International Marketing Strategy Keen Footwear

The Keen Team:Patrick AntalAlexa LicataStephanie RoupeJennifer Walker

Global Marketing Plan

Agenda

I. Introduction & OverviewII. Marketing ObjectivesIII. Target MarketIV. Position & StrategyV. Sustainable Marketing IssuesVI. Marketing Mix:• Product• Price• Distribution• Promotion

VII. Questions

Introduction & OverviewBrand Values = hybrid innovation1. Create & Innovate• KEEN is committed to innovation in all things when designing footwear, developing

packaging and creating environments.

2. Play• Redefining the Outdoors as a global community - KEEN products are designed to

enhance every outdoor adventure.

3. Care – Hybrid.Care Program.• A company with a conscience, strives to make a positive difference, give back to the greater community and care for the environment

* Believe in the power of a brand to inspire others to create positive change in the world we live in.

Corporate Video

Marketing Objectives1. Increase brand awareness by 15% in Mumbi, India by end of fiscal year 2012.• Develop a global/localized website www.keenfootwear.com/india. • Promote corporate social responsibility efforts, specifically the Hybrid.Care

strategy.

2. Increase market share by 4% and penetration by 5 retail outlets during fiscal 2012.• Specifically introduce the Trailhead, Boulevard, and Waterfront lines.

3. Develop Keen-India information and distribution website by 2012 in order to drive online sales in keeping with its business model.

Some Metrics to measure success:• Unique Web Visitors per month = 80k• Paid search and display Clickthrough Rate (CTR) .1%, which is the industry standard.• Total followers on Facebook (India) from 0 – 150k.

4. Long-term sustainable goal: Use local resources to produce and manufacture shoes and create more jobs.

Target Market Analysis

Factor Weight % S. America – Rio de Janeiro, Brazil

India – Mumbai, Maharashtra

GDP 25% $1,594,489,675,024 $1,377,264,718,251

Political/Legal Stability 20% 17.9% 18.2%

Poverty Ratio 15% 21.4% 27.5%

Infrastructure 25% - +

Services/Urban Development 15% 87% 54% (all of India)

SUM 100% Better Overall

Target Market

Culture• Liberal, open minded.• Urban blend of Indian and Western cultures.• “The city that never sleeps.”• Hard-working, affluent, educated emerging middle class.

Geographic Distribution• “The Island City” along Arabian Sea Coast.• Tropical climate, few seasons.• Suffers inversions smog pollution.

Services• Adequate utility services, banks, restaurants, malls,

multiplexes and other shops in Navi Mumbai. • Few 3 and 5 star hotels, growing with International Airport.

Mumbai, India - Maharashtra

Target Market

InfrastructureInternal Transportation• Overcrowded Central and Western Railway suburban network.• BEST buses.• Yellow and black metered taxis.• 3 wheeled Auto rickshaws in the suburbs.• Ferry services to Uran, JNPT and Alibag.• Abandoned services:

o Trams, hovercraft, helicopters (noise pollution).

External Transportation• International Airport: Chatrapati Shivaji International

Airport• Domestic Airport: Santacruz Airport.• Major shipping ports: Mumbai Port Trust and Jawaharlal Nehru Port Trust.

Mumbai, India - Maharashtra

Position & Strategy

Keep KEEN’s core Strategy:Creating possibilities and expressing visions of what is possible; playing outside and reimagining the outdoors as any place without a ceiling; caring for the environment and engaging with causes that make a positive difference. Create, play and care. It's a way of life.

MARKET ENTRY:Direct exporting distribution alliances with local logistic and distributing firms.

Direct Internet Sales and Retailing and Partnerships.

Target Audience

Wealthy Middle Class and Urban Youth

• Population: 12.5 million.

• Buying Power: wealthiest city in India, the highest

Gross Domestic Product of any city in South, West

or Central Asia.

• Culture: 16 major languages, primarily Hindu and

Muslim Population.

• Age Distribution: Average age will be 29 in 2020.

• Trend: Movement from traditional culture towesternized individualistic.

Psychographics• Diverse country with several value systems.

• Shift from saving to spending economy with growing, educated middle class youth.

• Transition from traditional to individualistic.

• Quest for “premiumization.”

• Focus on more Western concepts.

• Brand conscious and wealthy middle class.

• Indulge in new experiences and new products.

• More value-conscious than price cautious; considered indulgent.

Positioning Grid & Competition

Barriers to Market Entry

• Foreign Direct Investment.

• Licensing Restrictions.

• Shortage of Retail Infrastructure.

• Indian bureaucracy.

• Indian custom duties.

• Trade Barriers.

• Competition.

Sustainable Marketing Issues

Hybrid.Care Inspired by the 2004 Tsunami.

Dedicate time and resources to social and environmental organizations.

Commitment to volunteerism, supporting local communities, and embracing corporate social responsibility.

$4.5 million in contributions to date.

India – How Can we Help?

2nd largest population, at 1.2 billion.

Expected to hit 1.8 billion by 2050.

Estimated that 65% of the countries land is degraded in some form.

Could pose as a serious ecological and social health issue.

Pollution

Sustainable Marketing Issues

Poverty

India – How Can we Help?

35% of India’s population live below the poverty line.

Lack of productivity and employment programs.

Programs exist to help, but organization and funding is limited.

Growth is felt by few.

Sustainable Marketing Issues

Illness

India – How Can we Help?

Leader in advancements in medical technology, but few benefit.

Weak healthcare infrastructure.

Carry 10% of the worlds AIDs burden.

Many rural towns have limited access to basic medical necessities.

Sustainable Marketing Issues

Sustainable Marketing Issues

What does this mean for our partners?

Sustainable Marketing Issues

Marketing Mix

Product

Men’s Newport H2

Women’s Emerald City Slide

• Innovation and Insight.• Pioneering and Passion.• Creativity and Collaboration.• Protection and Breathability.• Comfort and Durability.• Style and Functionality.

Product

Product

Men’s StylesWomen’s Styles

Price

Men’s Styles Women’s Styles

Distribution

Distribution

• Global localization strategy – “glocalization.”

• Target Distribution by opening 5 retail stores in 3 suburbs:

o South Mumbaio Central Suburbso Western Suburbs

• Website: www.keenfootwear.com/india.

• Partner with UPS.

Promotion

Hoardings (AKA Billboards)

Promotion

Marketing Objectives

1. Increase brand awareness of existing shoe lines by 15%.

2. Increase market share by 4% and penetration by 5 retail outlets during fiscal 2012.

3. Develop Keen-India information and distribution website by 2012.

4. Long-term sustainable goal: Use local resources to produce and manufacture shoes and create more jobs.