Rockport Business Plan Concept

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This is a mid term project of Business Plan Development subject in my campus. in this slide, I and my group members tried to present about Rockport shoes business plan including the history, marketing mix, competitor, etc

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Company AnalysisNovember 16,2011

President University, 4th Floor

Group 3.

Team Members

1. Hesty Oktariza (014200900073)

2. Intan Suhartini (014200900077)

3. Nguyen Thi Huyen Trang (014200900111)

4. Renate Shafrila D.P (014200900131)

5. Rista Marliyani (014200900197)

6. Sabrina (014200900139)

1. The Company

2. Industry Analysis

3. Competition Analysis

4. General Business

Strategy

5. Tactics

6. Print Ads

7. TV Commercial

8. Conclusion and

Recommendation

The Rockport Company

• The Rockport Company is a manufacturerof shoes based in Canton, Massachusetts. Founded

in Marlborough, Massachusetts in 1971 by BruceKatz, the company produces footwear and

operates stores in the United States and 66countries around the world. It was purchased in1985 by Reebok, today a subsidiary of German

shoe company Adidas.

Product History

1971Bruce and Saul Katz found the

Rockport company.

Began selling shoes from the

back of their van

1982Rockport

creates its first line of woman

shoes.

1983Rockport launches

DresSports®,thefirst ever classic

dress shoe engineered

with an athletic sole

1990Rockport vice

president, Tony Post, runs the

NYC Marathon in DresSports®, a truestest of the

product remarkable

cushioning and support

1993Climbers wearing Rockport

Umbwe Trail reach the top of Mt. Kilimanjaro

2005Rockport introduce

washable boat shoesfor both

man and women.

2006Rockport is acquired by

adidas, which allow access to

technologies like adiPRENE® and

Torsion®.

2010Rockport continues

its tradition of combining

contemporary style and engineered

comfort to enable people to do

more, be more, and live more.

Product History

Group of Companies

Adidas72%

Reebok16%

Taylor Made

8%

Rockport2%

CCM Hockey

2%

Sales

World Market Share

Industry

Analysis Industry Map

Consumer Analysis

Hot NewsFuture

Analysis

Cross-Link

Strategy

Industry

Analysis Industry Map

Consumer Analysis

Hot NewsFuture

Analysis

Cross-Link

Strategy

INDUSTRY MAP OF

FEMALE FOOTWEARTypes

Comfort

Price

Brand

Types

Source: www.packagedfacts.com

Types

Source: www.packagedfacts.com

• Results from a small research from 60 female students randomly (15 Chinese, 20 Vietnamese, 25 Indonesian)

Research from 60 female PU students

80%

12%8%

Comfort

Style

Don't care

Comfort

Price

Brands

Source: www.packagedfacts.com

Industry

Analysis Industry Map

Consumer Analysis

Hot NewsFuture

Analysis

Cross-Link

Strategy

• 92% of Indonesian have more than a pairof shoes.

• Reasons for buying non – athletic shoes

- For demand

- For style

- For appearance

• All ages need to use footwear products

• People use shoes all the time, around 12

hours/day.

Customer’s

characteristics

Sources: www.drciprian.com

Source: www.packagedfacts.com

Source: www.packagedfacts.com

Industry

Analysis Industry Map

Consumer Analysis

Hot NewsFuture

Analysis

Cross-Link

Strategy

Hot news - World1. Rockport global campaign taps mobile marketing across 30 countries

http://www.mobilemarketer.com/cms/news/advertising/7666.html

2. Rockport Company Reports Sales Results for the First Quarter Ended March 31, 2011

http://investing.businessweek.com/research/stocks/private/snapshot.asp?privcapId=439

5977

3. The Rockport Company, LLC Plans to Relocate to Spartanburg, S.C., in December

http://investing.businessweek.com/businessweek/research/stocks/private/snapshot.asp?

privcapId=4395977

4. Zenta and Rockport Team Up to Offer Comprehensive Underwriting Solution

http://finance.boston.com/boston/news/read?GUID=17031762

5. Reebok and Adidas: A Good Fit

http://www.businessweek.com/bwdaily/dnflash/aug2005/nf2005084_8340.htm

Industry

Analysis Industry Map

Consumer Analysis

Hot NewsFuture

Analysis

Cross-Link

Strategy

Future Analysis

• The market is estimated at over US $70 billion

• Comprise more than a fifth of total sales by 2014

• To be one of the winners in this industry by achieving

sustainable, profitable growth in the year to come.

