STUDY OF MARKETING STRATEGIES OF

PUMA

Submitted In Partial Fulfillment Of The Requirements

For The Award Of The Degree Of

Bachelor Of Business Administration

TO

SubmittedGuru Govind
in partial Singh
fulfillment for Indraprastha
the award of the Degree of
University,
BachelorDelhi

Guide: SUBMITTED BY: Submitted By:

MR. DEEPAK RAGHAV RAJPAL
Jagrit Rustagi Roll No.:
Roll No.07717788822 Batch No. (BCOM (H) 209519101723
nd
SEM B Section)

Vivekananda School of Business Studies Vivekananda

GITARATTAN INETRNATIONAL
giaInstitute BUSINESS
of Professional Studies
SCHOOL, ROHINI, NEW DELHI

BATCH (2023-26)

1
 CERTIFICATE

I, MR. RAGHAV RAJPAL Roll No. 09519101723 certify that the Project Report
(BBA 114) entitled “MARKETING STRATEGIES OF PUMA” is completed by me and
it is an authentic work carried out by me at Gitarattan International Business
School. 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-312) entitled “MARKETING STRATEGIES

OF PUMA” done by Mr. Raghav Rajpal , Roll No. 09519101723 , is completed
under my guidance.

Signature of the Guide :

Date:
Name of the Guide: Mr. DEEPAK
Designation:
Gitarattan International Business School,
Delhi 110085

Countersigned

Programme coordinator Director

 ACKNOWLEDGEMENT

It gives me immense pleasure to present this report on “MARKETING

STRATEGIES OF PUMA”. The Research project has brought out signification
of sincere efforts, teamwork, guidance and support that makes a project successful.
I take opportunity to acknowledge the guidance and encouragements of all those
with whom I have interacted during the course of this project. I would like to thank
our mentor my project guide Mr. Deepak for his valuable suggestions during the
project work. I would also like to thank our Director, Dr. Vikas Nath and my
colleagues for their support.
 CONTENTS

Particulars Page No

Certificate 2

Acknowledgment 3

Executive Summary 8

Introduction 9

Objectives 16

Literature review 19

Company profile 27

Research methodology 31

Analysis & interpretation 38

Findings 50

Limitations 52

Conclusion 54

Bibliography 57
 EXECUTIVE SUMMARY

Sports lifestyle is a relatively new and fast growing industry in

India. This project studies how PUMA is doing in this race to
become India's leading sports lifestyle brand. The objective of
the study is to study the global and Indian market share of
Puma, to analyze consumer preferences for Puma products,
to study the company's innovative marketing strategies and to
conduct a SWOT analysis to understand the company's
strengths and weaknesses. The study shows an analysis of
these goals that show Puma's current market position as a
leading brand in the fashion and fitness industry. The SWOT
analysis turned out well because it was successful enough to
identify the strengths and weaknesses of the company as well
as the threats the company is currently facing from the
competition, market or consumers or products. Well, during
this project, there could also be enough opportunities that the
company can work on and increase its market share in the
market.
For this particular project, secondary data followed by
descriptive research design. The conclusion of the project is
that it can be said that one who accepts challenges can
achieve success with effective and efficient management
skills. To be between competitive market share and customer
loyalty in a short period of time.

6
 INTRODUCTION
Before talking about the brand awareness and customer satisfaction by PUMA.

Dessler brothers feud

The Dassler brothers feud was a conflict between two brothers and shoe
manufacturers, Adolf ("Adi") and Rudolf ("Rudi") Dassler, in the latter half of the 20th
century. Their feud led to the creation of Adidas and Puma, two of the biggest shoe
manufacturing companies, and started a long-lasting rivalry between the two
companies. In 1948, after over 30 years of working together, Adolf and Rudolf abruptly
shuttered Geda and separated. Two reasons for the feud that are cited are strife
between their respective wives, who did not get along,

In 1948 Rudolf established Puma, which was initially named Ruda (shortfor Rudolf
Dassler) but later was renamed Puma after the animal. In 1949, Adolf established
Adidas, likewise named for himself (Adi Dassler).

Figure :1
Marketing Mix of Puma

Marketing mix refers to Price, Product, Place, and Promotion. All of these marketing
mixes are interlinked with each other which is then used by puma to develop its
marketing strategy.
Let us now start by looking at Puma’s price strategy.

7
 1. Price
Puma is the third-largest sports brand in the world, to stand out from the
other brand’s it prices its products less than the competitors. It has used
this pricing strategy so that it gives competition to its rival companies.
Puma provides seasonal discounts and offers. If a consumer buys 4
times a year at the time of its 5th purchase 50 to 60 percentage offer is
been given. Which motivates the customer to buy more.

2. Product
Puma has a massive variety of products for its customers to choose
from. However, it produces products according to each country’s
demand for example puma produces cricket equipment more in India
and Soccer jerseys in the US. They also provide a warranty of one
month so they can repurchase if they are not satisfied with the
products. Puma produces products with innovation and quality.

