nike brand case study

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The sensors work to steadily monitor, measure, and supply data looking at the landscape, impact of each step, athlete’s body temperature, environment temperature, and athlete’s heart rate. Therefore, Nike should distribute its products to more region and countries in order to capture more potential customers and achieve greater reputation. “But it started with our consumer, and we knew that consumers wanted a more direct relationship with us today.”. Most of the consumer of Nike’s products is mainly athletic. But the American sportswear giant’s performance during the pandemic, when its online sales spiked, signalled to many that Nike had the competency to prosper long term, in a future that will be increasingly defined by e-commerce and digital brand connections. This program represents the first time a company has offered mass footwear through the Internet and provides competitive advantages to Nike. In the long run Asian countries like China might as well take a long time to work with the company in terms of coming up with factories in china. This has make Nike to set relatively higher price than its competitors. It should also ensure that it differentiates consumers’ buying behaviors as it differs in different regions and countries and understanding this will be an added advantage to Adidas.Â, From the above analysis, we had understanding about the pros, cons and risks of Nike’s core marketing strategies with relevant marketing theories. What’s more, the war and fuel price fluctuations also can lead to unstable situation for Nike over the long period. Nike Over View •Nike is the Ancient Greek goddess of victory “It is one of the most recognized symbols in … Even if it means sacrificing everything.”. Adidas can also make provisions for consumers to customize their products online before it is delivered to them, this will give customers unique and a wide range of their products to choose from and will also allow them to understand what their consumers really want and focus on satisfying their consumer. Adidas will have to invest more money on advertising and create innovative means of advertising their product, having consumers in mind and following the trends of technologies, for example, Adidas can collaborate with IT companies such as Samsung to create innovative means of advertising their products. The costs are increase among handling inventory, designing, advertising and production. Founder Philip Knight believedhigh-tech shoes for runners could be manufactured at competitive prices … Nike focuses on creating premium consumer experiences on product innovation, brand leadership and elevated retail presence. Nike is the world leader in the manufacturing of sportswear and gear with more than 47 market shares across the global (Nike.com, 2011). The idea of Nike began way back in the 1950s. More, the product line is slightly different between Nike and Adidas. CASE STUDY OF “NIKE” Resource Person: Prof. Ghulam Ahmad Rana MBA Professional 4th Semester (Section E-9) 2. The action and attitude of Nike’s chosen spokespersons could bring the impacts on its promotional strategies. 5.1.2  Adidas and Reebok Reputation on Its Finances, Adidas and Reebok joining up together as a merger would be a good deal for leading over Nike but the two companies have a bad reputation due to financial problems which almost led them to bankruptcy and since they are to work together. Nike targets on the consumers who care more about the utility and quality of the products rather than the price. So Nike face the risk that fashion trends may change so fast that Nike fails to follow. The risks will have a negative influence about Nike’s future development, for example, the market share in the world, reputation, brand image and customer loyalty. Nike took a risk on the young athlete and signed a unique deal with Jordan to produce his own line of shoes. Smith L. C. (2010) ‘Marketing Strategies of Nike’ (online) (cited 10th March 2012). Â. St. John University (2004) ‘Nike (Nke)’, (online) (cited 1st March 2012). Case Study of Nike: Building a Global Brand Image. Lifestyle Branding and Market Research: A Nike Case Study. To deal with these problems, Nike has increased the products’ prices and reduces its marketing budget. Not all the customers can follow the changing of Nike. We discuss from the distribution, price, products design, promotion and advertising, market segmentation to analysis Nike’s competitive advantages in the global market. In order to sustain their dominance in the industry and retain their competitive advantages, Nike actively responds to the market trends and changes in consumer preference by adjusting their marketing strategies, the mix of existing product offerings, developing new products, styles and categories, and influencing sports and fitness preferences through various marketing strategies. ... One other con of the Nike brand is that the price of Nike products are quiet expensive as compare to other global competitors. Nike Case Study Analysis By Ahmed Samir Haitham Salah Magdy Essmat Magdy Mohamed Sherif 2. Nike’s targeting market is active people who enjoy high quality sporting goods, especially footwear. while paying these celebrities large amount of money (Bedar, 2002), as of 2010, Nike spent about $800 million on Nontraditional advertising by using other medium of advertising their products other than TV and has reduce TV and Print advertising by 40%, and in 2006, Nike introduced the Nike + Platform which is a multi-channel, multi-sensory integration between apple and Nike technologies that allows persons to track performance (Fluffylinks, 2012) in essence, Adidas will have a hard time trying to compete with Nike in terms of advertising and promotion, considering Nike’s utilization of low labor cost of production, Nike can afford to spend so much money in creating awareness for their products and gaining consumers loyalty by utilizing celebrities. All the above show a competent marketing management which can help Nike Keep their top market leaders and keep their competitive advantages. Â, Abhiroopsur (2009) ‘Nike – How the Brand Survived until Today’, (online) (cited 1st March 2012).