(Mock) Adidas Pop-Up Shop by Alexis Atkins

ADIDAS WOMENâ&#x20AC;&#x2122;S POP-UP SHOP PROPOSAL 1

CONTENTS EXECUTIVE SUMMARY SUMMARY /// 05

EXECUTIVE SUMMARY SUMMARY /// 04

COMPANY OVERVIEW

HISTORY /// 08

OWNERSHIP STRUCTURE /// 09

CORPORATE STRUCTURE /// 09

CURRENT REVENUE /// 11

FUTURE GROWTH PLANS /// 11

MISSION STATEMENT /// 12-13

COMPANY PROFILE

COMPANY PROFILE /// 16

BRAND IDENTITY MATRIX /// 17

MARKET ANALYSIS

CURRENT POSITIONING/// 20

CURRENT DISTRIBUTION /// 21

CURRENT DISTRIBUTION /// 21 COMMUNICATION & PROMOTION /// 22 EXISTING BUSINESS MODEL /// 24

COMMUNICATION & PROMOTION /// 22 EXISTING BUSINESS MODEL /// 24 SWOT ANALYSIS /// 25

SWOT ANALYSIS /// 25

WORKS CITED WORKS CITED /// 26

WORKS CITED WORKS CITED /// 26 2

\\\

executive summary The following pop up shop concept was developed by Alexis Atkins and Anna Suhr for Professor Alessandro Cannata’s course Retail Management at Savannah College of Art and Design. This proposal was produced for Adidas and their Women’s division in order to create brand awareness, reach new customers, do research/test a new market or product, and generate revenue. The intention is to creatively apply retail management techniques and issues explored in the Retail Management course through the execution of the pop up shop. In conjunction with Adidas’ expansion motives, the location of the pop up shop will take place in London, England. Adidas expressed interest in expansion in the United States, United Kingdom and France. We believe that London’s vibrant culture and youthful rebellion aligns with the creative heritage of Adidas. With feminist intention, UK pride, and athletic empowerment, we believe the Adidas London Pop Up Shop will be a success for both the brand and the city. 4

history taking it all the way to the creator himself “adi” dassler

1900-1949

1949

1954

Dassler’s mission to provide with the best equipment possible begins in Bavaria, Germany.

Dassler starts over with 47 employees to create the Adidas signature three striped shoe.

The iconic screw-in studs on the Adidas cleats help Germany beat Hungary in the 1954 World Cup.

1967

1968-1970

1970

Franz Beckenbauer Tracksuit becomes the first apparel piece for Adidas

Dassler spends time meeting with athletes to see what the need most to succeed in sports.

Delivered the official for the 1970 FIFA World Cup and has provided the official match ball ever since.

1972

1986

2016

Adidas introduces the new trefoil logo symbolizing performance as the Olympic Games kick off in Munich.

Run-DMC releases their classic hit “my adidas” creating a new relationship between arts and sports.

Adidas continues to innovate performance wear discovering new technology with the same classic flare.

ownership structure who runs adidas? The Adidas Group has been apart of the apparel industry for decades now, so naturally they are a publicly traded company through XETRA Exchange (ETR:ADS). The Adidas Group is horizontally integrated allowing them to have minimal power over the quality of their products. The namesake of the brand, Adidas is owned by the Adidas Group. In addition to Adidas, the parent company owns more iconic brands like Reebok, TaylorMade, and CCM Hockey. All of these elements enable Adidas to strive for their goal to bring new innovation to the future.

corporate structure

HERBERT HAINER CHIEF EXECUTIVE OFFICER

ROLAND AUSCHEL GLOBAL SALES

GLENN BENNETT GLOBAL OPERATIONS

ERIC LIEDTKE GLOBAL BRANDS

KASPER RORSTED EXECUTIVE BOARD MEMBER 6

ROBIN J. STALKER CHIEF FINANCIAL OFFICER

swot analysis strength test

strengths •

weaknesses

Huge global brand presence

• Has multiple social media account for each project Adidas is working on

• Has high profile collaborations that help increase brand awareness •

•

93% of their labor is outsourced

Diverse product assortment

• Ranking Number 2 in the athletic apparel industry •

Strong financial status

opportunities •

threats

To create new innovating technology

• Other leading competitors in the athletic industry

• To create an Adidas lifestyle that incorporates both their values and apparel as a seamless unit

• Production of knock-off merchandise from low-quality manufacturers

• Making the brand too inaccessible because their new technology increases the price of their products

brand identity matrix who are we?