3. Place
Puma has Retail stores, E-Commerce stores, and wholesale factories
operating in 120 countries which makes supplies always available for
its customers.
It has four different central hubs located in Hong Kong,
Herzogenaurach, Ho Chi Minh City, and Boston.
They have corporate offices in each region of Asia, South Asia, South
America, and Middle & North America, Europe, Africa, Australia.
4. Promotion
Puma had been promoted by famous sports personalities on various
advertising
8
platforms. It also uses Websites and digital platforms to promote its
products.

Its main focus in India is to generate revenue from cricket equipment

and sponsoring the Ranji trophy. Before we move on let us summarize
the above points:
Puma sells its products at prices less than its competitors to give them
competition. About its product strategy, it markets different products in
different countries depending on what people prefer more.
It has retail stores, wholesale factories, central hubs, and central offices
all over the world.
And last but not least it has been promoting its products by celebrities
and it even uses the latest digital platforms techniques for promoting its
products.

Now that we know all about Puma’s Marketing mix let us see its
marketing strategy.

Marketing Strategy of Puma

Puma is one of the most well-known manufacturers of sports shoes, but
it has also launched its diversified product line with the help of
Ambassadors, CSR Strategies. They have an innovative research and
development team that helps them in getting new and advanced
products for them in the market Let's discuss their marketing strategy
in detail.
First, let's take a look at Puma's product diversification, which makes it
grow in all areas of the sport.
9
 1. Product Diversification
Puma has gone far from just producing footwear products to diversify
its products like gym equipment, trekking equipment.
Puma makes special shoes, racing suits and shoes for Formula 1,
Puma provides soccer shoes for soccer players and a variety of
equipment for different sports.
2. National Brand Ambassadors
Puma has inked deals with colorful sports personalities like Virat Kohli,
KL Rahul, Sushma Verma, Sunil Chhetri to promote their brand. Puma
also endorses its products with different celebrities for illustration Saina
Nehwal championed Badminton chatter and cork. Puma has made its
brand image by making notorious sports players who most Indians
follow in their fields. their brand ministers impact people in buying their
products. Making a person feel proud of the brand they’re copping is
also an important marketing tactic.
3. CSR strategies
Puma had been handing Sports Scholarships to promote sports culture
and also Anti Child Labour crusade. Puma has 10 sustainable
pretensions to fulfill by 2050 i.e. mortal rights, being socially
responsible, taking responsibility for environmental care, Biodiversity,
using sustainable accoutrements, lower operation of chemicals, etc.
4. Gaining Commercial Advantage from Research &
Development
Instead of a Shoe Box and cover for the box, Puma started replacing
them with Clever Little boxes to reduce the use of cardboard, paper,
plastic, and less emission of Carbon Dioxide.

10
 5. Puma’s Marketing Budget
Having a large budget for marketing is as important as having proper
marketing strategies.

Table 1: Marketing and retail expenses of PUMA worldwide.

6. Puma’s Marketing Campaign

Puma did some great work in creating campaigns that hit people
differently and subtly promote their brand. Here, we have discussed the
best campaign by Puma. ● Propah Lady Campaign
This campaign tells women what to do and what not to do. The
campaign celebrates breaking stereotypes.
The campaign's ambassadors are boxer Mary Kom, actress Sara Ali
Khan, international athlete Dutee Chand and transgender model Anjali
Lama.
The campaign focuses on how women are always told to be feminine,
dress appropriately, be soft and not opinionated.

11
From a very young age, women are always told to be proper but this
campaign focuses on how women can be Propah Lady which means
women can be whatever they want to be and how society wants her to
be. Not that, During the past years, people have started using social
media in a big way and every company should run a social media
campaign.
7. Puma Social Media Strategy
Every different social media account has its unique use. Puma has
managed all of its accounts properly and is posting all relevant content
on its social media.
Let us start by looking at Puma’s Instagram strategy.

Instagram
Puma India has 1M followers and Puma has 12.8 million followers on
Instagram. They also have various pages on Instagram like Puma
Women, Puma Motorsports, Puma Football, Puma Sport style which
show their diversified products.
On their various social media handles, they feature the player of that
sport wearing
their products.

On Puma India’s account, they create engaging content using all

content types offered by Instagram, i.e., Reels, Guides, Carousal, IGTV,
and Single Image Posts.

Twitter
Puma joined Twitter in June 2009 and they have over 2M million
followers on Twitter. It posts about various topics like preventing online
12
abuses, about their product, or featuring the player or talking about the
games like football and basketball. With this, we have to see Pumas
Marketing strategy.
It has a well-managed marketing strategy in all of its subcategories.
starting with its large diversified products, having brand ambassadors
for every different category, CSR strategies for gaining customer’s trust
in the brand, Gaining Commercial Advantage from Research &
Development, its marketing budget, marketing campaign, and its social
media strategy.

13
OBJECTIVE

14
 OBJECTIVE OF THE STUDY

● To analyze the various factors that affects the brand preferences of customers.

● To find the brand image customers.

● To study the innovative marketing strategies of the company. ● To understand
the strengths and weaknesses of the company. (SWOT
Analysis)

15
LITERATURE
REVIEW

16
 LITERATURE REVIEW
Aaker, Keller, Neumeier (2006, as cited in (Cho, 2011)), a brand includes
a name, symbol, design, or experience that helps consumers identify
products, services, or differentiate offerings among competitors. Aaker,
Solomon &
Stuart (as cited in (Cho, 2011) a unique element (e.g., name, symbol,
design) A brand can be acted as forensic tool, logo, company recognition system, images,
personalities, and relationships as an added value (Parsa, et al., 2013).
Compared to unknown brand names, familiar brands can increase the
products advantages and promote higher sales (Keller, 2003). When
there are unfamiliar brand names in the market; consumers tend to trust
the familiar brands. Such famous brand names and their images are
fixed in consumer’s mind. They may encourage purchase and re-
purchase behavior though price cuts may change their behavior.
Cadogan and Foster (2000) argued that a brand could create an
emotional and personal connection, which distinguishes that brand. It is
necessary for brands with only minor physical differences distributed in
the same social environment to create a vivid image in customers’ E.
Zarepour Nasirabadi and M. Nazem Bokaei / Management Science
Letters 3 (2013) 1909 mind. On the other hand, popular magazines and
the press masterfully attempt to propagate and promote these images to
give recognition to a brand (Colborne, 1996). Consumers are usually
able to evaluate a product or brand and their features (Keller, 2003). It
should be noted that such information is essential for marketing
managers because it helps them make decisions on product positioning,
changes and various advantages. According to Kohl and Thakur (1997)
brand name is to create a brand image or develop an identity, which
could be highly expensive and time- consuming. Brands are vital for
attracting customers, making purchase and affecting re-purchase.
Consumers tend to perceive products from an overall perspective

17
associated with the brand, features and experience of buying and using
the product.

According to (Park, et al., 1986), the construction and maintenance of

the brand image is prerequisite to the brand management. Theoretically,
all products and services could be demonstrated by functional, symbolic
or experimental elements, through which brand image is established.
Throughout prior literature, researchers define brand image mainly from
four perspectives: blanket definitions, meanings and messages,
personification, cognitive or psychological elements. Brand image has
been studied extensively since the 20th century due to its importance in
building brand equity. In the increasingly competitive world
marketplace, companies need to have a deeper insight into consumer
behavior and educate consumers about the brand in order to develop
effective marketing strategies. (Malhotra, 2005)

The term brand experience was first coined by (Brakus, et al., 2009) in
the ‘Journal of Marketing’. They explored and integrated various
concepts in the fields of cognitive science, marketing, philosophy and
management practices to understand the meaning of this term, and
stated that consumption; products, services and shopping experiences
together constitute the overall brand experience. Brand- related stimuli
constitute the major source of subjective, internal consumer responses,
which we refer to as “brand experience.

According to (Aaker, 1996), consumers tend to continue to purchase the

same brand despite the demonstrated benefits (including better
features, lower price or convenience) by competitors’ products. Brand
loyalty is believed to be one of the main components of brand equity. The
more loyal customers there are the stronger position the brand has in

18
 the market and there are less vulnerable clients who would be willing to
change brand they regularly purchase products from. The best
marketing strategy retaining this customer segment that (Aaker, 1996)
suggests is loyalty Programs. This could be done by providing loyalty
cards, loyalty points program, and etc.

Customer satisfaction is one of the most important and widely used

concepts in marketing. In Marketing, customer is known as the King. It shows the
importance of the customers. The whole process of the company depends on the
customers. (Peterson & Wilson, 1992). Tse& Wilton as cited in (Rizan, 2010) states that the
response to the evaluation of the perceived discrepancy between the expectations and
service performance is called as the customer satisfaction.
Consumer Behavior focuses on how consumer make the decisions to
spend their available resources (Time, Money, Efforts) on consumption
related items. That includes what they buy, why they buy it, when they
buy it, where the buy it, how often they buy it, how often they use it, How
often they evaluate it after the purchase and the impact of such
evaluations on future purchases. Consumers can make buying decisions
without evaluation and evaluate the brand during consumption. On other
hand the manufactures and small business also have to know the
purchasing decision of the final consumers so as to target well the
market according to specific products and services required by those
consumers.

Attitudes are of particular interest to social scientists because they are

important determinants of future behavior (Fishbein & Ajzen, 1975). It
has been a long debate over the definition of brand loyalty, although a
general agreement about the serious effect of brand reputation can be
found (Jacoby & Chestnut, 1978).

