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Our product

What is Nike?
Nike is the leading designer, marketer and distributor of athletic footwear, apparel,
equipment and accessories for a variety of sports and fitness activities in the world.
The product we chose is Nike shoes which is very popular product among the
youngster and athletes in U.A.E. Nike has an already brand name in the market.
The shoes can make our feet free. This service was used before Nike Free 3.0 V4
and Nike Free +3 appeared on the market. The customers can choose Nike Free 3.0
or 5.0 to have the suitable shoes. They also can select their favorite color to show
their personality. Actually, there are many famous persons who have chosen this
service. These people include Li Na, Liu Xiang, American sprint athlete Allyson
Felix, Soda green band's lead singer Wu Qingfeng.
The message we made for the promotion of Nike shoes through media is:
It gives we the Nike feel just do it

Our primary target market is athletes in U.A.E and around the globe. Through this
print media add we will attract our customer through excitement as the football
world cup is also coming so its very good time to target our customers by creating
some passion of sports in them by using this print media add. BY using this ad we
will target our primary market through internet where we can easily communicate
them in the form of this add.
Nike demographic segment
By age

By Gender

Goals
Nike Mission Statement: To bring inspiration and innovation to every
athlete in the world
Nikes goal is to carry on the legacy of innovative thinking; whether that
involves developing products that help athletes reach their full potential, or
create new business opportunities that set them apart from the competition.
The other principle goal of the company is to create business opportunities
that set Nike apart from the competition and provide value for our
shareholders.

Nikes Marketing Strategy


Nikes marketing strategy reposed completely on its brand image, which has strong
global presence and continued to grow over the years.
The brand image has kept floating as the result of solid relationship with Nikes
logo that is unique in itself. Further uniqueness and brand image is created with
shibboleth Just Do It.
The logo and shibboleth has been extensively used in TV commercials and web
advertorials. Nike is amongst the leading companies which are heavily investing
on print and TV commercials.
What is the Market Segmentation of Nike?
Most of the customers of Nikes products come from one or the other form of
sports fraternity. Nike encourages the advertisement of its products by entering
into the sponsorship agreements with celebrity athletes, professional teams, apart
from the college athletic teams.
Advertising
It was in the year 1982 that Nike for the first time came live for national television
ads during broadcast of the New York Marathon. The Cannes Advertising Festival
offered Nike as its Advertiser for the Years 1994 and 2003, making it as the first
company for receiving the honor twice.

Nike got Emmy Award for best commercial twice ever after the award was first
created in year 1990s. The first award was The Morning After, a sardonic look
that the runner faces on the morning of January 1, 2000 if Y2K problem turned out
to be a reality. The second was a 2002 spot named Move, shows sequel of wellknown and everyday athletes in different athletic pursuits.
Nike also used Beatles song Revolution in a 1987 commercial. In this manner,
Nike made a string base of number of consumers and these were the consumers
who had pretty good intentions to buy.
Nikes Product Strategy
Nike puts in place variety of innovative strategies for targeting their instantaneous
consumers; athletes and other sportsmen. The targeting strategies primarily go in
the form of sponsorship advertisements.
By focusing on the athletes, Nike is trying to reach to maximum number of athletes
in less of time. In a scenario where the team manager of any team recommends
Nike shoes, the whole team is left with no other choice except to go for the shoes.
The second strategy applied by Nike is to exclusively design the product
destination. This is done by closely associating success with particular Nike shoes
category. Here the effect is further increases by using the sub minimal concept of
advertising.
Nikes pricing strategies
Nike always targets the customers who develop a special kind of intimacy with the
product that ultimately leads to the development of loyalty.
It is due to this reason that Nike has established itself in the market with the
products higher in price than its competitors. With the high pricing points, the
projected value of product can move up significantly.
Taking the consumer trend into account, the Psyche of consumer demands that in
the situation where the quality of product is high, consumers can go ahead to pay
high price for the product and that too consistently. After the loyalty has been
established between the product and consumers, Nike takes the advantage to

