A TRAINING REPORT On Study related to the Consumer Preference towards Adidas And Nike sports brands

(Submitted in partial fulfillment of the requirement of Bachelor of Business Administration, Distance Education) Punjab technical University, Jalandhar

Training Submitted By: Name: Name: Kapil Dutt

Report Nisha

Guide: Solanki Professor Speci

Designation: Asst. Enrolment No: 820121068 alization: Marketing

Indraprastha Institute of Technology & Management,

D-21 Institutional Area janakpuri, New Delhi

ACKNOWLEDGEMENT
This thesis work, which is my first step in the field of professionalism, has been successfully accomplished only because of timely support of my well-wishers. I would like to pay my sincere regards and thanks to those, who directed me at every step in my project work. I extend my sincere thanks to IITM, NEW DELHI for providing me with a wonderful opportunity to associate myself with this important project. A major role in this project was played by my project guide, Assistant Prof. Mrs Nisha SolankiLecturer in management at IITM, NEW DELHI. His invaluable guidance, enthusiastic encouragement and technical knowledge were the force that drove my project to its destination of an ideal project. During the thesis, I got an opportunity to interact with a lot of experience professionals in the field of marketing and business to whom I am grateful for their suggestions. Also, I would like to thank all my friends for their support at different steps in the project.

I hope my modest efforts will be useful for my college.

Kapil Dutt Roll No. : 820121068

TABLE OF CONTENTS
Sr. No. 1 2 3 4 5 6 7 8 Contents Acknowledgement Company Profile Introduction To The Topic Rationale Literature Review & Problem Formulation Objectives & Research Methodology Analysis & Data Interpretation Conclusions ; Findings ; Suggestions Page No.

Bibliography

10

Appendix

CERTIFICATE
I Bhuvan Anand roll no.0681371707,certify that the project report (BBA-310) entitled A Study related to the Consumer Preference towards Adidas And Nike sports brands. is done by me and it is an authentic work carried out by me at Institute of Information Technology and Management. The matter embodied in this project work has not been submitted earlier for the award of any degree or diploma to the best of my knowledge and belief.

Signature of the student Date:

Certified that the Project Report (BBA-310) entitled A Study related to the Consumer Preference towards Adidas And Nike sports brands. done by Bhuvan Anand, Roll No. 0681371707, is completed under my guidance. Signature of the guide Date: Name:Ms Manmohan choudhary Designation: Countersigned Director/Project Coordinator

CONTENTS

S No. 1. 2. 3. 4. 5. 6. 7. 8. 9. 10. 11. 12.

Topic Certificate (s) Acknowledgement Executive Summary List of tables List of Figures List of Symbols List of Abbreviations Chapter-1 : Introduction Chapter-2 : Data Analysis Chapter-3 : Summary and Conclusions References / Bibliography Appendices

Page No. 1-10 11-20 21-22 23 24-25

LIST OF TABLES

Table No.

Title

Page No.

1. 2.

Table 1. Table 2.

LIST OF FIGURES

Figure No.

Title

Page No.

1. 2. 3.

Fig. 1 Fig. 2 Fig. 3

11 12 13

4. 5. 6. 7. 8. 9. 10.

Fig. 4 Fig. 5 Fig. 6 Fig. 7 Fig. 8 Fig. 9 Fig. 10

14 15 16 17 18 19 20

LIST OF SYMBOLS

S No.

Symbol

Nomenclature

1.

Percentage

LIST OF ABBREVIATIONS

S No. 1.

Abbreviated Name Ltd.

Abbreviation Limited

2.

Yrs.

Years

INTRODUCTION

Adidas AG is a German sports apparel manufacturer and parent company of the Adidas Group, which consists of the Reebok sportswear company, golf company (including Ashworth), and Rockport. Besides sports footwear, the company also produces other products such as bags, shirts, watches, eyewear 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, after its American rival Nike. Adidas was founded in 1948 by Adolf "Adi" Dassler, following the split of Gebrder Dassler Schuhfabrik between him and his older brother, Rudolf. Rudolf later established Puma, which was the early rival of Adidas. Registered in 1949, Adidas is currently based in Herzogenaurach, Germany, along with Puma.

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 "Three Stripes" were bought from the Finnish sport company Karhu Sports in the 1951. The company revenue for 2009 was listed at 10.38 billion and the 2008 figure at 10.80 billion. The brothers split up in 1947, with

Rudi forming a new firm that he called Ruda from Rudolf Dassler, later rebranded Puma,

and Adi forming a company formally registered as adidas AG (with lower case lettering) on 18 August 1949. The acronym All Day I Dream About Sport, although sometimes considered the origin of the adidas name, was applied retroactively, which makes it a backronym. The name is actually a portmanteau formed from "Adi" (a nickname for Adolf) and "Das" (from "Dassler").

