Breaking down Under Armour’s business strategy: An inside look

Breaking down Under Armour’s business strategy: An inside look

Under Armour has emerged as one of the most dominant players in the athletic apparel industry over the past decade. The company’s rise is directly tied to its innovative business strategy, which combines cutting-edge technologies, agile development, and brand differentiation. In this article, we will take an in-depth look at Under Armour’s business strategy and understand how it has helped the company leapfrog its competitors.

Technology as the key differentiator

Under Armour has focused on technology as the key differentiator in the crowded athletic apparel industry. The company has invested heavily in digital technologies to produce innovative products that stand out from the competition. For instance, Under Armour’s Armour39 is a performance-monitoring system that tracks an athlete’s heart rate, breathing rate, calories burned, and workout intensity. This technology allows athletes to track their performance and adjust their workout regimen for maximum effectiveness.

Agile development as the backbone

Under Armour’s business strategy is based on agile software development methodologies. The company’s software engineers are organized into small, cross-functional teams that work closely with designers and product managers. This approach allows the company to deliver high-quality products quickly and efficiently. For instance, Under Armour’s MapMyRun application, which allows runners to track their progress, was built using the agile development approach. This application was developed in just six months, which is an impressive feat in a highly competitive industry.

Brand differentiation through athlete endorsements

Under Armour has strategically aligned its brand with some of the world’s most influential athletes. This approach has enabled the company to differentiate itself from other athletic apparel brands that rely on conventional advertising. For instance, Under Armour’s collaboration with NBA superstar Stephen Curry has been a game-changer for the company. Stephen Curry’s endorsement has helped Under Armour tap into a new demographic of basketball fans, making it a household name in the sports industry.

Under Armour’s expansion strategy

Under Armour has an ambitious expansion strategy that involves diversifying its product line and expanding its presence in international markets. In recent years, Under Armour has entered the footwear industry, which has driven growth and positioned the company as a multi-product brand. Additionally, the company has aggressively expanded its presence in international markets, particularly Asia, where it has seen impressive growth.

Key takeaways

Under Armour’s business strategy is based on technology, agile development, athlete endorsements, and strategic expansion. The company’s focus on innovation and brand differentiation has led to impressive growth and positioned it as a top player in the industry. Additionally, Under Armour’s ability to deliver high-quality products quickly has allowed it to maintain a competitive edge. Overall, Under Armour’s business strategy is a testament to the importance of innovative thinking, strategic partnerships, and brand differentiation in building a successful business.