Vans Case Study

VANS SKATING ON AIR 

 What was Van’s value proposition and competitive advantage during its early days ?

Van’s value proposition was based upon delivering customized products with an assortment of over 50 fabric and colors. The company boasted of its ability to deliver the customer’s choice of fabric and color; a service that other companies in the industry could not offer. The major competitive advantage that the company enjoyed was its association with mainstream hardcore sport and its association with the new generation of sports, the kids who played the sports and their lifestyles.   

How did that change over time?

The revolution in the skating sport had come. The coming of alternative sport such as the BMX riding and the closure of skate parks due to the increased liability for insurance and skateboard manufacturers led to the decline of the Van’s demand. The death of the sport led to alternative production of shoes for riding, basketball and other sporting activities leading to the company’s exposure to excessive competition  from foreign firms such as Nike. The deep recession worsened the situation forcing the company to close one of its factories followed by the other.

How can the brand aggressively grow?(without repelling their hardcore consumers) Do you think that Van should attempt to become a $1 billion company? 

The brand can grow by listening to the tastes and preferences of the customers. They can also grow by identifying market niches such as sporting for Islamic women or among children. Another major way with which the company can grow is by product diversification to meet the needs of the emerging markets. Such initiative would expose the company to less risk, yet present it with a unique opportunity for growth and development. As such, the company stands to benefit from new markets in far off countries where there is less competition. The company may opt to grow to a $1 billion company if the strategy is well planned. When growth has been...