Under Armour Pitch Brief

18
NEW BUSINESS PITCH I Will February 2017

Transcript of Under Armour Pitch Brief

Page 1: Under Armour Pitch Brief

NEW BUSINESS PITCH

I Will

February 2017

Page 2: Under Armour Pitch Brief

NAME BRAND PITCH TYPE

Media

MARKET DATE

February 13 , 2017

The Data You Need to Win This Pitch

DESCRIPTIONUnder Armour is reviewing for a new media agency, according to people with knowledge of the matter.

Omnicom Media Group's Optimum Sports has been working on the business since 2011. Representatives from Optimum Sports and Under Armour were not immediately available for comment. Droga5 continues to serve as the brand's creative agency partner.

Under Armour Reviews

Media Business

thU.S.

Last year, the agency captured the intense, rigorous and solitary training rituals of Olympic gold-medalist swimmer Michael Phelps in an Under Armour spot that took home the Grand Prix in the Film Craft Category at the 2016 Cannes Lions International Festival of Creativity.

Under Armour spent $20.6 million on measured media in the U.S. in 2015, according to Ad Age's Datacenter, and about $10.1 million on measured media in the U.S. from January to November of last year.

Page 3: Under Armour Pitch Brief

Client Profile / Market

Under Armour, the originator of performance footwear, apparel and equipment, revolutionized how athletes across the world dress. Designed to make all athletes better, the brand's innovative products are sold worldwide to athletes at all levels. The Under Armour Connected Fitness™ platform powers the world's largest digital health and fitness community through a suite of applications: UA Record, MapMyFitness, Endomondo and MyFitnessPal. The Under Armour global headquarters is in Baltimore, Maryland.

FINANCIAL OVERVIEW- Source: AccessConfidential.com -

COMPANY BACKGROUND

MAIN COMPETITORS

2015 Sales (mil)

2015 Employees

Employee Growth Percent

Assets (mil)

Net Income Growth Percent

Sales Growth Percent

$ 3,960

13,400

-

-

-

Mr. Andrew Donkin

Global Chief Marketing Officer

Ms. Adrienne R. LoftonSenior Vice President,

Brand Marketing

DECISION MAKERS by

[email protected]@underarmour.com

-

Page 4: Under Armour Pitch Brief

Athleisurewear in the U.S.

$97b Athleisurewear

Sales in 2015

- Fung Group -

ActivewearSales in 2015

+16%

- Fung Group -

Sports Apparelsales

- Statista.com-

+5% Footwear Sales

- Statista.com -

+8%

Page 5: Under Armour Pitch Brief

Athleisurewear in the U.S.

105 M People shopped for sporting goodsat a sporting goods store in 2015

93 M People bought athletic shoes in 2015

20% total footwearsales in the U.S.

- Scarborough Research -

$ 68Average retail price of

jogging/runningshoes in U.S.

- Statista.com -

- Statista.com - - Statista.com -

Page 6: Under Armour Pitch Brief

Athleisurewear in the U.S.

14% 25%of sporting goods equipment is sold through

online channels / over the internetof sporting goods equipment sales in the U.S.

is handled by sporting goods stores

TOP SPORTING GOODS RETAILER TOP SPECIALIZED SPORTING GOODS STORES

$9.6bin revenue from sportinggoods sales in 2014

- Statista.com - - Statista.com -

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Market Segmentation

Market Segmentation of Athleisure Athleisure companies Market Share

Nike (20.7%)

Under Armour (3.9%)

Adidas (3.3%)

Skechers (3.1%)

The North Face (2.2%)

Timberland (2.1%)

Columbia (2.1%)

Champion (2.0%)

Lululemon Athletica Inc (1.4%)

New Balance (1.4%)

Puma North America Inc (1.0%)

Other (56.8%)

- Euromonitor International -

Value (3%)

Luxury (3%)

Premium (13%)

Mass (81%)

- Edited -

Page 8: Under Armour Pitch Brief

Stats: Under Armour

$3,963 MNet Revenues 2015

28%Growth Rate

13,400Employees

$11.26 MMedia Spend In 2015

Connected Fitness (1.3%)

Licensing (2.1%)

Accessories (8.8%)

Footwear (17.1%)

Apparel (70.7%)

NET REVENUES BY PRODUCT CATEGORYYEAR 2015

Page 9: Under Armour Pitch Brief

Market-cap difference Attributable to Curry’s

popularity and impact on Under Armour’s brand

The NBA MVP's signature shoe

was released early in the fourth

quarter

The Curry Effect

YEAR OVER YEAR FOOTWEAR REVENUE GROWTH

41% 40%

61%

94%

Q1 FY15 Q2 FY15 Q3 FY15 Q4 FY15

$14 billion

- Business Insider -

Page 10: Under Armour Pitch Brief

Fitness & Tech

MapMyFitnessIn 2013, Under Armour acquired the fitness

goal tracking app MapMyFitness.

Under Armour released its Record app in January 2015.

The app is designed to aggregate users' data from a variety of fitness tracking

devices and to create an online community in which users can follow, encourage and challenge one another.

MyFitnessPalIn 2015, Under Armour acquired MyFitnessPal.

The app focuses on logging nutrition information.

EndomondoIn 2015, Under Armour acquired the

european personal training app Endomondo.

Page 11: Under Armour Pitch Brief

Fast Food industry in numbersSingle Customer View Strategy

Under Armour leverages data coming from its digitally connected community of

to connect at personal level, create new experiences, and develop new products195 MILLION USERS

Personalizing Customer Experiences Engaging Consumers Locally Innovative, Compelling Products

Under Armour uses the data it collects in the MyFitnessPal app to drive consumers to buy

certain products.

