Report Vans

RIA KARAVADRA ELINA IVANOVA HANNAH MURFIN ANDREA LAGMAY
100462477 HRISTOVA 100458651 100493439
100486630

REPORT
MANAGING THE BRAND
4MK513
Business school

Spring 2019



3

45-54 year old
customers said
they brought skate
shoes from a dif-
ferent brand be-
cause of the style.

Most brands try to still target
the younger target audience
rather than the older audience.

INTRODUCTION

Vans is targeted towards young people that enjoy skateboarding and other activities like this. However,
it’s becoming a more popular brand for everyday use. To improve this brand we will need to make the
brand more accessible to everyone without losing the vision and the idea behind the brand. From this,
we have decided to expand the age demographics of Vans.
We looked at the market of which Vans sells their products and saw that people in the market brought
them for more casual usage than sport and outdoor sports. For example, from an article from Mintel,
a customer aged 45-54 year old said they brought skate shoes from a different brand not to skate in
but for the style. Most brands still try to target the younger target audience in the market rather than
the older age demographic (Mintel, 2018).
The graph (paragraph below) shows evidence that trainers and sports shoes were used for casual wear
rather than for sports activities.

This is the justification of how the brand can be more for everyday use as well as its competitors.
(Mintel, 2018)

5

SWOT

SWOT is a management aid
that is used to help plan the
marketing of a business. It
looks at the strengths and
weaknesses of the brand (this
is for the internal environ-
ment) and threats and oppor-
tunities of the external envi-
ronment. These threats and
opportunities are taken from
the PEST analysis which is
done beforehand (Masterson
and Pickton, 2014).

STRENGTHS THREATS
As they have been since 66’, they have made a good Competition from brands like JD and Adidas are a threat
name for themselves, considered the ‘originals’, one of to the business in terms of price and trends in the
the first skate/independent lifestyle shoes. current market.
They have a wide variety of colors, patterns, and styles Competitors like Nike, Converse, Adidas, and Puma are
for their shoes. also a threat due to similarity and loyalties within the
Their brand connects with a broad range of individuals. market.
Have a pretty good hold on the Californian skate/surf/ The threat of small or other businesses making fake
beach lifestyle. versions of their products and selling them for a much
Their brand extends into several other areas such as lower price meaning they cannot beat them due to their
apparel, music festivals, house parties, and other events profit margins is also a big problem for Vans.
and collaborations (Ahmanns Images, 2019) 76% of people asked from a source said they wouldn’t
be likely to buy products from a brand if they were
WEAKNESSES linked with the use of counterfeit versions of the prod-
Unsuccessful Repositioning. Vans has been trying hard ucts (Incopro, 2019)
to move from a skateboarding shoemaker to an every- OPPORTUNITIES
day lifestyle brand. The main reason for its unsuccessful To appeal to an older age group
repositioning is the confusion of their slogan “off the (Mintel, 2018)
walls” being synonymous. To collaborate with other brands e.g. how they collabo-
Has the inability to penetrate successfully in emerging rated with Disney, Therefore they can collaborate with
markets, especially since market leaders like Nike and brands like Dr. Scholl
Adidas have a stronger presence. They can diversify into another segment e.g. currently
High costs. Since their target audience is small, there- they sell clothes for people so they could go into the
fore their focus is more of value than volume. market of selling clothes for dogs.
(Bhasin, 2019)
6

PEST

PEST factors stand for political,
economic, social and technologi-
cal and are the factors that look
at the Macro Environment. It is
the best-known model for this
type of analysis and is used to
analyze environmental data such
as trends, opportunities, and
threats. PEST can also be used
to help and support any market-
ing decisions that might be used
in the marketing of a product(s)
(Masterson and Pickton, 2014).

