SWOT Analysis of Reebok | Reebok Strengths, Weaknesses, Opportunities and Threats.
1. What is Reebok?
The Reebok is a brand of footwear first created by Joseph William Foster who was born in 1875.
The shoe has changed over the years but the original version consisted of canvas uppers with elasticated panels, one sole that was 1 inch high, and lacked an external heel counter.
The design was dropped in the 1920s but resurrected later on. It headquarters is in Canton Massachusetts.
The brand was first produced in 1967. The company has offices located in more than 62 countries around the world.
Reebok also produces a range of fitness equipment including treadmills, elliptical trainers, cross trainers and exercise bikes.
They also produce sports watches made of aluminium that are similar to the Casio watch line.
Today, Reebok is one of Nike’s biggest competitors because it continues to be innovative with its designs and technology both in footwear and apparel while remaining true to its roots in sports performance.
2. How is the Business Model of Reebok?
Reebok is a big brand. It manufactures and distributes its products in over 100 countries across the globe.
The company does not have any competitors when it comes to sports clothing and accessories. This gives the company a huge market to sell their products with resells.
The management of Reebok International has done a great job when it comes to international expansion of their business in Asia, Europe, Africa and America.
The management team dominates with strong financial control that has built up with previous years of growth and profits.
The management team has done a great job when it comes to building up their brand image in the market with the help of media.
The team has also done a great job in promoting their products by creating advertising campaigns across television, magazines and other forms of media which have made them much more recognized in the market.
Reebok is known for its “cool factor.” They are one of the most popular brands in sports around the world.
The product range is wide and includes various footwear, clothing, accessories and sporting goods. The company has opened over 100 stores across the United States and is still expanding.
3. How Does Reebok Makes Money?
Reebok Company makes money through the sale of athletic footwear and apparel. They are known for their high quality products such as shoes, clothing, and accessories.
Reebok also earns income through partnerships it has with big brands like Adidas where they sell each other shoes. It also earns money by sponsorship with big sporting teams around the world.
Key areas of Reebok include;
Sports:
Reebok has a very good reputation when it comes to sports shoes and clothing. Their products are mostly targeted at sports lovers and athletes.
They make high performance sportswear and equipment for basketball, baseball, football and soccer.
The company also partners with big names in the sporting industry like the NFL (National Football League), the NBA (National Basketball Association) and Cricket Australia.
Health:
Reebok has also developed a range of shoes for people who are interested in healthy living. This is an important part of their business model. The company earns money from selling shoes for health and fitness purposes.
The company also sponsors health related activities around the world. They have created partnerships with prominent football clubs, cricket teams and gymnasts to sponsor events in different countries including Australia, New Zealand, UK and USA.
Entertainment:
They have also developed a range of shoes and apparel for entertainment purposes. The company makes money by selling these products to people who go clubbing and dancing.
Reebok Sponsorships:
They also sponsor a number of events around the world. These include
(i) The NFL Conference National Finals Competition in the United States.
(ii) The AFC Asian Cup in Australia.
(iii) The FIVB World Championship in Brazil.
This has been one of Reebok’s winning strategies when it comes to making money from their business model.
Reebok sponsors a wide range of events including athletics, martial arts, entertainment and sports education competitions.
The marketing strategy of Reebok is very effective for making more income from their business model.
They have used print media, television, radio and the internet to market their brand name brand name internationally.
Product Development:
Reebok also makes money from the development of new products for their consumers. Reebok has made marketing an important part of their business model by using different methods to attract more customers to buy their products.
Partnerships:
Reebok also makes money from partnerships across the world. They make money by selling their products online, through partnerships and sponsorship of big events.
This has helped them to become one of the biggest brands in the personal sports market today.
4. Reebok Revenue and Financials
Reebok has grown to become one of the biggest brands in the world today. They have over 100 million customers who buy their products every year. The company also makes millions of dollars in sales annually.
Reebok’s revenue fell by 8.5 percent from €1.8 billion in 2017 to €1.7 billion in 2018.
From 2006 through 2020, the Reebok brand will be sold all over the world. Reebok’s net sales in 2020 are expected to be at 1.41 billion euros.
The company will continue to compete in the sports market place through its distribution.
Reebok’s financials are fairly good. Reebok’s revenue growth will be seen in the future with their distribution throughout the world.
