Nike's Company: Customer and Competitor

Topics: Marketing, Nike, Inc., Athletic shoe Pages: 8 (2310 words) Published: February 9, 2013

This report is going to be discussing about Nike`s Company, focusing on its shoes. The report begins with the overview of the company, including history, a brief discussing of customer and competitor.

The next part of the report will exploring how Nike creates and delivers value its targeting customer and capturing value from customer through the value delivery process and marketing mix which are product, price, place and promotion. This is achieved by understanding market place and customer needs and wants, designing marketing strategy to deliver value and after capturing value from customer. Nikes always provides high quality shoes with a reasonable price (Product – Price), sells its product in 200 countries in the easily accessible locations (Place) and uses celebrities and effective advertisements (Promotion).

Then the discussion continues on to the enlightenment of the two target market categories, named: Demographic and Psychographic segmentation. Under demographic segmentation, issues such as: gender, age and income are brought into discussion whereas the Psychographic segmentation explores issues such as life-style and personal values.

Finally, this report is concluded with a discussion about the four recommendations for marketing mix strategy to strengthen competitive advantage through added value for segments which are targeted by Nike.

Marketing is about satisfying consumers` needs and wants. The task of any business is to deliver value customer value at a profit. The value delivery process is one of the most important theories that need to understand in all marketing activities as it helps companies capture value from customers to create profits and customer equity. If the marketers do not aware customer satisfaction they cannot create and deliver value, as the customer perceives it, and customer can buy competitor product or services, In order to reach the goal of profit or to be successful, companies should provide more value to customer. (Kotler&Armstrong, 2012 p.4)


This report presents a real life case study focusing on the company of Nike and its` shoes. The objective of writing report is that to provide recommendations about marketing mix strategy that would create more value for target segments in result reaching the company goals.

Nike is the world`s number one manufacturer of sport shoes and sport clothing. It controls more than 50% of athletic shoe market with sale of US dollar 3.7 Billon.This company was founded in 1962 by Bill Bower and Phil Knight as Blu Ribbon Suport and later on it became Nike in 1978 (Partlow 2003) It is suppyliying its high quality products in more than 100 countries with its major target areas including United States, Europe,Asia Pasific and the Americas. Behind its successfull position their innovative and attractive design, various product, quality and its marketing strategies are. Nike’s mission statement is ” To bring inspiration and innovation to every athlete* in the world. *”If you have a body, you are an athlete.” – Bill Bowerman “ Nike’s vision is “to carry on his legacy of innovative thinking, whether to develop products that help athletes of every level of ability reach their potential, or to create business opportunities that set Nike apart from the competition and provide value for our shareholders.” (Dillonsblogformarketing,2011)

This report depended on research activities that involved intensive activities regarding analysis and scrutiny of literature such as relevant articles, publications, and presentation journals. All sourced information is a result of quantitative research methodologies.

The report will explain Nike and its shoes how create value and deliver to its customers by using marketing mix 4Ps , evaluate two markets and concluded four recommendation in order to add more value .

Nike has various sports equipment. They currently also make sport shoes, jerseys,...
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