associate their consumers with their price. Nike knows that consumers will be
ready to pay for the product, provided it bears the Nike Logo.
Furthermore, Nike also brings into practice the vertical integration pricing,
wherein, they take the advantage of ownership of consumers straight to the channel
levels. They also go for the assorted channel level operations with the purpose of
controlling the costs as well as persuading the price graph quite substantially.
Nike Marketing Mix
Nike is one of the pioneers in marketing and the marketing mix of Nike is one of
the strongest. Depending mainly on pull strategy, it has established its hold in face
of major competitors like adidas and reebok. Read on for its product marketing
mix.
1. Product
Nike offers a wide range of shoe, apparel and equipment products, all of which are
currently its top-selling product categories. Nike started selling sports apparel,
athletic bags and accessory items in 1979. Their brand Cole Haan carries a line of
dress and casual footwear and accessories for men, women and children.
They also market head gear under the brand name Sports Specialties, through Nike
Team manufactures and distributes ice skates, skate blades, in-roller skates,
protective gear, hockey sticks and hockey jerseys and accessories.
2. Price
Nikes pricing is designed to be competitive to the other fashion Shoe retailer. The
pricing is based on the basis of premium segment as target customers. Nike as a
brand commands high premiums. Nikes pricing strategy makes use of vertical
integration in pricing wherein they own participants at differing channel levels or
take part in more than one channel level operations. This can control costs and
influence product pricing.
3. Place
Nike shoes are carried by multi-brand stores and the exclusive Nike stores across
the globe. Nike sells its product to about 20,000 retail accounts in the U.S. and in

almost 200 countries around the world. In the international markets, Nike sells its
products through independent distributors, licensees and subsidiaries. The
company has production facilities in Asia and customer service and other
operational units worldwide
4. Promotion
Promotion is largely dependent on finding accessible store locations. It also avails
of targeted advertising in the newspaper and creating strategic alliances. Nike has a
number of famous athletes that serve as brand ambassadors such as the Brazilian
Soccer Team (especially Ronaldo, Renaldo, and Roberto Carlos), Lebron James
and Jermane ONeal for basketball, Lance Armstrong for cycling, and Tiger
Woods for Golf.
Nike also sponsors events such as Hoop It Up and The Golden West Invitational.
Nikes brand images, the Nike name and the trademark swoosh; make it one of the
most recognizable brands in the world. Nikes brand power is one reason for its
high revenues. Nikes quality products, loyal customer base and its great marketing
techniques all contribute to make the shoe empire a huge success.
New Online Media Plan

Nike has a very loyal consumer following, across the board in all aspects of
sports and fitness. There needs to be a more consistent way to communicate
with the consumers who are not only loyal followers but also attracts new
consumers.
A new plan needs to be put in place to increase online sales of Nike products
and traffic to the Nike websites.
Incorporating more fan interaction and update geared advertising to inform
consumers off all the behind the scenes and buzz worthy things the Nike
brand is currently unveiling and offering will be a primary focus of this
online campaign.

Message & Media Strategy plan:

The strategy plan we use to target our market is through social media and internet,
through which we can easily target of customer and will create the awareness
among the customer about Nike shoes.
An effective digital marketer will be acutely aware of conversations online that are
relevant to their brand and product or service offering. They'll jump into a
conversation when necessary to help answer a question or provide insight. They'll
also help manage online discussions about the brand. And they'll engage their
audience and get them excited about what the company is doing.
Email and Google
The first thing that we will use for this campaign is retooling the email list
service to incorporate more offers and insight to the consumers.
Google and Google Ad words are also an important tool to use in online
media. We will Make sure that Nike shows up relatively high in search
engines and gets numerous hits of keywords like sports apparel which will
be a great driver for increasing online traffic and potentially sales. And we

will also use ad words for sponsored spots on Googles search engine which
is a great way to attract more hits. Using pay per click method.
After using a good Email and Google Strategy to play off each other is a
great base to attract new consumers to the brand.

