Nike Case Study: Created with AI
Brand Performance
A brand is the identity of a company that is represented in their marketing, advertising and the products they sell. Brand metrics include financial performance, social media sentiment and engagement, competitor comparisons. Brands are important to a company because they are what makes them unique and differentiate themselves from competitors. The Nike Impact series is a new line of sneakers designed for athletes who want to play hard and move fast. These shoes were designed with a low-profile, lightweight design that makes it easier to get the foot down in time for impact. Nike’s Impact series shoes are designed to offer the best, most responsive ride for athletes. The lower profile and lightweight design make these shoes more agile, giving the athlete a surge of speed when it’s needed. The Impact line has a high-traction outsole and is made with Nike’s signature Flyknit material. Nike is a multinational corporation that designs, develops, and sells athletic footwear, apparel, equipment, and accessories. The company was founded in 1964. Nike is the world’s largest seller of athletic shoes. It has more than 500 stores in North America alone. Nike’s financial statements are widely available on its website for public viewing. They include a balance sheet, income statement and cash flow statement. Nike’s Financial Statements show that the company has been doing well in the past few years. The revenue is increasing and profit margin is also going up. Nike’s Financial Statements show that the company has been doing well in the past few years. Nike has been able to maintain its market share as a leading brand in the industry by providing quality products at competitive prices. Nike has a long history of success, but in recent years they have struggled to increase their revenue. They have had to make difficult decisions to maintain and grow their revenue. Nike’s revenue growth strategies can be broken down into three categories: 1) increase their market share by increasing their brand recognition; 2) increase the number of people who are buying Nike products; 3) diversify their product offerings. Nike is a global company that is recognized worldwide for its athletic gear. They were founded in 1964 and have grown from being a small company with $1 million in sales to an international corporation with $35 billion in sales annually. Nike has always been known for its innovative products, but recently they have been struggling to find new ways of maintaining and growing their revenue stream. In recent years, Nike has had to make difficult decisions such as cutting back on advertising and reducing the number of stores they operate. They also made the decision to stop making golf equipment so they could focus more on other products and sports, where they can dominate the market best.
Key Persona
Nike is a company that knows what it takes to be successful in the competitive world of sports. The company has always been a leader in the industry, and it is now using data to fuel its innovation. Nike understands that customer personas are necessary for better understanding customers, which will help them create more personalized products and services. The Nike consumer is typically someone who is very competitive and takes care of their health. They like to focus on the elite. People who they see as great fits for their brand are people who are athletic, successful, outspoken, and are competitive.
The Nike consumer is someone with some sort of disposable income. They range in ages, as they make products for children and adults. The target audience is also not gender specific. Nike focuses itself on being inclusive for all who want to purchase. With their array of products, Nike have multiple brand personas to create depending on the product.
How is Nike Connecting to the Consumer?
The first step in Nike’s social media strategy was to create a brand-specific account. Nike created their own Twitter account (@nike) and Facebook page (www.facebook.com/nike). These accounts were created in March 2012. By April 2012, Nike had already gained over 1 million followers on Twitter. In June 2012, Nike launched its “Just Do It” campaign on Facebook. The campaign featured athletes including LeBron James, Kobe Bryant, Serena Williams, and others. The goal of the campaign was to encourage people to take action and just do something. On July 5th, 2012, Nike released a video featuring Michael Jordan talking about how he overcame his fear of failure. The video went viral and became one of the most viewed videos on YouTube. Nike has continued to use this trend of using powerful athletes to push their products. It is important for Nike that they are represented by the best of the best in every sport. They use advertising and social media to create hype around a product before it even releases.
They also use sponsorships to connect to the consumers. In addition to using social media to promote their products, Nike uses traditional advertising methods. Nike sponsors many sports events around the world. Nike also sponsors professional teams and players. One example of Nike sponsoring a team is the Portland Trail Blazers and their sponsorship of the NBA All-Star game each year.
Are Nike DTC?
Nike is trying to become a pure direct to consumer brand, but currently they have a blended distribution strategy. Nike Direct-to-Consumer (DTC) is a program launched by Nike Inc. in 2014. It was designed to provide consumers with access to Nike products at retail locations. DTC is a way for Nike to reach out to customers directly without having to go through traditional retailers. One step in this process was by creating the SNKRS app. This app by Nike was a revolutionary step in the footwear industry. It is the first ever mobile app which is built exclusively for sneakers and was a direct link from Nike to the consumer. The app offers an easy way to shop and buy shoes, track releases and get notifications on new arrivals. Nike has been using this app to create hype around their products before their release date. This strategy has helped them in getting a lot of customers on board as they are more likely to buy the product when it’s available in store or online. With SNKRS app, Nike has been able to tap into the power of social media and make it easier for users to share their experience with friends with just one click.
The Effect
By using Direct to Consumer, Nike has been able to expand their profits and also connect deeper with their shoppers. Being direct to consumer allows Nike to offer specific digital incentives to their shoppers, in order to sell more product. They are currently using this data to learn more about their consumers, so that they can market more efficiently. Nike DTC is profitable because it provides consumers with a great experience. Traditional retailers cannot provide the same experience. It provides consumers with exclusive content, product info, and special offers.
Looking Forward: ‘4 Ps’
Product- Nike will continue to push the market by creating new technologies than can be used by athletes on and off of the field. It is important for their materials to be lightweight and flexible.
Price- The price will continue to stay relatively the same. Going DTC will allow Nike to expand their profit margin.
Promotion- DTC is allowing Nike to gain more data about their consumers. This means that their promotions are more fine tuned to the individual, allowing for a better return on ad spend.
Place- By moving to a DTC strategy, this is allowing Nike to move online and away from traditional retailers.