Their distribution means that they have more room that they can sell their products not just in Europe or America but also throughout Asia that they have opened recently.
Reebok is expected to have growth of 13% in 2020 versus 2017. Their net sales will be at 1.41 billion euros. Their growth is also accelerated by other companies selling their products to customers throughout other regions in the world.
5. Reebok Partners
Reebok has partnered with some of the biggest brands in the world to sell their products. They also make money from partnerships with global companies like; Fila, Kappa and others.
NAVY SEAL:
Navy seal is the official technical shoe of the Navy Seals. It was launched in 1962. NAVY SEAL footwear features an upper specially designed for navy-specific uses including wet conditions.
NAVY SEAL is flexible, breathable, lightweight, and odour resistant and machine washable. It also provides all-day comfort with a wide platform sole for stability that works well on uneven terrain.
NAVY SEAL is made of high quality materials that survive the toughest conditions on land and sea.
Allen Iverson:
Allen Iverson is known as one of the best basketball players in the history of the game. He played for several teams including; Philadelphia 76ers, Detroit Pistons, Memphis Grizzlies and more.
His jersey number is 40. He also won the NBA Rookie of the Year Award in 1996. Allen Iverson has collaborated with Reebok on several different occasions to design his shoes and apparel.
Allen Iverson shoes are popular among basketball lovers all over the world throughout his career until it ended in 2007.
Victoria Beckham:
Victoria Beckham is a popular name in the fashion industry. She is a renowned singer, songwriter and fashion designer.
She also has her own line of clothing called Poshmark. Victoria Beckham’s shoe brand Victoria was launched in 2002 by Reebok, a company she founded with husband David Beckham.
The brand is known for making high-quality shoes for women in terms of style and comfortability.
Kobe Bryant:
Kobe Bryant is one of the best basketball players in the history of the game.
Cardi B:
Cardi B is a popular name in the music industry. She is a rapper, songwriter and television personality.
Her music career started in 2009. In 2015, she released her first digital EP on Sound Cloud with help from Nicki Minaj’s record label.
She also collaborated with Tommy Hilfiger in 2016 to design a line of T-shirts, sweatshirts and hoodies for women under the ‘Tommy Hilfiger x Cardi B’ collection. The collection sold out in just one week.
6. Reebok Competitors
Reebok has many competitors who are trying to compete with their company to gain more profit. Reebok competes against;
Nike:
Nike makes athletic shoes and other athletic products for people to use when participating in sports or events.
They make money by selling their products to their consumers. Nike uses different marketing techniques to get their name out there and get more people who like sports to buy their products.
Nike is one of the biggest brands that compete with Reebok for dollars from corporations and consumers.
Adidas:
Adidas is a German company that makes and sells different kinds of clothing and footwear around the world today.
They have a wide variety of shoes available for people to buy. They also have a brand called Just Do It which is known for being one of the most popular in the world today.
Adidas uses different strategies to sell their products worldwide. They use print media, television, radio and the internet to get people to notice them and their products.
Under Armor:
Under Armour’s mission is to make all athletes better through passion, design and the relentless pursuit of innovation.
Under Armour is also known for making different kinds of clothing and sports equipment for many athletes all over the world. They also sponsor people and teams where they can sell their products to them.
Hanesbrands:
Hanesbrands is a company that sells athletic clothing and equipment to many people who like to work out and play sports.
Hanesbrands is well known for selling quality products to people all over the world because of their excellent customer service and fast shipping.
Their products are very good, because you can try them at home and see how comfortable they are before buying them.
PUMA:
Puma started as a small sneaker company and has grown to become one of the most popular brands in the world today.
They produce and sell clothing and footwear around the world. Puma is well known for making some of the most popular shoes and clothing in the world today.
They also sponsor many different athletes all over the world so they can use their knowledge to create better products for them.