Social Media Tools


We will capitalize on the opportunity of using these social media tools to
increase the fan interaction and dialogue with the consumer for the
promotion of Nike shoes.
Creating verified Face book and Twitter accounts for Nike and the numerous
subgroups and sports divisions will be a key component in being able to
provide consumers with constant streaming information and in return receive
critical feedback seamlessly.
Together Face book and Twitter can target not only new consumers all over
the world with fan pages and face book ads and sponsored tweets, but can
also maintain and build the relationship with the loyal consumers in
numerous demographics and sports.
One of the best parts of Buffer is its speed in being able to schedule posts
throughout the day and its simple, streamlined interface. It's very easy to
login to the system, compose an update, and publish it to Facebook, Twitter,

LinkedIn, Google Plus, or all four channels at once. And then you can view
analytics (without having to navigate onto a new page) that give you insight
into clicks, reach, and more.

Metric Success
The success of this new strategy should be measured in a couple of key
ways, first with the declining rates of the online sales, we would like to see a
6 to 7% increase in the online retail spending from consumers, and increase
in viewership of the Nike websites and Face book and Twitter pages.
Also increasing the page rank and relevance on Google and Google Ad
words should help gage the success.
Proposed Budget
Nike spends roughly about 12.4% of its revenue in advertising costs, which
equates to roughly $2.8 billion.
About $500 million is spent in endorsements deals.
The proposed budget to be allocated in this new online media strategy will
be roughly $500 million.

Timeline for the Message & Media Strategy plan


The timeline for this campaign will work in a couple of different
movements. The whole campaign will work over the whole calendar year,
but the peak times of the campaign will be during the beginning of each key
sport season to match each key sport sub group.
A specific Nike Football strategy will be started in July through Fall
A specific Nike Basketball strategy will be started September through June
A specific Nike Baseball strategy will be started March through the summer.
The other sub groups will match up with their respective sport.
The main Nike strategy will work continuously.

The marketing concept we use in making our advertising plan


We use internet marketing for our advertising plan because it is the cheapest
way of marketing and targeting the customer. The internet has become an
all-pervasive force, not just in business but in peoples day-to-day lives. Its
impact on the world of marketing has been immense, with many businesses
now spending significantly more on web-based marketing than on traditional
offline marketing activities. Increasingly, the battle for customers is being
fought online.
The benefits of an effective online marketing campaign are significant but
businesses that ignore the digital sphere do so at their peril. If we are to

maximize were chances for success, we must investigate how we can make
the internet work for us. As Nike has already a brand name so it becomes
easy for us to promote our product on internet.
Through internet marketing we can easily analysis our performance that how
much effective our advertising campaign is working so that we can take
some other preferences to increase its efficiency. Internet marketing is
important because it aligns with the way consumers make purchasing
decisions. Studies by analysts such as Gartner indicate that increasing
numbers of consumers use social media and research on mobile Internet to
carry out preliminary product and price research before making final
decisions. Internet marketing enables us to build relations with customers
and prospects through regular, low-cost personalized communication,
reflecting the move away from mass marketing.
By marketing on the Internet, we can overcome barriers of distance. We can
sell goods in any part of the country without setting up local outlets,
widening were target market. We can also build an export business without
opening a network of distributors in different countries. However, if we want
to sell internationally, we should use localization services to ensure that
were products are suitable for local markets and comply with local business
regulations. Localization services include translation and product
modification to reflect local market differences.

Nike targets youth with social campaign


Nike is reaching out to young audiences with a new social media campaign that
calls on youth to share their own sports story.
The campaign, called What do you play for? is aimed at getting youth excited
about their own involvement with sports and sharing their stories. The effort is
collaboration between the athletics brand and Youth Noise, a social network for
teens and social media firm Brickfish.
The new campaign is part of Nike's push to build an online community in the youth
demographic in which youths can share their personal stories about sports and to
encourage these youths to be creative about telling their stories visually.

