Complete Under Armour SWOT Analysis | The Clothing Company

The analysis of Under Armour SWOT will be a useful tool for examining the marketplace of the business and gaining a better understanding of its competitors. If you are the kind searching SWOT analysis of Under Armour, kindly read through this article because we have provided all the information needed.

Here is a summary table for easy access:

Topic Key Points
Under Armour’s Strengths
  • Global brand presence
  • Innovative marketing
  • Leading sportswear brand
  • Diverse product portfolio
  • Strong corporate reputation
  • Mobile apps and fitness tech
  • Wide distribution channels
Under Armour’s Weaknesses
  • High pricing limits some consumers
  • Expensive investment costs
  • Overreliance on U.S. market
Under Armour’s Opportunities
  • Growing fitness lifestyle trends
  • New products and markets
  • International expansion
  • Innovation and new technologies
Under Armour’s Threats
  • Competition from major rivals
  • Political issues and controversies
  • Federal investigations
  • Market instability and slowing sales


An Overview of Under Armour

Under Armour has become a global brand. It was established in 1996 by Kevin Plank who still happens to be the CEO of the firm at that moment. The American-based brand produces casual and sportswear as well as shoes and other accessories. From Europe to Africa to North America to Asia to the South American continents, it has a presence in every continent. After Kevin Plank left the position of CEO in 2019, Patrik Frisk took his position the following year.

The brand in North America accounted for 76.5 percent of the company’s sales in 2017, while Asia Pacific accounted for 8.7 percent of the total. Aiming to give athletes with the best quality T-shirts, the brand has stayed unrivalled in its quest to give more comfortable sportswear. This year, North America contributed 69 percent of sales, while Asia-Pacific accounted for 12 percent of the total revenue.

The items are made to be flexible in response to changes in the environment. Under Armor has grown to be the world’s biggest digital fitness and health brand as a result of its global expansion and continuous growth.
The firm currently employs 15,000 people and in 2020, the workforce grew to 16,400.

Under Armour SWOT Analysis

Complete In-Depth Under Armour SWOT Analysis

Through conducting a SWOT analysis, Under Armour can better focus its efforts on capitalizing on its strengths and opportunities while mitigating its weaknesses and threats.

Strengths Of Under Armour

There are major locations of the brand in North America, Asia Pacific, Europe, and Latin America. Due to its vast distribution techniques, portfolio, and high-quality clothing, the business has survived and prospered in the competitive market.

We admire Under Armour’s persistent use of unconventional marketing techniques. Production of a T-shirt that’s both lightweight and sweatproof is a great way that keeps the company shape.

Under Armour was finally recognized as a leading brand in the sportswear industry. The corporation now has the right to call itself the largest fitness company in the world, thanks to the release of its fitness applications.

Brand Portfolio

In need for Under Armour to develop, it sought a wide variety of products to offer. Not just one product is key to the company’s success. Shoes were just the beginning for this company, it later expanded into clothes and accessories.

The company’s wide range of products decreases the risk of its failure. As a result, the firm will continue to develop at a steady pace. During 2016 and 2017, clothing accounted for 67% of sales, while shoes and accessories accounted for 21%.

Corporate Reputation

In 2017, Under Armour was regarded as the sixth most valuable corporate brand worldwide.
Nike’s brand awareness has allowed them to establish an image for authenticity and dependability. As a result, shareholders are no longer concerned and are now spending heavily in the firm.

Utilization of Mobile Apps

MyFitnessPal, MapMyFitness and Endomondo are all available in the Under Armour app store. It has the ability to expand its resources, boost its economic potential, and sustain its industrial revolution capabilities.

Networks of Distribution

Under Armour’s quick rise has fascinated investors. An innovative strategy to function across several channels has made this possible for the organization.

The majority of its earnings come from the wholesale market, while one-third comes from direct customer sales. Several countries now have license arrangements to order for the company’s goods. These modifications have contributed to the global growth of the company.

