Marketing Trends of Nike Incorporation - Essay Example

? of the x Marketing Trends of Nike Incorporation Nike Incorporation Nike is a manufacturing company that is involved in designing, developing, globally promoting and trading of footwear, clothing, accessories and equipment. It is operating across the world. Its main headquarter is located in Beaverton, America. It specializes in supplying world’s best quality sporty footwear and clothes. It is one of the largest sports’ kit producers. It accounted for earning about US$24.1 billion profit in 2012. There are about 44000 people working in Nike Inc. globally. The chain of stores that Nike runs are named as Niketown (www.nikeinc.com, 2012). It has contracts with about 700 suppliers and contractors outside the USA. There are about 45 offices of Nike situated in countries other than USA. Majority of its manufacturing factories are placed and operated in Asian countries such as China, Indonesia, Taiwan, India, Pakistan, Thailand, Vietnam, Malaysia, and Philippines (www.nikeinc.com, 2012). Business Products The main products offered by Nike worldwide are sport shoes such as track running shoes, clothing’s like jersey jackets, shorts, base layers. Accessories and equipment may include All of these are complementary products and are offered alike at all the available chain of stores under Nike Brand name (www.nikeinc.com, 2012). These items can be broadly divided into three main products sportswear shoes, and clothing line items and associated accessories and equipment (www.nikeinc.com, 2012). Marketing Trends of Nike Incorporation Nike is the stunning outcome of two athletes, an athletic trainer at the University of Oregon (Bill Bowerman), the other was runner and accounting student semi-bottom (Phil Knight) who had the idea of ??importing Japanese athletic shoes but was not too expensive and technically efficient enough. They joined in 1965 and Jeff Johnson becomes the first vendor-company representative who explored the athletic stadiums in the country to promote their shoes. But soon, Bowerman wanted to make his own shoes. Therefore Nike’s operations and promotions were actually initiated in 1972. In 1972, the king of sport shoes Adidas was German. Nike came as leisure sports and started booming but the market was still untapped. Nike became the predecessor of offshoring. At the time, the concept was new in the field of textile. Now followed by the majority of its competitors, but this innovation enabled it to secure a monopoly rents through market dominance undeniable over the years. Nike never had factory and remained true to its economic principles departure: subcontracting in developing countries for a maximum profit. The Nike logo (named by Swoosh) is very simple and immediately recognisable. It caused a great deal in brand awareness and had often been borrowed. In the years 70/80s, marketing was dominated by what the lifestyle appellate. Brands had an ideal world in which the consumer was projected willingly. Nike reused this principle but added specific values. Nike values included freedom, spontaneity, overshoot, Individualism, struggle, desire to go further, to reach its limits, willingness to extract rules and formal side of the flange sports (Nike claims an institutional aspect of the sport and the influence of federations sediment yet in many disciplines). All these values ??are derived from the original sports brand, namely the "running" (The race), individualistic sports where the concept of passing is central. Moreover, one of the models of the brand is the athlete Steve Prefontaine (runneur bottom half) who played a good part in the values ??that were dear to the brand. Nike was going to change this whole vision of sport culture. And this vision was that of the American sports model that can be called as, the cult of performance. The important fact for Nike was not to participate but to win, that goes perfectly against the European sports model, which in turn, emphasizes sportsmanship, fair play and promotes a sport at the collective level as compare to the individual level, a sport also highly regulated by these federations denigrated earlier by the U.S. firm. Nike values ??are universal and can be applied not only to all types of sports and profiles (professional and amateur), but also to life in general. They correspond to ethics and go beyond the sport. This is a strong point for the global giant of future and it allows Nike to quickly establish a relationship of trust and proximity with its consumers. This is called the marketing mix. However, The credit goes to innovative products that the brand could succeed to make it known. From the beginning, the technologies are used to serve the sportsman in order to develop athletes to improve their performance, and once developed, serving consumers. In 1973, Nike released the Nike Waffle (waffle in French). First technological innovation: a sole-shaped waffle revolutionary: it is able to absorb shocks and help them bounce back. The basketball is a hit. Nike appeared as an avant-garde brand and attracted athletes including runners (but hey that's just normal, their product is still very clearly intended). In 1979, Nike launched the shoe Tailwind. Second technological innovation of gas-filled pockets is included in the base. Result: more comfort for the rider. This new technology was called "Air". It enabled Nike to become a year later the number one sport shoes in the United States. In 1982, Nike applied technology "Air" to its new shoe: the Air Force One was born. It produced in three main models (high, medium and low) declined in hundreds of colors. The white basketball experienced many changes and many limited series, which in both cases offered the consumer the opportunity to wear unique shoes. Along with different editions, Nike continued multiplying commercials and sometimes appeared in the news, celebrated events. So it could go to the Olympic Games Halloween. Nike created its brand image by using concepts of gravity, air, peace full environment, and linked it to the comfort of shoes along with its resultant well being. Its slogan was Run on Air, It also incorporated the soundtrack in the ads and commercials to attract people that really went well with the shoes. The famous white basketball became a cult object in the USA. It became the part of the classics, especially in urban areas. Nike applied this strategy in some of his campaigns. In 2002, rapper Nelly made ??a song, Air Force Ones, which remained as the number one hit in U.S. charts for several weeks (without even being sponsored by the brand). In 1984, Nike launched the Air Jordan and revolutionized marketing by creating the concept of branding due to the Joining of a sports star for its product, in this case, the basketball player Michael Jordan. Nike’s early products of women declined and Nike Women, the brand opened a range of lifestyle products, then associated with a rather masculine style. It then substantially expanded its target, which was particularly interesting in dance or yoga. In the press and TV campaigns, Nike showed different facets of the female, the female boxer in the yogi through the dancer and the inevitable CONTEMPORARY runner. In 2005, Nike launched Nike ID customization service online that allowed people to customize their Nike and receive its unique model a few days later at tehir home. Again, the strategy turned revolutionary. The interface of the website is simple, fun and effective. And for those who are not really computer savvy, Nike reconfigure space shops to insert a pole iD, where one can be assisted by a charming Advisor (or a charming recommended). Nike decided to join Apple in 2006 and marketed its products with apple’s products: the iPod and Nike Basketball. Target audience was riders of all types and jogeurs. The concept was about placing a sensor in the insole of the shoe and connects the receiver to the iPod (nano - the latest. Nike and Apple launched the Nike + website and a variety of services: entertainment sessions, exercises, and podcasts playlist specially designed for this strategy. Its Tv commercial slogan was Tune and Run. Nike's marketing strategy is an important component of success. Nike is positioned as a premium brand, selling innovative, well-designed sports. Nike promotes its products by sponsorship agreements with athletes major, professional sports teams and college athletic teams Conclusion Nike is a marketing and economic giant, inescapable today. Its turnover is increasing. In 2006, it reached U.S. $ 15 billion (an increase of 9% compared to the previous year). There is therefore no doubt represents its longevity with universal values ??and a creative genius, unmatched technology and marketing, has continued to grow and has always reinvented itself by causing the world that endure. Works Cited About Nike Inc, nikeinc.com, (2012) web 4 Dec 2012 Read More