasing demand on the sportswear.

Positive and increasing market trends can increase through the effective advertising.

THREATS

Adidas larger competitor Nike has a grater market share and having a big budget in

marketing activity.

The newly born several brands like CAT, GAP has increase their advertising budget

in recent years.

Amount of competitors increasing day by day.

COMPARATIVE ANALYSIS

Nike centred their brand equity model on the platforms, the endorsement focus strategy,

creating a dominant media presence, development of Flagship stores, Nike Town and sub-

branding. The Adidas strategies were based on, endorsement focus strategy, advertising,

sponsorship programs focusing on major global events, sports associations, and teams, and

sub-brands.

To create brand awareness both companies have been using endorsement strategies in their

brand-building programs. What differs is that Adidas focuses on sponsorship of teams and

events e.g. national teams and big sport events like the Olympic Games and different World

Championship events. This will help them to create awareness with help from different types

of media. In contrast Nike has their focus on individuals like M. Jordan and T. Woods and

their success stories.

About the second strategy, advertising. Nikes advertising strategy was to create dominant

presence in media. Nike created media presence in several trend setting United States cities.

TV ads linking Nike to a city were used, but real drivers were huge oversized billboards and

murals on buildings that blanketed cities with messages featuring key Nike-sponsored

athletes, not products. Adidas took up the competition with Nike through raising their

advertising budget to a level that made it possible to compete with Nike on the same

conditions and the same strength as Nike did to capture the consumer interest. Adidas did not

just spend more money; they made an impact with brilliant executions. They made TV and

other advertising campaigns. The company communicate their heritage of innovation,

technology and big success stories with personalities like Emil Zatopek, Mohammad Ali.

Adidas tried to spread meanings like We know then- we know now and There is nothing
between you and success, so exceed your own expectations and limitations and Earn it.

The success was obvious and after hard work and striving toward a top position in the

industry Adidas was back in business.

Nikes third strategy was to develop, flag ship stores, Nike Town shops in bigger citys, first

national, and then abroad. Nike was the first company to establish flagship stores and it

turned out to be a sensation. Adidas choice was to experiment with sport events, with which

they made great success. Examples of that is the Adidas Street ball Challenge a local three-

person team basketball tournament, this event started out as a trail in Berlin in the beginning

of the 1990s as one time occasion.

In the mid 1990s it had become a huge sport event with about 500.000 participants all over

the bigger cities in Europe. In the finals in Germany it attracted 3200 players and 40.000

spectators. Adidas made hereby a brand-building success.

The Nike customer associated the Nike brand with words like sports, attitudes and life style.

Reasons for that is one can relate to or identify one self to Nikes marketing campaigns like

Just do it and the companies front athletes like Michael Jordan and Tiger Woods. For

Adidas one image study of consumers found the brand very trendy, modern and cool. The

survey was made in late 1990s.

All marketing actions that both companies are implementing will hopefully result in loyal

customers. Adidas introduced a sub brand in 1990 to serve the high-end products for all

categories of shoes and apparel. The Equipment sub brand would represent the best,

whatever the product was. The low-end products, for the normal consumer still have a high
technology and level of innovation because of their inheritance of the older innovations and

technology from the Equipment line. This strategy made the Adidas brand take on a different

meaning; it still meant participation, emotion and performance. This was a success strategy

for Adidas so successful that Nike copied their idea and introduced their own line, the Alpha

line, based on the same idea.

Nike advanced from $1 billion dollars in 1986 to $ 9.9 billion in 2002, Adidas advanced from

$1.7 billion in 1992 to $4.8 billion in 1998. According to sales figures for the both

companies, it seems that both Nike and Adidas companies have succeeded to create a brand

loyal customer who perceives the Nike and Adidas products as top quality.

ADVERTISING METHOD & MEDIA SELECTION

The media that was used of The Brother Hood will be television, magazines and Internet.

CORE ADVERTISING CONSIDERATION

The core advertising factors of Adidas are as follows. Besides that a huge amount of data

about Adidas advertising related activities. As a multinational

company Adidas have separate advertising strategy in

different area of the world.

MEDIA VEHICLES:

The media vehicles that were used for television will be ABC

basketball games, TNT basketball games, ESPN basketball

games and ESPN 2 basketball games and ESPNs Sports Center. The media vehicles that
were going to be used for magazines were Sports Illustrated and ESPN Magazine. The media

vehicles that are use for Internet were ESPN website (www.espn.go.com), NBA website

(www.nba.com), Adidas website (www.shopadidas.com), Sports Illustrated website

(sportsillustrated.cnn.com).