19
The buyer decision process
One of the components of the consumer behavior is the buying
decision process (Hawkins et al., 2003). The consumer decision
process is the study of how consumers make and take decisions
before, while and after buying (Kotler, 2008). In most of minds,
consumer behavior can make reference to the action of taking a
decision that is “carefully” evaluated most of a time regarding
attributes (Hawkins et al., 2003). Engel names this statement the
“rational decision-making process” (Engel et al., 1995). 32
However, Engel also defines another type of decision-making
based on the search of pleasure or aesthetics. That is called the
hedonic (emotiondriven) benefits (Engel et al., 1995). Schiffman
and Kanuk (2000) distinguish three stages in the decision-making
process embracing the classical buyer decision process. When
most of the model will directly start with the problem recognition,
here, the “input stage” is the first of the three. Before recognizing
a need, Schiffman and Kanuk (2000) take into account the
external influence that either firm’s marketing strategy and the
consumer’s environment will provide him/her knowledge on
product. There is no question of buying anything special to fulfil a
need there. They only make references to the fact consumers are
constantly in contact with products or services. Then, the
“process” stage, mainly analyses the influence of diverse factors
on the decision- making like the psychological factors or the
experience (Schiffman and Kanuk, 2000). Above all, this stage
gathers Kotler’s steps in the decision- making process before the
purchase that is to say, need recognition, pre- purchase search
and the evaluation of alternatives (Kotler, 2008). The need
recognition and aims at evaluating a problem or a need to which
the consumer will find a solution by consuming. The need
20
recognition is influenced by internal or external stimuli as seen in
the previous part. This step is crucial for the consumer because
the best he/she identifies the needs, the best the choice to fulfil it.
Also, if the need is well expressed, it will be easier for marketers
to develop a corresponding product to what consumers look for
(Kotler, 2008). The information research is when consumers will
seek information about products that are willing to match his/her
need (Kotler, 2008). Here, the degree of involvement is very
important. The degree of involvement in a product or a service will
determine how far and how precise the consumer will look for
information
concerning this product or service (Engel et al., 1995). The level
of involvement will also make a consumer decision complex or no.
The higher the involvement, the more complex the decision to
take (Hawkins et al. 2003). The evaluation of alternatives (the last
step of the process stage)) is the most complex one because it is a
decisive one for both companies and consumers. This is where
comes the choice between brands or between attributes. In case
the consumer is still not decided about the brand he/she will
choose, he/she should draw the expectancy value model to
compare all of the remaining offers and each of their attributes.
By rating them, and making an average score for each of the
brand, he/she will know which one to choose (Kotler, 2008). The
last stage identified by Schiffman and Kanuk (2000) is 33 the
“output stage” with the purchase behavior and the post- purchase
evaluation. The purchase decision is the final deliberation to
choose a product from another one. Finally, the Post Purchase
Behavior, known as the fifth and last step will determine whether
or not the product has fulfilled the need (the expectations),
whether or not the marketing strategy made this product

21
compatible with the communication around it (the perceived
performance): “the larger the gap between the expectations and
the performance, the greater the consumer’s dissatisfaction”
(Kotler, 2008, p.271). Then, if a consumer buys many times a
product he has been previously used, it means he/she had
adopted it and the level of satisfaction is high (Schiffman and
Kanuk, 2000). But the post-purchase behavior does not only
concern about the matching with the expectations. Schiffman and
Kanuk (2000) emphasized the importance to focus how/if
products are used, stored, or thrown for a second time if the life
cycle allows it. In 1995, Engel had added another step in this
decision-making process that seems to be forgotten: the
consumption which is right between the purchase and the post-
purchase behavior. According to consumers’ individual
differences, (motivation, resources, knowledge, attitudes, values
and lifestyle) the product will be consumed
differently. To conclude, the analysis of this buyer decision process
is a key factor for companies to build a loyal relationship with their
customers.
The more corresponding the offer, the more satisfied the client.

Brands and their role in the consumer behavior

The buying decision process model shows how various aspects of the
environment or the products can influence the customers when buying.
Brand is one of them and surely one of the most important when talking
about the sportswear industry. Everyone has heard about Nike or
Adidas, but what makes those brands so popular apart from the product
attributes? According to Aaker (1991, p.7), “A brand is a distinguishing
name and/or symbol (such as a logo, trademark, or package design)
intended to identify the goods or services of either one seller or a group
of sellers, to differentiate those goods or services from those
22
competitors “. Indeed, Brands allow consumers to identify the maker of
goods or the provider of the service and will assign a responsibility to it.
Brands create a link between the consumer behavior and the buying
decision process. Indeed, brands can provide knowledge when a
consumer buys a certain product and remembers it. However, in case
this consumer feels a need that can be fulfilled with this product, he/she
will wonder if this brand was a good experience or no. This is the
information search step of the buying decision process (Keller et al,
2008). In the case of the information search, an important aspect of
branding plays a major role: the brand equity. The brand equity is
defined by Aaker as the value added to the brand and perceived by the
customers. In other words, what a red t-shirt Lacoste will have more
than a private label red t-shirt. Is the brand sufficient to provide a value
added to the product? Does a brand always provide what it promises?
These questions should come to consumers’ mind while buying because
both perceived quality and brand associations can contribute to
customer’s satisfaction (or dissatisfaction) after the experience of using
it (Aaker, 1991). 36 Actually, the best consumers a company can have
are people who already consume those company’s products.
Strengthen the relation between companies and firms is one of the major
stakes of marketing and brands are a very good way to make this work
(LePla & Parker, 2002). Finally, the last point company should not forget
when building a brand is that is must be composed of three elements
that will be perceived by the customers: its communication and strategy,
its association and principle but also its mission and values the
Integrated Brand Model) (LePla & Parker, 2008). But most important, the
more people can reach the third step, the most efficient the brand.