7. SWOT Analysis of Reebok
· Strengths of Reebok
a) Fit: Reebok has a wide variety of shoes and clothing. They have athletes from around the world who wear them and they make money from the sales of their products throughout Europe, Asia and America. Reebok has a lot of different clothing for people to wear. They sell a variety of sports equipment to their clients as well to make sure they are doing their job correctly while playing sports or other physical activities.
b) Quality: Reebok is known for making high quality athletic shoes that last long and wear well. They provide comfort and support for athletes and regular people who like to exercise and work out often.
c) Efficiency: Reebok is efficient in the way they make their products. They make shoes and clothing for many different people from around the world. Their factories are known for making high quality shoes and clothing that people like to wear all the time, because of how comfortable they are.
d) Agency: Reebok is known for being one of the biggest athletic shoe companies in the world today. They have many different stores all over the world where you can buy their products. They have a lot of different athletes that wear their shoes for various different sporting events.
e) Discipline: Reebok has great discipline when it comes to keeping track of sales and numbers of their products so they can sell more products to their clients at a lower price to make sure they are making money.
f) Brand value: Reebok has a huge brand value worldwide. Many people like to buy their shoes and clothing every year because of how great they look and feel.
g) Advertising: Reebok is very well known around the world for making amazing athletic shoes and clothing. They advertise with many different mediums such as print media, television, radio and the internet to get their name out there as a company that makes high quality products that everyone likes to wear.
h) Global expansion: Reebok is a huge company around the world today. They have stores all over Europe, Asia and America where people can buy their products from highly trained staff members who know about the shoes they sell them.
· Weaknesses of Reebok
a) Competition: Reebok has many competitors around the world. Nike, Adidas, Under Armour and Puma are only a few of the competitors who are trying to get their name out there in order to gain more profit.
b) Research: Reebok needs to do more research when it comes to making their shoes and clothing for people who like working out and playing sports. They need to make sure that their products can help improve someone’s game while playing sports or doing physical activity because that is what they are known for selling.
c) Price: Reebok has a reputation for being one of the most expensive companies when it comes to athletic shoes and clothing. Reebok needs to work on lowering their prices in order to get more people from around the world to buy their products.
d)Innovation: Reebok needs to work on making new designs for their athletic shoes and clothing so people will want them more often throughout the year.
e) Sale: Reebok has a bad reputation for selling their products out quickly because of how many people want to buy them. They need to work on getting more products so they can sell them for longer throughout the year.
f) Reputation: Reebok is known for having many bad reviews all over the world for their products. They need to work on making people happy by lowering the number of negative reviews for their products online.
g) Quality: Reebok has a bad reputation for making cheap products that wear out fast and don’t last long at all. Many people complain about the quality of their products online as well as in stores.
h) Employees: Reebok needs to work on taking care of their employees who make the shoes and clothing for them. They need to make sure that they are well trained workers who know how to make high quality shoes and clothing so everyone likes to buy it more often throughout the year.
· Opportunities of Reebok
a) Expansion: Reebok is a huge company all over the world. They can expand in many different ways in the future. They can work with other parts of the world to make their shoes and clothing more popular within each part of the world.
b) Sales: Reebok needs to work on promoting their products more often throughout the year by getting more customers from around the world to buy them online and in stores.
c) Distribution: Reebok needs to make sure they distribute their products better throughout the world as well as within each country all over the world. They can work with different countries to make their products more popular around the world.
d) Marketing: Reebok needs to work on marketing their products better by targeting those who like to play sports and exercise a lot. They need to target areas where people work out a lot and also where they can find high quality sporting equipment for cheap prices as well.
e) Quality: Reebok needs to work on making sure they provide quality products for their customers. They need to make sure that the materials they use are all high quality so people will keep buying their shoes and clothing all year long.
f) Reputation: Reebok has a bad reputation for making bad products that last only a short amount of time before wearing out. They need to work on providing great products with high quality materials that people will want to buy over and over again.
g) Workers: Reebok has many different workers from around the world. They need to make sure they are trained to make high quality shoes and clothing for their customers all over the world.
h) Specialization: Reebok is a huge company that has many different types of shoes and clothing for everyone from around the world. They can specialize in different types of products that people will want to buy a lot more often throughout the year.
i) Research: Reebok needs to work on researching their products every year to make sure they are selling high quality goods all over the world. They need to work on making the materials they use better over time so they last longer without wearing out.
j) Advertising: Reebok has many great advertisements online and in stores with athletes that are famous for doing great with their shoes.
