The Story Of NIKE — Sports, Enthusiasm, Advertising Legend

Pratiti Soumya
Aug 22, 2017 · 10 min read

This beaten road leads to the city stadium. It often reminds me of that warm October morning.

A decade ago, I was treading down this very same road, anxious. It was my final heat for a spot on the state athletics team. A chill ran down my spine. As I entered the arena, I could see a sea of youngsters swaying in the stadium. A low buzz of people’s chatter, like the hum of a honeybee, filled the air. The hair on the back of my neck stood up- I wasn’t prepared for this.

I could spot Tara somewhere in the stands. I ran up to her.

“’Tara”, I said, “I guess I cannot do this.”

Tara shook her head with an air of dismissal. She believed in me. Tara gave me a thumbs-up. It was my day. I was going to prove it to the World.

From the folds beneath her skirts she pulled out an orange shoe-box. I couldn’t believe my eyes. Tara had brought me her sister’s Nikes! Whoa. Those legendary Nikes in which her sister had won the National Tournaments.

Nervous as I was, I remember trying on those first pair of beautifully crafted Nikes. It felt sheer joy! I skipped and leaped and thanked Tara with all my heart. Into the stadium, I ran.

The gun fired. I ran. I pushed.

My legs churned as I ran to close the gap on the front lead. It was the last 50 meters… I didn’t care if I was going to die as long as I reached the finish line first. I had my Nikes on, and oh boy, sure as hell I did!

Now, every-time I run out of my running shoes, I need a pair of beautifully crafted Nikes.

Nike is not just about shoes, or sports, it’s also about emotion. The trademark Swoosh just compels you to buy everything- from wrist- watches to skateboards to swimming caps! Nike is a household name with 13000 products and over 19 billion in sales. Its product lines span across basketball, running, football, women’s fitness, men’s training among others. So how did it all start? Let’s tune back to 1962-

Founding Blue Ribbon Sports

Phil Knight, the co-founder of Nike, at the age of 14, wanted to make it to the high-school baseball team. Oh boy, he couldn’t make it.

So instead of the baseball team, he enrolled in the University of Oregon, where he ran track for renowned coach Bill Bowerman.

Image 1: The Onitsuka Tiger that BRS sold initially

During those early days, Bill and Phil agreed that the quality of running shoes could be improved.This was the beginning of Phil’s dream of one day founding his own shoe company.After graduating out of Stanford, Phil had an idea.Import better quality shoes from Japan and sell in the United States.

He approached Onitsuka Shoe company in Japan that manufactured shoes under the name- Tiger Shoes .The Japanese had an intention of penetrating the American shoe market and hence a deal was formed.

Phil Knight and Bill Bowerman were the co-founders of Blue Ribbon Sports.

In 1964, in its first year in business, BRS sold 1,300 pairs of Japanese running shoes grossing $8,000. By 1965 the fledgling company had acquired a full-time employee, and sales had reached $20,000!

From Blue Ribbon Sports to NIKE

By 1970, sales were doubling every year. BRS had a close-knit team of self-driven individuals who had a very strong sales and distribution system in place. Empowered by their own self- belief, they decided to end the deal with Onitsuka and go all out by themselves. The idea? To make shoes that runners want.

Its mission statement was

“To bring inspiration and innovation to every athlete in the world”

One of the employees suggested the name Nike- the Greek goddess of victory.

And thus Nike began.

Bill Bowerman came up with the first prototype of Nike shoes- The Waffle Trainer. Legend has it that Bill borrowed his wife’s waffle maker and poured urethane into it to make the first waffle sole.

Image 2: Nike ‘Moon Shoe’ worn by Mark Covert in the 1972 U.S. Olympic Trials

The Nike Logo

A designer named Carolyn Davidson used to drop in sometimes to the small office of Nike to design their Print Ads.

Now that Nike needed a logo, she was called in again. Bill asked her to create a logo that denoted motion. A logo that could fit into the aesthetics of a running shoe.

Motion?

She came up with initial prototypes that looked like lightening bolts and thunder.

Finally she settled onto something that looked like a Woosh in the air. It looked new and fresh, most importantly, the design was simple and eye-catching. This she did in 17 hours with a payment of $35 — what is today known as the Swoosh, its worth stands at $26 Billion Dollars!

Image 3: Nike’s initial logo design by Carolyn Davidson

Nike’s first Brand Ambassador

“Some people create with words or with music or with a brush and paints. I like to make something beautiful when I run. I like to make people stop and say, ‘I’ve never seen anyone run like that before,” Steve Prefontaine.

Image 4: Prefontaine was a fluid runner

Prefontaine was a fluid runner. It was beautiful to watch him sprint across the track. The secret of Prefontaine’s win was always his fire, his passion to win- that was also the core of Nike’s heart.

Also, Pre was from Oregon. He was raised among those lush forests. Nike knew that Pre was theirs- he would represent the core spirit of Nike as he captivated people’s imagination.

Nike today is worn by some of the World’s topmost athletes including Serena Williams and Roger Federer. Nike signifies achievement. Nike signifies the spirit of never giving up.

