Nike's Brand Development Efforts
explanatory Essay
2189 words
Introduction
One of the fundamental parts of successful brand creation process is developing the strong brand image and communicate brand ID across all available media channels. This essay will discuss and evaluate companies NIKE marketing strategies in terms of companies brand development efforts. The company’s success in the footwear, apparel and accessory markets will be linked with marketing branding concept. Furthermore, the discussion on NIKE marketing strategies and their efforts to preserve and increase the leading market position and marketing activities to increase brand equity will be discussed and critically evaluated.
Nike today
Companies Nike main business activity engage the design, development and worldwide marketing of high quality sport shoes, apparel, accessory products and equipment. Nike is the one of the largest brands selling high quality athletic footwear, athletic apparel and equipment in the world. The products of the company sell to retail accounts in the United States and through the various independent distributors, subsidiaries and licensees in many countries around the world. (source Nike.com) In year 2012 Nike reported total annual revenue of $25,313 million and Net income of $2,485 million. (naikinc.com)
Historically, Nike engineered and manufactured the sports shoes for athletes to compete and train in. The company's marketing strategies was aimed to sport shoes segment of market that in short period made products so attractive and desirable that they became a must have accessory to the large number of American people. The Nike popularity rapidly grew around the world. The people who would not take part in sport activities on regular basis choose to wear NIKE as company grew in to being part of...
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...the time there was a lack of quality footwear and improvement in the athletic shoe market segment and that was exploited by the founders. In other words design and development of sports shoes was the core aspect of companies clarity in terms of vision and direction. Consistency subsection of 4-Cs framework can be linked to companies’ ability to constantly develop and improve. One of the Nikes success cornerstones is that company continuously investing in development and marketing. Credibility is embedded in Nikes quality of products. The fact is backed up by returning customers who are willing to repeat the product purchases and be part of the brand. In terms of competitiveness Nike has managed to hold on to their leading market position. Innovative products, strong brand and smart marketing campaigns enabled to keep ahead of their biggest rivals Adidas and Puma.
In this essay, the author
- Analyzes how nike's success in the footwear, apparel, and accessory markets is linked with marketing branding concept.
- Explains how the swoosh symbol helped nike establish as market leader in the sports equipment market.
- Explains how nike appealed to a wide range of customers with its latest marketing campaigns. brand extension is the use of established brands in new service and product categories.
- Explains that brand extension can damage the core brand reputation and even reduce brand equity that can be catastrophic for the future of the business.
- States that brand equity is a set of associations and behaviours on the part of brand consumers, channel members and parent corporation.
- Explains that a positive customer-based equity is likely to result in high customer royalty and low price sensitivity.
- Explains that nike's achievements in product development can be identified as constant battle for customer loyalty and positive customer equity creation. new product range stimulates product promotion activities that communicate corporate responsibility massages and let customers know their stance on environmental issues.
- Explains how nike developed a unique position in the marketplace through brand names, image, design, guarantees, packaging, and delivery.
- Explains that nike's main business activity is the design, development, and worldwide marketing of high quality athletic footwear, apparel, accessory products and equipment.
Related
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- Analysis Of Nike's Brand Equityexplanatory essayBrand Equity Nike is a very large brand, due to its size its target consumer is usually very broad. The brand motto is “Just Do It” which is meant to target ordinary people, showing that anyone can be an athlete and encourage health. This links it back to the Health Conscious City Dwellers as some of them do not necessarily exercise regularly but the NikeFuel bracelet makes exercise a part of the consumer’s everyday activities. Nike is usually associated with achievers, they endorse elite athletes in order to reinforce this ideal but also utilize the idea that it is possible for anyone to achieve greatness with the right amount of work. The NikeFuel’s slogan is “Motivation on your wrist”, sticking with Nike’s ideals of always encouraging
In this essay, the author
- Explains that nike is one of the first larger brands to enter a new market for sports bracelets.
- Opines that nike should adopt an aggressive strategy against its main competitors to increase market share.
- Explains that nike's brand motto is "just do it" which is meant to target ordinary people, showing that anyone can be an athlete and encourage health. fundamental decisions like positioning, targeting, objectives and budgeting are key elements to enhancing brand equity.
- Explains that nike's 'swoosh' is one of the most recognizable brands in the world. it is a motivational message to consumers that if they use nike products they too, may gain the ability to fly.
