NEW BALANCE BASKETBALL CATEGORY ANALYSIS
Gaining Insight into New Balance's Position in the Basketball Industry
SUMMER 2021
This project aimed to conduct a comprehensive investigation into the New Balance brand culture and the basketball industry. Since New Balance is re-entering the basketball market, it is crucial to determine its market positioning and how it can stand out. I gained insights into their current market standing by examining competitors, pricing strategies, and consumer behavior. My analysis encompassed performance lines, basketball database research, footwear preferences, and the WNBA.
PRICE ARCHITECTURE
ATHLETE INSIGHTS
Source: The Spax, Using Machine Learning to Classify NBA Players
IDENTIFYING TRENDS THROUGH PLAYER ANALYSIS
The NBA is currently experiencing a state of positional hybridism, where players are increasingly versatile and traditional 5 position categories are losing relevance. If brands can grasp the players' movements, workload, and potential physical limitations that could lead to injuries, they can proactively intervene. While it is true that sports cannot be reduced to purely quantitative measures, I am not suggesting that they should be. However, utilizing such tools can provide a starting point and direction for identifying player preferences and potentially uncovering new trends.
Sourced: The Boardroom
IDENTIFYING WNBA POPULARITY
The WNBA recently marked its 25th anniversary as a prominent sports league in the United States, introducing a new in-season Commissioner's Cup with larger prize money, and the Phoenix Mercury securing a $66 million partnership deal. Additionally, the average salary has increased by 61% in 2021 compared to 2019, with the season culminating in Candace Parker and the Chicago Sky clinching the Finals title. An analysis of athlete sponsorships and their affiliated companies raises the question of whether the WNBA's jersey sales popularity can translate to footwear sales for companies in the future. Currently, three leading brands dominate the WNBA market, leaving room for a brand like New Balance to develop products catering to this demographic. The brand can invest in research and development for women's basketball and create better-fitting footwear for the next generation of athletes.
RECOMMENDATIONS
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Compete Globally.
Players can pursue alternative routes, such as the G-League, ACB, NBL, or taking a gap year, to prepare for the next level. Examining these untraditional approaches widens the scope of basketball. The NBA now has representatives from 41 countries, underscoring the growing importance of expanding the sport outside of the United States.
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Leverage Assets.
Compelling storytelling can enhance an athlete’s relatability to others, such as Raheem Sterling and Jamal Murray, who have Jamaican roots. Linking an athlete’s story with their sport can create a meaningful narrative.
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Invest in Women.
After completing its 25th year, the WNBA enjoyed its most successful financial year, marked by national media coverage and new, improved uniforms. Identifying up-and-coming and veteran WNBA players who can represent the next generation of talent is key to paving the way for the future.