In the past 2 decades Nike had become one of the known sports brand in the world. Nike has an incredible brand image in their products, they have successful marketing strategy on their brand. For example, Nike not only has a swoosh logo or a slogan “Just Do It” but also has signed many famous sports superstar in many different sports fields such as Michel Jordan, Roger Federrer and Derek Jeter etc. Therefore, Nike used those hall of fame player’s image to combine Nike’s products and build a simple idea in every potential consumers’ mind. However, recently a new sports brand Under Armour were rising and enable to compete the leading sports brand Nike in this industry.
Overview of Under Armour and Nike
Although, Under Armour is a young and small brand than Nike but Under Armour actually growth during past 10 years. Under Armour’s capitalization is around $15.5 billion and their revenues reached to $3.6 billion (Strider, 2016). The Under Armour’s history is that Kevin Plank who is the CEO and founder of Under Armour he started when he was in the University of Maryland football team and he noticed that the cotton T-shorts will become heavy and soaked with sweat during the training. Therefore, he thought it can be something better and different so after he graduated he committed to develop the special material that make T-shirt more light and comfortable and that is how Under Armour became. On the other hand, Nike’s history is known for everybody but here still have some facts that you might need to know which Nike still is the largest brand in the sports industry. Nike’s capitalization is around $102 billion and their selling revenue reached $31 billion in 2015 (Strider, 2016).
Top star- Stephen Curry
Stephen Curry is rising star in the NBA recent years, he helped Golden State Warriors to win the NBA title in 2014-2015 season and he also got MVP in that season. Someone may do not know Stephen Curry who was signed to Nike till 2013 after a breakdown of negotiations meeting (Strauss, 2016). After the breakdown meeting, Under Armour had a chance to offer Stephen Curry a deal which worth $4 million per year and compare to Nike’s offer $2.5 million per year. Of course, Stephen Curry eventually choose Under Armour’s deal. In 2015, Under Armour launched the first signature shoe with Curry also known as “Curry One”. The Curry One’s selling had greatest succeed due to Stephen Curry had outstanding performance on the court and took Golden State Warriors to challenge the NBA championship. According to the Business Insider Australia, the Curry One’s sales growth 745% in second quarter in 2015 (Peterson,2014).
Under Armour’s products-“I WILL”
Through listing Under Armour’s products line, their products involved many of sports including basketball, baseball, football and training gear. Of course, Under Armour wants to use their products to deliver a message to their consumers. “I WILL” is a slogan for every Under Armour’s products and this slogan create a concept to make everyone who believe they can be someone they want to be. In this generation of health and fitness, Under Armour actually made amazing work in this trend and also waiting for the opportunity to compete the leading brand Nike. However, Under Armour’s target is not just only Nike but Adidas also is a competitor in this industry and let’s seat back to see what will happen in the future.
By Bin-An Hsiao
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Peterson, H. (2015) Under Armour hit the jackpot with its Stephen Curry bet. Available at: http://www.businessinsider.com.au/under-armour-hit-the-jackpot-with-stephen-curry-bet-2015-5?r=US&IR=T (Accessed: 21 April 2016).
Strider, J. (2016) ‘Adidas vs. Nike vs. Under Armour: Which for 2016? (NKE, UA)’, in Available at: investopedia.com/…/adidas-vs-nike-vs-under-armour-which-2016-nkeua.asp (Accessed: 20 April 2016).
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