Excerpts

Creating Authentic Social Impact Opportunities for Fitness Lifestyle Brands

Courses: Marketing Independent Research; Social Entrepreneurship Capstone Project

Advisors: Diane Badame, Ph.D., Jill Kickul, Ph.D.

Abstract

This research explores social impact strategies to increase authentic Corporate Social Responsibility (CSR) engagement; And the initial research considers new opportunities for CSR through sports and fitness. The following research will focus primarily on wellness based community health programs and will investigate sports, yoga, and meditation as a tools for community health.

Note: The proposal designed for this research recognizes corporate utilization of internal branding, specifically in lifestyle brands, as the catalyst for both corporate community outreach and additional revenue generation. 

 Also presented in the following research is the increasing potential for lifestyle brands to utilize health and wellness programs as tools to improve the life quality for employees, increase shareholder value, engage consumers, and as a result more deeply empowering local communities. Community health programs often provide crucial access to health care or health education in otherwise marginalized communities. Diabetes, obesity, Cardiovascular Disease, and Psychological Well-being have all been identified as health issues affecting low income communities. 

Although little information on niche fitness markets, there are several growing sub segments within the fitness industry. The Yoga Industry and Kickboxing Industry were both researched for growth potential. As the larger and more established industry, the Yoga Industry will be used as the research model. Branding concept models proposed for fitness niche markets are presented in the conclusion.The conclusion will present potential solutions for effective community programs through corporate and community partnerships. This concept proposes how popular lifestyle brands can increase positive community relations, enhance corporate culture, and increase brand equity while improving the health and economics of local surrounding communities.

Brand admiration strategies are utilized in conjunction with global entry strategies to offer a potential model for marketers in fitness sub segments, pursuing regional or localized market entry. Secondary data is used to show previous market trends and the current market outlook. Primary interviews and survey data serve as sources to build the niche market branding model in fitness. These data results are used to formulate branding concepts that compliment both region of entry and the sociocultural aspects of the sub industry. Also, the cultural, social, and economic benefits of niche fitness markets are examined. The significance of using yoga as niche market model in this research and the limitations of this study are also discussed. 

Method

This research included a survey of (n=26) college educated young adults (ages 20-38) on community impact of lifestyle brands. The surveyed group consisted of a randomized diverse pool of varying ethnicities, races, socio-economic backgrounds, and gender identities. In depth interviews (3) were conducted with lifestyle/fitness brand executives. Qualitative and quantitative data was compiled from professional publications and academic journals. The data was studied to develop a proposal drawing from key themes within the interviews. The branding framework utilized is from the University of Southern California (Marshall School of Business) Global Marketing Course textbook, “Brand Admiration: Building a Business People Love” by C. Whan Park, Deborah J. MacInnis, and Andreas B. Esingerich. 

Cobranding for Social Impact: Shifting from Competitive Advantage to Collaborative Advantage.

Adidas brand recently partnered with Wanderlust brand, using Wanderlust Yoga festivals and studios as a sales channel to reach the yoga niche market. This partnership is beneficial to both brands because it increases revenue and brand awareness. Both companies benefit from leveraging brand admiration and power through Co-Branding strategy. Creating competitive advantage can be a challenge in highly competitive landscapes such as athletic apparel and sportswear. In niche markets, partnerships, joint ventures, and strategic alliances can increase brand awareness for established brands interested in new markets and boost innovation in niche industries. 

With social missions ingrained into the traditional structure of many niche fitness markets, lifestyle brands would benefit from utilizing the momentum existing in growing niche markets. Social mission

Concept: The social and economic resources available in lifestyle brands can be used to create greater impact. Share value can be generated between community and lifestyle brand. General extracurricular programs have laid the foundation for even more impactful community programs. Corporate resources can be used as a tool to engage and train underrepresented entrepreneurs through incubator programs, professional development, and networking opportunities. 

Example: Use Reebok Gyms and Adidas Brand as social incubator of health and wellness programs. Social impact programs to model: Girls On the Run, Off the Mat Into the World, Holistic Life Foundation, Exhale to Inhale

Concept: Consumers who are unfamiliar with niche markets (such as Yoga, Kickboxing, Indoor Climbing) are more likely to participate in niche fitness activity if it is endorsed by a brand they admire. I.e. Nike, Adidas, Under Armour. Strategic partnerships combined with high selectivity criteria for qualified participants could create a competitive advantage to brands that are capable of offering premium training to trainees. Partnerships between lifestyle brands and established high volume yoga studios can present a unique niche market opportunity.

The level of the trainees’ yoga practice before entering accreditation programs is generally not monitored by Yoga Alliance. Therefore, many studios will admit new students into training programs without former yoga training or practice. 

Through cobranded training programs, yoga companies can increase resources while charging a premium rate for training. This strategy can produce higher quality instruction and thus elevate the industry standards. In addition, brands that possess the resources to hire and offer premium accreditation to instructors could significantly disrupt the industry by capitalizing on yoga’s growing popularity. 

Note: Accreditation training programs are a popular way for fitness professionals to gain expertise that align with regulations of various fitness governing boards. i.e. ACE, NAFC, Yoga Alliance, etc. Offering licensing to studios in a particular style of yoga that is one of the main duties of Yoga Alliance. Yoga Alliance regulates, certification programs and helps to maintain industry regulations

Additional Potential Outcomes of Projects A and B

Social Change- Millennial target market interested in CSR, Shared Spaces. Connections in business are made through networking. Economic advancement is facilitated by connections. In order for economic advancement to occur access must be granted to the insights of the social systems needed for advancement.

Consider 3C’s- In addition to community impact, consider the effects on the customer, company, competition. Customers will gain more trust and respect for a brand generating economic value in underserved communities. Company employees will gain new opportunities for social engagement. Employees more comfortable in cognitive interactions could receive an enticing sense of satisfaction and enrichment by participating in fitness based social incubator. Competitors’ model of CSR will appear outdated in comparison. Competitors will have to increase social impact to compete, creating a shift in corporate social impact overall.

Concentrated Targeting- Facilitating a fitness and sports based social incubator allows the brand and entrepreneurs to hone in on specific consumer and community needs in developing programs. 

Re Framing Language- Niche fitness models presented in this research have inherent philosophical concepts based on ancient traditions. This makes it feasible and simple to reframe philosophies to engage targeted population.

Unlike previous research, this research deconstructs several existing market branding models. Reveal best marketing practices and strategies specific to the southeastern region in relation to niche industries. Also, any additional unique findings on market trends with be highlighted. Strategies will be based on primary and secondary resources.

Primary interviews and data serve as sources to build the market branding model. Secondary data is used to show previous market trends and the current market outlook.