Not Just A Shoe Company

Product line Expansion

Basketball

In 1985, Michael Jordan was still up and coming, but he was an early star with his superior performance. Nike signed up Jordan. Its bet paid off and Nike has just flown off the shelves ever since then. The Air Jordan line of basketball shoes hit revenues of more than $100 Million Dollars in its very first year.

Besides Jordan, Nike continues to feature superstars such as LeBron James and Kobe Bryant.

LeBron James: “All do Some, some Do It All”

Football

In 1990’s, Nike began expanding to overseas markets such as Europe, where soccer had a cult following and evoked a strong allegiance from the fans. It signed up youth clubs, local and national teams. And this is how it gained significance in face of Sport behemoths such as Adidas.

In 1994, Brazil won the World Cup in Nikes. This helped launch Nike into their international markets. The allegiance for the brand grew more as it started becoming the face of winning.

In 2007, Nike acquired Umbro, a British maker of Soccer related footwear, apparel and equipment. This helped boost Nike’s presence in soccer as it became sole supplier of uniforms to over 100 professional soccer teams all over the World.

Golf

“You can always become better.”- Tiger Woods

The Nike Golf Brand has changed how professional golfers dress. It was initially endorsed by Tiger Woods, who was a key influencer in the Golf industry.

Tennis

In tennis, Nike has aligned with Tennis legends such as Roger Federer, Serena Williams, Maria Sharapova, Rafael Nadal among others.

Serena Williams, “ I definitely have found a balance

Cross Industry Partnerships

Nike Plus Partnership with Apple

Nike launched a technology called Nike Plus in association with Apple. It includes a sensor that runners put into their running shoes and a receiver that fits in their Apple products. This captures their mileage, pace, calories burned. Besides, Nike Plus is the World’s largest running club! The Nike+ digital ecosystem has over 8.5 million members globally, and Nike is creating a series of digital missions through Nike+ to motivate people.

Nike Partnership with Amazon

Most recently in 2017, Nike has announced partnership with Amazon.com. This would give it direct influence over product listing on the e–commerce website bypassing the third party providers. Thus, there would be reduction of counterfeit products as well as increased revenue for Nike due to direct control of their e-commerce presence.

The Advertising Legend

Nike Just Do IT

In 1988, Nike aired the first “Just Do It ” ad- campaign. Bill Bowerman believed that advertisements should not be just about products- it should also represent an emotion- something that was unheard of in the early days of advertising campaigns. The Just do it ads challenged individuals to achieve their goals and not give into fear. It was about faith, self-belief and confidence- the stuff that represents winning.

The campaign was such a huge hit- people all over the world could be spotted wearing Nike Swooshes on T-shirts, caps, jackets with those magical 3 words.The Just Do It Ad slogan became imbibed in the very fabric of Nike. The Just Do It Ads continue to this day.

Nike Women Ad Campaign

Nike says is its largest initiative yet in supporting and motivating women’s athletic journeys. It’s about “powering [women] to be better through services, product innovation and athlete inspiration, motivating each other to push to the next level,” Nike.

NIKE- “Find Your Greatness”

It is not just the championship athlete or record breaker that aspires to push their limits. It is also the everyday athlete who strives to excel on their own terms, to set and realize personal goals and achieve their own defining moment of greatness.

Why is Nike where it is today?

When Bill Bowerman and Phil Knight launched Nike, Adidas was the global behemoth. Phil never imagined that Nike could reach the position to where it is today.

Every new startup faces a unique set of challenges- So did Nike. So what worked for Nike?

Product Quality

While this euphemism has been repeated to death, startups in intial years focus mainly on numbers, their bottom line , their profit margins rather than exceeding product quality. The Onitsuka Tigers would have never sold in the United States if they were not better than the existing Adidas’. This helped in generating positive word-of-mouth about the brand and garner people’s trust.

Re-thinking their Customers

Nike co-founder, Bill Bowerman said,

“If you have a body, you are an athlete.”

This was the vision that Nike was founded with.

Unlike other Sports companies, Nike did not sell shoes only to athletes. They made shoes so desirable for every human being that inspired men to buy Nikes for any outdoor activity. Nike came up with innovative designs that made the whole look of a shoe so attractive, it was better to buy Nikes than any other normal shoe . Besides their comfort and product quality was an added bonus.

Rethinking what to sell

Nike never remained “only for sports” company. By innovating each time, they came out with apparel wear, sneakers, accessories and equipments. This was their vision of product line expansion of being relevant by providing associated goods and services to their customers. Thus, innovation was key to expanding their product line by always reconsidering what they want to sell. This also led them to form cross industry partnerships by launching NIKE PLUS .

Passion and Enthusiasm

Phil Knight was a passionate runner. He hired his initial team members who shared an equal enthusiasm for this sport. This enthusiasm trickled down the entire organisation, that made them take work as not work. It was their enthusiasm, it was their passion. This helped them achieve much more, because they understood the industry more closely, what their customers would want and exceed their expectations each time.

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Hi there! I am working on a new venture called The Business Spotlight.

If you liked the story, hit a like or share .

I am a passionate advertiser . If you want me to write a story/ article about your business , or want an advertisement, drop a mail . I also publish blogs, articles, newsletters on a freelance basis.

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