Headquarters Adidas Group

adidas AG Adi-Dassler-Strasse 1

D-91074 Herzogenaurach Germany Phone:+49 (0) 9132 84-0

India head office

Adidas India Marketing Pvt. Ltd. Address Plot no.93, Sector 32, Institutional Area Website www.adidas.com Sub industry Footwears, stores, sports/games/entertainment outlets City Gurgaon State Haryana Total turnover 10 to 100 crores Manpower 501 to 1000

The company was founded in January 1964 as Blue Ribbon Sports by Bill Bowerman and Philip Knight, and officially became Nike, Inc. in 1978. The company takes its name from Nike , the Greek goddess of victory. Nike markets its products under its own brand as well as Nike Golf, Nike Pro, Nike+, Air Jordan, Nike Skateboarding and subsidiaries including Cole Haan, Hurley International, Umbro and Converse. Nike also owned Bauer

Hockey (later renamed Nike Bauer) between 1995 and 2008. In addition to manufacturing sportswear and equipment, the company operates retail stores under the Niketown name. Nike sponsors many high profile athletes and sports teams around the world, with the highly recognized trademarks of "Just do it" and the Swoosh logo. Nike, Inc. is a major publicly traded sportswear and equipment supplier based in the United States. The company is headquartered near Beaverton, Oregon, which is part of the Portland metropolitan area. It is the world's leading supplier of athletic shoes and apparel and a major manufacturer of sports equipment with revenue in excess of US$18.6 billion in its fiscal year 2008 (ending May 31, 2008). As of 2008, it employed more than 30,000 people worldwide. Nike and Precision Castparts are the only Fortune 500 companies headquartered in the state of Oregon, according to The Oregonian.

Headquarters
Nike world headquarters One Bowerman Drive Beaverton, Washington, U.S.A. Contact No.- 1-503-671-6453 Website www.nike.com

Branch office

Address 4-B, Unitech Trade Centre ,ground floor, C-block, DLF city phase iv, Gurgaon, 122001, Haryana Phone no.- 0124-4028500AddressBeaverton, OR 97005ne OR

Marketing Objective
The main objective of the research is to analyse the preferences of the consumers towards the two brands.

To study the comparative research of the two companies.

Methodology
The data is collected both from primary sources i.e. collecting first hand information from the customers as well as secondary sources i.e. internet, magazines, newspapers and other printed sources. Likewse, a questionnaire is also prepared containing both open ended and close ended questions.
Note For the purpose of data collection, convenience sampling technique is used.

Sample size 50

Tools for Research

For the purpose of presenting the data, ms-excel along with bar graphs, pie charts and histograms are used.

OBJECTIVES OF STUDY
To study the consumer preference towards different Sports Brands in Delhi region. To study which of ADIDAS and NIKE sports brands is preferred mostly by the customers. To compare the market share of ADIDAS and NIKE sports To know the taste and preferences of consumers.

SCOPE OF THE STUDY

To carry out market survey of customer preferences for ADIDAS and NIKE sports brands. For this purpose geographical area selected is Delhi Region. Consumers between age group of 16yrs and above are the respondents. Data collected through a questionnaire that is attached as Appendix A. To analyze the strengths and weaknesses of the company. For this purpose secondary data from website and the dealer is collected.

RESEARCH METHODOLOGY
1. METHODOLOGY USED FOR DATA COLLECTION: 1.1 Research Design: A Research Design is a plan structure and strategy of investigation so as to obtain answers to record, study and control variance. It should be object oriented, reliable, varied and general. This does not mean that it is near fact gathering studies. The study is of greater use as collection of data is done with definite purpose of preplanned design with people for a certain period of time to data collect data. Questionnaire is used to collect data from the customers in Delhi region.

1.2 Sampling: Before the research begins, a sample is to be determined. It is infact the small representation of a large whole. Hence, of studying every case which might logically be included in investigation, only a small portion is selected. Sampling Technique: The sampling method adopted is convenience sampling. This is a method of selecting units from N units of population in such a manner that every of the possible sample has an equal chance of being selected. Sample Size: In this project sample size was taken only 50. 1.3 Sources Of Data Collection: It refers to the collection of information. For any research to succeed raw facts must be collected in a form which helps in effective production of results and meeting the objectives of the study. There are basically two sources of data collection:

Primary Data: is a term for data collected on source which has not been subjected to processing or any other manipulation. Raw data can be input to a computer program or used in manual analysis procedures such as

gathering statistics from a survey. In this project Questionnaire is used as a source of primary data. Secondary Data: They are those, which has already been collected by someone else. In this project website, brouchers are used as a source of secondary data. 2. METHODOLOGY USED FOR DATA ANALYSIS:

2.1Tool Of Analysis: The commonly used methods used for analyzing are percentage

methods, pie charts, graphs etc. In this project report Pie-Charts and Bar Diagrams are used. A pie chart (or a circle graph) is circular chart divided into sectors, illustrating proportion. In a pie chart, the arc length of each sector (and consequently its central angle and area), is proportional to the quantity it represents. Together, the sectors create a full disk. It is named for its resemblance to a pie which has been sliced. The circle of pie charts represents 100%. The circle is subdivided into slices representing data values. The size of each slice shows what part of 100% it represents. Pie charts can be used any time you want to show what percent a particular item represents of data series.Bar Diagrams are:

Method of presenting data in which frequencies are displayed along one axis and categories of the variable along the other, the frequencies being represented by the bar lengths. They are often used for qualitative or categorical data, although they can be used quite effectively with quantitative data if the number of unique scores in the data set is not large. It is represented by plotting the number of times a particular value or category

occurs in a data set, with the height of the bar representing the number of observations with that score or in that category. 2.2Data Interpretation: It plays an important role in research report. The major and important part lies on data interpretation. Findings can be interpreted in different ways and discussion between researchers and managers; it will help to bring about the best interpretation on the basis of analysis

DATA REDUCTION AND PRESENTATION

DATA REDUCTION & PRESENTATION
*AGE

GROUP
FREQUENCE PERCENTAGE

AGE GROUP

16-19 20-25 26-30 Above 30

TOTAL

9 25 13 3
50

18% 50% 26% 6%

100%

Table1: Age Group of Respondents

Income group
Income Group Rs.0-1,20,000 Rs. 1,20,001-2,80,000 Rs. 2,80,001-5,40,000 Above 5,40,000 TOTAL Frequency 5 9 15 21 50 Percentage 10% 18% 30% 42% 100%

Table2: Income Group of Respondents

ANALYSIS OF THE QUESTIONNAIRE

1. Talking specifically about sports products, do you consider brand image?

Brand Image YES NO Cant say

Frequency 34 10 6

Percentage 68% 20% 12%

Total

50

100%

Table3: Brand Image

Frequency

12% 20% YES NO Cant say 68%

Figure 1: Brand Image Inference:

According to survey, 68% of respondents are brand conscious and 20% are not. 12% of the respondents choose cant say.

Correlation of Brand Image with Age group Age 16-19 20-25 26-30 Above 30 Yes 18% 24% 16% 10% No 0% 0% 4% 8% Cant say 2% 2% 4% 12%

Table4: Relation with Age

Figure 1: Relation of Brand Image with Age

Inference: According to the data, it has been found that 24% of the respondents who consider Brand image lie in the age group of 20-25 whereas only 10% of the respondents are in the age group of above 30 years. On the other hand, out of the respondents who are not brand conscious, most of them lie in the age group of above 30 years. 2. Which brand you prefer?

Brand Name

Frequency

Percentage

ADIDAS NIKE Total

32 18 50

64% 36% 100%

Table5: Preference to the Brand

Frequency

36% ADIDAS NIKE 64%

Figure 2: Preference to the brand Infrence: According to the survey, 64% of the respondents prefer ADIDAS as a sports brand, whereas only 36% people NIKE.

Correlation of Preference with Gender Gender Male Female Adidas 42% 22% Nike 24% 12%

Table6: Relation of preference with Gender

Figure 3: Relation of preference with Gender Inference:

According to the survey, out of the 64% respondents who prefer Adidas, 42% are male and 22% are female. And out of the 36% respondents who prefer Nike, 24% are male and 12% are female.

3. In a month, how much do you spend on sports products (in rs)?

AMOUNT Less than 500 500 1000 More than 1000 Total

Frequency 11 20 19 50

Percentage 22% 40% 38% 100%

Table7: Money spend on the products

Frequency

22% 38% Less than 500 500 - 1000 More than 1000 40%

Figure 4: Money spend on products Infrence:

According to survey, 38% of the respondents spend more than Rs 1000 per month whereas 40% of them spend between Rs 500-1000. Only 22% of the respondents spend less than Rs 500 every month. 4. For past how many years you have been using your brand?

Time duration(in Yrs) Less than 1 year 1 5 years More than 5 years Total

Frequency 14 25 11 50

Percentage 28% 50% 22% 100%

Table8: Time since using the Brand

Frequency

22%

28% Less than 1 year 1 5 years More than 5 years

50%

Figure 5: Time since using the Brand Inference:

According to survey, 50% of the respondents have been using their brand since 1-5 years whereas 28% have been using this brand from less than 1 years and 22% for more than 5 years. 5. Which product of your brand do you prefer?

Product SHOES CLOTHES EQUIPMENTS TOTAL

Frequency 23 18 9 50

Percentage 46% 36% 18% 100%

Table9: Preferred products of the brand

Frequency

18%

46%

SHOES CLOTHES EQUIPMENTS

36%

Figure 6: Preferred products of the brand Inference:

According to survey, 46% of the respondents prefer shoes as a product of their brand whereas 36% of others prefer clothes and 18% prefer sports equipments as products of their brands. Correlation choice of Product with Gender Gender Shoes Clothes Equipments

Male Female

32% 14%

20% 16%

14% 4%

Table10: Relation of preference of products with Gender

Figure 7: Relation of preference of products with Gender Inference:

Out of the 46% respondents who prefer shoes as their brands products, 32% are male and 14% are female. On the other hand, out of the clothes and equipments, 34% are male and 20% are female.

6. Rank your Brans products on the following parameters-: A. Durability B. Product Quality C. Brand Name d. Price

RANK PARAMETERS Durability Product Quality Brand Name Price

10 8 14 20

14 18 8 12

6 16 16 10

20 8 12 8

Table11: Ranking to the parameters Inference: According to the survey, it is found that most of the respondents prefer their products because of their pricing whereas least of the respondents prefer their products because of

the product quality. On the other hand, durability is given the least preference by the respondents when they buy the products of their brand.

7. Do you feel satisfied with its prices?

Statement Yes No Total

Frequency 44 6 50

Percentage 88% 12% 100%

Table12: Satisfaction with the prices

frequency

12% yes no 88%

Figure 8: Satisfaction with the price

Inference:

According to the survey, 88% of the respondents are satisfied with their brands pricing whereas 12% are not satisfied.

Correlation of Price with Income

Income 0-120000 120000-280000 280001-540000

Yes 6% 18% 22%

No 8% 4% 0%

Above540000 42% 0% Table13: Relation of satisfaction to prices with income

Figure 9: Relation

of satisfaction to prices with income

Inference: According to the survey, out of the 88% respondents who are satisfied with the price, 42% lie in the income group of above Rs.5,40,000 and only 6% lie in the income group

of 0-Rs.1,20,000. On he other hand, out of the 12% respondents who are not satisfied with the price, 4% lie in the income groups Rs.280001-540000 and above Rs.540000.

8. What changes would you like to see in your brand? CHANGES Frequency Percentage

Nothing Promotional Activities

24 12

48 24 12 16 100

Price Comfort

6 8

TOTAL 50 Table14: Changes in the brand

frequency

16% 12% 48%

nothing promotional activities price comfort

24%

Figure 10: Changes in the brand

Inference: According to the survey, 48% of the respondents feel that their should be no change in their brands products, whereas 24% feel their can be better promotional activities. 12% think that their price is not satisfying and 16 % of respondents feel that the products should be more for comfort.

9. Who referred the brand to you?

SOURCE Friends & Relatives Advertisements Magazines Others

Frequency 15 18 8 9

Percentage 30% 36% 16% 18% 100%

Total 50 Table15: Brand Reference

Frequency
18% 30%

Friends & Relatives

16%

Advertisements Magazines Others

36%

Figure 11: Brand Reference Inference: According to the survey, 36% of the respondents had heard of their brand from the advertisements. 30% heard it from their friends and relatives, 18% heard it from magazines whereas only 16% from others.

10. Are you happy with your brands products?

RESPONSE Frequency Yes No Percentage 50 0 100% 0% 100%

Total 50 Table16: Happy with the products

Frequency

0%

Yes No

100%

Figure 12: Happy with the products Inference: From the data collected, it has been seen that 100% of the respondents are satisfied with their Brands products. 11. Will you still buy the product its price increases in the future?

RESPONSE

Frequency

Percentage

Yes No

38 12

76% 24% 100%

Total 50 Table17: Response when price increases

Frequency 40 35 30 25 20 15 10 5 0 Yes No 12 Yes No 38

Figure 13: Response when price increases Inference: According to the survey, 76% of the respondents said yes when asked that they will continue to buy their brands products if their prices increases whereas 24% replied no.

12. Does the Brand outlets easily available?

RESPONSE Yes No

Frequency 47 3

Percentage 94% 6% 100%

Total 50 Table18: Availability of brand outlets

6%

Frequency

Yes No

94%

Figure 14: Availability of brand outlets Inference: According to the survey, 94% of the respondents feel that their brands outlets are easily available whereas 6% feel that the outlets are not available easily.