• Expect earning per share to increase 10% to 15% in 2012

Sources: By Harriet Torry, Dow Jones Newswires

www.adidas-group.com

Industry

Analysis Industry Map

Consumer Analysis

Issues / Hot News

Future Analysis

Cross-Link among

Industries

Strategy

Footwear

Retail Stores

Financial Institutions

E-commerce

Retail Stores

Footwear

Retail Stores

Financial Institutions

E-commerce

Financial

Institutions

Footwear

Retail Stores

Financial Institutions

E-commerce

E-commerce

Business Level Based on Market Share

and Progressiveness

Nevada, Gosh, Bucherri, Charles & Keith

Kickers, Rohde, Marie Claire, Wimo

Guess, Zara, Rotteli, Nine West, Hush Puppies

Rockport, Geox, Everbest, Donini

Source: Field Survey of 80 female studentsbuyersupport@nextag.com

Direct Competitor

Rockport General

Comparison

Geox

1971 Since 1995

USA Established in Italy

Walkability Tagline Breathability

Handbags, Shoe care,

Laces, Socks, Wallet,

Belts

Product Range Coat, Jacket, Vest

www.rockport.com

www.geox.com

Specific Comparison by Price

Range 1,4 million Rupiah

1,2 million Rupiah

1 million Rupiah

800 Thousand Rupiah

700 Thousand Rupiah

Specific Comparison Vs. Competitor

Geox D Taylor 5Grace Bow Pump

(7 to 7)

Source: www.rockport.com

www.geox.com

Vs.

Source: www.asiamiles.com

Vs.Rockport (Grace Bow Pump) Specific Comparison Geox (D Taylor 5)

Adiprene by Adidas, Extra-Wides, Hydro-Shield Waterproof,

truWALKTechnology

Breathability, Waterproof, Heat Regulation, Lightness

1,290,000 IDR Price 1,275,000 IDR

Heels, Boots, Sandals,Sneakers & Athletic Shoes,

Flats, Clogs & Mules, Loafers,Oxfords, Boat Shoes

Type of Shoes Flats, Boots, Heels, Loafers,Sandals, Sneakers & Athletic Shoes, Oxfords, Boat Shoes

Women and men Product Users Women, men and kids

Lifestyle Awards in Asia 2010 Awards No Awards

Rockport (Grace Bow Pump) Specific Comparison Geox (D Taylor 5)

Adiprene by Adidas, Extra-Wides, Hydro-Shield Waterproof,

truWALKTechnology

Breathability, Waterproof, Heat Regulation, Lightness

1,290,000 IDR Price 1,275,000 IDR

Heels, Boots, Sandals,Sneakers & Athletic Shoes,

Flats, Clogs & Mules, Loafers,Oxfords, Boat Shoes

Type of Shoes

Flats, Boots, Heels, Loafers,Sandals, Sneakers & Athletic

Shoes, Oxfords, Sandals, Boat Shoes

Women and men Product Users Women, men and kids

Lifestyle Awards in Asia 2010 Awards No Awards

Vs.

Source: www.asiamiles.com

Rockport’s Promotion in Indonesia

Geox’s Promotion in Indonesia

Marketing Mix

Marketing Analysis

Products Price Promotion Place

Source: www.adidas-group.com

www.rockport. com

Products

TechnologyCategoriesProduct

LineCore

Specialities

Leather footwear

Man

Seven to 7 truWALK™

Weekend Chic

Walk Dry™

WomanDowntown

CooladiPRENE™

Promotions

• Promotion Objective

– To become a leading leather footwear brand in

the world through the innovative combination of

contemporary style and engineered comfort

• Promotion Mix

– Through the use of the internet

– Point of sale

– „Walkability‟ campaign

• Distributing some of the Rockport products

to the various shoes outlets

– E.g Athlete‟s Foot, Footgear

• Rockport Outlets

• Online purchasing through the internet

– Rockport.com, rockport.co.uk, onlineshoes.com,

amazon.com, shoes.com

Place

Price Range

• IDR 700,000 until IDR 2,000,000

Discount Holiday Warm-up sale $15 up to $75 plus free shipping

, no sale tax, free return and exchange, 100% price

guarantee, and 100% save purchase guarantee

(www.shoebuy.com)

