The marketing plan brand
The marketing plan brand is distributed selectively because it focuses only on cheap retailers. Therefore, the Under Armour brand will remain at risk because of the poor brand distribution decisions. This can be compared to Reebok, which went under the same situation during its downfall. As a result of poor management, the company has greater chances of shedding market cap in advertising with lesser retailers than other successful companies such as Nike. However, to mitigate this risk, the company can invest more in advertising to ensure the products have reached the target market hence changing the company’s marketing plan brand to be distributed intensively.
The primary distribution method is direct because the company is focused on delivering its products to cheap retailers. For instance, Poser presents #11 price target to its retailers for products. as a result of this, a 31% downside is presented, which means it has to change the distribution approach to rescue the company from falling and reach a more significant market to increase sales and revenue. Additionally, the company’s specifics for its brand’s distribution is through selling the brand at cheap retailers. This is very risky for the progress of the company. For instance, when the company is likened to Reebok, its stock chances of falling by 30% are very high. Therefore, it has to stop advertising at lower-priced retailers such as DSW and Kohls for its brand success.
Better sports retailers are regarded as the soul of Under Armour’s long-term opportunities for profitability growth. Still, the opening of distribution to retailers such as Famous, DSW, and Kohl’s was responsible for changing the company’s perception. The perception was not for the better but to lay a risk of failure in the company’s future operations.