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Sales management of NIKE

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- Nike is a major American sportswear and equipment manufacturer known for its "Just Do It" slogan. It produces shoes, clothing, accessories, equipment, and technology products. - The document provides an overview of Nike's brand portfolio, product range including its Nike+ line, and financial performance. It also includes a SWOT analysis of Nike+ and discusses Nike's strategies around diversity, products, customers, relationships, segmentation, positioning, and distribution channels. - The summary highlights Nike's focus on innovation through products like Nike+ and strategic partnerships while also facing competition in the sportswear market.

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1 - Jincey Jose (A009) - Shraddha Bhatt (A024) - Richa Tupsakhare (A022)
OverviewOverview About NIKE Brand Portfolio Nike product range and description SWOT Analysis of NIKE Diversity Product, Customer, Relationship and Presentation Strategy Segmentation and positioning Channel Distribution Key financial data Competitors Conclusion References 2
Nike is the U.S-based manufacturer of athletic shoes, apparel and sports equipment. Stock symbol: NKE (NYSE) Annual revenue (2013): increase of 8% on 6.7 billion $ Founders: Bill Bowerman, Philip Knight Year established: 1964 (as Blue Ribbon Sports) Industry: Sportswear/equipment HQ: Beaverton, Oregon President/CEO: Mark Parker Staff: 30,200 Products: shoes, apparel and sports equipment, accessories Slogan: Just Do It! Baby to GIANT.. 3
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Brand Portfolio Cole Haan, designs and distributes dress and casual footwear, apparel, and accessories for men and women Converse Inc., offers a diverse portfolio including premium lifestyle men's and women's footwear and apparel. Hurley International LLC., designs and distributes a line of action sports apparel for surfing, skateboarding and snowboarding, and youth lifestyle apparel and footwear NIKE Golf, designs and markets golf equipment, apparel, balls, footwear, bags and accessories worldwide. Umbro.Ltd., designs, distributes, and licenses athletic and casual footwear, apparel and equipment, primarily for the sport of football (soccer) 5
NIKE Product Range NIKE+ NIKE FOOTBALL (SOCCER) NIKE ATHLETIC TRAINING NIKE GOLF NIKE FOOTBALL NIKE RUNNING NIKE BASKETBALL NIKE SB NIKE SPORTWEAR NIKE WOMENS 6
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Runners performance monitored via a radio device in the shoe which links to a iPod nano Software tracks- Distance, Pace, Time and Calories burnt during a workout Two ways to use effectively: NIKE+ Fuel Band (USB pendrive) NIKE+ iPod (sensor & reciever) NIKE+ iPod gym (no sensor required) Product Description NIKE+ 8
Product Range of NIKE+ NIKE+ Connect NIKE+ Fuelband NIKE+ Running App NIKE+ IPOD Nano NIKE+ IPOD Sensor NIKE+ IPOD Watch Remote NIKE+ Kinect Training NIKE+ Move NIKE+ Sportband NIKE+ Stopwatch GPS 9
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Brand Ambassador 11 LE Bron James American Professional Basket Ball Player
SWOT Analysis of NIKE 12
Strengths First of its kind Unique, convenient and technologically advanced (iPod nano, fuel band) Strong partnership of NIKE+ and iPod No additional settings or adjustments needed It is safe to comprehend the desirability of the product Runner may customize their own workout Sync to motivational songs Weaknesses The income of the business is still heavily dependent upon its share of the footwear market. The retail sector is very price sensitive. Most of NIKEs income is derived from selling into retailers. Limited target market Not widely publicized Costly for beginners SWOT Analysis of Nike+ 13
Opportunities Nike is a fashion brand. The business could also be developed internationally, building upon its strong global brand recognition. Producing sportswear products from manufacturing waste; Emphasis on corporate marketing strategy through the promotion of corporate brand and sponsorship agreements Can be included in workout and weight loss programs due to obesity crisis Room for advancement Threats The market for sports shoes and garments is very competitive. The retail sector is becoming price competitive. Financial crisis may lead to job shortages in a number of Nikes worldwide subsidiaries; The company has experienced negative publicity feedbacks due to its extensive advertising in mass media Extensive competition and imminent reduction in profit margins as first of its kind SWOT Analysis of Nike+ 14