POLITICAL SOCIAL
Very few sporting events to be able to attract more Vans is popular in the skate, surf, music scene, and ev-
customers. eryday use
Foreign direct investment policies. There are some poli- .Vans has been in the market since the 60's, and his
cies which prohibit full ownership of retail stores. original product probably is not going to change.
Currency exposure risk. They are a very popular fashion statement with the
Competitive tax system internationally. younger crowd and have a large demographic with men
Recent merger with Adidas and Reebok. and women.
ECONOMIC Vans are known for their cool and fun advertising cam-
The state of the economy will affect Vans in many dif- paigns that show an attractive young lifestyle.
ferent ways. (Ahmanns Images, 2019)
For example employment rates,inflation( causing the
price to increase for the goods), and interest rates ( TECHNOLOGICAL
high interest rates isn’t good for bank loan repayments. The brand is aimed at 18-28, people aged this age use
The state of economy will also be affected by a reces- social media a lot and are exposed to advertisements
sion because of low spending and customer confidence. on there which means that VANS can use it to promote
This is because people will be short in money they may their products.
not be able to afford shoes as it is a luxury item there- Technology can also be used to make their products -
fore the company will need to promote their brand effec- mass production
tively in order to get people to buy them. Currently they use sites like youtube, to promote their
And because of this the business will need to reduce its brand e.g. how it’s a skater brand they have made a
costs ( for example reduce wages) short film in which their products are used.
(Economicshelp.org, 2019) There have been lots of technology changes in the shoe
market for example 3D printing and AR. Other develops
in the near future could have an effect again on this
market. (Footwear, 2019)

7

THE MARKET

"There's a lengthy heritage around California
lifestyle. Most people who buy Vans don't have a
clue about how to skateboard." Doug Palladini.
Vans' global brand president, said that the shoes
weren't just for teens and people in their twenties
in the United States. Sales in Europe and Asia are
growing, and older shoppers want a piece of Vans'
youthful look.

Vans is known for having an exciting personal- The market has a lot of offerings for all types
ity mixed with a bit of ruggedness. From what of consumers. Vans have shown this over
we have found out from research is that the the years with increased sales from 2009. In
brand has concentrated more on “ the glue 2009 their sales went up by 5% and in 2016
rather than the heritage”(Roderick, 2016). the sales increased by another 6% (Fortune,
What we take from this is that Vans try and 2019). At the moment Vans are dominating
keep with the customers' interests rather than more of the teenage market rather than what
their own ideas of the brand. This links with we are aiming to achieve. A survey called the
the chart on our justification because custom- “Taking Stock With Teens" survey found that
ers (between the age of 45-54) from other in 2018 Vans had the quickest growth in pop-
brands are buying skateboard type shoes but ularity since a research study started in the
aren’t actually using them for that particle pur- 2000’s”.(Business Insider, 2019)
pose. This is what we want Vans to offer their
customers as well.
When asked in an interview the global presi-
dent of the brand says that the brand has the
capability of being “cool with everyone”(Busi-
ness Insider, 2019).This links in with the cus-
tomer’s needs.If the brand is able to be ‘cool
with everyone’ than Vans need to make sure
that they are targeting everyone who wants
that type of shoe, no matter what the reason-
ing is behind the buyer's decision.

8

Targeting and Segmentation

Perception maps are maps that look at where a brand is placed in the eyes of an individual or customer. They help
the business see what the customers sees them as and where they are positioned in comparison to the competi-
tion (Masterson and Pickton, 2014).
These maps show a perception of where we believe Vans fits within the market against it ’s main competitors like
Converse and Adidas.

Map 1 -price vs quality
The first chart on the left is a posi-
tioning chart that looks at the brand
in terms of quality and price.
Map 2 - activity vs age
The second chart on the right is a
positioning chart that looks at the
age of the person buying the brand
versus the activity that the brand is
used for ( casual vs sport).

COMPETITORS

9

Positioning

Positioning is the place within the market that the consumer sees the product or
brand is in in terms of other brands (their competitors).(Masterson and Pickton,
2014). To explain the positioning within the brand in the best way is to use the
4 C's of positioning. They are:

Clarity - This means ensuring that the brands strategy Credibility - The idea is already credible in the cus-

is clear and simple so that it can therefore be delivered to tomers mind as from the research it was found that people
the audience effectively. Vans’ new brand strategy is very aged 45-54 are wanting to buy skater shoes for everyday
simple as it will target a clearly defined market of people use and comfort. Therefore we know that there is a market
aged 45-54, already existing products. and a purpose for this brand strategy.

Consistency - In order to make the message that Competitiveness - This idea has competitive edge

it being delivered consistent Vans will make sure that the in comparison to its competitors as they are not specifically
shoes are advertised through platforms which the target targeting people of this age. Whereas if we target them di-
market will be able to see e.g. Facebook, billboards and rectly it will give them a sense of appreciation and will make
magazines. This will create an interest within the audience them feel like they mean something to the brand and are
resulting in them having the desire to buy the shoe, there- significant. This will then conclude in them purchasing shoes
fore the sales for Vans will increase. from Vans.