BRAND-AS-A-PRODUCT

BRAND-AS-AN-ORGANIZATION

BRAND-AS-A-PERSONALITY

BRAND-AS-A-SYMBOL

Adidas heritage is rooted in providing top equipment for athletes making the organization a classic, performance, and sport/athletic brand. Their continued focus innovation makes the brand unique and playful. Adidas has also been striving to make sports more than for athletes but as a lifestyle and fashion brand.

The Adidas Original brand within the parent company is the core of their product assortment. Adidas was founded on their classic black and white stripe sneaker designed for athletes worldwide.

Adidas is genderless. Their main focus is to empower everyone through sport as a means to be a lifestyle. Adidas is playful, sporty, and goal-driven. Additionally, Adidas has pairs with celebrities like Kanye West, Pharrell, Stella McCartney, Run DMC, and Stan Smith who evoke these characteristics.

Adidas is universally recognized by two logos that symbolize their brand. The first is the three stripe logo that can be found in the majority of Adidas product. Later the iconic trefoil logo debuted symbolizing performance. 8

current positioning

HIGH PRICE

HIGH ACCESSIBILITY

LOW ACCESSIBILITY

how do we rank against the rest?

LOW PRICE 9

current distribution

where can adidas be purchased?

Number of Employees: 57, 176 Annual Sales: 18,778.8 million at the fiscal year end of 2015 Global Presence: 160+ countries Company Segments: Include Western Europe; North America; Greater China; Russia/CIS; Latin America; Japan; Middle East, South Korea, Southeast Asia/Pacific (MEAA); TaylorMade-adidas Golf; Reebok-CCM Hockey; Runtastic, and Other centrally managed business. The TaylorMadeadidas Golf segment includes brands, such as TaylorMade, adidas Golf, Adams Golf and Ashworth

Adidas has 4 main distribution channels: retail Adidas has large distribution orders to stores all across the globe including Kohl’s, Footlocker, Nordstrom, Dick’s Sporting Goods, Macy’s and J.C. Penny’s

wholesale Adidas distributes their

merchandise to other stores to sell their products worldwide

brick and mortar As of 2015, Adidas has over 1,600 concept stores worldwide, over 850 factory outlets, and over 150 specialty shops

online E-Commerce through online retailers including their own in-house branded site, Adidas.com 10

current revenue money, money, money In 2012, it was reported that Adidas AG made 14.49 billion euro in revenue. But since then, Adidas has been experiencing an increase in sales growth. During the first half of 2016, Adidas has produced an overall net sales value of 9,191 million euro. Of those net sales, 7,741 million euro came from the Adidas brand, proving that the original brand is still the most lucrative for the company.

future growth going for the growth Currently, Adidas Group is focused on accelerated growth all the way up until 2020. Their current strategic plan is entitled “Creating the New”, which is all about creating brand desirability through increased consumer interaction. This plan is expecting to increase revenues at high-single-digit rate on average per year until 2020. The Adidas Group is predicting that their net sales will increase 15% as an average as per their five-year plan. The three categories Adidas is focusing on for brand desirability are speed, cities, and open source. quick highlights for growth expansion • Group currency-neutral sales to grow at a high-single-digit rate on average per year until 2020 • Growth strategy with clear focus on speed, cities and open source • Net income to increase around 15% per year on average • Group increases targeted dividend payout ratio to 30%-50% for shareholders 11

communication & promotion come chat with us

overview

• Extremely active brand with their communication and promotion strategy • In 2014, it is reported that they spent over 341.6 million dollars for advertising spending • Adidas allocates spending for digital advertising, out-of-home advertising and print advertising • Omni-channel brand recognition throughout adidas as a whole • Adidas offers free shipping on all merchandise with no minimum purchase and customization Adidas gear

available on • Adidas posts regular content each week on all of their outlets with eye-catching visuals and call-to-action motivational captions that are on target for their brand.

