Mekko graphics sample charts

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Mekko Graphics Sample ChartsMarket Analysis of the Athletic Footwear Market

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Introduction

6.7

• These charts illustrate how the Mekko Graphics software can be used with Microsoft PowerPoint to produce strategic charts

• One or more charts are included for each chart type– in the Notes section, there is a description of each chart– the charts can be copied and pasted into your own presentation– they can then be modified to replace our data with your own data

• Our example: a strategic market analysis of the athletic footwear market• Each slide has a message (a tag line) that highlights the key message of the

slide• The data has been adapted from three sources:

– Sporting Goods Intelligence (www.sginews.com)– Sporting Goods Manufacturing Association (www.sgma.com)– Nike (www.nikebiz.com)

http://www.sginews.com/

http://www.sgma.com/

3

0

20

40

60

80

100%

Footwear Sales in $ Million

Nike

U.S.

Int'l

$6,437

Reebok

U.S.

Int'l

Licensed

$2,635

Adidas

U.S.

Int'l

Licensed

$1,874

Fila

U.S.

Int'l

Licensed

$1,031

U.S.

Int'l

$590

Marimekko Chart (1 of 3)

Source: Sporting Good Intelligence (www.sginews.com)

Nike dominates its top four competitors with a mix of U.S. and international sales.

4

0

20

40

60

80

100%

Footwear sales in $ Million

Nike

U.S.

Int'l

$6,437

Reebok

U.S.

Int'l

Licensed

$2,635

Adidas

U.S.

Int'l

Licensed

$1,874

Fila

U.S.

Int'l

$1,031

Conve

rse

$590

New Ba

lance

$555

ASICS

$548

Puma

$375

Keds

$265

Airwalk

$205

Others

U.S.

Int'l

Licensed

$3,708 Total = 18,223


Nike dominates its other competitors with a mix of U.S. and international sales. Some smaller competitors are focused on the U.S. and others have an international focus.


5

0

20

40

60

80

100%


U.S.

Nike

Reebok

AdidasFila

Others

$8,135

Int'l

Nike

Reebok

Adidas

FilaASICS

Others

$8,455

Licensed

Reebok

Adidas

Converse

New Balance

Puma

Others

$1,633 Total = 18,223


Top five competitors by market. The U.S. market is more consolidated than the international and licensed markets.


6

0

20

40

$60

Average Price per Pair

average price per pair $36

Women's

$41

Men's

$51

Juniors'

$30

$22

67 1 0Sales (in $ billion)119163 49 11Pairs Sold (in millions)

Total= 340.8 Million Pairs sold


Infants'

Bar-Mekko Chart

While more women’s footwear is sold, the average sales price is higher for men’s footwear.


7

0

5

10

$15B

Sales by Category (in $ Billion)

Basketball

$3.0B

Cross training

$2.5B

Running

$2.3B

Athleisure

$1.8B

Walking

$1.2B

Hiking

$0.9B

Tennis

$0.8B

Aerobic

$0.5B

Sports sandals

$0.3B

Baseball/ Softball

$0.2B

Soccer

$0.2B

Other

$1.1B

Total

$14.8B

Cascade (or Waterfall) Chart (1 of 3)

Basketball, cross-training and running are the three largest categories of athletic footwear.


8

0 5 10 15

Basketball $3.0B

Cross training $2.5B

Running $2.3B

Athleisure $1.8B

Walking $1.2B

Hiking $0.9B

Tennis $0.8B

Aerobic $0.5B

Sports sandals $0.3B

Baseball/ Softball $0.2B

Soccer $0.2B

Other $1.1B

Total $14.8B

Horizontal Cascade Chart (2 of 3)



9

0

200

400

600

800

$1,000

Change in Income and Expense Items

Nike Net Income Change Between 2011 and 2012 in $ Million

Net Income 2011

$451.4

Revenue

$218.2

Cost of Sales

$89.7

Selling & Admin

-$179.8

Other Expenses

$45.0

Income Taxes

-$45.4

Net Income 2012

$579.1

Cascade (or Waterfall) Chart (3 of 3)

Source: Nike annual report (www.nikebiz.com)

Nike’s net income grew through revenue increase and cost of sales savings, tempered by an increase in selling and admin expenses.

10

0

1,000

2,000

3,000

$4,000


Nike

$3,797

$2,640

Reebok

$1,229$1,098

$308

Adidas

$490

$1,172

$212U.S.

International

Licensed

Cluster Bar Chart

Nike sales were predominately from the U.S., while Adidas sales were predominately international.


11

0

2,000

4,000

6,000

8,000

$10,000


2011

Nike $3,261

Reebok $1,193

Adidas $390Fila $555

Converse $194

Others $1,622

$7,215

2012

Nike $3,797

Reebok $1,229

Adidas $490Fila $488

Others $1,785

$8,074

+12%

16%

3%

26%-12%47%

10%

CAGR

+12%Sales Growth

12%

Stacked Bar Chart (1 of 3)

Fila sales decreased significantly, while Converse sales increased by almost 50%.


