Nike’s New Marketing Mojo
Nike is one the largest sports company in the world and they communicate with the world like no other company. They have developed a very strong brand. When people think of Nike, they think of the best quality and the prestige of wearing or owning their products. The brand has done such a great job promoting their products; almost everyone around the world is familiar with their product(s).
Over the years Nike has had a diverse mix of marketing communications, which included advertising, sales promotions, public relations and publicity (Integrated Marketing Communications, Kotler, 491). Although Nike’s budget for advertising has grown to almost $2.4 billion, they have dropped their TV and print advertising by 40% and their profits still continue to grow. Nike is no longer primarily focusing on celebrity endorsements or advertising campaigns to sell their products; they are skipping the middleman and going straight to the consumer through digital technology devices.
In 2010, Nike launched a new division called Nike Digital Sport (Nike+), a technology developed by Nike and Apple. The division is best known for creating devices and technologies that allow consumers to track information. One product is a device that connects to footwear with interactive mobile web applications. It allows the user to set goals and review their results. Not only is Nike going directly to the consumer, they are reaching out to them and engaging them in online communities and social media marketing. As of this year, over 6 million users are using Nike+ products.
One of reasons Nike has cut their TV and print ads is because they are following the consumer. Their target audience is getting younger and they don’t spend as much time watching television as they use to, they are more involved with social media such as Facebook & Twitter (Identify Target Audience, Kotler, 476). Young adults aged 17-19 spend 20% more on shoes than adults....
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