· Threats of Reebok
a) Competition: Reebok has many competitors all over the world selling similar types of products. They need to work on making their products better than the competition so people will want to buy them more often throughout the year.
b) Fluctuation of Currencies: Reebok has a bad reputation for having their prices change throughout the year. They need to work on making their products more affordable for people all over the world.
c) Downfall of Economy: Reebok has a bad reputation for selling products that are not worthy of buying. If they continue to sell low quality sporting goods they will soon have a bad reputation around the world. They need to make sure they make high quality products for their customers so people will want to buy them all year long.
d) Fake imitations of brands: Reebok has a bad reputation for selling products that look like other brands but they are not made to the same quality. They need to work on making their products better than the competition so people will want to buy them more often throughout the year.
e) Cannibalization: Reebok has a bad reputation for making many different types of shoes and clothing for everyone from around the world. They need to work on making their products more special so they won’t be as popular as the competition all over the world.
8. FAQs of Reebok
What is Reebok?
Reebok is a world-renowned company that specializes in athletic footwear and apparel. They are known for their high quality products such as shoes, clothing, and accessories.
The company was founded in 1895 when Paul A. Fireman purchased the German shoe maker Gebrüder Dassler Schuhfabrik from his former partner Adi Dassler.
Reebok produces around 1 billion shoes per year and in 2016 they reached $3 billion in sales globally with an estimated net income of $242 million.
What are the Strengths?
The Reebok International has a good brand image in the market which is not easily breakable by other competitors.
The strength of the brand name has contributed to its success in becoming one of the best sportswear companies.
What is the reasons for Reebok Success?
The Reebok’s remarkable success can be credited to the multitude of innovations that were made along the way.
The shoe started out as canvas uppers with elasticated panels but it did not remain this way for long thanks to its innovative design.
How do they appeal to customers?
Reebok has become one of the most successful global brands by appealing to their customers on a wide range of levels. The company focuses on different people who buy their products.
How Does Reebok Create Value for Customers?
Reebok is a unique brand when it comes to clothing and accessories in sports. They have many products that are different from other brands in the market.
This gives the company a unique identity in comparison with other brands.
How is Reebok different in International Markets?
Reebok International has a different business model when it comes to the production, distribution and sale of their products in international markets. To penetrate global markets, Reebok has followed the same business model that they use in America.
The company has created a large network of partnerships with sporting teams whose players are already established in America.
This has made it easier to sell their product in these countries since they are already familiar with the brands.
What is Reebok’s Competitive Advantage?
Reebok’s competitive advantage is its brand name recognition, popularity and the products they sell. The sales volume for Reebok is growing by 40% each year in the United States dollar.
The brand has an advantage because their products are usually worn by sports people that are at top of their game. The designs of their clothing products are also modern and trendy that hold up to the test of time.
How does Reebok target its market?
Reebok is targeting to young people who are interested in fitness, sports and entertainment. Sports shoes are popular among men and women of all ages because they are used for fitness activities like hiking, running or jogging.
Why Reebok Clothing?
Reebok clothing is different from other brands because it is simple, sleek and modern. The designs are usually attractive for all people to use in different fashion styles.
On the other hand, Reebok shoes are comfortable, light weight and they can be used for various sports.
What is Reebok’s International Expansion Strategy?
In order for the Reebok to expand globally, the company has developed a unique strategy.
The main elements of this strategy are reaching out to the people who are already familiar with the brand or to new people who are about to discover it.
How does Reebok compete in International Markets?
Reebok International has different strategies for expansion. To bring their products to these markets, they have partnered with other companies that are known for selling top class sports equipment.
The companies that they have partnered with include Adidas and Puma. Reebok is a popular brand in America and one of its most successful brands in the fashion industry.
Is Adidas owned by Reebok?
Adidas is a subsidiary of the Reebok Company, but there is no connection between them as they are two different companies. Adidas has been known as a supplier of sports apparel and accessories since the beginning.
What are Reebok’s Products?
Reebok has a number of different products that have been designed for sports and fitness. They have a wide range of shoes, clothing and accessories which include both men’s and women’s shoes, shirts, shorts and bags.
Why was Reebok founded?
The company was founded in 1895 by Joseph William Foster who started out with a small fish oil business. Later he expanded into selling sporting goods and eventually he decided to create his own brand of shoes.
What are the Adidas Company?
Adidas is one of the largest sporting goods companies that have headquarters in Germany. It has over 57,016 employees around the world that are dedicated to various sports.