Good Content Marketing Doesnt Sell, It Spreads


Content marketing is growing, and that usually brings fuzzy definitions that blur
the lines between what something actually is and what it is becoming. Content
marketing is often pegged as a process rather than a technique, but content
marketing doesnt depend on a specific set of tools or a common workflow. It is
about providing value and building trust with customers.
Strength and Weakness of marketing activities
Nike has much strength as a company as well as weaknesses. Nike is the leading
and most recognized name in active sportswear. The Nike swooshes sign and their
slogan Just Do It are loved by everyone and when you hear it you instantly think
Nike. Nike has no factories; instead of building their own factories, Nike uses
contract factories around the world to make their products. They have contracts
without over 700 shops globally in about 45 different countries. Nike employed
approximately 30,000 people around the world. Nike manufactures not just shoes
but shirts, sweatshirts, sweatpants, hats, sports equipment and other accessories
and distributes them all over the world. As a company to make sales and profits
bigger, Nike makes very strong marketing efforts by endorsing athletes such as
Michael Jordan and Derek Jeter to wear their merchandise to attract the customers
even more to buy their goods. Some Weaknesses of Nike though are it is
considered as the expensive brand and is difficult for third world and Asian
countries to afford their products. Nike is also criticized for making their products
in third world countries, breaking many labor laws and paying the workers below
minimum wage to make more money as a company.

Free Running
In order to promote its new Free Running shoes Nike will launched a social
campaign that will challenged runners to clock their fastest time over two miles
using Nike+.
To add a sense of fun to the competition the company will tie it into an original
karaoke song, with the idea being that a strong runner should be able to sing while
running.
.

Media marketing Strategy Objectives


Media strategy messages should reinforce product benefits and help the company
develop positioning strategy for products. Media strategy is how the organization
delivers its message to customers; consumers and businesses that the firm would
like to sell to. A firm's message strategy will incorporate aspects of the
promotional mix and take the behavior, wants and needs of their target audience
into account. A firm's media strategy is a long term plan which runs through all
communications internal and external. Media strategy could be the difference
between success and failure.
Task 2
No

Tasks

Start Date

End Date

1
2
3

Online marketing
Blogging
Planning the future
strategies
Controlling the budget

January
Feb
March

March
November
April

January

December

Managing the new


campaigns
Finding new innovative
strategies

May

June

November

December

4
5
6

Resources
Required
IT experts
Good writers
Project
mangers
Finance
Experts
Good strategic
team
Innovative
employees

Reference
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"Feature." Nike Biz. (2009, 11 12). Retrieved April 02, 2010, from <http://www.nikebiz.com/#>
"History." Nike and the American Body. (n.d.). Retrieved April 02, 2010, from
<http://xroads.virginia.edu/~CLASS/am483_97/projects/hincker/nike.html>
"Nike Ethics" Slide Share Present Yourself. (2007, 11 01). Retrieved April 02, 2010, from
<http://www.slideshare.net/eonemo/nike-ethics>
"Nike's Labor Practices.". (ICMR. 2002). Retrieved April 02, 2010, from ICMR Center for
Management Research:
<http://www.icmrindia.org/casestudies/catalogue/Business%20Ethics/BECG018.htm>
Archie B. Carroll, A. K. (2008). Business and Society: Ethics and Stakeholder Management.
South-Western College Pub; 7 edition.
Nike's New Game Plan for Sweatshops. (Online Extra.2004, 09 20). Retrieved April 02, 2010,
from Business Week:
<http://www.businessweek.com/magazine/content/04_38/b3900011_mz001.htm>
Poulomi, S. (2004, 11 08). "Nike develops a 'balanced scorecard' for ethics integration." Ethical
Corproration. Retrieved April 02, 2010, from
<http://www.ethicalcorp.com/content.asp?ContentID=3117&ContTypeID=EC-MIDDLE>
Pugatch, T. (1998, 04 28). External Monitoring Recommendations. Retrieved April 02, 2010,
from <http://www.unc.edu/~andrewsr/ints092/group1/monitor.html>
Stanwick, P. S. (2009). Understanding Businnes Ethics. Upper Saddle City,NJ: Pearson Prentice
Hall, 2009. Print.

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