Converse
Entrepreneur : Marquis Mills Converse
Picture of Products
Famous Product: Converse Rubber Shoes
Brief description of the products/services/business concepts
Converse
is a leading global designer, manufacturer and marketer of high quality
athletic footwear for men, women and children. Best known for "Chuck
Taylor All Star" line. The company is also a global licensor of sports
apparel, accessories and selected footwear.
A profile of the Entrepreneur and the business
Marquis Mills Converse was the founder of the
Converse Rubber Shoe Company, he was born on October 23, 1861 in Lyme, New
Hampshire, United States.
In his late 30s, Marquis Mills Converse, who
was previously a respected manager at a footwear manufacturing firm, opened the
Converse Rubber Shoe Company (unrelated to the Boston Rubber Shoe Company
founded by fourth cousin Elisha Converse) in Malden, Massachusetts in February
1908.
A brief introduction of how the business started
Same year (in 1908), Marquis M. Converse fell
down a flight of steps in Malden, Massachusetts, injuring both him and his pet
donkey, Seabiscuit. The incident gave him the idea of rubber soled shoes, to
prevent one from slipping. By 1909, the company was up and running, providing
winterized rubber-soled footwear for men, women, and children.
How the business gained success
- Unique design with fashion strategy and high performance
Combining
fashion with functionality; reach out to a greater number of people with full
line for casual, sports, etc…
- Best sales manner.
On-line
customers can create their own special pair in easy steps through their DIY
sneaker site.
- Converse Celebrity Sponsors:
Dwyane
Wade, Elton Brand, Kyle Korver, Maurice Evans, Orien Greene, Michael Sweetney.
The ups & downs of the entrepreneur & his/her business
The
following timeline shows the developments of Converse:
- 1908: The company is founded as Converse Rubber Co.
- 1917: Converse introduces the All Star, one of the world's first basketball shoes.
- 1929: Converse Rubber Co. falls into bankruptcy.
- 1972: Converse is purchased by the Eltra Corporation and acquires the footwear division of B.F. Goodrich Co.
- 1979: Allied Corporation purchases Converse.
- 1982: Allied Corporation sells Converse to a group of its senior managers.
- 1983: Converse stock becomes available on the NASDAQ national market.
- 1984: The company signs agreements with Moon-Star Chemical Corp., Mizuno Corp., and Zett Corp. to handle the manufacture, distribution, and sale of Converse footwear in Japan.
- 1985: The company is named the official shoe of the National Basketball Association.
- 1986: Converse is acquired by Interco Incorporated.
- 1994: Converse is spun off from Interco in November.
- 1999: Converse introduces the He:01 shoe.
- 2005: Sales in 2005 hit $400 million – more than double the revenue from 4 years prior.
Business Philosophy & Business Strategies
used
- Marketing strategy
The Company's marketing strategy
is centered on the Converse All Star brand, which is positioned as the American
performance brand with authentic sports heritage. The company believes that
there are significant opportunities to build the brand, which commands high
consumer awareness generated by reason of its 91-year history. The company's
consumer research has become an integral part of its product development,
advertising campaigns and in-store point of purchase materials.
- Fashion strategy
- Age range – appealing retro-fashion for people in their teens and in their 30s.
- Extensive lines of clothing for men and woman – varying in price range and target markets.
- Planning more variations for the Chucks line – creating endless possibilities.
- Performance Strategy
- Product sales increase; benefits similar to big name brands.
- Performance features and technology such as air bag heel (similar to Nike Airwalk) attracts athletic customers.
- Potential to attract younger generation
- Affiliated with performance (basketball), helping to attain reputation.
Over 800 million pairs of Converse All-Stars
have been sold worldwide since they were fist made in 1966. That's roughly 20
pairs for every South African and an average of 4.5 million pairs sold every
year globally. Now, the company’s products are distributed in over 90
countries.
How the product / company got its name
"Converse" is the last name of his
founder Marquis Mills Converse.
Unique features about the product
/services/business concept that makes it outstanding
- Unique design
These fine folk will paint whatever the customer want onto a pair
of Converse All Stars, as well as onto bags or denim jackets - and these aren't
cheesy paintings either. With each pair of shoes taking 3 to 4 hours to paint,
they look fantastic. The artwork is all done by hand, without the use of
airbrushes or stencils, and the paint will not chip or fade. Though there have
a gallery of images that the customer can choose from, it seems that customer
imagination is the only limit when it comes to the artwork what they will paint
onto a pair of chucks.
- Good on-line sells manner
Converse just launched their DIY sneaker site — so the on-line
customers can create their own special pair in ten easy steps. They get to
decide on everything from size, sneaker style, colors, patterns, racing
stripes, stitching — right down to the laces. Design them as classic or
razy-crazy as customers like. The customers just cost 60 bucks, and in three to
four weeks, they can get the unique shoes.
Key Factors contributing to the success of the business
- Good Idea
- Fashion with unique design and high performance
- Good sales manner.
- New design for their products every year.
- Clear objectives: college age people, especially those in sports.
The company’s products are distributed in over
90 countries to stores which include fashion, specialty athletic, sporting
goods, department and shoe stores. Since the birth of Chucks, Converse has
produced tennis, cleats and running shoes as well as a full line of basketball
footwear. Converse also had a line of skateboard shoes, as it entered the skate
market. Today Converse enjoys worldwide recognition and is highly regarded as a
manufacturer of superior athletic footwear. Converse is strongly involved in
street-fashion and music markets as it associates its heritage and originality
with innovative ideas.
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