12

0

5

10

$15B

Sales in $ Billion

Sales by Category

Basketball $3.0B

Cross training $2.5B

Running $2.3B

Athleisure $1.8B

Walking $1.2B

Hiking $0.9B

Tennis $0.8B

Sports sandals $0.3BBaseball/ Softball $0.2BSoccer $0.2B

Other $1.1B

$14.8B


Source: Sporting Goods Manufacturers Association (www.sgma.com)


13

0

20

40

$60



Men's

$51

Women's

$41

Juniors'

$30

Infants'

$22

6 7 1 0Sales (in $ billion)

119 163 49 11Pairs Sold (in millions)





14

0 1,000 2,000 3,000 $4,000


Converse$285

Fila$407

$488

Adidas$1,172

$490

Reebok$1,098

$1,229

Nike$2,640

$3,797

Int'l

U.S.

Horizontal Cluster Bar Chart

Nike sales were predominately from the U.S., while Adidas sales were predominately international.


15

0

20

40

60

80

100%


2010

Nike 47%

Reebok 15%

Adidas 6%

Fila 6%

Airwalk 2%

Keds 2%

ASICS 2%Foot-Joy 2%

Others 11%

$8,074

100% Stacked Bar Chart (1 of 5)

Nike dominates U.S. branded athletic footwear market


16

0

20

40

60

80

100%


2011

45%

17%

5%8%3%

22%

$7,215

2012

47%

15%

6%6%

22%

$8,074

NikeReebokAdidasFilaConverseOthers


Nike market share grew significantly, while Reebok and Fila shrunk


17

0

20

40

60

80

100%

In Millions of Dollars


2008

33%

21%

4%4%

34%

$5,994

2009

32%

22%

5%5%5%

32%

$6,375

2010

38%

21%

5%6%

26%

$6,574

2011

45%

17%

5%

8%3%

22%

$7,215

2012

47%

15%

6%

6%

22%

$8,074

Nike

Reebok

Adidas

Fila

Converse

Others


Nike, Adidas and Fila share grew over the past 5 years, while Reebok, Converse and smaller competitors fell behind.


18

0

20

40

60

80

100%


Nike

$6,437

Reebok

$2,635

Adidas

$1,874

Fila

$1,031

Converse

$590

U.S.Int'lLicensed


Licensing is a small, but significant, revenue source for all companies, except Nike.


19

0

20

40

60

80

100%

Nike

$6,43

7

Reeb

ok

$2,63

5

Adida

s

$1,87

4

Fila

$1,03

1

Conve

rse

$590

New B

alanc

e

$555

ASICS

$548

Puma

$375

Keds

$265

Airwalk

$205

Diador

a

$184

Vans

$176

Hi-Tec

$173

Broo

ks

$159

Lotto

$154

Mizuno

$150

Foot

-Joy

$145

K-Swiss

$117

LA G

ear

$110

Eton

ic

$81

Other

s

$2,25

9Footwear sales in $ Million

U.S.Int'lLicensed


While Nike and Reebok have a mix of U.S. and international sales, most other competitors focus either on the U.S. or international markets solely.


20

0

2,000

4,000

6,000

$8,000


Others

ConverseFilaAdidas

Reebok

Nike

2008 2009 2010 2011 2012

14%

-1%

21%14%

1%

-3%

Industry6.1%

CAGR

Area Chart

Nike, Adidas and Fila sales grew faster than the industry average over the past 5 years, while Reebok, Converse and smaller competitors fell behind.


21

0

20

40

60

80

100%

Others

ConverseFilaAdidas

Reebok

Nike

2008 2009 2010 2011 2012

100% Area Chart

Nike, Adidas and Fila share grew over the past 5 years, while Reebok, Converse and smaller competitors fell behind.


22

0

2,000

4,000

6,000

8,000

$10,000

0

2,000

4,000

6,000

8,000

$10,000

Sales and Net Income in $ Million

2003

$3,004

2004

$3,405

2005

$3,931

2006

$3,790

2007

$4,761

2008

$6,471

2009

$9,187

2010

$9,553

2011

$8,777

2012

U.S.

Europe

Asia Pacific

$8,995+$5,992

287 579329 365 299 400 553 796 400 451Net Income ($ Million)

Net Income ($ Million)

+$5,992

Stacked Bar Line Chart

Source: Nike (www.nikebiz.com)

Nike’s sales have increased significantly with a greater reliance on non-U.S. markets. Net income growth has not kept pace with sales growth.