13. Which brand provides better variety?

BRAND Adidas Nike

Frequency 29 21

Percentage 58% 42%

Total 50 100% Table19: Better variety provided by brands

Frequency 35 30 25 20 15 10 5 0 Adidas Nike Adidas Nike

Figure 15: Better variety provided by brands Inference: According to the survey, 58% of the respondents say that Adidas has a better variety of products, whereas 42% of the respondents say in favour of Nike.

14. Do you recommend your brand to others?

RESPONSE Yes No

Frequency 48 2

Percentage 96% 4% 100%

Total 50 Table20: Recommend to others

Frequency

4%

Yes No

96%

Figure 16: Recommend

to others

Inference: From the data collected, it is seen that 96% of the respondents would recommend their brand to others whereas 4% would not.

15. Which brand uses better promotional strategies?

Brand Adidas Nike

Frequency 25 25

Percentage 50% 50%

Total 50 100% Table21: Better promotional strategies

Frequency

50%

50%

Adidas Nike

Figure 17: Better promotional strategies Inference: According to the survey, it is seen that 50% of the respondents find each of the brands with better promotional strategies

DATA ANALYSIS

Table1 shows that out of the total respondents, most of the respondents are in the age group 20-25 years.

Table 2 shows maximum number of the respondents lie in the income group of above Rs.540000.

Table 3, according to the survey it is found that most of the people prefer Brand Image.

According to table 4, most of the people who prefer brand image lie in the age group of 20-25 years and most of the people who do not consider brand image are in the age group of aboe 30 years.

Table 5 shows that most of the respondents prefer Adidas as a sports brand. According to the Table 6, both Adidas and Nike have male dominance in their customers.

Table 7 shows most of the people spend between Rs.500-1000 eveery month. Table 8 shows that out of the total respondents, maximum number of respondents have been usin their brands products between 1-5 years .

According to Table 9, maximum number of people prefer shoes as the best products of their brand.

Table 10 shows that most of the respondents who prefer shoes are male and more number of females prefer clothes aginst shoes.

Table 11 shows that most of the respondents find Price the main factor in their decision of buying the product and therefore ranked one the most whereas durability is looked for the least when buying a sports product.

Table 12 shows that almost all the people are satisfied with the prices of their brands products.

According to Table 13, most of the respondents who are satisfied with the prices of their brands lie in the income group of above Rs. 540000 whereas the few people who are not satisfied with the prices are in the income group of below Rs.280000.

According to the survey and Table 14, most of the people want no changes in their brands products.

Table 15 shows that most of the people heard of the brand and its products from the advertisements.

Table16 shows that all the respondents when asked are happy with their brand. According to Table17, maximum number of the respondents would continue to buy their brands products even if its prices increases.

Table 18 shows that most of the respondents say that their brands outlets are easily available.

In Table19, most of the respondents say that Adidas provides better variety to its customers.

Table 20 shows thatmost of the respondents would recommend their brands to others.

According to Table 21, the respondents find the promotional strategies of both the brands- Adidas and Nike equally effective.

SUMMARY AND CONCLUSIONS

RESULTS OF THE STUDY
ADIDAS is the most preferred brand by the customers. The style, quality, prices etc. of ADIDAS sports brand attracts most of the Customers to buy ADIDAS products. People are very much attracted by the advertisements and promotional techniques used by ADIDAS. The prominent reason for preference for ADIDAS is the the quality and style offered by them. Overall customers are satisfied with the brand ADIDAS.

1. LIMITATIONS
The research was mainly restricted to WEST Delhi region and thats why the result of our study is not so prominent. The people were not serious in filling up the questionnaire and followed a very casual approach which has affected the analysis to some extent. The indifference of the respondents affected the survey. There were respondents who do not use sports wear.

The results drawn from the analysis can not be supposed to be accurate due to the data insufficiency and the sample size being so less.

2. SUGGESTIONS & SCOPE FOR FURTHER STUDY

Large sample size could have make results more prominent and good. Area extension could have add as a key factor in making result more comparable.

3. SUGGESTIONS:
For ADIDAS: ADIDAS seems to be satisfactory in accordance to style and quality but needs to reduce its price and attract lower income group.

For NIKE: NIKE needs to work upon many aspects so as to increase its market share. NIKE needs to bring in variety to its collection. The company needs to open up new stores so as to be easily available to customers. Also requires to improve on the Quality of the products.

References and Bibliography

Websites reffered

WWW.GOOGLE.COM WWW.ADIDAS.COM WWW.NIKE.Sportswear.COM