Â, Adidas Group (2011) ‘Adidas Strategies’, (online) (cited 10th March 2012). brand architecture: nike free Within Nike’s overall brand architecture, they also have the Nike Free brand. For more information read our Terms & Conditions and Privacy Policy. Nike’s strategy is focused upon the young generation. What’s more, Nike should pay much attention to their R&D department to research out different kinds of people with different taste to get the market diversification goals. Hence, Nike should introduce new products to maintain its customer loyalty as well as attract new customer markets. Nike, Inc. is an American multinational corporation that is engaged in the design, development, manufacturing, and worldwide marketing and sales of footwear, apparel, equipment, accessories, and … Nike Case Study (Building a Global Brand Image) 1. This has created a relatively high level of Nike’s awareness. Boggan S. (2001) ‘Nike Admits to Mistakes Over Child Labor’, (online) (cited 2nd March 2012). In this case study, BoF breaks down Nike’s pioneering direct-to consumer strategy and how it has worked to the brand’s advantage, propelling its share price to new heights during the global crisis of 2020. Nike is the master of segmentation, their segmenting market typically target’s athletes, both women and men from the age 15 to 35. "Participants created more than 17,000 Facebook pages which reached an additional 5.5 million fans. It is noted that the Chance helped promote Nike and increase their fan-base. It brings risks to Nike because in the traditional mind of customers, they consider Nike only sell the athletic products. Nike maintains a positive, corporate culture within an innovative and profitable company. Nike is mainly focus on footwear for men and women who between 15 to 35 years old, while Adidas is specialize in footwear for men, women and children between the age of 10 to 30. Active Nike+ members can be considered brand ambassadors, whether they consciously embrace this role or not. For situation, in basketball the micro can watch how high the athlete jumps and how hard of a landing they make.  As many athletes demand goods created that can deliver   both watching and accomplishment bettering capabilities, they will find Adidas the solution thus leading to much higher revenue, profit, and market share in sports that Adidas already leads and in sports where Adidas lags in revenue, profit, and market share (Dogiamis et al., 2009), 5.2.2 Implementation of Rebranding Reebok Program, Adidas Group should phase out its high accomplishment athletic shoe line and reposition itself in the casual footwear and active footwear market within the next years. Nike outsourcing their products most of the factories are located in Asia such as China, Indonesia and India. But to achieve the reach required to scale its business, Nike’s distribution strategy had long-relied on third-party retailers to sell its products, even if the consumer experience offered by those partners diluted its brand. Nike's Run Club mobile app. Hassan Naseer 3328 Haifa Saleem 3336 Shakeel Aslam 3338 Nabita Ishtiaq 3353 Rana Tassadaq 3316 Wajid Ali 3335. Such an evolution is easier said than done, especially for a business as large as Nike in a category as competitive as sportswear. For example, when a celebrity athlete sponsors a specific brand of athletic shoes, the brand will be associated with success. Nike’s brand images, including the Nike’s name and the trademark are considered to represent one of the most recognizable brands in the world. How did Nike’s share price hit an all-time high in the middle of a pandemic? Written by Miles Media on April 10, 2016. when this is instilled in the minds of the consumers, more of Adidas product will be purchased by consumers as it will be perceived as durable and fashionable. Marketing Excellence NIKE(Case Study)Nike hit the ground running in 1962. Environmental: When you are working on a case study of a big brand like Nike, you are likely to find out how the mass production factories owned by the company are harming the environment. (AdidasGroup, 2011) It should use this opportunity to carry out precise marketing, by focusing on its segment market which includes the soccer, tennis and athletics teams and probably expand its focus to the up and emerging local teams in the grassroots, because, this group of people are keen about sports and spend time watching them on the TV but hardly get access to them unless they purchase the product themselves. Conclusion Nike is a well-known, successful company worldwide. Get a verified writer to help you with Case Study Analysis of Nike and Google. For