Diversity and Inclusion is what drives creativity and innovation. Nikes ability to lead in innovation and creativity hinges on their ability to attract and retain the best global talent. To achieve this vision, the strategy is to: Cultivate diversity and inclusion to develop world-class, high-performing teams Ignite change and inspire critical conversations around diversity, inclusion and innovation Create venues and environments for open dialogue, diverse opinions and a multitude of perspectives The Diversity and Inclusion team focuses on three areas: Engaging Employees Providing Business Consultation Developing Innovative Tools, Models and Designs Diversity 15
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Key to Nike+ system is Nike shoe and its resident accelerometer( water proof and shock resistant pedometer). Fuel band- USB chip from watch attached to computer for statistics 2 hours charging gives 14 hours output iPod- For motivation, resistant to hard disc failure Product Strategy 17
Customer Strategy Awareness of product being superior to future competition. This leads to patronage buying motive Quality of product should be highlighted so that consumers recommend. By providing excellent consumer service. By providing toll free number By providing website details Surveys to randomly selected group of customers who have purchased the product 18
Relationship Strategy Prospecting new customers. Strengthening current relationships. Awareness of the products true potential rather than its existence. Joint customer relationship between Apple and Nike. Provides gift vouchers and discounts on further products. 19
Demo of product in action to capture attention Increase awareness (iPod and nike shoes) Highlight products features and benefits Eliminate buyers resistance to price by showing them how money is saved Change consumers perception that Nike+ is a want into a need Allow more buyer seller interaction (interactive demo) Presentation Strategy 20
21 NIKEs Marks.. Even in Olympics NIKE has been adopting parasitic marketing techniques. NIKE wasnt an official sponsor of 1996 summer Olympics but constructed a building overlooking the Olympic park to associate themselves with it.
NIKEs 4 Ps Product (As explained before) Price Product line pricing Value added pricing strategy, segmented and psychological pricing Shoes range from 4000-7500 INR Promotion Advertizing (repeat messages at low cost many times) Direct marketing (through e- shop) Public relations (sponsorship of Manchester United) Sponsors of Indian Cricket team since December 2005 Place Leads US market Started in India through licensing route 22
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Segmentation and Positioning Segmentation Benefit segmentation The Nike mission: To bring inspiration and innovation to every athlete in the world. Consumers also might be segmented based on loyalty to company. Customer service mission: To represent the highest service standard within and beyond our industry, building loyal consumer relationships around the world. Nike segment the international markets by geographic location; the United States, the Americas, Asia Pacific and Europe, Middle East and Africa (EMEA). Positioning Highly differentiated products (based on style and design) More for more Consumer products 24
Channel Distribution 25 Directselling
Key Financial Data In 2013 there is a gradual increase in nike pluss revenue and pre tax income. 26
Key Financial Data The chart below is showing an increase in earning per share and future of Nike + 27
Competitive advantage As competitive strategy Nike use product differentiation. Nike is known for its technologically advanced products. Nike will also focus on making a strong effort in price leadership. Chart 4: Revenue Performance 713 8,225 13,262 - 2,000 4,000 6,000 8,000 10,000 12,000 14,000 Nike Adidas Puma Source: Nike,Inc; Puma.Inc; Adidas,Inc Revenueinmln Chart 5: Earning per share 2.66 2.96 5.81 0.00 1.00 2.00 3.00 4.00 5.00 6.00 7.00 Nike Adidas Puma Source: Nike,Inc; Puma,Inc; Adidas,Inc EPS, 28
Apple recently patented a future Nike+ system that would utilize a combination of GPS sensors and a processor unit to monitor an athlete's performance in real time and give the runner feedback based on his or her age, weight, and gender. The system would also keep track of a shoe's durability, alerting the runner when the shoes have become too worn out and could increase the risk of injury. 29 Advancement..