ADVERTISING UNIT:

When it came to the advertising unit for television Adidas only runs: 30 seconds ads since

most of these ads are played during NBA games. The ads in magazines are full page. When it

came to the Internet ads are a top banner. For example, on page five you will see the ad

which it a top banner.

SEASONALITY:

Since The Brotherhood is made up of The NBA the seasonality will be during the fourth

quarter. The reason for this is that the basketball season begins in October which is in the

fourth quarter. The time of day in which The Brotherhood would be run on television is

during the evening while the NBA is holding their regular games. When it comes to the

Internet The Brotherhood is advertise daily and at all times.

TARGET AUDIENCE:

When it came to any product the audience is very important. You need to know who are

going to be interested in the product. When it came down to this The Brotherhood is mostly

for boys ages 8-20 and for older males. For example, on page four you will see TMAC jersey

for boys 8-20 and older males.

ADVERTISING MEDIA CONSIDERATION

The reason that this media was selected was because television, magazines and Internet were

the best way in which Adidas were able to show there customers their products. As you see

below the picture on the third page that says Adidas NBA Shop, in order for Adidas to

promote the The Brotherhood they had to come up with a slogan in which they called it

NBA is a Brotherhood. Besides Adidas have several technique in media selection which

have discussed in the following sections.

ADVERTISING MEDIA

Commercial advertising media can

include wall paintings, billboards, street

furniture components, printed flyers and

rack cards, radio, cinema and television

adverts, web banners, mobile telephone

screens, shopping carts, web pop-ups,

skywriting, bus stop benches, human

billboards, magazines, newspapers, town criers, sides of buses, banners attached to or sides of

airplanes ("logo-jets"), in-flight advertisements on seatback tray tables or overhead storage

bins, taxicab doors, roof mounts and passenger screens, musical stage shows, subway

platforms and trains, elastic bands on disposable diapers, stickers on apples in supermarkets,

shopping cart handles (grabertising), the opening section of streaming audio and video,

posters, and the backs of event tickets and supermarket receipts. Any place an "identified"

sponsor pays to deliver their message through a medium is advertising.

One way to measure advertising effectiveness is known as Ad Tracking. This advertising

research methodology measures shifts in target market perceptions about the brand and

product or service. These shifts in perception are plotted against the consumers levels of

exposure to the companys advertisements and promotions. The purpose of Ad Tracking is

generally to provide a measure of the combined effect of the media weight or spending level,

the effectiveness of the media buy or targeting, and the quality of the advertising executions

or creative.

Adidas use several advertising media to promote their product in the marketplace. Different

advertising media use in the in the market like commercial advertisement, Print media

advertisement, covert advertising, Infomercials, Celebrities advertisement, Online

advertisement, Public transport advertisement, e-mail etc.

COVERT ADVERTISING

Covert advertising is when a product or brand is embedded in entertainment and media. For

example, in a film, the main character can use an item

or other of a definite brand, as in the movie Minority

Report, where Tom Cruise's character John Anderton

owns a phone with the Nokia logo clearly written in

the top corner, or his watch engraved with the Bulgari

logo. Another example of advertising in film is in I, Robot, where main character played by

Will Smith mentions his Converse shoes several times, calling them "classics," because the

film is set far in the future. I, Robot and Spaceballs also showcase futuristic cars with the

Audi and Mercedes-Benz logos clearly displayed on the front of the vehicles. Adidas also

use this advertising technique.

TELEVISION COMMERCIALS

The TV commercial is generally considered the most effective mass-market advertising

format, as is reflected by the high prices TV networks charge for commercial airtime during

popular TV events. The majorities of television commercials feature a song or jingle that

listeners soon relate to the product. Virtual advertisements may be inserted into regular

television programming through computer graphics. It is typically inserted into otherwise

blank backdrops or used to replace local billboards that are not relevant to the remote

broadcast audience. Adidas has a large amount of TV commercial advertisements in the

worldwide TV network like BBC, CNN etc.

INFOMERCIALS

There are two types of infomercials, described as long form and short form. Long form

infomercials have a time length of 30 minutes. Short

form infomercials are 30 seconds to 2 minutes long.