- Explains that nike is one of the most recognizable sportswear brands in the world. the ‘swoosh’ logo helps the brand with this, as its simplicity makes it easy to recall.
1504 wordsRead More - Nike's Branding Imageanalytical essayIntroduction: Nike, the popular manufacturer of footwear and sport wear, has become a famous trademark as McDonald’s, Coca-Cola and Pepsi. Greek deity was based in 1964 by track coach and runner couple Bill Bower man and as Blue Ribbons Phillip Knight Sports, afterward turning into Greek deity, Inc. in 1978. The name Greek deity was chosen in relevance the Greek divinity of conclusion. Nike Headquartered in Portland, Oregon.
In this essay, the author
- Explains that nike has been flourishing in building awareness. the 'swooshification of the world' image has appeared on shoes, hats, billboards and association football balls.
- Analyzes how nike has returned to the "mind" and "heart" of its customers by creating joga.com, a societal set of connections website for football fans.
- Explains that branding is a big role in any company to succeed in the industry and be competitive with the others.
- Explains that bruce, m. k. h. m, and a. j. hill, "fashion brand preferences among young consumers."
- Analyzes pope, n., "consumption values, sponsorship awareness, brand and product use." journal of product & brand management.
- Explains underwood, r., et al. building service brands via social identity: lessons from the sports marketplace.
- Describes valkenburg, p. m., and buijzen's findings.
- Explains that nike, the popular manufacturer of footwear and sport wear, has become a famous trademark as mcdonald's, coca-cola and pepsi.
- Explains that nike's name within the athletic footwear trade grew by the distribution of affirmative reviews by everyone shoppers and athletes.
1065 wordsRead More - Nike Analysiscomparative essaySince being founded in 1962, Nike has grown from a small fledgling shoe retailer into a world-wide corporate giant. During its first year, sales for Nike were $8000, but as of November 30th, annual sales for Nike were over 12 billion dollars. (hoover) Although Nike already dominates the sporting world, there are many opportunities for growth. According to our research, key strategic challenges facing Nike are increased competition from Adidas with their technological shoe, the Adidas One, and a potentially fatal inability to enter a new growth market such as the extreme sports market. Our recommendations to help Nike confront these challenges consist of developing a product to remain competitive with Adidas, and also an aggressive move into the extreme sports market.
In this essay, the author
- Explains that nike has grown from a small fledgling shoe retailer into 'world-wide corporate giant'. nike's key strategic challenges include increased competition from adidas with their technological shoe, the adidas one.
- Recommends nike develop a shoe that will compete with the new, technologically advanced adidas one running shoe.
- Recommends nike produce a shoe that exceeds the technological capabilities of the adidas one shoe, and offers an affordable approach to high tech footwear.
- Explains the steps nike must take in order to create the new running shoe.
- Recommends nike make an aggressive move into the extreme sports market. espn holds summer and winter x-games each year to cater to the youth culture.
- Recommends that nike move to gain a portion of the market for extreme sports by budgeting expenses related to sponsorship, advertisement, endorsements, and products for the new market.
- Explains how nike can ensure a smooth transition for both management and employees by using the following steps.
- Explains that training and educational opportunities help employees learn the new behaviors needed to implement the vision. the fourth step is institutionalizing or refreezing new approaches.
- Recommends nike use the five steps for planned change to help implement nike's recommendations of creating a new technological running shoe and entering the extreme sports market.
1775 wordsRead More - Nike Business Strategy Essayanalytical essayNike Inc. is a very successful publicly traded sportswear and equipment company based in the United States. Nike is a multi-national and Fortune 500 company. It has reached achievements in their innovation in products that Nike has become one of the most recognized companies today and companies dream to have what Nike has created. The main headquarters for the company is in the Portland area near Beaverton, Oregon. Nike leads the world in supplying athletic apparel and shoes. Nike shows how devoted they are in the satisfaction of their customer’s needs that it shines upon their mission statement and encompasses their vision. Nike ensures to go far and
In this essay, the author
- Explains that nike is a multi-national and fortune 500 company based in the united states.
- Explains that nike is the leader of the worlds manufacturing of shoe making and controls over twenty percent of us athletic shoe market.
- Explains that nike's strengths are built off strong banding and name recognition. they are financially strong and have strong international sales.
- Explains that nike makes most of its profit in footwear; they have plenty of other products that keep them as valuable competitors in the market.
