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Chanell Schamber
Jacque Combs
Sarah Lewis
The Company
Nike is the world’s renowned and leading supplier of athletic shoes
47% of athletic shoe market
with sale of U.S. $23.42 billion
and apparel. It controls more than
.
Founded in 1962 by Bill Bower became Nike in 1978. Supplying its
100 countries
high quality products in more than
with its
major target area including United States, Europe, Asia Pacific, and
the Americas. Nike has attained this legendary position through
innovative and attractive design, quality production and wise
marketing strategies and their marketing budget is
million.
$113
Mission Statement
To bring inspiration and innovation
to every athlete* in the world.
*"If you have a
body, you
are an
athlete."
The Market Place
Sector: Consumer Goods
Industry: Textile-Apparel
Footwear & Accessories
Strengths & Weaknesses
• A very competitive organization
• It is famous for its development and
research which is depicted in their
wide range of new products with
new designs.
• Its swoosh logo make it
recognizable all over the world.
• It promises to provide the high
quality products at reasonable
prices.
• Its products are globally available in
all leading marketing places of
World.
• Less diversity in the sport
products.
• The company does not
have its own retailers
therefore retailers are
price sensitive.
• All sizes are not present
in every design of shoes.
The Competition
Sales & Share-of-Market
Promotion spending
and share-of-voice
(SOV)
Nike controls the Share of
Voice with 57%
• Compared with:
• Adidas 22%
• Converse 15%
• New Balance 4%
• Under Armour at 2%
Sales and share-of-market
(SOM)
• Nike is the industry leader with a 47%
share of the market with $$23.42
billion in revenue.
• Reebok: 2nd leading manufacturer
with a 16% market share and has
$1.28 billion in revenue.
• Adidas: The fastest growing brand
domestically has 6% market share
and $500 million in revenue.
• Converse: 3% market share and
$280 million in revenue.
• New Balance: 3% market share and
$260 million in revenue.
Promotion spending/SOV
The company has used social media, commercials, official
websites of Nike and newspapers, to promote their brand.
Many well known athletes have endorsed the brand.
They sponsor events, and many sports team around the
world.
The Brands swoosh logo has played an important role in its
advertising.
The Customer
Anyone with a body
[focusing on women]
Demographics & Psychographics
• Focusing on Women
• Ages
–
–
–
–
18-24
25-34
35-49
50-54
• Psychographics
•
•
•
•
•
•
•
Young
Playful
Active
Health Conscious
Ambitious
Social
Positive
Marketing Segmentation
Right now there focus is Women.
The ads drew considerable attention – and
praise- because they advocated the benefits for
girls and young women of participating in
sports.
Current Marketing Purpose
The initiative is an example of
what is called cause
marketing or purpose
marketing. The term refers to
campaigns that assist what
companies deem pro-social
causes to improve the world
— and, not incidentally,
improve how current and
prospective customers
perceive them.
Marketing
Objectives & Strategies
• Maintain market share
(keeping it at 47%)
• Continue and constant
growth of social media
usage.
• Expansion of the
“Everybody is an Athlete”
mentality and the “Girl
Effect” campaign.
• Continuing to promote Nike through
multiple mediums and purchases
more media outlets.
• Expand the website and more usage
of Twitter and responding to all online
conversations.
• Implement more commercials and
advertisements with nonprofessional athletes.
2,460,000
Ongoing discussions (Forums, Blogs, Discussion Boards, etc.)
Communication
Target Audience:
• Women
Product Positioning and Personality:
• Making everyone an athlete.
Contact Points:
• Television, Magazines and Social Media.
Customer Benefits:
• Buy this shoe and you will be an athlete.
Value-Added Mission:
• Making the brand an everyday item through style and
function.
Marketing Strategies
•
Television
• Bravo
• E
• Comedy Central
• ABC/Family
• CBS
• NBC
FOX
• Magazines
• Seventeen
• In Shape
• GQ
• Vogue
• In Style
• Women’s Health
• People
• US Weekly
• Nylon
Events
• Have more Running Events
• Having a Charity
Component
• Women and Girls
Run/Walk
• Breast Cancer Walk
• Mall Events
• Having celebrity
endorsers sign shoes.
• Mall
• Macy’s
• Nordstroms
Action Plans
Personal Selling
Advertising
Sales Promotion
Direct Marketing
Public Relations
Corporate Identity
Sponsorships
Product Placement
Merchandising/Packaging
Budget
$113,000,000
 40%
TV and print advertising in the U.S. has dropped in the past 3 years.
Line Item Budget
Personal Selling ……………………$7mil
Advertising………………………… $22mil
Endorsements………………………$20mil
Sales Promotion……………………$10mil
Direct Marketing……………………$6mil
Public Relations/Corporate
Identity/Sponsorships…………………………$
15mil
Product Placement…………………$16.7mil
Merchandising/Packaging…………$5mil
Contingency…………………………$11.3mil
Thank You