23
COMPANY PROFILE

24
 COMPANY PROFILE

Industry Clothing and consumer goods manufacture

Founded 1924 as Gebrüder Dassler Schuhfabrik

(registered in 1948) Founder Rudolf Dassler

Headquarters Herzogenaurach, Germany Area served

Worldwide
Key People Jochen Zeitz (Chairman) Bjørn Gulden (CEO)
Klaus Bauer (COO)

Products Footwear, sportswear, sports goods, fashion

accessories Revenue €2.972 billion (2014)

Number of Employees 10,830 (average, 2014) [2] Parent Kering

Website WWW.puma.com
Table 2: Industries Profile

Puma SE deals in footwear, clothing and accessories under the Puma and Cobra Golf
brands. Footwear is the company's leading category. Puma also licenses its brand for
fragrances, eyewear and watches. Almost a quarter of the company's sales go directly
to consumers through Puma retail stores, factory outlets and online channels. The
remaining sales are wholesaled to Puma's retail partners. Most of the company's
revenue comes from the Americas; and geographic segments Europe, Middle East and
Africa.
Founded in Herzogenaurach, Germany in 1948, PUMA is one of the world's largest
providers of sports lifestyle footwear, apparel and accessories. The PUMA Group owns
the brands PUMA, Cobra Golf and Tretorn. The company distributes its products in
more than 120 countries and employs more than 9,000 people worldwide. She is
committed to working in a way that contributes to the world by promoting creativity,
sustainability and peace, and by staying true to the principles of being fair, honest,
positive and creative in the decisions and actions taken.

25
 Over the years, PUMA has remained true to its four cornerstones: heritage, sport,
technological innovation and design. The brand focuses on bringing distinctive designs
and a global perspective to each product line by combining sports, lifestyle and fashion
influences. This fusion is known as the "sport lifestyle". PUMA views sport as a
philosophy of life - a philosophy that emphasizes fitness, wellness and simply being
active. Since sport can be different things to different people, PUMA approaches it in
the context of a wider lifestyle without compromising performance.
This is exactly what the brand means when they talk about "Sport lifestyle".

In 1993, at the age of thirty, Jochen Zeitz was appointed Chairman of the Board and
CEO, Zeitz heads and bears the main responsibility for the worldwide restructuring of
PUMA, which was in financial difficulties at the time. Inside, he reached his first major
milestone

his first year as CEO saw PUMA achieve its first profitable performance since 1986,
reporting consolidated sales of €210 million with EBIT of €23 million in 1994. In 2009,
PUMA achieved a net profit of €128 million and a consolidated turnover of 2.5 billion of
euros. The share price rose from €8.6 in 1993 to an all-time high of €350 in April 2007.
Zeitz managed to transform PUMA from a budget brand to a premium sports lifestyle
company and one of the top 3 brands in the sporting goods industry. he stuck to the
long-term development plan he presented in 1993. In 2007, the French luxury group
PPR, one of the world's leading fashion and retail companies, acquired more than 60
percent of PUMA. With the support of PPR, PUMA plans to strengthen its position as a
leading company in the sports lifestyle market with a continued focus on long-term
sustainable growth.

In order to become "the most desirable and sustainable sports lifestyle company",
PUMA needs to strengthen its position as one of the few multi-category brands and
systematically take advantage of the opportunities offered by the sports lifestyle market
in all categories. and regions. As a multi-category supplier, PUMA is active in
categories and business areas/divisions that suit its unique brand position and where
sustainable value enhancement for the company can be achieved. The
PUMA Vision forms the guiding principle for PUMA and its global
26
partnerships and commitments. It combines PUMA's concepts and initiatives with
respect to business sustainability and social responsibility. The four principles of the
PUMA Vision, fair, honest, positive and creative, form the compass of their company,
employees, partners and target groups with regard to all their decisions. PUMA Vision
reflects their vision of a better world – a world that is more peaceful, safer and more
creative than the world we know today.

Innovative Promotion Strategies

At the World Cup in Germany, Johan Cruyff refuses to play in a different outfit because
he feels closely connected to the brand. So a custom design is made for it that only
contains two stripes. A legend was born. At the Atlanta Olympics, PUMA caused a stir
with a creative contact lens campaign: in 1996, Linford Christie appeared at a pre-
Games press conference with a white PUMA cat on his pupils.

