Wednesday, February 5, 2020
Answer case questions Assignment Example | Topics and Well Written Essays - 1000 words
Answer case questions - Assignment Example Company data shows that marketing expense increased from $108.9 million in 2009 to $246.5 in 2013. The increase in marketing expenditure is the result of the adoption of a robust marketing and promotion strategies. The company used a variety of promotion strategies. First, the company sought to promote is product visibility in the sports sector by signing outfitting contracts with schools and colleges. By so doing, people can see the products of the company. Second, the company increased its retail shops and also the product presentation at the shops to attract shoppers. Third, the company made extensive use of the media to advertise its products. The company uses three main distribution strategies. The company sells in wholesales terms to retailers who then resell the product to the final consumers. Under Armour also engages in direct sales to its consumers. In fact, direct sales accounted for 30.4% of the sales in 2013 (Thompson 244). Finally, the company sells licenses to enable distributors sell its products in areas where it has no presence. Product Licensing gives distributors exclusive rights to sell Under Armour products. Thus, they act on behalf of the company. The strategy has enabled Under Armour to have a presence in areas where it does not have operations. High-quality products are responsible for the growth of the company. The company has a product development team that works with third party suppliers to ensure that materials are of high quality. The team also ensures that the manufacturing process adds the required features such as comfort and design (Thompson 246). The marketing team also collects opinions and reviews from customers and potential customers to identify the customerââ¬â¢s perspective towards the product, and how the products can be improved to fit the needs of the target customers. To ensure quality of their products, Under Armour used raw materials from approved suppliers
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