Running head: ADIDAS TIMELINE AND BUDGET ANALYSIS
ADIDAS TIMELINE AND BUDGET ANALYSIS
Adidas Timeline And Budget Analysis
Available budget. About 14% of sales revenue from the previous fiscal year will be utilized for the marketing budget. The sales revenue generated in 2021 was $25.12 billion, therefore, the marketing budget is $3.51 billion or thereabout (Abhijeet Pratap, 2022).
Timeline. The marketing campaign is set to run for the entirety of the year. Adidas has releases scheduled throughout the year and marketing should be consistent to create brand awareness (“Upcoming Sneaker & Clothing Release Dates | Adidas US,” 2022).
Positioning. Given the variety of release dates for different products, the go-live dates are determined by Adidas’s release calendar. Ideally, marketing campaigns should go live before product releases so as to increase customer awareness and attract and engage with new customers. The vendor selection criterion is to be based on the vendor’s ability to adhere to the release calendar.
Marketing focus. Adidas’s activity as a brand drives 65% of sales. Paid media is the primary marketing focus given that it generates the highest amount of leads for the organization. Besides that, customer relationship management, SEO optimization, pay-per-click (PPC) advertisement and social media campaigns are also a big focus within the organization.
Budget allocation. The budget will be split across Adidas’s digital and traditional marketing vendors. A 70-20-10 split will be adopted. 70% of the budget will be allocated to the strategies that are working well for the organization, 20% to strategies that will help facilitate further growth, and 10% to new experimental strategies.
In regards to payment, the vendors will be compensated monthly as follows, SEO optimizers will receive $1500, PPC advertisers will receive $2000-$55000 depending on the traffic generated, and social media marketers $5000-$10000 depending on their reach. The cost of co-branding campaigns will be determined by negotiations with the partner brands.
Abhijeet Pratap. (2022, April 28). Adidas marketing and point of sale expenses. Retrieved from Financial Data & stats – Statstic website: https://statstic.com/adidas-marketing-and-point-of-sale-expenses/
Upcoming Sneaker & Clothing Release Dates | adidas US. (2022). Retrieved from adidas US website: https://www.adidas.com/us/release-dates