Case Study

Fayaz Raza

M. Sohaib Hassan

M. Hassan Rasheed

Zulfiqar Ali

MEMBERS

HISTORY

In 1962, Phil Knight and Bill Bowerman started (BRS)

Agreement with ‘Onitsuka company japan’

In 1972, Nike Swoosh was introduced

In late 1980’s it was overtaken in sales by Reebok

Knight realized the importance of marketing

OPERATIONSThree main products:

Footwear Apparel Equipment

OPERATIONS:

700 factories in over 52 countries around the world

800,000 thousand workers

Distributed in 160 countries

Competitors

• ADIDAS

• REEBOK (taken over by adidas)

• PUMA

MISSION

“To bring inspiration and innovation to

every athlete in the world”

Awards

First award in 1994

“Advertiser of the year” in 2003

“Swoosh” the best logo ever designed

Current Status

Nike holds a 82% choke hold on American sports

equipment sector

2006 earning shows Adidas with only 10% of United

states sales

• With the recent buyout of Reebok, Adidas has only a

total of 14%

QUESTIONS

1. What do you understand by the term ‘marketing’ ?

Satisfying customer needs

Delivering real value to customers

Building long term profitable relationships

2. Nike’s superb marketing skills?

Spending millions of dollars on advertisement

Celebrity endorsement (People follow superstars)

3. Why does Nike require these skills to

compete in the market place?

To create value for customers

To satisfy customer needs

To build long term profitable relationship

4. Why does Nike spend millions of dollars on promoting its brand and logo?

To differentiate themselves from competitors

Position their brand and logo in the minds of

everyone

To grow share of customers

5. Who are Nike consumers? What might their needs be?

The Athletes

Sports enthusiasts

Younger generation

6. How marketing principles and practices will enable Nike to satisfy these needs?

Product & Marketing Concept

Build Customer Equity

Customer Loyalty & Retention

Recommendations Promote online services

Jack of all, Master of none

Focus on quality

Analyst’s think the brand NIKE will get overexposure and continuing the practice can make brand lose its value

“Part of our success is that we know who we

are. We defined ourselves. It is our job to

provide inspiration and aspiration for

everyone interested in sports in the world.

We believe that everyone who has a body is

an athlete”

Phil knight