Spokane KicksExclusive Nike Retailer

By: Courtney Prather, Alex Ellinwood, RJ Liggins

About Us…

• Founded on January 15, 2010 • Location: 2401 W. Wellesley Avenue • Mission: To provide affordable Nike brand

shoes to the Spokane area with great service and unbeatable prices.

• Offer retail in-store and online for the convenience of the customer

Products

We offer 14 different brands of Nike shoes:

• Nike Zoom 4•Nike Air 2•Nike Cross Trainers•Kobes•LeBrons•Air Jordan 23•Nike Trainers

• Air Max•Air Force•Nike Turbos•Nike Elite•Nike Free•Nike Shox•Runner’s Delight

Porter’s Model

Customers:• Target market: 15-25

athletic, active men and women

• Secondary market: shoe enthusiasts and style-conscious people

• Competitive advantage: database quickly, accurately updates what each customer purchases so that we remain organized, and can quickly decide which products to sell.

Porter’s Model

Suppliers:• Nike = Sole Supplier• Since Nike is our only

supplier, they offer us:– Wholesale Deals– Discounts

• Allows for lower prices than our main competitors

Porter’s Model

Substitute Products:• Only sell Nike products, so

stores that sell other brands have competitive advantage

• However, we have a larger variety of Nike products at lower prices than other retailers

• Nike doubles other athletic brands in total sales.

Porter’s Model

Industry Competitors:• Compete with all athletic retail

stores that sell Nike products• Compete with online athletic

retailer, such as EastBay • Competitive Advantage:

Discounts to primary target market– 10% off if customer wears

school jersey or has school ID

– Discounts for bulk orders of team shoes

Porter’s Model

New Entrants: • Main threat of new

entrants: online shoe retailers, auction websites (Ebay, Craig’s List)

• We bar new entrants by:– Offering both online

and in-store services– Lowest prices– Discounts to students

and teams

Our FindingsWe compared each shoe by: color, unit cost, unit price, total

sales, total cost , and profit. Based on our Pivot Table, we found that:

• The only products that lost money, and were discontinued to maximize profits, were:– Nike Turbo– Nike Trainers

• We will increase the amount we carry of our most successful shoes: signature shoes.– Air Jordan 23s– Kobes– Lebrons

Conclusion

By increasing the amount of shoes that presented considerable profit, and by discontinuing shoes that lost us money, next quarter we should increase our profit and have reached our goal.

WEBSITE: http://barney.gonzaga.edu/~aellinwood/tutorial.05/group