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. Adidas arrange several infomercials in the sports

based program.
CELEBRITIES

This type of advertising focuses upon using celebrity power, fame, money,

popularity to gain recognition for their products and promote specific

stores or products. Advertisers often advertise their products, for example,

when celebrities share their favorite products or wear clothes by specific

brands or designers. Celebrities are often involved in advertising

campaigns such as television or print adverts to advertise specific or general products.

Adidas use David Bekham as their brand ambassador and many more celebrities in every

region to promote their product.

ADVERTISING APPROACHES

The positive impact on the market of the Adidas Originals communication approach makes

Adidas Originals continue their successful new creative marketing tonality. The Fall/Winter

2005 campaign is, as the one from Spring/Summer 2005, photographed by Karl Lagerfeld

and underlines Adidas Originals lifestyle relevance.

To Celebrate Originality, and in a playful opposing manner to last season, Adidas has

switched from the black and white SS05 executions, highlighted only by the iconic blue

Trefoil, to bright and energetic colours in FW05 ads; an engaging creative idea supervised by

Adidas Global Creative Director Michael Michalsky and Visionaires Stephen Gan. The

shooting took place at Karl Lagerfelds studio in Paris.

The frame of the ads shows humour and translates the freshness of the High Energy High

Style concept. The result is a new advertising campaign that clearly communicates Adidas

Originals street relevancy. Adidas Originals contemporary street wear collections are

inspired by the brands historical anecdotes.

The Fall/Winter 2005 ads will break globally in July 2005 issues of key lifestyle and fashion

publications such as Kult, Pulp and Black book as well as magazines such as Arena Home

Plus and Teen Vogue.

All Adidas Originals marketing communication efforts will evolve around three pillars in

2005: to energize, globalize and contemporize Adidas Originals.

OBJECTIVES
OF
THE STUDY
 OBJECTIVES OF THE STUDY

To study the consumer perception towards Adidas.

To study consumer satisfaction.

LITERATURE
REVIEW
 RESEARCH

METHODOLOGY
 RESEARCH METHODOLOGY

Introduction of the problem: To study the customer satisfaction towards Adidas

Research design: Research design is simply the framework or plan for a study, Used

guide in collecting and analyzing data. For the study: for conducting that research I

selected the Descriptive research design.

Descriptive research design: Descriptive research is also called Statistical Research. The

main goal of this type of research is to describe the data and characteristics about what is

being studied. The idea behind this type of research is to study frequencies, averages, and

other statistical calculations. Although this research is highly accurate, it does not gather the

causes behind a situation. Descriptive research is mainly done when a researcher wants to

gain a better understanding of a topic. That is, analysis of the past as opposed to the future.

Descriptive research is the exploration of the existing certain phenomena. The details of the

facts wont be known. The existing phenomenas facts are not known to the persons.

Sampling design:

I. Population:

Section: Customers of Adidas

Extent: Moradabad
 II. Sampling unit:

The sampling unit is customers of Adidas

III. Sample size:

The sample size of the report is 100 customers.

IV. Sampling method:

There are two Method of sampling:

1. Probability sampling:

It is based on the concept of random selection of a controlled procedure that

assures that each population element is gives a non-zero chance of selection.

Probability sampling is of following types:

I) Simple Random II) Systematic III) Stratified

IV) Cluster V) Double

2. Non probability sampling:

Non probability sampling is non-random and subjective i.e. each member does

not have a known non zero chance of being included. Types of non probability sampling:

Convenience

Judgment

Quota

For the study: In this report non probability convenience sampling is used to conduct a

research.
Data collection method:

Primary data:

The primary data are those which are collected afresh and for the first time,

and thus happened to be original in character. There are several methods of collecting

primary data particularly in surveys. Important ones are:

(i) observation method

(ii) interview method

(iii) through questionnaires

(iv) Through schedules etc.

For the study: Schedule method is used for collecting the data while conducting the

research.

II. Secondary data:

The secondary data are those which have already been collected by someone and

which have already been passed through the statistical process. Secondary data may

either be published data or un published data. Usually published data are available in :

(i) various publications of central, state, are local government;

(ii) technical and trade journals;

(iii) Books, magazines, and newspapers. The sources of unpublished are many;

they may be found in diaries, letters, private individuals and organizations.

For the study: Internet is used for collecting secondary data while conducting the

research.

Data sources- Primary, Secondary.

Data approaches- Questionnaire.

Sampling unit- customers of Adidas.

