Puma Trainers – Packaging

Packaging is a part of the Marketing Mix – although it is not one of the main 4 elements or ‘P’s – along with people, it is an important building block in any marketing strategy. Having been overlooked hitherto, a product’s packaging has become a more and more important issue with the growth of environmental concerns among consumers; and consumers, which are key stakeholders, need their demands to be met – the purpose of marketing. Which brings us to a new innovation from Puma: ‘Clever Little Bag’. This is designed to replace the shoe box, for environmental benefits, while eliminating the need for a plastic carrier bag from the retailer. See the video below.

This may be viewed as a tactical move to reduce become a more ‘green’ company, despite their distinctive red branding, and have thus embarked on a long-term strategy to reduce their carbon footprint by 25% by 2015. So how are short-term gains going to contribute to achieve the long-term ethical goal? The answer is through reduced raw materials: 65% less paper, 1 million less litres of water and 500,000 less litres of diesel will be used in manufacturing. This proves how setting ‘SMART’ objectives – specific, measured, agreed, realistic and timed – can help co-ordinate a major business to embarked on a new ethical vision. As well as doing good for the environment, the Clever Little Bag will, likewise, generate good PR and regenerate consumer interest – a particularly important aim in a competitive, slow-growth fashion/sports industry – in their ‘Cash Cows’. Therefore, on a competitive level Nike and Adidas’ traditional shoeboxes look somewhat substandard: the Clever Little Bag is young, trendy and innovative, which is what Puma’s products are all about.

Although this may be viewed as an operational efficiency or financial cost-minimisation strategy, it has been so well integrated into the Promotional Mix, through viral advertising, that the marketing benefits will initially outweight the increased competitiveness. A danger of trying to be ethical is in consumers’ perceptions of the companies objectives: the desire to do good or increase profit margins? But at Puma it appears to be the former; Puma CEO has stated the sustainable resources will increase short-term costs and become cost-neutral in the long-term. You have to give credit where credit is due – and this looks like a sound and bold move from Puma.

Advertisements
Leave a comment

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s

%d bloggers like this: