Can the white cat shine again? The Puma case Antoniya Pavlova Johan Lehmann Luis Ibbeken

1st of September, 2013 New CEO Björn Gulden prepares for an executive meeting Puma brand is facing a situation of decline: Sales have stagnated Low brand heat Profits plummeted 85% in 2012 Gulden contemplates Puma’s brand identity, heritage and positioning

Background Puma has its roots in “Dassler Brothers Sports Shoe Company” founded 1924 in Germany Rivalry between brothers Adi and Rudi Dassler leads to split Rudi founded Puma in 1948, Adi forms Adidas

Positioning Eras of Puma First Era (1948 - 1960) - Best in Soccer Second Era (1960 - 1970) - Going for the Gold Third Era (1970 - 1986) – Beyond the playing field Fourth Era (1986 - 1997) – Trying to keep pace Fifth Era (1997 - 2013) – Initial success and later stagnation

Fifth Era: Success and stagnation (1997-2013) Strategy: Multi-category Sports, lifestyle and fashion Target group: Anyone with an active lifestyle Value proposition: Delivering products for an active lifestyle Differentiation: Style Celebrity product lines and fashion designers Brand perception: Elegant, edgy, colorful and fresh

Current situation (2013) Puma distant third behind Adidas and Nike

Current situation Puma board appoints new CEO Björn Gulden Hired with the goal of turning the company around Analysts criticize the multi-category strategy of Puma Puma is missing a clear brand identity Gulden calls an executive meeting at Puma

Managerial Question “What should be the brand identity of the Puma brand in the next – Sixth Era?”

“To be the Fastest Sports Brand in the World” Management decisions New mission: “To be the Fastest Sports Brand in the World”

Management decisions Reposition Puma as the Fastest Sports Brand in the world and create brand heat New core values: brave, confident, determined and joyful Reactivating heritage Develop the women segment Switching from market-oriented to brand-oriented perspective

Managerial desicions Brand communication Brand ambassadors: Usain Bolt, Mario Balotelli, Asafa Powell and Rihanna Long-term sports partnerships: Arsenal F.C., the Czech Republic Football Association, Infiniti Red Bull Racing Formula One Team and etc. New advertising company to have a united “Forever Faster” slogan

Advertising https://www.youtube.com/watch?v=AC3slFbgMyw

Evaluation of decisions Discussion Evaluation of decisions