Sample size- 100 customers.

Sample procedure-Non Probability Convenience sampling.

Contact method- Direct.

 DATA ANALYSIS

AND

INTERPRETATIONS
 DATA ANALYSIS AND INTERPRETATIONS

1. Do you prefer wearing sports shoes?

Options Percentage
Yes 100%
No 0%

0%

Yes
No
100%

INTERPRETATION:

Most of the customers prefer wearing sports shoes.

2. Which brand you prefer?

Brand Name Percentage

Adidas 90%
Nike 5%
Reebok 5%
Others 0%

5%5% 0%

Adidas
Nike
90% Reebok
Others

INTERPRETATION:

90% of the people like wearing Adidas shoes.

3. How do you consider the importance of Adidas sports shoes?

Options Percentage

Comfort 35%
Use in sport 35%
Durability 25%
Any other 10%

INTERPRETATION:

Most of the people wear sports shoes for the purpose of comport and while use in sports.

4. Do you think weight is an important factor for choosing brand?

 Options Percentage

Yes 75%
No 25%

INTERPRETATION:

Few people consider weight is not an important factor while purchasing sports shoes.
5. Do you consider price as an important feature while buying Adidas sports shoes?

Options Percentage

Yes 65%
No 35%

INTERPRETATION:

Price is important for people while purchasing Adidas shoes.

6. If yes, what is highest price range that you are willing to keep as budget when buying

Adidas sports shoes?

Prices Percentage
1000-1500 20%
2000-2500 25%
2500-3500 35%
More than 3500 25%

INTERPRETATION:

Most of the customers prefer 2500-3500 range shoes.

7. Are you satisfied with the price range of Adidas shoes?

Options Percentage
Yes 70%
No 30%

INTERPRETATION:

Few people think that the price range of the Adidas shoes is not according to them.
8. If the price of Adidas increases, will you purchase again?

Options Percentage
Same Brand 25%
Cheaper 55%
Other Brand 20%

INTERPRETATION:

More than half of the customers prefer to switch to cheaper brand.

9. What things you kept in mind while purchasing Adidas sports shoes?

Options Percentage

Quality 40%
Advertisement 25%
Design 25%
Variety 10%

10%
40% Quality
25%
Advertisement
Design
25%
Variety

INTERPRETATION:

Quality is the most important factor for most of the people.

10. Are you satisfied with the quality of Adidas sports shoes?
 Options Percentage

Yes 90%
No 10%

INTERPRETATION:

Few people are not happy with the quality of the Adidas shoes.
11. Are you satisfied with the varieties of Adidas sports shoes?

Options Percentage

Yes 55%
No 45%

INTERPRETATION:

Adidas needs to improve its varieties.

12. Does the advertising play a significant role while buying Adidas shoes?

Options Percentage
Yes 45%
No 55%

INTERPRETATION:

The above chart shows that 45% of people think that advertising plays an important role

while purchasing a brand shoe but 55% of people disagree with point.
13. Is there any impact of celebrities on your purchase of Adidas sports shoes?

Options Percentage
Yes 35%
No 65%

INTERPRETATION:

There is as such no significant role of celebrities while purchasing sports shoes.

 14. What kind of promotional tool you prefer?

Options Percentage
E-Shopping 15%
Free Gift 25%
Discount 60%

15%

25% E-Shopping
60%
Free Gift
Discount

INTERPRETATION:

Most of the people prefer discount as promotional tool.

15. Do you think Adidas Company has a good scope in India?

 Options Percentage
Yes 70%
No 30%

INTERPRETATION:

Adidas Company may have good scope in India.

FINDINGS
 FINDINGS

Most of the customers prefer wearing sports shoes.

90% of the people like wearing Adidas shoes.

Most of the people wear sports shoes for the purpose of comport and while use in

sports.

Few people consider weight is not an important factor while purchasing sports shoes.

Price is important for people while purchasing Adidas shoes.

Most of the customers prefer 2500-3500 range shoes.

Few people think that the price range of the Adidas shoes is not according to them.

More than half of the customers prefer to switch to cheaper brand.

Quality is the most important factor for most of the people.

Few people are not happy with the quality of the Adidas shoes.
 Adidas needs to improve its varieties.

The above chart shows that 45% of people think that advertising plays an important

role while purchasing a brand shoe but 55% of people disagree with point.

There is as such no significant role of celebrities while purchasing sports shoes.