current advertising campaigns

future

here to create

find focus

current collaborations

adidas x parley

yeezy 12

stella mccartney

state of the industry The sportswear and active wear industries continue to grow and are expected to account for $83 billion in sales by the year 2020.The continued growth of the sportswear industry is largely due to the emergence of athleisure as a fashion trend. Nike and Adidas continue to dominate the market worldwide through their dedication to innovation, customization and technology within the industry. The United States and China are the biggest consumers of the sportswear industry and most brands are looking to acquire more market share in these areas. 13

pestel analysis The Pestel Analysis compares the political, economic, social, technological, environmental, and legal state of an area. The data can be used to determine if a location is fit for a proposed idea.

POLITICAL

ECONOMIC

GDP Growth Rate: 1.7% BREXIT: The United Kingdom decision to exit Inflation Rate: 1.0% the European Union Government Instability New found support for free trade Government functions under a parliamentary system

SOCIAL Population: 64, 928, 787 million

Population in London: Unemployment Rate: 4.9% 8.674 million Apparel and Footwear Retail Value: £ 50,698.5 million (2016)

Rural Population: 18% Life Expectancy: 81 years

Market Size in Sportswear: Median Age: 40 Years £ 6,213.1 million (2015) HDI Rank of 14 Brexit has created the need for the UK to declare “fiscal reset”

T E C H N O LO G I C A L E N V I R O N M E NTA L

Highly sophisticated tech Carbon dioxide emissions Development could alter per capita (tonnes): 7.1 retail in a major way Clean Air Zones to combat Digital technology now air pollution accounts for 3.5% of all Air quality law jobs in London Climate Change Government Support of Green Technologies: electricity, heat and transportation.

LEGAL

â&#x20AC;&#x153;The Great repeal billâ&#x20AC;?: plan to re-build UK Government following Brexit Consumer protection Laws

key players direct competitors Nike is Adidas’ top competition ranking number 1 in sportswear in the world. As a multinational brand, Nike has made strides in the sportswear industry developing innovating technologies for athletes around the world. Their current mission is to “bring inspiration and innovation to every athlete in the world”, emphasizing that “if you have a body you are an athlete”. Presence in London Within the London area, there are 8 affiliated Nike Stores. Puma is rising as a choice brand for athletics. Puma’s recent collaborations with celebrities like Kylie Jenner and Rihanna have broadened their reach with the younger target market. Their current strategy is to reposition themselves as the “fastest sports brand”. Presence in London Within the London area, there are 2 Puma Stores. Lululemon specializes in “technical athletic wear for yoga, running, working out and any other ‘sweaty pursuits’.” Their major focus is innovating tech fabrics and dye processes for their consumers. Presence in London Within the London area, 8 there are Lululemon Stores and 1 showroom location. Under Armour is a major competitor for performance sportswear. Their mission is “to make all athletes better through passion, design and the relentless pursuit of innovation.” Under Armour continues to develop new technologies and they are currently promoting their HeatGear, ColdGear and AllSeasonGear that cater to the harsh conditions weather can place an athlete in. Presence in London Within the London area, there are 8 Under Armour dealers but no branded stores in the area. 16

key players indirect competitors

Victoria Secret Sport is a division of the Victoria Secret brand. Their motto is “train like an angel.” Their products are directed towards women. Victoria Secret Sport merchandise includes bras, leggings, jackets and shirts all designed for fitness activities.

Lillywhites is a premium sportswear retailer based in the United Kingdom. It is a division of Sports Direct. As a brand, they carry a variety of clothing perfect for specialized sports like tennis and croquet. In addition to selling Adidas, Lillywhites does sell competitor merchandise like Under Armour, Fila and Puma.

Sweaty Betty is a London-based active wear company. Their target consumer is women who lead healthy and active lifestyles. Their brand mission is “to inspire women to find empowerment through fitness.” They carry a diverse product assortment including swim wear, knitwear and active wear made from tech fabrics.