OUR NEW BRAND STRATEGY

Our idea
We will be making use of current designs but immersing it with adjustments fit
for when we re-market it to our new target audience. Mainly our new branding will
have more focus on casual comfort wear in comparison to the original skater-street
style brand look.
Therefore not only will changes be made to the product but the logo included.
From of ‘Vans off the walls’ re-branded to as ‘Vans comfort’. By doing this we
hope to reach out to a wide range of customers in the market.
Our new logo

C OM FOR T

Prototype of
new

Vans Comfort

Ansoff’s Matrix

THE REASONING BEHIND
We chose market development as a brand strategy because Vans has
established its brand by how they interact with their audiences. Vans has
shown already that they are able to be more than an “ action-sport only
brand“(Taylor+Goes, 2019) and that they rather work on the “glue rath-
er than its heritage (Roderick (2016)” From this we knew we wanted to
expand the market of where Vans sits and our justification of this brand
strategy supports this.

NEW POSITIONING MAPS

Positioning map 1
The red block is where we think our new
brand strategy fits within the two variables
of age and activity. Our product will fit an
older age demographic and is fit for casual
purpose. This is also a good place to fit Vans
Comfort due to the fact that there is a gap
in the map.

Positioning map 2
The red block is where we think our
new brand strategy fits within the
two variables of price and quality.
Our product will be of high quality
and is of a good price. This is also
a good place to fit Vans Comfort
due to the fact that there is a gap
in the map.

11

customer

Vans actual customer
persona 1

FEMALE • AGED 17 • USA
Normally buys skateboarding because are com-
fortable for day use and fashionable.
Likes to try different styles however is influenced
by Californian - Surf style .
Verry interested in following the trends of that
current time of purchase.
Wants easy access to the shoes via the website
or by store.
Prefers to shop in store for more of personalised
shopping experience, however, prefers to explore
all the models online and personalize.
Has social media accounts and mostly use Insta-
gram and Youtube tutorials.

New customer
personas 1

FEMALE • AGED 45 • USA
Normally buys skateboarding shoes but for casual
wear.
Likes to try different styles.
Not interested in following the trends of that
current time of purchase.
Wants easy access to the shoes via the website
or by store.
Prefers to shop in store for more of personalised
shopping experience.
Not into social media so needs to be interested in
other types of advertising and promoting.

r persona

Vans actual customer
persona 2

MALE • AGED 17 • UK
Buys skateboarding shoes for casual wear.
Likes good stable shoes and modern fashion
styles.
Likes the brand and his friends wear them.
Feels to be cool.
Do not have preferences on color.
Wants easy access to the product via a website
and in a store.
Prefers to shop online due to easy access.
Has social media accounts and mostly use Insta-
gram and Youtube tutorials.

New customer
personas 2

MALE • AGED 45 • UK
Normally buys skateboarding shoes but for ca-
sual wear.
Likes simplistic styles.
Likes the brand and has worn it previously.
Feels like some of the shoes are for teens.
And wants something more directed at him.
Wants easy access to the shoes via a website
or in a store.
Prefers to shop online due to easy access.
Has social media accounts but isn't drawn to
websites and products by the adverts on there.

13

New marketing mix

PRODUCT another source of promotion to reach that segmentation
The quality of our products will not have any drastic chang- off our audience. For example magazines. For the women of
es. We will be focusing on retargeting it to new customers. our new target audience, we could put promotional material
This means designs may undergo slight adjustments to fit in Woman’s Weekly for example. This is because their main
into the requirements of our new target audience. We en- age demographic are women over 35 years old (Statista,
vision this design to revolve around our new branding logo 2019). This magazine is aimed at mature women who love
‘Vans comfort’. the style and to shop (BRAND-woman's weekly, 2019). For
PRICE the men of our target audience, the magazine that we will
At the start of this new branding strategy, the prices of promote it will be National Geographic with their reader’s
the products will not have any increase or decrease in lev- age average being 45 years old (Anon, 2018), or Esquire
el. We will keep the same product cost, from £27 (Vans and Men’s Health, one of the top read magazine betwen
UK, 2019) and if the steady success of the new branding men’s of 40 years old, (Cision, 2019).
occurs prices may vary depending. PLACE
PROMOTION We will be keeping the accessibility open to all current and
Our new target audience may have different means of being newer customers. Our products will be sold both online and
reached, compared to Van’s current customers. Age demo- store. Other retailers selling our brand will need to ensure
graphics needs to be considered in order for the promotion they also show our new collection of products. As well as
to be successfully executed to them. 65% of people aged this, we had an idea of put this new brand strategy into Dr.
50-64 have a facebook account (Target Internet, 2019) Scholl stores due to their age demographic fitting with ours
therefore traditional methods of advertising may be needed. ( with most of their customers being between the ages of
From this, we also see that not all our target audience has 45 and 65+ (Snapshot.numerator.com, 2019).
social media accounts which means that we need to find