Figure 2: Catsuit

In 2002, PUMA and Serena Williams unveiled the "Serena Williams Tennis Collection".
That same year, she caused a stir around the world in her tight "Catsuit" and won
Wimbledon. In 2004, "Invincible Lions" followed with them.

27
Figure 3: Serena Williams

Equally controversial was the one-piece PUMA UniQT, which removed unnecessary
bulk and limited shirt-grabs by opponents. FIFA punishes the team by deducting six
points from qualification for the 2006 World Cup and imposes a penalty. PUMA sailed
for the first time in 2008 by entering its own sailing yacht "il mostro" in one of the world's
longest and most difficult sailing races - the Volvo Ocean Race.

Figure4: IL Mostro

28
RESEARCH METHODOLOGY

29
 RESEARCH METHODOLOGY

Research in common pursuance refers to a search for knowledge in a scientific and

systematic way for pursuant information on a specified topic. Once the objective is
identified that next step is to collect the data which is relevance to the problem identified
and analyze the collected data in order to find out the hidden reasons for the problem.
There are two types of data namely

1. Primary Data

2. Secondary Data

Research Design
Research design is defined as a framework of methods and techniques chosen by the
researcher to link the various elements of the research in a reasonably logical manner
so that the research problem can be effectively addressed. It provides insights into
"how" to conduct research using a particular methodology. Every researcher has a list
of research questions that need to be assessed. This can be done with a research
design.

PRIMARYDATA

Primary data is original in nature and is collected first hand. Primary data is information
that you collect specifically for the purpose of your research project. An advantage of
primary data is that it is specifically tailored to your research needs.
A disadvantage is that it is expensive to obtain.
1. Questionnaire Method

2. Personal Interview Method

30
 SECONDARYDATA

Secondary data is when a researcher does not collect data originally for a research
inquiry but uses data already collected and available in published or published data.
Using secondary data in research investigation saves time, money and labor. However,
some people question the accuracy of secondary data. If reliable and appropriate
secondary data is available, there is no harm in using secondary data for any research
investigation. Most research requires the collection of primary data and this is what
students focus on. Unfortunately, many dissertations do not include secondary data in
their findings section, although this is perfectly acceptable if it has been analyzed. It's
always a good idea to use data collected by someone else if it exists - it may be on a
much larger scale and could make a significant contribution to the findings.

SOURCE OF DATACOLLECTION

The methodology adopted for this project involved the first comprehensive literature
review of facts and figures influencing car buying behavior and trends in India. A
questionnaire survey was then designed to find out the current preferences and
decisions influencing purchasing in India. The questionnaire was designed on Google
Forms and sent to potential respondents through various modes such as social media.
The responses received were analyzed and the results are discussed in this project.
The questionnaire is based on data obtained from 30 participants through social media
channels.

31
 ANALYSIS &
INTERPRETATION

32
 ANALYSIS AND INTERPRETATION

A questionnaire was formed consisting of 9 main questions.

The questionnaire was circulated to 50 people out of which 40
were received. A pilot survey was done for the first 10
responses to check the reliability of the data collected.

QUESTIONNAIRE ANALYSIS

33
 Table 3: Age Group of the Respondent

Age group Number of Respondents Percentage

Less than 15 8 20%

15-25 12 30%
35-45 14 35%
45- above 6 15%
Total 40 100%

Figure 5: Age of Respondents

Table 4: Occupation of Respondents

34
 Occupation Number of Respondents Percentage
Students 8 20%
Business 18 45%
Professionals 14 35%
Total 40 100%

Interpretation:
1. 20%, that is, 8 out of 40 respondents are students
2. 35% of the Respondents are working professionals.
3. 45%, that is, the highest number of respondents are businessmen

35
 Table 5: Gender of the Respondent

Gender of Respondent Female Male Total

Number 20 20 40
Percentage 50% 50% 100%

Interpretation:
1) 50% of the respondents are male.
2) 50% of the respondents are female

Figure 7: Gender of the Respondents

Table 6: Consumer preference of Sports brands

Brands Adidas Puma Reebok Nike Total

Total 8 12 6 14 40

36
 Interpretation:
(a) 12 out of 40 prefer PUMA to its competitors.
(b) 14 out of 40 prefer Nike which makes it Puma’s biggest competitor

Figure 8: Consumer preference of Sports brands

Table 7: Popularity of Puma products among Respondents

37
 Yes No

No. of Respondents 20 20

Percentage 50% 50%

Figure 9: Popularity of Puma products among Respondents

Interpretation:
(a) 50% of the respondents have used products manufactured by Puma including shoes,
fragrances, watches etc.
(b) 50% of the respondents have not used any of the products manufactured by Puma.

38
 Table 8: Range of Puma products preferred by the Respondents

Products Shoes Apparel Other

Equipment

Popularity 18 0 22

Percentage 45% 0% 55%

Interpretation:
(a) 18 out of 40 respondents preferred to buy shoes the most from
Puma, accounting to almost 45% of them.
(b) 0 out of 40 bought apparel

Figure10: Range of Puma products preferred by the Respondents

Table 9: What do you think about pricing of Puma good?

