
The Wall Street Journal published an
interesting story regarding New Balance this past Friday which covered some new initiatives that New Balance is preparing to take on the Marketing front. I call it
interesting because historically New Balance has not been an organization known for making a big marketing splash. They've been known for developing that coveted grass root group of extremely loyal customers.
What you don't see is New Balance promoting stylish series of Lebron`esk commercials. Is that all about to change? Perhaps, the WSJ reported in this article that New Balance, as part of a broader overhaul has geared up and it tripling its advertising budget and doubling its consumer research budget.
How does that fare against industry leaders Nike and Adidas? Here are the 2007 advertising budgets for all three organizations. In 2007 New Balance spent $19.7M on advertising (
source TNS Media Intelligence). Tripling that budget is going to have an impact on the market and without question new consumers are going to see New Balance in a new light.

Expect to see the new ad campaigns kick off this week. Coinciding with the NCAAs we should be seeing the familiar "Love/Hate" style ads that we saw in the ad market place over the last couple of years.
So, who is New Balance targeting with these new ads? Youth, if you remember when Rob DeMartini
took over for Jim Davis the growth goal bar
was raised fairly high. Rob is expected to Double sales to $3 Billion by 2012. Rob knows he needs to reach out to new consumers to achieve these goals and at the same time continue to produce a great product that has generated legions of loyal customers.
If ever there was a company in a unique position to connect with new market segments it's New Balance. Why? They literally have millions of loyal evangelists already wearing their shoes. I randomly talk to folks wearing New Balance on a constant basis, they all have one thing in common... they love the shoes.
I believe that they'll hit their goals, how about you?
Here's one of the new Commercials.