Sports Direct is a British sportswear retailer. They carry an array of sports brands including some of the top competitors for Adidas. Some of those competitors include Nike and Puma. Sports Direct operates over 670 stores worldwide. Of those stores, 420 stores are in the United Kingdom. 17

area attractions sights to see in london

Big Ben Otherwise known as the Clock Tower, this great bell tower located is at the north-end of Palace of Westminster. It is seen as iconic to British history and can be seen as the backdrop for dozens of movies.

Buckingham Palace Home to both the reigning monarch and the administrative staff of the United Kingdom, Buckingham Palace is a must-see attraction for anyone visiting London.

The London Eye Located on the Thames River, the London Eye is a large Ferris wheel. It is considered Europeâ&#x20AC;&#x2122;s highest Ferris wheel and is the best way to get a breath-taking view of London.

Oxford Street With over 300 stores, restaurants and entertainment options to choose from, Oxford Street is an all inclusive location if you are in the city.

location segmentation who’s in are area?

Top three purchasing groups are High Streets, Cosmopolitans and Discoverers.

22%

high street • Care about what others think • Value style over functionality • Will follow trend once it’s been established • Pay more for good service • Will try new things if they have been previously tested • Active • Enjoys arts and culture • Average income of £22K

15%

cosmopolitan • Risk-takers • Appreciation for art, culture and technology • Personal interest in new products drives them to purchase over trends, • Will pay more if a product gives them the desired experience • Lead active lifestyles • Values individuality • 40% of this category is under the age of 35 • Average income of £26K 19

13%

discoverer • Independent thinkers • Function drives purchases • Looks for good service and a good value for their money • Prefer a relaxed lifestyle • Under the age of 55 (most between age 2635) • Average income of £25K

location selection where will we be? Adidas has expressed an interest in expanding its market share, trend share and presence in London. Adidas does have stores located in London, so we wanted to be mindful of their goal to have a larger presence in the city without placing it too close to existing Adidas locations so that we are not over-saturating the area. With this in mind, our Adidas pop-up shop will be located in one of Londonâ&#x20AC;&#x2122;s most fashionable boroughs, Soho. Filled with amazing restaurants, entertainment and shopping, Soho is right in the center of London. Specifically our shop will be place in Ham Yard Village, the latest designers, restaurants and events. Ham Yard Village specializes in making individualized or customized experiences for their customers which aligns with the Adidas consumer making it the perfect location. Some direct competitors in the area include Puma, Nike and Sweaty Betty. Some indirect competitors in the area include The North Face and Sports Direct. We believe that placing our pop-up shop in Ham Yard Village will allow for us to maximize our sales potential due to the high-level of foot traffic, the adjacent retail stores, and the area attractions 20

launch period when do we open? Historically Adidas has always been in partnerships with musicians. From Selena Gomez to Rita Ora Adidas loves music. With this in mind we wanted to position the opening of our store during peak festival season to give us another avenue to promote the pop-up shop. Specifically, our shop will launch during the British Summer Time Festival, during the first week of July. This festival has an electric mix of musicians, including one native to Adidas, Pharrell. The bonus is that it happens, right new our shop in Hyde Park, giving us a great opportunity to get new customers into our merchandise. This is also a great time for tourist because itâ&#x20AC;&#x2122;s warmer during these months and consumers are more apt to get out and explore the town. 21

store design when do we open? The inspiration for the design of the retail space derived from a powerful feminist movement, the New York and London Art Fair this year, and a booming presence of U.K. pride. By incorporating modern elements with classic style, we believe our range of consumers will enjoy the retail experience and be encouraged to buy product. 22