To conclude…

In summary, we wanted to target a new market for Vans
and through research and development, we have found
that brands like Vans are worn for more of a casual use
than sports. This new brand strategy supports our idea
and the market that vans are in. From research, we also
found that people of our new age demographic brought
products like Vans due to the style and not the pur-
pose. From we created a new perception map and inserted
where we think Vans Comfort would sit with this.

References

Anon, (2018). [ebook] National Geographic, p.5. Available at: https://www.nationalgeo-
graphic.com/mediakit/assets/img/downloads/2018/NGT_2018_Media_Kit.pdf [Accessed 5
May 2019].
Ahmanns Images. (2019). Vans Marketing Pt.2. [online] Available at: http://www.ahmann-
simages.com/blog/2015/3/6/vans-marketing-pt2 [Accessed 8 Mar. 2019].
Bhasin, H. (2019). SWOT analysis of Vans - Vans SWOT analysis Explain. [online] Market-
ing91. Available at: https://www.marketing91.com/swot-analysis-of-vans/ [Accessed 21 Mar.
2019].
Business Insider. (2019). How Vans went from a SoCal skater brand to a global icon that
teens love. [online] Available at: https://www.businessinsider.com/vans-popular-with-teens-
2017-11?r=US&IR=T [Accessed 8 Mar. 2019].
BRAND-woman's weekly. (2019). [ebook] timeinc. Available at: https://www.ti-media.com//
wp-content/uploads/2015/08/Womans-Weekly.pdf [Accessed 5 May 2019].
Fortune. (2019). http://fortune.com. [online] Available at: http://fortune.com/2017/03/31/
vans-vfc/ [Accessed 8 Mar. 2019].
Incopro. (2019). INCOPRO | How counterfeit goods are destroying brand reputation.
[online] Available at:https://www.incoproip.com/blog/how-counterfeit-goods-de-
stroy-brand-reputation [Accessed 5 Mar. 2019]. Masterson, R. and Pickton, D. (2014). Mar-
keting an introduction. 3rd ed. SAGE, pp.59-61.
Masterson, R. and Pickton, D. (2014). Marketing an introduction. 3rd ed. SAGE, pp.85-87
Masterson, R. and Pickton, D. (2014). Marketing an introduction. 3rd ed. SAGE, p.146.
Mintel (2019). Sports & Outside Fashion. [online] Available at: http://academic.mintel.com.
ezproxy.derby.ac.uk/display/935390/?highlight [Accessed 10 Apr. 2019].
Roderick, L. (2016) ‘Vans: “We’re not just a shoe company”’, Marketing Week (Online
Edition), p. 1. Available at: http://ezproxy.derby.ac.uk/login?url=http://search.ebscohost.
com.ezproxy.derby.ac.uk/login.aspx?direct=true&db=bth&AN=114000599&site=ehost-live
(Accessed: 14 March 2019).
Snapshot.numerator.com. (2019). Dr Scholl's Demographics and Consumer Insights | Nu-
merator. [online] Available at: http://snapshot.numerator.com/brand/dr_scholls [Accessed 6
May 2019].
Statista. (2019). Woman's Weekly: monthly reach by demographic UK 2017 | Statistic.
[online] Available at: https://www.statista.com/statistics/410447/woman-s-weekly-monthly-
reach-by-demographic-uk/ [Accessed 5 May 2019].
Taylor+Goes. (2019). Living Off The Wall: What Can be Learnt From Vans?. [online] Avail-
able at: https://www.taylorandgoes.com/2014/10/21/learnt-vans/ [Accessed 14 Apr. 2019].

16