23

0

10

20

30

40

50

120

130

$140

0

10

20

30

40

50

120

130

$140

Price per Pair

2008

Men

'sW

omen

'sJu

nior

s'In

fant

s'

$47.

7

$111

.0

$26.

9

$19.

9

2009

$46.

8

$112

.0

$25.

6

$22.

0

2010

$47.

5

$117

.0

$25.

8

$23.

0

2011

$50.

5

$119

.0

$28.

6

$25.

0

2012

$51.

1

$132

.0

$30.

4

$26.

0

12 12 13 14 15Retail Sales

Average

Cluster Bar Line Chart

Price per pair has increased across all four market segments from 2008 - 2012.


24

0 2,000 4,000 6,000 $8,000


Converse $590

Fila $1,031

Adidas $1,874

Reebok $2,635

Nike $6,437

U.S.Int'lLicensed

Horizontal Stacked Bar Chart

Nike sales were predominately from the U.S., while Adidas sales were predominately international. Licensing is a small, but significant, revenue source for all companies, except Nike.


25

0

1,000

2,000

3,000

$4,000


Reebok

Nike

2003 2004 2005 2006 2007 2008 2009 2010 2011 2012

Line Chart Nike overtook Reebok in sales in 2004 and has grown rapidly.


26

12.0

12.5

13.0

13.5

14.0

14.5

15.0

$15.5B

35

37

39

41

43

$45

Average Price per PairRetail Sales in $ Billion

2005 2006 2007 2008 2009 2010 2011 2012

price per pair

retail sales

2Y Line Chart

Retail sales dipped between 2005 – 2012 as price per pair increased.


27

0

50

100

150

200

0

20

40

$60

Pairs Sold (in millions)

average price per pair

Men's

119.00

51.14

Women's

162.6041.10

Juniors'

48.70

30.41

Infants'10.50

22.23

6.09 6.68 1.48 0.23Sales (in $ billion)


average price per pair

2Y Cluster Bar Chart



28

0

2,000

4,000

6,000

8,000

$10,000

0

200

400

600

800

$1,000

Sales in $ Million

2003

$3,004

2004

$3,405

2005

$3,931

2006

$3,790

2007

$4,761

2008

$6,471

2009

$9,187

2010

$9,553

2011

$8,777

2012

$8,995+199%

$287M $579M$329M $365M $299M $400M $553M $796M $400M $451MNet Income

Net Income in $ Million

+199%

Net IncomeU.S.EuropeAsia PacificAmericas

2Y Stacked Bar Line Chart

Nike’s sales have increased significantly with a greater reliance on non-U.S. markets. Revenue growth has not kept pace with sales growth.

Source: Nike (www.nikebiz.com)

29

0

5

10

15

20

$25

10

20

30

40

$50

Retail Sales in $ Billion

2005

Retail Sales

2006 2007 2008 2009 2010 2011 2012


price per pair

2Y Cluster Bar Line Chart

Retail sales dipped between 2009-2011 as price per pair increased.


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Others $908

Foot-Joy $122

Keds $180Airwalk $180

New Balance $265

Converse $285

Fila $488

Adidas $490

Reebok $1,229

Nike $3,797

Pie Chart (1 of 3) Nike dominates U.S. branded athletic footwear market.


31

Licensed 9

U.S. 45International

46

Pie Chart (2 of 3)

The international footwear market is about equally divided between U.S. and non-U.S. sales.

Total Market $18,223 million


32

Other 7.4%Soccer 1.0%

Aerobic 3.2%

Tennis 5.6%

Hiking 5.8%

Walking 8.2%

Athleisure 12.3%Running 15.8%

Cross training 16.7%

Basketball 20.2%

Baseball/ Softball 1.5%Sports sandals

2.3%

Pie Chart (3 of 3)

Basketball, cross-training and running are the three largest categories of athletic footwear.Total market $14.8B


33

-10.0

0.0

10.0

20.0

30.0

40.0%

-20.0 0.0 20.0 40.0 60.0%

$1B Sales

U.S Sales Growth 2011-2012

International Sales Growth 2011-2012

Nike

Reebok Adidas

Fila

ConverseNew Balance

ASICS

Puma $1B Sales

X-Y Linear Bubble Chart

Nike experienced strong growth in the U.S. and overseas, while Fila experienced international growth and lower U.S. sales.


34

0.0

5.0

10.0

15.0

20.0%

0.1 0.2 0.5 1 2 5 10

$2B Sales

Relative Market Share

Return on Sales

NikeFila

New Balance

$2B Sales

Reebok

Adidas

ConverseASICS

Puma

X Log Bubble Chart

Adidas and New Balance experienced a relatively high return on sales when compared to their market share.

Source: Sporting Good Intelligence (www.sginews.com). Return on sales data is fictitious..