window display

stage

point of sale

merchandising

product plan our assortment

Sports Bra

T-shirt

Jacket

Sweatshirt

Leggings

Pants

Sneakers

Hats

Style/Description

Colors Available

Price

Sizes

A. Supernova Bra

$45.00

XS-XL

B. High Intensity Bra

$55.00

XS-XL

A. Limited Edition Loose Tee 3

$60.00

XS-XL

B. Boyfriend Tee

$40.00

XS-XL

A. Limited Edition Pink Oversize Track Jacket

$110.00

XS-XL

B. Hoodie

$128.00

XS-XL

A. Crew Sweatshirt

$60.00

XS-XL

B. Pull-Over

$70.00

XS-XL

A. Originals Tights

$50.00

XS-XL

B. High-Rise Tights

$50.00

XS-XL

A. Limited Edited Pink Track Pants

$80.00

XS-XL

B. Shorts

$35.00

XS-XL

A. Limited Edition Stan Smiths

$130.00

5-12

B. Superstar

$85.00

5-12

A. Limited Edition Pink Cap

$40.00

One Size

retail space what are we near? Our Adidas shop will be placed in a 277sq ft existing retail space in Ham Yard Village hosted by appear [here], a pop-up shop rental company located in London. The space is wheelchair accessible and equipped with lighting, wifi, heating and toilets. A great benefit of the space is that it is a corner location facing the main street and the courtyard, giving us optimal visibility.

area attractions

Ham Yard Hotel The Ham Yard is way more than a hotel. Itâ&#x20AC;&#x2122;s equipped with a spa, bowling alley, roof top terrace and more.

Denman Place Denman Place is a shopping mall with a mix of national and independent retailers. 26

Londonâ&#x20AC;&#x2122;s Theater District Ham Yard is minutes away from the theater district which is perfect for our customer who loves arts and culture.

area factors strength test The location of our shop is extremely accessible on foot and is adjacent to major London attractions like Piccadilly Circus and the Queenâ&#x20AC;&#x2122;s Theater. There is a pedestrian thoroughfare that connects Great Windmill Street to Denman Street, encouraging pedestrians to walk safely to our store. The placement of the neighboring shops allow for minimal congestion and the corner position gives us a high-level of visibility.

near-by sights Pressed Juice

Within the area, the bus is available as well as the Piccadilly Tube Station. If you plan to park your own car there are two car parks near Ham Yard Village, Q-Park on Burlington Street and NCP Car Park London on Brewer Street.

Bloomsberry Flowers

Most parking restrictions apply between 8:30 am and 6:30pm, Monday through Saturday. A congestion charge could also be charged for a motor vehicle but this charge does not apply on weekday evenings, weekends or holidays.

My Cup of Tea

2 minute walk to Piccadilly Tube Station 4 minute walk to Dover Street Market 8 minute walk to the National Gallery

Brummels of London

Golden Square

income statement Week 1

Week 2

Total

Net Sales

£ 169,083.40

£ 190, 218.83

£ 359,302.23

Cost of Goods Sold

£ 67,633.36

£ 76,087.53

£ 143,720.89

Gross Margin

£ 101,450.04

£ 114,131.30

£ 259,581.34

Design of Space

£ 3,569.00

£ 0

£ 3,569.00

Storage

£ 50.00

£ 100.00

Wages

£ 6,631.20

£ 13,262.40

Rent and Utilities

£ 1,800.00

£ 3,600.00

Logistics

£ 1,000.00

£ 2,000.00

Janitorial

£ 292.00

£ 584.00

Promotional Activities

£ 10,569.00

£ 12,000.00

£ 22,569.00

Total Expenses

£ 23,911.20

£ 21,773.20

£ 45,684.40

Expenses

Earnings

£ 169,896.94

store design costing Item

Quantity

£ Price

Stage

115

Shelf Unit

Table

TV Shelf

160

Love Chair

London Sign

296

Chandelier

Small Pillows

144

Mannequins

1136

Mac Book Computers

Large Pillows

UK Lampshades

UK Rug

Eye Rug

Abstract Rug

820

DJ Table Rental

Pink Coffee Table

Chair Bed

Pink Love Seat

Pink Trunk

UK Chest of Drawers

Sparkle Curtain

Tube Light

Andy Warhol Art

Pink Headboard

Stage Rental

280

Total £ 3569.00

foot traffic and sales potential Percentage of conversion from foot traffic to 0.80% foot fall