example, Nike outsources their products to developing countries such as China, Indonesia, and Thailand. Nike put heavily proportion in their marketing strategies and products deign. Besides that, Nike also employed a large amount of advertisements through the mass media (Goldman S, 2000, pp 154). The expansion of their business will take a while to develop because they have to have strong advertising strategies until the Asians .If the Asians like their ideas then they might as well adjust to the culture in countries like china since it has the biggest population. Since Nike has implemented several marketing strategies, it had incurred high costs in producing and promoting its products. Never sacrifice values. It was founded on the 25th of January 1964 as Blue Ribbon Sports by athlete and MBA student Phil Knight and his coach Bill Bowerman. Introduction Nike is the brand in the case study. All rights reserved. Now Nike follows the global fashion trends and is well known and popular in the youth culture and hip hop culture to supply some fashion products. For instance, it will attract the athlete’s idolater to purchase the products if Nike using a popular athlete as endorser. Named after the goddess of victory, Nike, Inc. has spent the better part of 50 years establishing its reputation in the design and development of athletic apparel, footwear, and accessories. marketing strategy of Nike In recent decades, we have witnessed a high performance marketing of Nike which make its brand name is well-known all around the world. One difficulty most likely to be faced by Adidas is in its marketing, compared to its competitor Nike, Nike spends more money on advertising and promoting their products reputation, Nike spend about $1.13 billion as of 1998 involving celebrities like Tiger Woods, Micheal Jordan, Carl Lewis etc. Sarah Hopkins (2008) ‘Nike’s Marketing Strategies’, (online) (cited 9th March 2012). For another example, such as the social changes, women are becoming more fitness-conscious and are increasingly being targeted as growth potential in the sporting apparel and footwear industries. (Adidas-Rebook, 2011), 5.2.1 Develop the Small Computer “Smart Shoe” Product Line, The development of a product line of smart shoes will build on this reputation and show buyers that Adidas is humorless about innovation and using technology to advance athletic accomplishment. The researchers brought in 10 men and 10 women to run barefoot on grass to see exactly how the body reacts without shoes on. But now the global trends are to be fashion and personality. The fashion or the changing style products is unimaginative for customers to purchase. 3.0  CONS OF NIKE’S CORE MARKETING STRATEGY. What’s more, the risks of Nike’s core marketing strategies such as Nike cannot follow the world fashion trends, the profits has affected by the currency exchange and economic recession when expand to the global. Â. Nike has remained and continues to remain at the top in producing and distributing their sports clothes and equipments. The line of smart shoes combines a microprocessor or implanted controller, sensors, and tiny motors along with memory and battery. Case Study : Business and Marketing Strategy of Nike Nike is a sports brand that has builds its reputation over the years. Once the consumers develop the product intimacy, they come to associate their person with the products and will pay whatever price quoted on the products. Above all, Nike is a marketing company. Mini-case Study: Nike’s “Just Do It” Advertising Campaign According to Nike company lore, one of the most famous and easily recognized slogans in advertising history was coined at a 1988 meeting of Nike’s ad agency Wieden and Kennedy and a group of Nike employees. Although Nike’s marketing strategies had brings lot of positive implications to the company, but it will bring negative implications to Nike too. Reebok should first come up with a line of casual but well stylish shoes designed by Calvin Klein that blend quality and style. However, it should work with major fashion designers such as Calvin Klein to come up with a well stylish product line of shoes meant for active, casual use, gain brand image as an upscale and more cultured shoemaker. Site Map Adidas can capitalize on Nike’s weakness which is its focus on local market, Adidas can capture emerging markets, and already it has a lead in market such as India and Japan. ... Nike is a global brand … This had shown that there is less diversification of Nike marketing strategy. The company initially operated as a distributor for a Japanese shoe maker until 1971 when it began manufacturing its own products. Nike believes the “pyramid influence” that the preferences of a small percentage of top athletes influence the product and brand choice. On the other hand, if the athlete were caught in drug addicted or any immoral attitude, it will affect the customers not to buy Nike’s products, thus will affect Nike’s sales, revenue and profit. “It was definitely architecting a new retail, and a bold, retail vision for Nike,” said Heidi O’Neill, Nike’s president of consumer and marketplace, and one of the most prominent executives leading the brand’s new strategy in recent years. From his first season, Michael Jordan was a noticeably talented player. When Bill Bowerman and Phile Knight founded Nike, they aspired to inspire this myth in every product. 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