- Explains that developing new and innovative products is the main focus to gain new opportunities in the market. focus on other product lines such as sunglasses and jewelry, it can have big price tags but will net high profits and expand its demographic.
- Explains that there are strong competitors in the industry such as adidas and puma. manufacturing cost could rise and lower overnight especially using foreign production.
- Analyzes how nike's creative product design and innovative technological developments is what separates them from other competitors.
- Explains that nike's core values rely on performance, authenticity, and sustainability. the company has a strong financial position and empowerment of the top management.
- Explains that nike has a large economy of scale and is able to retain performance advantage and control costs over emerging competitors.
- Explains that nike, adidas, reebok and under armor have grown immensely over the last two decades. the market growth rate is low due to the high market penetration from the few competitor firms.
- Explains that there are several substitutes of athletic shoes, but the threat is low because nike has unique products and functions.
- Explains that nike's supply or supplier can affect nike through the availability of raw materials, such as rubber, foam, and cotton.
- Explains that nike, adidas, puma, and reebok have similar products and quality. consumers are price sensitive when it comes to buying. brand loyalty and nike's continuous service is what allows consumers to stay loyal.
- Analyzes porter's five force model to compare industry competitors, and nike to the competition. many companies have tried to compete, but none have come close.
- Explains that nike is targeting new markets by expanding on to certain types of sports such as women's sports in soccer, to extreme sports and even racecar driving.
- Explains that nike is a big company with many opportunities in developing geographies such as china, central and eastern europe and other emerging markets.
- Explains income statement, balance sheet, cash flow statement and owner's equity statements.
- Predicts that the company will face cash flow problems in the upcoming period due to the inconsistent increase and decrease in cash flows from operating activities over the last five years.
- Explains that bill bowerman and philip knight founded nike in 1972. they wanted to show the world that every body is an athlete and prove that transforming technology through shoes and apparel can go to great lengths.
- Cites rowland, christine, and panmore institute's "nike inc. five forces analysis (porter’s model).
- Explains that a mission and vision statement are what nike is doing and what its main objective is, and the company's growth through innovation and leadership is how they see themselves.
- Explains that nike's history began in 1964 when bill bowerman and partner philip h. knight started the company as blue ribbon sports.
- Opines that there are plenty of opportunities for new competition in the market, but competing against a huge company like nike, it is almost impossible to be major threat to them.
- Explains that nike has entreated merger and acquisition strategies when the right moments appeared. nike only targets alliances with firms that are related to their existing markets.
- Explains that total revenue of the company has increased from $25,313,000 in 2013 to $27,799,000 in 2014 to $30,601,000 in 2015 and finally $34,350,000 in 2017.
- Explains that nike's financial performance has pleased investors, who now see a company where earnings are less volatile and less fad-driven, yet still growing rapidly enough to gain lots of profit.
- Recommends that nike concentrate on creating more of an impact to their international expansion. nike could build a stronger brand by taking advantage of certain events like the olympics and the world cup.
- Cites press, st. james, the motley fool, seth jayson, todd campbell, and seasonal investor database.
- Analyzes how nike's marketing mix and 4 ps of nike make up a significant portion of the overall footwear market.
5600 wordsRead More - Nike Case Study Essayanalytical essayThe creators of Nike Phil Knight and Bill Bowerman began in 1964, they used be name Blue Ribbon Sports. Little be known an athlete and track coach at University of Oregon would be on their way to create one of the most well known athletic brands today. At first, they began as an athletic Japanese shoe supplier and then eventually became what we know now as Nike. To this day they are the main supplier of athletic clothing, shoes, accessories today! Nike is one of the top sponsors for athletes, to name a few Michael Jordan, LeBron James, and Kobe Bryant are all phenomenal basketball players. Although Nike continues to revolutionize athletic wear and staying as number one on the leader board, such achievement wasn’t always there
In this essay, the author
- Explains that nike began as an athletic japanese shoe supplier and became what we know today as nike. the company went public in the 1980s after suffering from human rights and labor issues.
- Explains that nike had to take rapid measures to redeem its reputation and rectify problematic policies and lack of international oversight of its operations.
- Opines that expanding into foreign markets will be the hardest for nike because of their current reputation and the threat of globalization.
- Explains that nike didn't have any responsibility to supervise their supply chain, which led to nike losing 50% of its stock value. nike's scheme was to subcontract the work to manufacturers and sneak through the system to come out with more money.