0.90%

Week 1

Week 2

Total

Foot fall

6763

7608

14372

Conversion percent to transaction

10%

Average Basket Amount

£ 250

£ Total Revenue

Total Revenue £ 169,083.40 Cost of Goods Sold

(MKUP 60%) Product

£ 67,633.36 Week 1

£ 190, 218.83

£ 359,302.23

£ 76,087.53

£ 143,720.89

Week 2

Sports Bras

0.07

£ 11,835.84

£ 13,315.32

T-Shirts

0.18

£ 30,435.01

£ 34,239.39

Jackets

0.17

£ 28,744.18

£ 32,337.20

Sweatshirts

0.18

£ 30,435.01

£ 34,239.39

Leggings

0.13

£ 21,980.84

£ 24,728.45

Pants

0.13

£ 21,980.84

£ 24,728.45

Shoes

0.09

£ 15,217.51

£ 17,119.69

Hats

0.05

£ 8,454.17

£ 9,510.94

Total

average price of products Product Category

Average Price

Sports Bras

£ 50.00

T-Shirts

£ 50.00

Jackets

£ 119.00

Sweatshirts

£ 65.00

Leggings

£ 50.00

Pants

£ 57.50

Shoes

£ 107.5

Hats

£ 40.00

average number of units sold per week Product Category

Week 1

Week 2 Total Units

Sports Bras

237

266

503

T-Shirts

609

685

1293

Jackets

242

272

513

Sweatshirts

468

527

995

Leggings

440

495

934

Pants

382

430

812

Shoes

142

159

301

Hats

211

238

449 5801

target consumer

@kween_abi abigail jones 21 year old student â&#x20AC;&#x153;if it wasnâ&#x20AC;&#x2122;t instagrammed, did it really happen?â&#x20AC;?

street food lover and avid #foodporn finder

enjoys nightlife & seeking out up-an-coming bars

spends her weekends exploring Europe via train

adds as many Adidas items as possible in every outfit

sports unique athletic style with bolder pieces 32

expresses her London pride through her social media

target consumer

@bennys_mommy madison swinford 35 year old mother “my first priority is my children. my second priority is their fashion choices.”

brunches weekly with her young mom friends

lives with her husband and children in the suburbs

picnics in the park every Sunday afternoon

loves to match her youngest in “micro-fashion”

stays true to Adidas roots in Originals with classic style 33

explores local farmers’ and flea markets

communication and promotion who’s in are area? Media

Pre- Launch

During Launch

Post-Launch

June

July

August

Influencers Email Television Facebook YouTube Instagram SnapChat Twitter Our Adidas Pop-Up Shop promotional plan is designed around a 3-month strategy. Within this strategy, we are focusing on the marketing before, during and after the launch of the shop. Based on our analysis, our consumers are technology driven so we want to place most of our marketing initiatives into our digital platforms. In preparation for launch, we plan to release product early to empowering female figures, such as Rita Ora and Hannah Bronfman. During the launch of the event and the release of product, we plan to have Hannah Bronfman, Adidas sponsored DJ and fitness-style inspiration, perform and facilitate events of promotions and special guests. After the duration of the retail space, we plan to release an exclusive capsule collection in commemoration of the London pop shop experience and events. Tagline We want to promote our interest in making our women’s sector more on trend so that women want to wear Adidas as their go-to brand. The hash tag for our campaign is #AdiGirl, a play on “That-a-girl”, we want our customer to feel like they are the Adidas girl. Influencers Our campaign is all about showing how Adidas is more than a fitness brand, it’s a lifestyle. We want promote our Adidas brand ambassadors as examples that an #AdiGirl is multi-faceted. For our pre-launch we would give merchandise to local Adidas ambassadors like Esteé Lalonde, to wear and post on social media. 34

communication and promotion whoâ&#x20AC;&#x2122;s in are area?

