Under Armour, Inc. (UAA): Marketing Mix Analysis [Dec-2025 Updated]

You're looking at Under Armour, Inc.'s latest strategy, and honestly, the numbers from late 2025 tell a story of necessary, painful pivots. After years of trying to be everything to everyone, the management is clearly resetting the brand toward a premium price point, aiming for a 160 basis point gross margin improvement this fiscal year. But this reset isn't cheap or easy: you see the pain in the channels, with e-commerce sales dropping 21% in Q2 and the North America revenue forecast taking a 14% to 16% hit as they prune distribution down to about 10,000 doors. Still, they are spending big on promotion-think Justin Jefferson and Gunna-to back this new, grittier underdog positioning. Let's break down exactly how this Product, Place, Promotion, and Price mix is supposed to deliver that adjusted operating income guidance of $185-$195 million for FY2025.

Under Armour, Inc. (UAA) - Marketing Mix: Product

The product element for Under Armour, Inc. centers on performance-driven apparel, footwear, and accessories engineered with proprietary material science to enhance athletic output and comfort across various conditions.

Financial performance for the second quarter of fiscal 2025, which ended September 30, 2024, showed mixed results across the core product categories. Total revenue for the quarter was $1.4 billion, representing an 11% decline year-over-year, though currency neutral revenue was down 10%.

The company's North America segment, which accounted for approximately 60% of net revenues for the full Fiscal 2025 (ended March 31, 2025), saw its revenue decline by 13% to $863 million in Q2 fiscal 2025. Net revenues generated from product sales in the United States for the entirety of Fiscal 2025 were $2.8 billion.

Under Armour, Inc. is banking on innovation to drive future performance, highlighted by the launch of a significantly strengthened product lineup coming in Fall 2025. This strategy is supported by a renewed focus on key performance categories, including running, training, and team sports.

For the running category, early 2025 releases showcased high-tech advancements. For instance, the Under Armour Infinite Mega road shoe, released in January 2025, carried a retail price of $250 and featured a 43mm heel stack. The Fall 2025 lineup includes models like the Under Armour Halo Racer and the Under Armour Halo Trainer, with the latter integrating HOVR cushioning for energy return and stability during hybrid workouts.

The product element is heavily reliant on its foundational material science, which includes several core technologies:

• HeatGear: Mentioned as continuing to deliver in base layers during Fiscal 2025.
• ColdGear: The Autumn/Winter 2025 Golf collection heavily features ColdGear Infrared technology for warmth retention without bulk, and the ColdGear Reactor fabric uses a fleece with soft, brushed nodes for warmth and mesh side panels for ventilation.
• HOVR foam: A proprietary foam compound developed with Dow Chemical, wrapped in an 'Energy Web' compression fabric, designed for endless energy return, cushioning, and shock absorption.

The focus on team sports is evident in product introductions like the Magnetico Elite 4 Junior football boots, which feature a super-soft synthetic leather upper and a knit collar for a sock-like fit. The brand is executing marketplace discipline by focusing on fewer, high-quality products to enhance brand presentation.

Under Armour, Inc. (UAA) - Marketing Mix: Place

Place, or distribution, for Under Armour, Inc. centers on a deliberate contraction of the wholesale footprint to elevate brand positioning and a strategic pivot toward Direct-to-Consumer (DTC) engagement. This involves a selective distribution strategy designed to maintain marketplace discipline and support a more premium brand image, moving away from broad, promotional availability.

The company is actively moving toward a DTC focused approach, seeking greater control over the customer experience and margin structure. The financial results from the second quarter of fiscal 2025 illustrate the ongoing transition in channel performance:

Within the DTC segment, the digital component shows significant, planned contraction in promotional activity, which directly impacts revenue figures. For the second quarter of fiscal 2025, the data shows:

• E-commerce revenue dropped 21% year-over-year.
• E-commerce accounted for 30% of the total DTC business for the quarter.

The reduction in physical touchpoints is a key part of this strategy to streamline operations and focus on higher-return channels. This effort aligns with past stated goals to reduce the overall physical footprint:

• The brand previously outlined a plan to reduce its North America wholesale partnerships, targeting a final footprint of around 10,000 doors.
• The company is modernizing its supply chain to enable better cross-channel capabilities and inventory availability.