39
 Cheap Fairly Priced Expensive
No of Respondents 14 20 6
Percentage 35% 50% 15%

Interpretation:
1) Only 15% of the respondents think that the products are expensive.
2) 50% of the respondents think that the products are fairly priced.
3) 35% of the respondents consider the products cheap.

40
41
 Table 10: Easy Availability of Puma product

Easily Available No of Respondents % out of 40

Yes 26 65%
No 14 35%

Interpretation:
1) 65 % people believed that the products are easily available whereas only
35 % thought that it was difficult to find them.

Figure 11 : Easy Availability of Puma product

42
 Table 11: Customer preference to buy Puma products

Customer Preference No. of Respondents (out of 40)

Offline stores 20

Online stores 20

47
SWOT ANALYSIS

Figure 15: SWOT Analysis

48
 STRENGTHS

• Strong Brand: PUMA is a globally recognized brand known for its athletic footwear, apparel,
and accessories. It has a strong reputation and a rich heritage in sports.

• Product Innovation: PUMA has a track record of innovative product designs and
technologies, which helps it stay competitive in the market. It has collaborated with renowned
designers and celebrities to create unique and trendy products.
• Diverse Product Portfolio: PUMA offers a wide range of products across different categories,
including footwear, apparel, and accessories. This diversification allows the company to cater
to various customer preferences and target different market segments.

• Focus on Sustainability: PUMA has made significant efforts to promote sustainability in its
operations. It has implemented eco-friendly practices and launched initiatives to reduce its
environmental impact, which appeals to the growing number of environmentally conscious
consumers.

Weakness

• Dependence on External Manufacturers: PUMA relies on third-party manufacturers for the

production of its products. This dependence on external suppliers exposes the company to
risks such as quality control issues, supply chain disruptions, and potential conflicts with
suppliers.
• Limited Market Share: While PUMA is a prominent brand, it faces strong competition from
other athletic brands such as Nike and Adidas, which have larger market shares. PUMA's
market presence in certain regions may be relatively weaker compared to its competitors.
• Less Diversification in Sports: Unlike some competitors, PUMA has a relatively narrower
focus on certain sports and lifestyle segments. This limits its market reach and potential
customer base compared to brands that have a broader range of sportswear offerings.
• Brand Perception: PUMA may be perceived by some consumers as being less premium
or prestigious compared to certain competitors. This perception could affect its ability to
attract consumers who prioritize luxury or high-end brands.

49
 Opportunities
• Growing Athleisure Trend: The increasing popularity of athleisure wear presents an
opportunity for PUMA to capitalize on the demand for comfortable and stylish sportswear
that can be worn for both athletic activities and everyday fashion.

• Emerging Markets: PUMA can further expand its presence in emerging markets, such
as China and India, where the demand for sportswear is rising due to increasing
disposable incomes, urbanization, and a growing interest in fitness and sports.
• E-commerce Growth: The continued growth of e-commerce provides PUMA with an
opportunity to reach a broader customer base, improve customer convenience, and drive
online sales. PUMA can leverage digital marketing and online platforms to enhance its e-
commerce strategy.
• Collaborations and Partnerships: PUMA can continue collaborating with celebrities,
athletes, and designers to create limited-edition products and generate buzz. Strategic
partnerships with sports teams or organizations can also enhance its brand visibility and
market reach.

Threats
• Intense Competition: PUMA operates in a highly competitive industry with global
players like Nike and Adidas, as well as local brands. Competitors may launch
similar products, offer aggressive marketing campaigns, or engage in pricing
strategies that could impact PUMA's market share and profitability.
• Economic Volatility: Economic downturns, currency fluctuations, or changes in
consumer spending patterns can impact PUMA's sales and profitability. A
slowdown in the global economy or regional markets where PUMA operates can
pose a threat to its financial performance.
• Counterfeit Products: PUMA's strong brand presence and popularity make it a
target for counterfeit products. The proliferation of counterfeit goods can erode brand
value, lead to revenue loss, and impact consumer trust.
• Rapidly Changing Consumer Preferences: Consumer preferences and fashion

50
 trends can change quickly, requiring PUMA to continuously adapt and innovate.
Failure to anticipate or respond effectively to these changes could result in
decreased demand for its products.

Puma Financials Summary

In Thousands TTM FY 2021 FY 2020 FY 2019

USD 31Mar,2022 31Dec,2021 32Dec,2020 31Dec,2019

EV 13,435,733 18,521,557 17,577,401 12,091,069

Revenue 8,326,519 8,046,015 5,966,760 6,159,409

EBITDA 986,983 547,728 779,581

Net Income 373,769 366,040 89,939 293,742

Total Asset 6,644,940 6,485,700 5,761,288 4,904,337

Total Debt 1,156,860 1,236,159 1,295,278 834,864

Table 13: Financials

51
 FINDINGS
● PUMA products are more popular among students than professionals and
businessmen.
● More people were considering ADIDAS and NIKE which are the biggest competitors
of PUMA.
● Out of 40 respondents, 50% of them has used PUMA products like shoes, clothes,
watches etc.
● . Most of the respondents’ think are PUMA products are fairly priced.