Conclusion Nike, Inc. is a company rooted in competition. They did know that product quality and innovation would help athletes to achieve greater goals. Nike still operates on this philosophy today. It is one that has helped athletes and stakeholders alike to realize athletic and financial greatness. Despite a changing marketplace for athletic footwear, Nike wants to expand their product lines and marketing reach to become a more powerful global brand. 30
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32 http://www.nikebiz.com/media/pr/2011/06/27_Q4FY11Earnings.htm http://www.nike.com/nikeos/p/nike/en_IN/ http://www.marketingteacher.com/swot/nike-swot.html http://www.degree-essays.com/essays/marketingessays/nike- marketingstrategies. http://business.mapsofindia.com/top-brands-india/top-shoe-brands-in- india.html http://www.fibre2fashion.com/news/leathersnews/newsdetails.aspx? news_id=31395 White paper Winning Value Propositions and Sustainable Business Performance by Eric Balinski
Thank you for attentionThank you for attention.. Questions? Comments? 33

More Related Content

Sales management of NIKE

  • 1. 1 - Jincey Jose (A009) - Shraddha Bhatt (A024) - Richa Tupsakhare (A022)
  • 2. OverviewOverview About NIKE Brand Portfolio Nike product range and description SWOT Analysis of NIKE Diversity Product, Customer, Relationship and Presentation Strategy Segmentation and positioning Channel Distribution Key financial data Competitors Conclusion References 2
  • 3. Nike is the U.S-based manufacturer of athletic shoes, apparel and sports equipment. Stock symbol: NKE (NYSE) Annual revenue (2013): increase of 8% on 6.7 billion $ Founders: Bill Bowerman, Philip Knight Year established: 1964 (as Blue Ribbon Sports) Industry: Sportswear/equipment HQ: Beaverton, Oregon President/CEO: Mark Parker Staff: 30,200 Products: shoes, apparel and sports equipment, accessories Slogan: Just Do It! Baby to GIANT.. 3
  • 4. 4
  • 5. Brand Portfolio Cole Haan, designs and distributes dress and casual footwear, apparel, and accessories for men and women Converse Inc., offers a diverse portfolio including premium lifestyle men's and women's footwear and apparel. Hurley International LLC., designs and distributes a line of action sports apparel for surfing, skateboarding and snowboarding, and youth lifestyle apparel and footwear NIKE Golf, designs and markets golf equipment, apparel, balls, footwear, bags and accessories worldwide. Umbro.Ltd., designs, distributes, and licenses athletic and casual footwear, apparel and equipment, primarily for the sport of football (soccer) 5
  • 6. NIKE Product Range NIKE+ NIKE FOOTBALL (SOCCER) NIKE ATHLETIC TRAINING NIKE GOLF NIKE FOOTBALL NIKE RUNNING NIKE BASKETBALL NIKE SB NIKE SPORTWEAR NIKE WOMENS 6
  • 7. 7
  • 8. Runners performance monitored via a radio device in the shoe which links to a iPod nano Software tracks- Distance, Pace, Time and Calories burnt during a workout Two ways to use effectively: NIKE+ Fuel Band (USB pendrive) NIKE+ iPod (sensor & reciever) NIKE+ iPod gym (no sensor required) Product Description NIKE+ 8
  • 9. Product Range of NIKE+ NIKE+ Connect NIKE+ Fuelband NIKE+ Running App NIKE+ IPOD Nano NIKE+ IPOD Sensor NIKE+ IPOD Watch Remote NIKE+ Kinect Training NIKE+ Move NIKE+ Sportband NIKE+ Stopwatch GPS 9
  • 10. 10
  • 11. Brand Ambassador 11 LE Bron James American Professional Basket Ball Player
  • 12. SWOT Analysis of NIKE 12
  • 13. Strengths First of its kind Unique, convenient and technologically advanced (iPod nano, fuel band) Strong partnership of NIKE+ and iPod No additional settings or adjustments needed It is safe to comprehend the desirability of the product Runner may customize their own workout Sync to motivational songs Weaknesses The income of the business is still heavily dependent upon its share of the footwear market. The retail sector is very price sensitive. Most of NIKEs income is derived from selling into retailers. Limited target market Not widely publicized Costly for beginners SWOT Analysis of Nike+ 13
  • 14. Opportunities Nike is a fashion brand. The business could also be developed internationally, building upon its strong global brand recognition. Producing sportswear products from manufacturing waste; Emphasis on corporate marketing strategy through the promotion of corporate brand and sponsorship agreements Can be included in workout and weight loss programs due to obesity crisis Room for advancement Threats The market for sports shoes and garments is very competitive. The retail sector is becoming price competitive. Financial crisis may lead to job shortages in a number of Nikes worldwide subsidiaries; The company has experienced negative publicity feedbacks due to its extensive advertising in mass media Extensive competition and imminent reduction in profit margins as first of its kind SWOT Analysis of Nike+ 14