Rockport Online Store 50% off second pair, shop online

using promotion code: 50% 2ND (www.shoesuperstore)

Discount Shoes Online : save 50% - 75% off

(www.6pm.com/shoes )

Price

Payment Method

• Cash

Buy online, on the store

• Installment

Buy use credit card such as

Citibank, visa, master card

Price

Price Discount Model

• Rebates Discount

• Cash Discount

Price Discount Model (Cont’d)

SegmentingDemographic

Gender

Income

Occupation

Social Class

Age

Targeting

Men, Women

> IDR 10.000.000,-

Professional, Middle – Upper Managerial

Middle Class - Upper Middle Class

25 – 50 years old

Psychographic

Life Style Esteem seeker, active, and well-educated

Behavioral

Loyalty Status Hard-core brand loyal

Geographic

Region Metropolitan – Urban area

STP Analysis

• Positioning

- Comfortable

- Stylish

- Contemporary

- World-Class

- Innovative

STP Analysis

Top of Mind

Brand Recall

Brand Recognition

Unaware of Brand

Charles & Keith, Zara, Yongki Komaladi

Clarks, Hush Puppies, Marie Claire, NineWest, Bucherry, Elizabe

th

Rockport, Geox, Everbest, Triset, Connexion , Andre Valentino

Princess, Forever21, Heatwave, Summit, Vinchi

Triangle of Brands

Locking Brand Identity (Present)

• Excellent on

Quality

• Product’s Greatness

Locking Brand Identity (Present)

Locking Brand Identity (Future)

• Increase Brand‟s Awareness

Increase brand uniqueness

Increase promotions

• Publish Product‟s History

• Creating More Product’s Type

Improving Sales (Present)

Boots Pumps

Flats Sneakers

• Creating Product’s Innovation

adiPRENE truwalk

Improving Sales (Present)

• Make Special Offers

Improving Sales (Present)

• Create More Product‟s Line

Rockport for Kids

• Influence Customer to Buy More

Often

Monthly special offers

Improving Sales (Future)

• Publish Consumers Experience

Maintaining Customer Loyalty(Present)

• Creating Events

Maintaining Customer Loyalty (Present)

• Contact

Regularly

Maintaining Customer Loyalty (Present)

• Create Community

The Rockport Ladies

• Enhancing After-Sales

Service

Maintaining Customer Loyalty (Future)

Repositioning

Repositioning

Repositioning

“NEW” Image :

- “Comfort to Go”

- “You Should be In Our Shoes”

- “The differences Inside”

- “Walkability”

Rules and Regulation

Blue Ocean

Strategy

1st to use advance

materials and

technologies in

traditional shoes for

lightweight comfort

The first to engineer walking comfort in dress and casual shoes.

They pioneered the linkage between performance and style that today's consumers have come to expect.

They've run the New York City Marathon, climbed Kilimanjaro, and sailed around the world showing our commitment to go the extra mile to make you smile

Blue Ocean Strategy

Brand Ambassador (Future)

Select an Indonesian

woman figure whose

characters and popularity

are strong in influencing

people.

Products- Sell Kid‟s shoes

Place - Distributing some of the Rockport products

to the various department store, such as

Sogo, Metro, and Debenhams

Promotion- Advertising commonly through the mass

media.

Fix Marketing Mix (Future)

Tagline

– Walkability Timeless Enjoyment

Repositioning

Present Print Ads

Future Print Ads

(Philip Kotler)

Future Print Ads (Philip Kotler)

Future Print Ads (Jay Abraham)

Publicity Event

7TV Commercial

Scenario of Future TV Ads

• Title : Rockport Timeless Enjoyment

• Product : Rockport Grace Bow Pump

• Tactics : Experiential Marketing

• Length : 1 Minutes 28 seconds

• Story : From day to night, Rockport provides

comfortability to support all activities of its user.

• Purpose : To describe the greatness of Rockport’s woman

shoes

Conclusion

• Under Adidas technology and its high quality technology, Rockport has been recognized as one of the leading brand in leather footwear. It is well known for comfortable and contemporary design. In the other hand, Rockport has not set a strong brand awareness in Indonesia.

Recommendation

• Increase the brand awareness of Rockport

in Indonesia by enhancing promotional

strategy.

Question ?

Thank

You

Thank

You

Thank

You

Made in Partial Fulfillment of Business Plan Development Mid Term

Presentation

BF BATCH 2009 November 2011