● Almost 65% of the respondents believed that PUMA products are easily available
which satisfies the place mix.
● 50% respondents buy PUMA products at an online sale.

53
 LIMITATIONS OFTHESTUDY

Many constraints were involved in doing this study. Some of them are
as
follows:
1. Time Constraint

Time factor has been a very big limitation in the

research like this. The time provided to do the project
wasn't enough and more time could have been given.

2. Vast Data

There was too much data, hence it was difficult to fit

everything and explain everything in this project.

3. Access

It was difficult to access most of the data, as some of

the data was restricted or the site didn't let open the
information. Hence, some data could not be found
because of the restrictions.

54
 CONCLUSION
Over the years Puma has established itself as a major sports lifestyle
brand since its conception. Puma has become one of the leading sports
brands in the world. Through creativity and innovative products PUMA
has always set standards in sports and style. Outstanding
performances of PUMA athletes and teams have strongly influenced
international sports through innovative PUMA products and creative
marketing initiatives for more than 60 years. The company holds a very
strong stance in creating products for professional athletes. However, it
is now time that Puma focuses more on the mass consumer market. In
the Indian market, Puma in relatively new compared to its competitors
who got a head start. It is only about a decade old here. Nike had a four-
year lead; Reebok had launched 13 years before and its German sibling
Adidas had already been in the market for 11 years. Puma's success in
India, say marketing experts, lies in smart rather than aggressive
marketing, prudent expansion and sticking to the basics of shunning
discounts. Like any other company Puma faces the problem of
competitive pricing. Turbulent is the word that aptly describes the
scenario in sports industry. By frequent price cuts in market and larger
than live Marketing game plans, competition reached its new highs and
lows. It is no longer sufficient to just be competitive. A Company, which
has to survive, has got to have competitive advantage. One needs to
take strategic initiative in the short run to achieve the desired
“positioning” in future. One has to foresee ‘tomorrow’.

55
RECOMMENDATIONS

● The company should focus on the younger generation especially

students or young professionals as they are the biggest consumers
of sports goods and
future strategies should be made with this section of
consumers in mind.
● Even though the company has adopted many innovative and
creative
marketing strategies over the years it still lags way behind its major
competitor, Adidas. The company needs to study where it lacks and
take corrective action
immediately.
● For its female target market, the company is facing stiff competition
from Nike. The company needs to focus on coming up with
innovative products for women. Male’s consumers however prefer
Adidas.
● The company produces a variety of sports lifestyle products,
however, apart from shoes the rest have not gained much
popularity. The company must undertake marketing strategies to
promote its other products as well.
● Although the company focuses on manufacturing premium
products, it should also consider launching a more affordable line of
sportswear, especially in the Indian market where majority of
consumers have a very limited spending power. The company
needs to adopt value-for-money Strategy.

56
● The company has fewer stores as compared to other companies.
Since the consumers prefer to by such products as company stores
as opposed to on- line stores. Selling the company’s products at
local stores is not suggested.
The company should plan on opening more stores in the
future
● The consumers are more concerned with comfort and quality as
compared to fashion and trends. It is suggested that the company
concentrate more on these aspects of their product to provide
satisfaction to customers.

57
 BIBLIOGRAPHY
1. Consumer Behavior, 5th Edition by Wayne D. Hoyer
2. Engel, J.F., R.D. Kollat and P.W. Miniard (1986). Consumer Behavior. 5th ed.,
Hinsdale, Ill.: Dryden Press. Express (2014). How long does it take you to get to
work? Accessed from http://tinyurl.com/kw2rznc

3. Kevin Lane Keller, second edition, 2003, Strategic brand management, Pearson p
rentice hall.

4. Philip Kotler, eleventh edition, 2003, Marketing Management, Pea rson∙ Education
inc.

5. Akkucuk, U. and Esmaeili, J. (2016). The Impact of Brands on Consumer Buying

Behavior: An Empirical Study on Smartphone Buyers. Turkey Journal of Research
in Business & Social Science, 5 (4).

6. Bian, X. and Moutinho, L. (2008). The Role of Brand Image, Product Involvement,
and Knowledge in Explaining Consumer Purchase Behaviour of Counterfeits
Direct and Indirect Effects. Research Memorandum, 77 (March).

7. Durrani, B.A., Godil, D.I., Baig, M.U and Sajid, S. (2015). Impact of Brand Image
on Buying Behaviour Among Teenagers. European Scientific Journal, 11 (51)

8. statistia.com
9. https://en.wikipedia.org/wiki/Dassler brothers 10. Marketing strategy of puma

58