- Analyzes how nike earned its rights back after the 1980's corporate social responsibility epidemic, where thousands of children were used for labor in the manufacturing process, and environmental issues.
1090 wordsRead More - Nike Commercial Analysisanalytical essayThe name Nike is derived from the Greek goddess of victory which is exactly what Nike has over its competitors. Nike has been around for 53 years starting in 1964 and is the leading revenue sports goods company in the world with 34.35 billion US dollars in revenue in 2017. It is not only the biggest sports brand but also one of the three largest apparel companies in the world along with Christian Dior and Zara. It is such a prominent brand that almost everyone has used a Nike product in their lifetime. CEO Mark Parker wrote, “like athletes all over the globe, Nike’s future holds nothing but limitless potential”. Everyone is confident in Nike and their ability to continue creating and producing high quality products that everyone can enjoy.
In this essay, the author
- Explains that nike is the leading revenue sports goods company in the world with 34.35 billion us dollars in revenue in 2017.
- Analyzes how the commercial appeals to pathos because it shows a wide range of people of different ethnicities, ages, genders and body types allowing the audience to identify with one of those people.
- Analyzes how the commercial appeals to the audience saying that there are always people out there looking for someone else to be on their team and encouraging the viewers to go outside and be active.
- Analyzes how the song "surfin' bird" by trash man is played in the background, creating an exhilarating 90 seconds to grab the audience's attention and spark some energy in them to be active.
- Analyzes how nike promotes their products to kids and teenagers by using famous athletes, such as andrew luck for football, mia hamm for soccer, mike trout for baseball, anthony davis for basketball, and misty may trainor for volleyball.
- Analyzes how nike's commercial appeals to pathos because it shows that the neighborhood is a low to middle class area that is not decked out with all the bells and whistles.
- Analyzes how nike creates the image that their products are top-of-the-line through pathos, logos and ethos. the use of repetition throughout the entire commercial of "were short a guy" makes it memorable even after the commercial is over.
1369 wordsRead More - Financing the Enterprise: Nikeexplanatory essayNike is a major power structure in the global economy, a financial land marketing powerhouse. On every level, they practice diversity, they are socially responsible, and Nike gives back to those who are less fortunate. Nike seems to keep improving on every level of business there innovative and never seem to stop looking for new ideas to keep the consumer excited waiting to see what next. Financially Nike has come from nothing five hundred dollars and an idea. This is what America is made of entrepreneurial-minded individual, which believes in an idea and make it come true with just a few dollars.
In this essay, the author
- Explains how nike has financed their ideas from the beginning with almost nothing. their subsidiaries are converse and hurley international llc.
- Explains nike's financial position, which is strong and grew from a five hundred dollar idea to the billion dollar industry.
- Explains that nike believes in keeping cost effectives product and sustainability human resources is major factor in financing operation nike sales on the open market and their first quarter earnings are in the billion.
- Explains that nike's three main product lines are made by 600 contract factories that employ more than 800,000 workers in 46 countries around the world.
- Explains that nike accepts all types of currency from, check, credit card as most businesses use a complex check system to make sure check are good and other form of payment are not faked.
- Explains how nike, inc. invests in communities through cash, product, and in-kind contributions. nike believes in the power of human potential.
- Explains that nike's strengths come from idea developments from nike consumers and sport figures.
- Opines that nike should bring manufacturing back to america so we can build a stronger economy in america.
- Opines that nike has plenty of opportunities by staying versatile and creating other product. nike golf plays a significant role in nikes future growth plans.
- Opines that nike is a major power structure in the global economy, socially responsible, and gives back to those who are less fortunate.
1342 wordsRead More - Nike Company Analysisexplanatory essayCurrently, Nike is the world’s leading innovator in athlete footwear, apparel, equipment and accessories. The company has had many successes since its’ beginning such as being named the No. 1 Most Innovative Company in Fast Company magazine’s annual ranking of the world’s top 50 innovators in February 2013, being awarded top honours by the Corporate Register Reporting Awards (CRRA) for Innovation in Reporting and Best Overall Report in April 2013 and also having Nike VP of Sustainable Business & Innovation, Hannah Jones, honoured as one of the three recipients of the 2013 C.K. Prahalad Awards, a prestigious award giving to companies, individuals and...
In this essay, the author
- Explains nike aims to sell sports apparels of premium build quality to every athlete in the world.
- Explains that nike is leading the market with 53% of the total market share, followed by adidas with 34%. reebok and puma control only 13%.