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0.1

0.2

0.5

1

2

5

10

0.0 5.0 10.0 15.0%

$2 B Sales

Return on Sales


Reebok $2,635B

Adidas $1,874B

New Balance $555B

ASICS $548B

$2 B Sales

Nike $6,437B

Fila $1,031B

Converse $590B

Puma $375B

Y Log Bubble Chart




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0.1

0.2

0.5

1

2

5

10

0.1 0.2 0.5 1 2 5 10

$2B Sales

Relative Market Share U.S.

Relative Market Share Int'l

Nike

Fila

ConverseNew

Balance 0:0

ASICS

Puma

$2B Sales

ReebokAdidas

X-Y Log Bubble Chart

Most companies are strong in both the U.S. and international. New Balance, however, has a weak international presence.


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-10.0

0.0

10.0

20.0

30.0

40.0%

-20.0 0.0 20.0 40.0 60.0%

$1B Sales

U.S Sales Growth 2011-2012


Nike

Reebok Adidas

Fila

ConverseNew Balance

ASICS

Puma $1B Sales

Growth-Growth Bubble Chart

Nike experienced strong growth in the U.S. and overseas, while Fila experienced international growth and lower U.S. sales.


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-20

-10

0

10

20

30

40%

0.10.20.512510

$2B Sales

Relative Market Share U.S. Footwear

Market Growth Rate U.S. Footwear

Nike

Reebok

Adidas

Fila

Converse

New Balance

ASICS Puma

$2B Sales

Growth Share Matrix

Fila, ASICS and Puma exhibit both low growth and low share. They are candidates for turnaround or exit from U.S. market.


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0.0

5.0

10.0

15.0

20.0%

0.1 0.2 0.5 1 2 5 10

$2B Sales


Return on Sales

Nike

Reebok

Adidas

Fila

New Balance

ASICS

Puma

$2B Sales

Converse

ROS/ROA versus RMS Chart




40

-2.0

-1.0

0.0

1.0

-1.0 -0.5 0.0 0.5

U.S. Sales Growth 2009-2012


LA Gear

K-Swiss

Mizuno

Lotto

Vans

Airwalk

Keds

Converse

Fila

Reebok

Nike

Hi-Tec

Diadora

ASICS

Adidas

X-Y Linear Scatter Chart

Of the top 20 companies, five experienced declines in both U.S. and international sales.


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0.0

5.0

10.0

15.0%

0.1 0.2 0.5 1 2 5 10


Return on Sales

ASICS

New Balance

Converse

Fila

Adidas

Reebok

Nike

Slope = 5%

Intercept = 6.4%

# of Objs. = 8

R² = 0.27

X Log Scatter Chart




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0.1

0.2

0.5

1

2

5

10

0.0 5.0 10.0 15.0%

Return on Sales


Puma

ASICS New Balance

Fila

Adidas

Reebok

Nike

Slope = 570%

Intercept = -0.64

# of Objs. = 8R² = 0.27

Y Log Scatter Chart




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1

2

3

100 200 500 1,000 2,000 5,000 10,000

Pairs Produced (in millions since 2005)

Cost per Pair

2012201120102009

20082007

20062005 201220112010

20092008

200720062005R² = 0.92Slope = 93%

R² = 0.94Slope = 93%

IndustryNike

X-Y Log Scatter Chart (Experience Curve)

Manufacturing costs are decreasing significantly as production volume increases.

Source: Sporting Good Intelligence (www.sginews.com). Cost per pair data is fictitious..


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Task

Project Kickoff 1/3/2013

Approval 1/4/201334

Begin Programming 2/7/2013

58

Testing Phase

•Phase 1 4/6/201317

•Phase 2 4/22/201310

•Phase 3 5/2/201313

Review 5/10/20136

Deliver5/15/2013

Q1 Q2

J F M A M

1/3/2013

1/4/201334

2/7/201358

4/6/201317

4/22/201310

5/2/201313

5/10/20136

5/15/2013

Gantt Chart

Stoplight ChartNike is in the strongest competitive position; Converse is in the weakest

Relationship with customers

Relationships with suppliers

Cost

Financial Strength

Manufacturing technology

Information technology

Nike Reebok New Balance Converse

Value ChainKey value chain benefits derive from improving sales and marketing process

Short Term Work with suppliers–Reduce costs–Increase efficiency

Implement JIT Rationalize

manufacturing facilities

Improve quality

Evaluate all delivery and warehousing expenses

Reorganize sales force

Implement national accounts

Measure customer satisfaction

Implement retention program

Long Term Implement supplier quality program

Identify new lower cost out-sourced factories

Partner with key delivery companies

Implement web-based sales–Determine role of web services

Improve brand identity

Evaluate key service costs–Restructure service delivery process

Inbound Logistics Manufacturing Outbound Logistics

Marketing and Sales Service

Entertainment & Humor

Mekko graphics sample charts