The retailer has info about when and where certain activities happen.

This helps Under Armour’s wholesale partners gear marketing to people while they’re doing a

certain activity.

By tracking the activities women were doing who bought sports bras, Under Armour was

able to determine that the consumer was resonating with the product, but the functional

application of the “high impact” sports bra wasn’t applicable.

The end goal is to personalize every digital interaction anywhere in the world.

Kurt KendallUA’s global head of consumer engagement

Under Armour is now a “math house,” meaning everyone in the company uses data to inform every decision that’s made.

Kurt KendallUA’s global head of consumer engagement

Page 12: Under Armour Pitch Brief

QUICK DEFINITION:Female Runners

Many Female Runners see running as an everyday activity. Running is more than just a way to stay physically fit and

healthy; it has become a lifestyle. Runners often share knowledge, practice tips, eating habits and values. They enjoy outdoor activities and are willing to participate at

sports events like marathons.

10%

20%

0

30%

13-17 18-24 25-34 35-44 45-54 55-64

100%FEMALE

50%SINGLE

53%WITHOUT CHILDREN

OUTDOORENTHUSIASTS

4.35 x

FASHIONLOVERS

2.62 x

FOODIES

1.71 x

BEAUTY & WELLNESS

2.79 x

FEMALERUNNERS

• • •

• • •

Page 13: Under Armour Pitch Brief

63%

Female Runners

Compare the Female RunnersDemographic with Under Armour’s Audience

Under Armour’s audience overlaps with our Female Runners demographic by

64% in top interests, including:

Beauty & Wellness, Fashion, Food and

Outdoor/Recreational Activities

Page 14: Under Armour Pitch Brief

FEMALE RUNNERS:FASHION

Under Armour audience wears sportswear in every

occasion.As pointed out by the high

affinity with the Sporty Stylists (5.71x) trait.

They keep constantly up to date about sneakers on

websites like SneakerFiles.com.

UNDER ARMOUR’S AUDIENCE CROSSOVERS

MEN’S CLOTHING CONSUMPTION WOMEN’S CLOTHING CONSUMPTION

TOP FASHION LIFESTYLES TOP FASHION WEBSITES

# NAME PENETRATION REACH AFFINITY

1 Fashion Enthusiasts 5.50% 14.09% 5.69x

2 Accessories Addicted 5.33% 7.37% 5.65x

3 Swayable Shopaholics 4.93% 19.16% 5.35x

1 2 3 4 5

SEE MORE

AFFINITY

Stripe & Sequins

Polyvore

OpenSky

J'S Everyday Fashion

The Cut

Page 15: Under Armour Pitch Brief

FEMALE RUNNERS:BEAUTY & WELLNESS

Under Armour’s audience and Female Runners share

an “Active & Fit” lifestyle and expertise about

cosmetics.

Both audiences make use of apps to track and enhance their fitness

activities.

TOP FITNESS APPS

TOP BEAUTY LIFESTYLES TOP BEAUTY WEBSITES

# NAME PENETRATION REACH AFFINITY

1 Active & Fit 5.04% 9.89% 5.42x

2 Cosmetic Connoisseurs 4.82% 13.4% 4.77x

3 Self Applied Style 2.07% 13.25% 1.92x

# NAME PENETRATION REACH AFFINITY

1 Fragrancenet.com 12.35% 0.57% 8.62x

2 Love for Lacquer 10.02% 0.12% 6.99x

3 Beauty.com 7.72% 0.91% 5.39x

CLICK HERE TO KNOW MORE ABOUT THIS TOPIC

SEE MORE

UNDER ARMOUR’S AUDIENCE CROSSOVERS

Page 16: Under Armour Pitch Brief

FEMALE RUNNERS:OUTDOOR & RECREATIONAL ACTIVITIES

People who love Under Armour love Outdoor

Activities.The Outdoor Enthusiast

trait tops the psychographic ranking.

They enjoy a wide variety of sport events. From runs like the Run Nike Women Series

to Mr. Olympia.

TOP SUPPLEMENTS BRANDS

TOP FITNESS COMMUNITIESFAVORITE SPORT EVENTS

# NAME PENETRATION REACH AFFINITY

1 Girls Gone Strong 12.74% 1.86% 8.89x

2 Female Gym Motivation 12.44% 0.56% 8.68x

3 November Project 8.39% 0.41% 5.85x

CLICK HERE TO KNOW MORE ABOUT THIS TOPIC

SEE MORE

UNDER ARMOUR’S AUDIENCE CROSSOVERS

Page 17: Under Armour Pitch Brief

FEMALE RUNNERS:FOOD

UA’s audience is interested in snacking (Self-conscious

snackers 1.9x).

But the defining difference between them and Female Runners is about cooking.

Where Female Runners over index as Home Chefs, UA’s

consumers are over indexing on Food-to-go

(1.83x). Suggesting a preference in

consuming prepared meals.CLICK HERE TO KNOW MORE ABOUT THIS TOPIC

SEE MORE

FAVORITE FOOD GENRES

SEE MORE

2 3 4 5

AFFINITY

Thoughtful Eaters

Self-conscious Snackers

Home-Chefs

FOOD LIFESTYLES

1

# NAME PENETRATION REACH AFFINITY

1 Sauces 12.00% 0.49% 9.67x

2 Fruits & Vegetables 3.28% 16.20% 2.77x

3 November Project 3.43% 12.11% 2.65x

UNDER ARMOUR’S AUDIENCE CROSSOVERS

Page 18: Under Armour Pitch Brief

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