- Explains that nike segments their market primarily by regions, such as australasia, north america, asia pacific, latin america and eastern europe.
- Analyzes how nike attracts ex-users to use their products again by showing superior customer value when compared to other competitors. nike retains their hard core loyals by offering premium quality products with unique designs.
- Explains that blue ribbon sports was founded in 1964 as a distributor of tiger running shoes from onitsuka co., japan, by bill bowerman and phil knight.
- Explains that nike is the world's leading innovator in athlete footwear, apparel, equipment and accessories. the company has acquired sponsorships with many famous athletes from a wide range of sports.
- Explains that nike aims to be a sustainable company by abide by all environmental, safety, and health laws and regulations. nike seeks to increase their revenue through various strategies such as capturing customers’ attention through creative advertisements and innovative technologies.
- Explains that nike's innovative product designs and effective marketing strategies have allowed them to stand out among the many brands in the industry.
- Explains that the marketing environment is constantly changing, so it is essential to identify current and potential future trends. nike's strengths include a strong brand name, innovative products, and strong management.
1521 wordsRead More - Rhetorical Analysis Of Nikeopinionated essayNike is a worldwide known business that many people around the globe are attracted to purchase. They make a variety of products ranging from shoes and clothes to sports gear, sports products, and many different accessories. Nike is designed for everyone ranging from infants to elderly. Because of their range of age for products, this makes them a huge competitor. Being able to appeal to all ages and styles of people.
In this essay, the author
- Opines that nike's logo might be worth it for some while for others, not even a chance. nike is known worldwide for their athletic clothing and shoes.
- Explains that nike is a worldwide known business that many people around the globe are attracted to purchase. they are designed for everyone ranging from infants to elderly.
- Opines that when they walk into a nike store, they're so interested in all their products and want to see everything they have to offer.
- Explains that they like nike's unique style and the excellent quality of their products. they say they've never had fading, cheap fabric, or cheaply made materials.
- Opines that nike's advertising is inspiring and motivational, and the nike slogan 'just do it' plastered on so many products inspires others to get out and ‘just do it’ no hesitation.
- Opines that nike makes it easy to find and buy their products at any time.
- Explains that they love to wear nike apparel and match brands throughout their wardrobe making them want to buy more and have a variety of nike products, but it can be costly and limits the number of items they purchase at nike stores.
- Opines that nike's overpriced products are a disgrace, and that they never have coupons to reduce their costs and have better deals.
905 wordsRead More - Strategic Analysis Of Nikeopinionated essayNike Inc. was founded in 1962 by Bill Bowerman and Phil Knight as a partnership under the name, Blue Ribbon Sports. Our modest goal then was to distribute low-cost, high-quality Japanese athletic shoes to American consumers in an attempt to break Germany's domination of the domestic industry. Today in 2000, Nike Inc. not only manufactures and distributes athletic shoes at every marketable price point to a global market, but over 40% of our sales come from athletic apparel, sports equipment, and subsidiary ventures. Nike maintains traditional and non-traditional distribution channels in more than 100 countries targeting its primary market regions: United States, Europe, Asia Pacific, and the Americas (not including the United States). We utilize over 20,000 retailers, Nike factory stores, Nike stores, NikeTowns, Cole Haan stores, and internet-based Web sites to sell our sports and leisure products. We dominate sales in the athletic footwear industry with a 33% global market share. Nike Inc. has been able to attain this premier position through "quality production, innovative products, and aggressive marketing." As a result, for the fiscal year end 1999, Nike's 20,700 employees generated almost $8.8 billion in revenue.
In this essay, the author
- Illustrates how nike inc. achieved 300% revenue growth over a 10-year period, rising from 1990 sales of $2.235 billion.
- Explains that although revenues declined in 1999, net income increased by 13% over the prior year. sharp decreases in 1998 and 1999 were due to restructuring charges.
- Explains that phillip h. knight, chairman and chief executive officer, is the driving force behind nike's success since its inception in 1964.
- Compares reebok's products with nike, and explains that their financial position has been slipping for a number of years.
- Explains that nike inc. was founded in 1962 by bill bowerman and phil knight as a partnership under the name blue ribbon sports.
- Opines that the greatest challenge in 2000 will be to maintain operational and financial initiatives we worked so hard to implement in 1998 and 1999.
- Describes how bowerman and knight founded nike inc. as blue ribbon sports in 1962.
1544 wordsRead More