"Community Engagement Event"
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Sponsor Our ArticlesBaltimore is buzzing with news as Under Armour’s CEO Kevin Plank recently shared some exciting updates about the brand’s future. While the company has seen a decline in sales, Plank assured analysts that these drops are part of a *purposeful strategy* to elevate the brand’s image and strengthen its market position. In his own words, “I don’t believe the consumer’s mad at us; we just have to give them a reason to want to engage with us again.”
Under Armour’s current sales trends signal a careful *calibration* of how they approach the market. By intentionally stepping back on promotions, they hope to establish a more *premium business model*. This strategy aims to attract consumers who resonate more with higher quality, less discounted goods. According to industry expert Neil Saunders, this playbook of “sacrificing low-quality sales in exchange for a stronger brand position and higher prices” is something seen across various retailers, and it usually sits well with investors.
Despite these conscious efforts, it’s clear that Under Armour has *significant work* ahead to restore its brand equity. Part of this revitalization involves reestablishing stronger bonds with wholesale partners. Plank emphasized the importance of increasing communication with key retailers and earning more *shelf space*, something that the brand is currently missing. “We don’t have as much shelf space as we once had and it’s our job to earn that, season by season,” he noted. This highlights how essential collaboration with retailers like Kohl’s will be, especially as Under Armour aims to improve its visibility and presentation in stores.
The other half of Under Armour’s challenge is about re-engaging with consumers. To achieve this, Plank emphasized a new mantra: to be “an incredibly loud brand and quiet company.” With plans for a major marketing push in the upcoming year, Under Armour is gearing up for a campaign that pushes its narrative forward. Adding to the excitement is the onboarding of Eric Liedtke, a veteran from Adidas, to lead the brand strategy. Plank remarked that his presence is already producing “tangible, brand-right changes to improve our positioning in the market.”
Moreover, Plank expressed optimism about the company’s future, stating, “The company’s product pipeline is *as healthy as I’ve seen it*.” He highlights the importance of storytelling in the realm of competitive apparel and footwear. He explained, “Without story, you’re just selling shirts and shoes. And the world doesn’t need another capable apparel and footwear brand. The world needs hope, and that’s what we think Under Armour can be.”
Remember, Plank made a surprise return to Under Armour in April of this year, making waves with announcements of layoffs and a plan to reduce the company’s *stock-keeping units (SKUs)* by 25%. These bold moves indicate a strategic shift aimed at better positioning Under Armour in a crowded market.
The journey of Under Armour continues to be an intriguing mix of *strategic planning* and consumer engagement. As the brand focuses on enhancing its presence both on the retail floor and within the hearts of customers, it remains to be seen how these changes will shape their trajectory in the coming years. For now, the team in Baltimore is ready to roll up their sleeves and get to work rebuilding the Under Armour brand from the ground up.
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