This focus on fewer, more intentional distribution points supports the goal of establishing a sharper, unique approach to the brand position.

Under Armour, Inc. (UAA) - Marketing Mix: Promotion

You're looking at the promotional spend for Under Armour, Inc. (UAA) as the company executes its turnaround strategy. The commitment to amplify brand awareness is clear, with CEO Kevin Plank stating that fiscal 2025 would feature the company's "most significant marketing effort to date." This push included an announced additional investment of $25 million in marketing to help position the brand more strongly as a premium offering.

The digital focus is substantial, reflecting where the target audience spends its time. Estimates suggest that Under Armour allocates between 60% to 70% of its total marketing budget to digital channels. The annual digital marketing budget is estimated to fall in the range of $200 million to $300 million, with social media advertising alone consuming an estimated $50 million to $100 million annually.

Major campaigns in 2025 were central to this promotional strategy, designed to deepen the connection with football culture and a new generation of athletes.

• The "Be The Problem" football campaign launched on August 15, 2025, in the UK, France, and Spain.
• The "We Are Football" campaign debuted on September 4, 2025, celebrating the grit and culture of the sport.
• The "Be The Problem" anthem film debuted during the Manchester United vs Arsenal match on Super Sunday.
• The "We Are Football" campaign included a "halftime" performance presence at the MTV Video Music Awards.

Under Armour infused these efforts with high-profile talent to convey its message of resilience and grit, reinforcing its underdog brand positioning.

Engagement with Gen Z and cultural relevance was targeted through specific partnerships. The "Be The Problem" campaign utilized an enigmatic voiceover from Tricky of Massive Attack. The "We Are Football" campaign specifically included rapper Gunna, who also owns a competitive 7v7 football team. The overall brand messaging centers on supporting those who earn their shot through hard work, aligning with the spirit of athletes who have "no choice but to live by the rule of 10,000 hours of practice to achieve excellence."

The roster for the football-focused promotions included a mix of established stars and rising talent:

• Ferran Torres (FC Barcelona)
• Ibrahima Konaté (Liverpool FC)
• Pedro Porro (Tottenham Hotspur FC)
• Cam Ward (Tennessee Titans #1 overall draft pick)
• Jake Ferguson (Dallas Cowboys)
• Luther Burden III (Chicago Bears rookie)
• Zay Flowers (Baltimore Ravens)

The strategy deliberately moved away from high discounting online to protect margins, which contributed to a 23% reduction in e-commerce revenue, in favor of a stronger brand position.

Under Armour, Inc. (UAA) - Marketing Mix: Price

The pricing element for Under Armour, Inc. (UAA) reflects a deliberate strategy to move away from volume-driven, heavily discounted sales toward a more premium market position. This involves setting price points that better reflect the perceived value of the product and support healthier margins, even if it means sacrificing some lower-quality revenue streams.

The company is actively executing planned reductions in promotional activities, a key lever for margin improvement. This disciplined approach is evident in the direct-to-consumer channel, where eCommerce revenue has seen significant decreases due to these planned cuts in discounting. For example, in the fourth quarter of fiscal 2025, eCommerce revenue dropped by 27 percent due to ongoing planned reductions in promotional activities, which accounted for 37 percent of the total direct-to-consumer business for that quarter.

This strategic reset is directly tied to the company's financial targets for the full fiscal year 2025:

• Full-year FY2025 gross margin is expected to improve by 160 basis points.
• North America revenue is expected to decline between 14% to 16% as the company resets this business.
• Adjusted operating income guidance for FY2025 was raised to a range of $185 to $195 million.

The strategic shift to a more premium market position is supported by a clearer pricing architecture, designed to establish distinct product tiers and limit promotional dependency to improve long-term equity. The company is focusing on launching fewer, higher-value products, such as a new backpack priced roughly $80 to $100 more expensive than typical category offerings.

Here is a look at the established pricing tiers for key product categories:

The company is implementing minimum advertised price policies and tighter promotional windows to enforce these tiers. This disciplined approach aims to balance accessibility with premium cues, protecting margins while sustaining traffic across seasons and categories. You can see the impact of this on the overall business performance, with the gross margin for the fourth quarter of fiscal 2025 reaching 46.7 percent, helped by lower discounting.