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Jamaicans, Bolt put Puma in branding fast lane

(China Daily)
Updated: 2008-09-11 14:00

Sportswear manufacturer Puma did well out of the Jamaican team at the Olympics. After his world record 100-m race, Usain Bolt took off his Pumas and showed them off to the crowd at the Bird's Nest. Bolt and his Jamaican teammates bagged six gold, three silver and two bronze medals, bringing major exposure for the German brand.

Puma sponsored just three delegations at the Olympic Games. But rival Adidas, an official Games sponsor, spent 1.3 billion yuan ($189.98 million) on 16 teams, including the podium uniforms for China's 100 medalists. China Daily reporter Tong Hao spoke with Jochen Zeitz, CEO and board chairman of Puma, about Olympic sponsorship and the Chinese market.

Q: How did Puma have the foresight to sponsor the Jamaican team and Usain Bolt at the Games?

A: Over the past 18 years, we've always identified talent early. In 1992, we picked three athletes for the Barcelona Olympics and they all won gold medals - Christie Linford in the 100 m, Dieter Baumann in the 5,000 m and Heike Drechsler in the long jump.

We also picked Serena Williams, who was at that time world No 15 and later became No 1 in tennis. We also picked Formula One team Ferrari when it didn't win much and it later became world champion again. I think it's a sort of ingredient in our DNA to always pick out the talent.

Q: Did Puma meet its goals for the Beijing Olympic Games?

A: Definitely, I think we have exceeded our objectives - if you have an athlete who not only dominates the game but also wins in such an extraordinary manner, that very much accords with what Puma stands for. Bolt and Jamaica definitely made history in Beijing and that is something nobody can plan for. Bolt is our hero and it was really extraordinary to see him win.

Q: How does Puma position itself? And how does it handle the relationship between sportswear and fashion?

A: Puma is always about both, just like we stand and walk with two legs. We are the first brand combining both in a unique way.

Take soccer for example. One side is high performance, such as Italy winning the world championship, but we also have a stylish interpretation. Whatever we do, we always keep sport in mind and then interpret it in a stylish and fashionable way.

Q: Could Puma lose its personality by trying to incorporate too many concepts?

A: I think it is the opposite. What you and I wear, as consumers, is an expression of our personalities. We don't want to wear something that doesn't look good or isn't well designed. Consumers want to buy products that perform well but also look fashionable and exciting. Therefore, expression of personality is to do with colors, the cuts, styling and the overall fashion.

Q: Puma and Adidas are now rivals in the Chinese market. Where does Puma's confidence come from when competing with Adidas in China?

A: During the past 15 years, we have brought Puma from a small brand to one of the top three brands globally. We are now the most profitable brand. Although we only became a major player in China three years ago, we are very confident we will speed up our development. In the last couple of years, we have already made good progress, and the potential is still ahead of us.

Q: Chinese sportswear manufacturers such as Li-Ning and Anta are developing rapidly. How is Puma tackling the challenge from Chinese rivals?

A: They are local brands doing well not only in China, but also in the global market. We are in a more premium position. We have global sports heritage combined with great styling. We think we are definitely one of the international brands with a local reputation in terms of products and models. We compete on a higher level.

Q: What does Puma expect from the Chinese market?

A: Our perspective is a long-term perspective. We will have to see how the market develops over the next 12 months, though leading into the Olympics it's obviously been very positive. We will consolidate our business and take a few risks before the next growth phase comes. But in the long run, we definitely see lots of potential.

Q: What's Puma's marketing strategy after the Beijing Games?

A: Bolt will play a role in our communication. We want to emphasize the specialties of the Chinese market. That is also why we developed Beijing Opera masks for our athletes in our Olympic campaigns.

We want to bring local and international elements into our communication. For example, we had Formula One come to Shanghai in 2004 and we will have the Volvo Ocean Race come to Qingdao in 2009.

We will continue to open more stores.