Most of the people prefer discount as promotional tool.

Adidas Company may have good scope in India.

 CONCLUSION

Studying the customer satisfaction survey, analyzing the respondents answers, opinion survey

and data analysis it came to conclusion that Adidas has a very good brand image in the mind

of customers. Customer is very satisfied with the quality of products and its products are

easily available in market this is also find that Adidas has very good variety of shoes and

using very attractive celebrity advertisement.

SUGGESTIONS
 SUGGESTIONS & RECOMMENDATIONS

Most of the showrooms do not have the full range of Product. So the company should

give more emphasis on it.

The customer should be well known about the scheme and promotional strategy

offered by the company.

The sales person of the company visit regularly to the dealer show room to check out

customer is benefited through the scheme offered by the company or not.

Mostly customers are not able to know about the sale offer by the company so

companies should contact all the customers by feeding data in the data book in the

showrooms. And convey all the promotional schemes to all customers.

LIMITATIONS
 LIMITATIONS

1. The findings of the study are subjected to bias and prejudice of the respondents.

2. Area of the study is confined to the employees in Moradabad only.

3. Time factor can be considered as a main limitation.

4. The findings of the study are solely based on the information provided by the

respondents.

5. The accuracy of findings is limited by the accuracy of statistical tools used for

analysis.

6. Findings of the research may change due to area, demography, age condition of

economy etc.
BIBLIOGRAPHY
BIBLIOGRAPHY

BOOKS:

Kothari C.R., Research Methodology- Methods and techniques, new age international
publishers, 2007, 2nd edition, pp. 26, 95, 111.
Zeithaml, V.A. and Bitner, M.J. (1996), Services Marketing, international edition,
McGraw Hill, New York, NY and London.
Malhotra, Naresh K., Marketing Research, An Applied Orientation, Fourth Edition,
Pearson Prentice Hall, 2005, Part II, pp. 71-340.
Chisnall, P.M. (1985). Marketing: A Behavioural Analysis. 2nd edn. McGraw-Hill.

ARTICLES

Ms. Lakshmipriya, Ms. Neena.S, MBA IV Semester, Department of Management Studies,

Acharya Institute of Management & Sciences, 1st Cross, 1st Stage, Peenya, Bangalore-560
058

WEBLIOGRAPHY

http://en.wikipedia.org/wiki/Customer_satisfaction
http://www.customersatisfaction.com/
http://www.adidas.com
ANNEXURE
 QUESTIONNAIRE
Dear respondent,

I am the student of TMU (Moradabad) conducting a survey on Customer

satisfaction towards Adidas. Kindly spare few minutes to fill up this questionnaire. Any

information provided by you will be used for academic purpose only.

Name:

Age:

Gender

Occupation

Location

Contact No.

1. Do you prefer wearing sports Shoes?

Options Percentage
Yes
No

2. Which brand you prefer?

Brand Name Percentage

Nike
Reebok
Adidas
Others
3. How do you consider the importance of Adidas sports shoes?

Options Percentage

Comfort
Use in sport
Durability
Any other

4. Do you think weight is an important factor for choosing Adidas shoes?

Options Percentage

Yes
No

5. Do you consider price as an important feature while buying Adidas sports shoes?

Options Percentage

Yes
No

6. If yes, what is highest price range that you are willing to keep as budget when buying
sports shoes?

Prices Percentage
1000-1500
2000-2500
2500-3500
More than 3500

7. Are you satisfied with the price range of Adidas shoes?

Options Percentage
 Yes
No

8. If the price of Adidas increases, will you purchase again?

Options Percentage
Same Brand
Cheaper
Other Brand

9. What things you kept in mind while purchasing Adidas sports shoes?

Options Percentage

Quality
Advertisement
Design
Variety

10. Are you satisfied with the quality of Adidas sports shoes?

Options Percentage

Yes
No

11. Are you satisfied with the varieties of Adidas sports shoes?

Options Percentage

Yes
No
 11. Does the advertising play a significant role while buying Adidas shoes?

Options Percentage
Yes
No

13. Is there any impact of celebrities on your purchase of Adidas sports shoes?

Options Percentage
Yes
No

14.What kind of promotional tool you prefer?

Options Percentage
E-Shopping
Free Gift
Discount

14. Do you think Adidas Company has a scope in India?

Options Percentage
Yes
No

Any suggestion about Adidas (if any)

Signature

Thank You