Email We want generate local buzz for the pop-up shop launch by creating an e-mail blast for the existing Adidas email list. We want to only send the e-blast to women in the London area because these are our target consumers. Television Although, this pop-up shop is based in London, we want to maintain an omni-channel presence by producing a commercial that is a mood video, showcasing a diverse range of women who love and wear Adidas, that enjoy being active and are fearless in their daily lives. These are the components that make an #AdiGirl and what we want to advocate for our consumers as a brand. Facebook Social Media London, reports that Facebook is the preferred platform for users in their area. Nearly 43% of the population uses Facebook regularly. For our campaign we would announce the pop-up on Facebook a week before the shop opens. During the event we would Facebook Live the Launch and allow key ambassador to show their perspective of the launch to our customer base. Twitter We would use Twitter to announce the #AdiGirl Campaign and to state when the official pop-location has opened for business. For the tweets, we would use images of the storefront and the hashtag. YouTube Billions of people watch YouTube every single day, we want to keep in line with our television concept and show a variety of women and how they make Adidas their own. We would also produce a behind the scenes video showing the production and execution of the pop up shop. Instagram Adidas keeps their brand extensions segmented so we would want to keep most of the promotion of the @AdidasWomen page but we do want to make sure our core initiatives are shown on the main Adidas brand page. We would make one post, following the launch announcing #AdiGirl on the Adidas home page. Snaphchat Within the pop-up shop we would create a signature geo-tag using our tag line #AdiGirl for customers to use as they browse the limited edition product. 35

legalities where will we be? Currency Adidas is a global brand and is well known worldwide. Additionally, London is a major city for tourism so understanding currency exchange is key for our brand. London utilizes the British pound as their currency. The two largest groups that visits London are Europeans and Americans.

£1 is equivalent to 1.18 Euros £1 is equivalent to 1.25 US dollars

Retail Space Renting the space through a third party like appear [here], places some constraints as to how we can prepare for our launch. 1. The landlord expects a high standard of fit out because of the quality of neighbors 2. All deliveries have to be made before 10 a.m. 3. The space needs to remain in the same quality as it was received Permits The City of London has multiple guidelines in regards to what activities can occur in certain areas. The permits that would pertain to our shop include a permit from the Preforming Rights Society (PRS) to have music at our launch event. Temporary Event Notice (TEN) is considered the cheapest way to legally cover an event. This permit does have a number of restrictions that include no more than 499 people on site at any given time, the event can’t last longer that 96 hours and the application is evaluated by police. Labor Laws To operate the pop-up shop we will need employees to run the shop. In the United Kingdom, those that are 18 and under can only work a maximum of 40 hours per week. Those over 18, can work a maximum shift of 48 hours per week. The also are required to be paid at least minimum wage which is 993.20 pounds sterling per month. 36

human resources Having the appropriate personnel to operate our pop up shop is key to it success. We want to make sure that even though our pop up shop is only going to be in existence for a short amount of time, that we are able to assist each and every one of our customers with a high level of attention. The main task of our employees will be to replenish the stock on the sales floor, to engage with our customers to make sure that our store environment is positive and we also want to make sure that our employees are informed. We need to ensure that our employees know the product well so that they can sell the benefits of our products to potential buyers. To run our shop efficiently, we need a store manager, 2 assistant managers and 8 employees to help the sales process move smoothly. We will have 2 additional employees that specialize in loss prevention so that we keep theft to a minimum. We will also have two employees as a part of our janitorial stuff to help maintain the store aesthetic. Last but not least. We will have one member on the team the handles the social media aspects of the campaign. As for uniforms, all sales floor employees will wear the limited edition pink track suit to compliment the retail femininity inspiration of the store. Employees at the manager level will be paid ÂŁ12.50 The remaining employees will be paid the minimum wage in London ÂŁ9.15. In addition, they will receive 25% off merchandise in the store.

conclusion After extensive research and planning for the London market, the Adidas “AdiGirl Pop Up Shop” will support the future growth plans of the brand in order to expand in the United Kingdom market as well as boost presence in the Women’s active wear market. By drawing inspiration from feminism, British art trade shows, and London pride, the pop up shop will inspire a variety of new consumers while staying true to the brand image and identity. Not only will this create immediate attention and financial success, the Adidas Group stores in close proximity (Stella McCartney, Y-3, adidas Originals) will find long-lasting success from the short-term retail space. With the projected success, the AdiGirl store could potentially lay foundation for a women’s only adidas Originals store.

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