Under Armour’s Weaknesses

Weaknesses are simply the reverse of strengths and consist of internal variables that erode competitive advantage. These constraints might restrict a company’s growth, earnings, and client base. In addition, it might have various negative consequences. The following are a list of Under Armour’s weaknesses


Under Armour provides a high price for high-quality items. However, the high price may hinder the growth of Under Armour’s products which may be unaffordable for middle and lower-class consumers. It is one of the reasons why some clients have shifted their business to cheaper rivals.

Expensive Investment Costs

Over the years, Under Armour has been engaged in the investment market. Most of these investment opportunities have contributed to the company’s overall growth. However, some have also resulted in losses and proved to be poor choices. Under Armour’s heavy investment expenses have been one of its key drawbacks.

Dependent On The US Market

Under Armour has a worldwide presence across numerous regions. However, the corporation also relies on the US marketplace for a large portion of its entire revenue. Under Armour has been effective in utilizing the market and making income from it. However, this reliance has also impacted company profits throughout the years.

Opportunities For Under Armour

Under Armour has a tremendous chance in this market, as the “fit” lifestyle continues to gain popularity. As the number of fitness enthusiasts continues to expand, social media will always be a vital element of the sports industry.

Under Armour’s target group is readily extended to incorporate children’s collections. Additionally, the corporation may expand by diversifying its product range and adopting new sports forms. It can also apply marketing strategies to target female consumers

Global Market

In global markets, Under Armour has several potential to increase sales and attract new customers. During the second quarter of 2017, the company’s revenues grew by 57 percent. This number indicates a favourable outlook.

Introduce new items

Under Armour is proud of its creativity. Since the company’s start, its goods have been highly evolved. This gives it the ability to continue delivering superior products with the appropriate modifications. Expanding its product offering will gain new clients and eventually help the business.

Under Armour Threats

Increased Competition

Nike and Adidas are the biggest competitors of Under Armour. The two firms have more brand awareness and superior international operating expertise. This has helped them develop a larger consumer base, which might pose a challenge to Under Armour in the future.

Political Polarization

The recent issue with the company happened during the Trump regime. CEO Kevin Plank initially backed President Trump, but then withdrew his support as a consequence of Trump’s public behaviour. In the midst of political divisiveness, this issue has not eased for the operation of the. In fact, the corporation has jeopardized its operational capacity.

Federal Investigations

Kevin Plank, the company’s CEO, and David Bergman, the company’s former CFO, are both being investigated for possible violations of federal securities laws. As a result of the case, the founder was asked to withdraw. Under Armour’s activities and financial stability may be put at risk pending the results of current investigations and court rulings.

Market Uncertainties

Under Armour’s profits have dropped as a result of the current market instability. The company’s net revenue declined by 41 percent to $707.6 million recently. Also, wholesale business sales declined by 58 percent and direct-to-consumer sales by just 13 percent. Under Armour will suffer considerably more losses if the current state of affairs persists.


What is under Armour’s competitive advantage?

Under Armour has a significant cost of sales advantage over its main competitors because a larger proportion of its sales come from direct to consumers. This is because Under Armour’s customers are more likely to make purchases online.

Who is Under Armour’s biggest competitor?

Nike, Adidas, and PUMA are major Under Armour’s main rivals.

What is Under Armour’s business strategy?

In 2022, Under Armour will keep pushing the run category further by putting a laser-like focus on making products that meet the requirements of UA Run customers, especially those of our female athletes.

Who is the target consumer for Under Armour?

Under Armour markets to middle-class and wealthy men, women, and children. An average Under Armour buyer cares about fitness and nutrition. Performance clothing, athletic shoes, and sports accessories from this company are of high quality and appeal to a broad range of people.

Who is bigger Under Armour or Nike?

When it comes to footwear, Nike is unrivalled, but when it comes to clothing, Under Armour is one of the most exciting new brands.

Final Thought About Under Armour Swot Analysis

A thorough SWOT analysis led us to the same conclusion: Under Armour is, without a doubt, the most successful sports equipment manufacturer in the world.

Some of the most significant difficulties include the lockdown, the restricted global presence, the rivals, the defective cups, and the economic recession. To maximize its potential, Under Armour needs to better exploit existing markets and develop its e-commerce facilities.

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