seca group16 nike-buildingglobalbrand

8/3/2019 SecA Group16 Nike-BuildingGlobalBrand

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Nishtha Dewani-12143Jayawardhan-12328

Sushant Agarwal-12266Siddharth Goyal-12360

Abhishu Rakshit- FT12182

NIKE BUILDING A GLOBAL BRAND


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BACKGROUND

1960s-Phillip Knight(ceo) & William Bowerman partnered to sellrunning shoes to athletes

Initially named Blue Ribbon Sports later changed to NIKE in late 1970s

1964- Began importing Japanese brand Onitsuka Tiger running shoes and soled

them as theirs

1970- Sales increased from $10million to $270million in sales

1972- The Swoosh logo was first adopted


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BRAND IMAGE

Brand image is the subjective mental picture of the brand

Nike projects itself as a pure American icon and an aggressive and high performance oriented

brand which has always given priority to performance and durability.

It has associated itself with top notch athletes, who have been achievers and winners in their

fields. Through these associations Nike comes across as a masculine, serious, high

performance brand suitable for professional sports

Nikes innovative product strategy and its air technology have also created an innovative

brand image in the minds of the consumers


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BRAND EQUITY

Nikes Brand Equity is built through -

Brand association with famous athletic celebrities having same personality as thebrand. Nike signs top athletes of every sport worldwide in order to maximize itsrepresentation globally

Sponsorship programs

Focus on technological advancement

Premium positioning

Attitude

Logo

Brand name


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BRANDS

Converse

Cole Haan

Nike All Conditions Gear (ACG)

Nike+

Hurley International

Nike Golf


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Brand image- associations with the top athletes

Customer centric preferences- customer feedback was used to

design the products. Nike even designed a website which allowedcustomers to interact and create customized designs

Innovators- Nike constantly attempted to update itself from time

to time and ensured that its products were well differentiated from

its competitors

MARKETING STRATEGY


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SPONSORSHIP AND ENDORSEMENTS AN IMPORTANT ROLE

Using celebrities (Tiger Woods , Michael Jordan) to endorse its products - akey strategy of NIKE which helped in increasing the popularity of the brand

The right kind of associations through strategic sponsorships with sportingevents such as the Olympics, helped NIKE in establishing itself as a leading

sportswear company

Over a period of time such sponsorship and endorsements enhanced NIKEsbrand awareness, image and equity


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BRANDING CAMPAIGNS

1981 Print Ads showcasing John Mc Enroe in a nasty boy image

1988 Centralized print campaign introduce air technology

1989 Gospel campaign American look + Nike attitude + Tag

Line True to its soul + MTV Europe, star TV Asia and othernational and local networks

1993- Just Do It campaign

1994-1997 campaigns conveyed irreverent rebellious image

1994- 1st truly global advertising campaign sponsorships andadvertisements during 1994 world cup, the wall advertisement

1996- 32 separate print and television ads during summer Olympics+ print campaign If you cant stand the heat, get out of Atlanta +Nike vs Evil ads


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PRODUCT HIERARCHY

Class

Family

Need

Type Tennis Football

Comfort &

Safety

Sportswear Equipment's Accessories

Shoes Apparel/

Uniforms

Running Basketball


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NIKE STRATEGY IN EUROPE (1980-1990)

European market dominated by Adidas and Puma with 75 % market shareand with local and national level players allegiance.

Nike attacked a single sport at a time to developed the brand inEurope.Started with the track and field sport .

Positioned itself as an expensive brand focused on high-end market andignoring the average consumer for want of control on distribution andpromotion .

Imported American advertisement formats to be adapted for European

context . Separate promotional campaigns were conducted in different countries in

Europe.


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NIKE STRATEGY IN EUROPE (1990 ONWARDS)

Regained licensing rights from distributors

Increased advertising and promotion - exhibition tours by US OlympicDream Team

Used the popularity of soccer to gain brand acceptance in Europe, forexample winning of the 1994 Football World Cup by Brazil for which Nike

sponsored , helped it gain acceptance .

More soccer endorsements came ,for example, for Men and Women Soccerteams .

Advertisement campaign by Soccer stars and the Just do it campaign .

Two tier approach Individual markets featured advertisements with localheroes and local settings while all Europe saw advertisements of popularsports like soccer, tennis and track .


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NIKE STRATEGY IN EUROPE (1990 ONWARDS)

However Nikes rebellious nature of advertisements didnt go down well withpublic hence Nike adopted a gentler, kinder marketing approach.

Made its advertisements internationally appealing by featuring US sport starswith European footballers .

Though the advertisements were global still they were moderated by inputsfrom experts in the individual markets .

Hence this led to successful international advertisements suited to localtastes as well .


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NIKE STRATEGY IN ASIA

Asia had highest potential as over half of the world'spopulation resides here

Not focused Asia as target market before 1990's though it hadmanufacturing plants in Japan, Taiwan and South Korea.

Initiated marketing project to target customers in othercountries in Asia

Localized Brand Management Strategy: Improved localperception of brand by celebrating local athletes as Heroes

During recession in Asia:

Decrease manpower by 7%

Reduced advertising bidget by $100 milion

Dropped many lower profile endorsers and sponsorships


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CRISIS MARKETING

Accepted the mistake of inappropriate working conditions that they were accused ofand improved the conditions by bringing in norms and informing public about it

Became Charter member of "Fair Labor Association

Released Corporate Responsibility Report in 2001

Again in 2004, they accepted the facts and showcased the appropriate measures tothe public

The Swoosh Ubiquity Measures:

Swoosh was accumulating negative connotations

The top executives of Nike down played the logo by criticizing the marketing done for itand overdoing of the logo

Replaced swoosh from the corporate advertising and letterhead with lowercase "nike

Separate logo and marketing strategies for ACG and Golf Brands

Sub branding as the strategy to downplay swoosh - New logo


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THANK YOU

seca group16 nike-buildingglobalbrand

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