Puma’s marketing mix (4P) and marketing strategy and tactics are founded on the goal of leading the sporting goods industry, especially through branding. The company’s marketing mix is similar to those of competitors that also rely on their high brand value to ensure the competitiveness and profitability of their shoes, apparel, sports equipment, and accessories. For example, Puma and many of its competitors focus their 4Ps (product, price, place, and promotion) on a sports lifestyle that encourages customers to adopt sportswear for regular use. With this marketing mix, Puma aggressively competes and uses a multinational distribution strategy to reach more customers and generate more sales despite competitive pressure.
Decisions for Puma’s marketing strategy and marketing mix respond to the respective marketing strategies and 4Ps of Nike, Adidas, Under Armour, ASICS, New Balance, and other competitors. These competitors aggressively innovate and market their sporting goods around the world. The resulting competitive situation imposes business challenges against Puma and requires an aggressive marketing strategy. Still, considering the significance of the brand and its value, brand development is seen as a fundamental factor that supports the success of this marketing mix in a highly competitive global market for sporting goods.
Product
Puma’s marketing mix includes products for athletes, sports enthusiasts, and casual users. Considering these target customers, this product mix promotes sports in people’s daily lives. The products in Puma’s marketing mix are categorized as follows:
- Shoes
- Clothes
- Sports equipment
- Accessories
Shoes are Puma’s main products, although the business has evolved to include many other products. The company’s marketing mix now includes clothing, equipment, and accessories that pertain to sports activities. For example, Puma has jerseys, swimwear, and other sportswear. The company has the potential to introduce and distribute other product types, but this marketing mix remains focused on sports, which is a common factor determining the product mix. This marketing mix’s focus on sports is based on Puma’s mission and vision, which aims to make the “sport lifestyle” brand a leader in the industry. This means that the business is expected to continue with this product mix revolving around sports and with a marketing strategy that links products to target customers’ interest in sports, especially popular ones. This marketing mix includes products and designs that reflect current trends in the target market, as defined through external factors impacting Puma and the industry.
Price in Puma’s 4Ps
Price points and ranges determine selling prices and sales revenues and affect demand for the company’s sporting goods. The following are the main pricing strategies included in Puma’s marketing mix:
- Market-oriented pricing strategy (main)
- Value-based pricing strategy (main)
- Premium pricing strategy
Puma’s footwear, apparel, equipment, and accessories are priced competitively against the products of other firms, such as Nike. This competitive pricing is based on the market-oriented pricing strategy included in Puma’s marketing mix. Market-oriented pricing sets the sporting goods company’s prices to match market conditions, including inflation, competition, and other factors. On the other hand, value-based pricing considers customer perception about the value of Puma products. For example, the company may set higher prices for some of its sneakers, based on market research indicating customers’ perception of the higher value of such products. Puma’s marketing mix also applies the premium pricing strategy for some of its products, such as limited-edition footwear. Premium pricing maximizes the company’s profit margins on its sporting goods. These prices are an outcome of Puma’s competitive strategy and growth strategies, which set goals for product quality and uniqueness while supporting competitive prices. The related marketing strategy applies the most suitable prices while the company monitors trends in the sporting goods market. The SWOT analysis of Puma indicates business core competencies and competitive advantages that support competitive prices and premium pricing in this 4P, based on investments for product innovation and quality.
Place
Puma’s marketing mix uses a multichannel strategy for reaching target customers. This distribution strategy exploits available distribution options for an international market reach. Puma’s 4Ps include the following places:
- Authorized resellers, distributors, outlets, and stores
- Company-owned Puma stores (brick-and-mortar)
- Puma e-commerce websites and apps
- Third-party websites and apps
Authorized resellers, distributors, and outlets are among the most visible and easily accessible places for purchasing Puma products. Many of these places intersect with the population of target customers in strategic locations with high foot traffic. The company’s marketing mix also involves its own stores to complement existing locations owned by business partners. Aside from these brick-and-mortar operations, Puma relies on online sales through its own e-commerce websites and apps, as well as third-party websites and apps that facilitate sales and deliveries. This online component of the marketing mix complements the company’s brick-and-mortar places for product distribution. Puma’s marketing strategy ensures reaching target customers who prefer online shopping to brick-and-mortar transactions. These places help the company effectively compete against other manufacturers and sellers of sporting goods. Changes in these places and the distribution approach for this marketing mix may correspond to developments in Puma’s business structure (company structure).
Promotion in Puma’s Marketing Mix
Promotion in this 4P plays a major role in reinforcing market presence, brand strength, and sales performance in the sporting goods industry. The following promotional activities are included in Puma’s marketing mix:
- Advertising (main)
- Sales promotion
- Public relations
Puma’s advertising campaigns are the most prominent promotional activity in this marketing mix. Advertising strengthens the company’s presence against other sporting goods firms that also aggressively advertise. On the other hand, Puma’s sales promotion involves special and occasional offers, as well as discounts applied to some products to encourage sales and inventory turnover. This marketing mix also includes public relations for building the sporting goods brand and its corporate image. As a part of Puma’s promotional mix, public relations aim for the corporate citizenship goals of the business. Considering its marketing strategy, the company actively promotes itself as a responsible business that has various programs for sustainability. These programs are part of the public relations used in this marketing mix and relate to Puma’s CSR/ESG strategy for sustainability and other stakeholder interests.
References
- All Puma Locations.
- Malik, R. (2023). Culture and Its Influence on Elements of Marketing Mix. In Cultural Marketing and Metaverse for Consumer Engagement (pp. 123-130). IGI Global.
- Orunbayev, A. (2023). Globalization and sports industry. American Journal of Social Sciences and Humanity Research, 3(11), 164-182.
- Puma – Shop All Sale.
- Puma Marketing.
- Wang, X. S., Bendle, N., & Pan, Y. (2024). Beyond text: Marketing strategy in a world turned upside down. Journal of the Academy of Marketing Science, 1-16.