  • 15. Diversity and Inclusion is what drives creativity and innovation. Nikes ability to lead in innovation and creativity hinges on their ability to attract and retain the best global talent. To achieve this vision, the strategy is to: Cultivate diversity and inclusion to develop world-class, high-performing teams Ignite change and inspire critical conversations around diversity, inclusion and innovation Create venues and environments for open dialogue, diverse opinions and a multitude of perspectives The Diversity and Inclusion team focuses on three areas: Engaging Employees Providing Business Consultation Developing Innovative Tools, Models and Designs Diversity 15
  • 16. 16
  • 17. Key to Nike+ system is Nike shoe and its resident accelerometer( water proof and shock resistant pedometer). Fuel band- USB chip from watch attached to computer for statistics 2 hours charging gives 14 hours output iPod- For motivation, resistant to hard disc failure Product Strategy 17
  • 18. Customer Strategy Awareness of product being superior to future competition. This leads to patronage buying motive Quality of product should be highlighted so that consumers recommend. By providing excellent consumer service. By providing toll free number By providing website details Surveys to randomly selected group of customers who have purchased the product 18
  • 19. Relationship Strategy Prospecting new customers. Strengthening current relationships. Awareness of the products true potential rather than its existence. Joint customer relationship between Apple and Nike. Provides gift vouchers and discounts on further products. 19
  • 20. Demo of product in action to capture attention Increase awareness (iPod and nike shoes) Highlight products features and benefits Eliminate buyers resistance to price by showing them how money is saved Change consumers perception that Nike+ is a want into a need Allow more buyer seller interaction (interactive demo) Presentation Strategy 20
  • 21. 21 NIKEs Marks.. Even in Olympics NIKE has been adopting parasitic marketing techniques. NIKE wasnt an official sponsor of 1996 summer Olympics but constructed a building overlooking the Olympic park to associate themselves with it.
  • 22. NIKEs 4 Ps Product (As explained before) Price Product line pricing Value added pricing strategy, segmented and psychological pricing Shoes range from 4000-7500 INR Promotion Advertizing (repeat messages at low cost many times) Direct marketing (through e- shop) Public relations (sponsorship of Manchester United) Sponsors of Indian Cricket team since December 2005 Place Leads US market Started in India through licensing route 22
  • 23. 23
  • 24. Segmentation and Positioning Segmentation Benefit segmentation The Nike mission: To bring inspiration and innovation to every athlete in the world. Consumers also might be segmented based on loyalty to company. Customer service mission: To represent the highest service standard within and beyond our industry, building loyal consumer relationships around the world. Nike segment the international markets by geographic location; the United States, the Americas, Asia Pacific and Europe, Middle East and Africa (EMEA). Positioning Highly differentiated products (based on style and design) More for more Consumer products 24
  • 26. Key Financial Data In 2013 there is a gradual increase in nike pluss revenue and pre tax income. 26
  • 27. Key Financial Data The chart below is showing an increase in earning per share and future of Nike + 27
  • 28. Competitive advantage As competitive strategy Nike use product differentiation. Nike is known for its technologically advanced products. Nike will also focus on making a strong effort in price leadership. Chart 4: Revenue Performance 713 8,225 13,262 - 2,000 4,000 6,000 8,000 10,000 12,000 14,000 Nike Adidas Puma Source: Nike,Inc; Puma.Inc; Adidas,Inc Revenueinmln Chart 5: Earning per share 2.66 2.96 5.81 0.00 1.00 2.00 3.00 4.00 5.00 6.00 7.00 Nike Adidas Puma Source: Nike,Inc; Puma,Inc; Adidas,Inc EPS, 28
  • 29. Apple recently patented a future Nike+ system that would utilize a combination of GPS sensors and a processor unit to monitor an athlete's performance in real time and give the runner feedback based on his or her age, weight, and gender. The system would also keep track of a shoe's durability, alerting the runner when the shoes have become too worn out and could increase the risk of injury. 29 Advancement..
  • 30. Conclusion Nike, Inc. is a company rooted in competition. They did know that product quality and innovation would help athletes to achieve greater goals. Nike still operates on this philosophy today. It is one that has helped athletes and stakeholders alike to realize athletic and financial greatness. Despite a changing marketplace for athletic footwear, Nike wants to expand their product lines and marketing reach to become a more powerful global brand. 30
  • 31. 31
  • 33. Thank you for attentionThank you for attention.. Questions? Comments? 33