Nike Marketing Strategy

Nike is one of the most respected brands out there. "Nike is so widespread across so many apparel and footwear categories, that right now I think their biggest competition is themselves," said by Ralph Parks who is the president of the 450-store Footaction chain. He also added that, "The brand is becoming bigger than life itself. " Nike has been around for over 50 years, and according the Nike website, they got their name from the Greek goddess of victory, and it is pronounced "ny'-kee." Nike, like many other companies, uses forms of elements like ethos, pathos and logos to manipulate viewers in there advertisements and commercials.

Nike draws in peoples’ attention and gets viewers to agree with them and buy their product with the help of these three factors. Nike is a very successful company because of how they draw in their audience and display their commercials using ethos, pathos, and logos. The company Nike just celebrated their 25th “Just Do It” anniversary. The commercial is filled with

Today, the imagery of the goddess Nike, and her name live on. Today one of the most popular shoe brands have the name nike. Nike (shoe company) has been manufacturing sports equipment since 1978. The name was chosen because nike is the goddess of speed and victory. The Nike sports brand logo has an indirect connection with the goddess Nike.

Nike and their Just Do it slogan is one that is very known throughout the world. Nike is a fortune 500 company. Nike is a major company in sporting products and has put a lot of time in developing the company reputation in reliable and good quality. Nike is very smart in marketing their products to the general public. They use all types of methods to get the company to attract consumers.

When it comes to athletic apparel, the first company people think of is either Nike or Adidas. Why is this so? Both Nike and Adidas have done an impressive job in marketing their products, with popular spokesperson like Kobe Bryant or Derrick Rose. Nike’s success is attributed to its products contributing to the success of the athletes who purchase them. Nike and Adidas seemed as though they had control on the athletic apparel oligopoly, but recently, Under Armour has become a serious competitor to the two companies.

Nike has sustained positive revenue in a worldwide market focusing on a healthy and active lifestyle. For the past 3 years Nike has gained a gross profit ratio of 8.73% in fiscal of 2013, 10.28% in fiscal of 2012, and 8.28% in 2011 . Thus showing the financial power Nike has, well the firm holds a net income of 2.5 billion in the fiscal year of 2013. Nike’s largest product category is footwear, representing over 55% of the companies revenue. Nike uses their financial resources ability to obtain large advertising plots, whether it is a commercial on television, advertisements on the Internet, or product promotion in athletic facilities.

Goals Nike focuses on pursuing opportunities and improving their product to enhance the human potential. Thereby they create product, services and experiences for athletes helping them overcome limitations such as climate and road types. Core Competency and Sustainable Competitive Advantage Nike’s have maxims to help Nike employees to create better products and provide better services for the customers. Henceforth creating better customer value compared to companies.

Nike has managed to shift their Manufacturing unit into Asian country’s were the labor is cheap to be exact wages of USD1 an hour were so little as one-tenth of those given in the US. No wonder that a pair of shoes which were sold for $150 in 1991 is made by indoasian women who were 58 cents a day but the situation has started to change and due to that reason the company has managed to minimize cost of production and not only double triple the the revenue as comparing to the year 1996. Finally we come up with promotion and advertising campaigns which became a grand success not only because they introduced sportspersons , they also introduced innovative ideas and wise strategies and the image of the Product, due to this process we can say that Nike targeted a huge no of audience and created a Prestigious brand which will be easily available for average people . they also came up with great tag lines such as ‘there is no finish life’ , and in the 1980 they changed it into “ JUST DO IT “ these quotes of tag lines are considerd very simple but very attracting and extremely encouraging for the customers .

In the assignment, it will discuss the sports brand Nike which specifically focuses in Chinese market. There are three main content areas in this assignment. The first part is a macro environmental analysis; the next part is the target customer profile; the last part is the analysis of marketing strategies. Macro Environmental Analysis: Nike is a very well-known market leader. It is an international brand, their products are selling in the worldwide including China.

2 LITERATURE REVIEW Several studies have been made on the branding of Institution especially, higher Institutions which includes Universities, Colleges and Business Schools. The importance of branding is well recognised in the branding literature. This chapter starts with a definition of key words in order to understand the terms of discussion and theoretical concepts relevant the research topic. The key words includes strategic positioning, brands, branding, business school, corporate branding, brand image and reputation and brand strategy, stakeholders.

Competitors: PUMA, K-Swiss Inc., LaCrosse Footwear, Inc., Dick 's Sporting Goods, Inc., New Balance Athletic Shoe and Adidas – (Adidas have currently branched out into customization of footwear products. To sustain its competitive advantage over competitors, Nike has to take this to consideration). However, a large number of competitors in an industry usually indicates lots of demand for the products or services provided and this will help Nike to succeed in the long run. Suppliers: Nike outsources almost all of its footwear production to independent third party suppliers. As Nike has a minor control over quality of the products.

Simply put, Nike’s target market is mainly customers who have more concern for the quality and utility of the product than they have for the price at which the product is being sold. This helps to ensure that pricing never has to be adjusted downwards in attempts to woo in a larger number of customers. For any company to achieve success from the marketing strategies that it has put in place, it has to ensure that its strategy is flexible enough to keep up with the changing times and to also accommodate a large variety of customers. So as to do this, it is imperative that the products being produced by the company be innovative enough to exceed what is being provided by competitors in every possible way. Nike chose to take this into deep consideration and this resulted in it making a few changes on its marketing strategy.

However, the prices are higher than other brands. Consumer feels that Nike overchanges its consumers and ought to lessen the cost of their items. Celebrity endorsements additionally engaged the consumer's having a feel of belonging, as Nike turned into a fulfilling toward its image. Product Positioning: Segmentation and Targeting: For “Just Do It” campaign, targeting market was: • Young people, from 20-30 years old, low and middle income and social

Consumer behavior towards Nike products Marketing is collaborating the value of a product, service or brand to customers, as a driving force to promote or sell that product, service or brand. Marketing procedures and skills embrace selecting target markets by carrying out a market analysis and market segmentation, as well as taking into account the consumer behavior and advertising a products value to customers. Marketing is the utmost vital aspect of developing and enlarging your business, and is a speculation that will recompense for itself over and over again. The term “marketing mix,” was first devised by Neil Borden, the president of the AMA (American Marketing Association) in 1953.

In addition, Nike products can also be sold cheaply and with its mass production benefits, Nike positioned The Promise and Perils of Globalization: the case of Nike 3 itself strategically enough to meet global demand. As stated by Hill, (2007) “Nike enhanced the productive capacity to meet the rising demand, hence; satisfying the customers’ needs.” The positive and negative impacts of this