Cas Nike

Nike, Inc. is an American sportswear company headquartered in Beaverton, Oregon. It was founded in 1964 as Blue Ribbon Sports by Bill Bowerman, a track-and-field coach at the University of Oregon, and his former student Phil Knight (Panmore Institute, 2018). The company went public two years later and was renamed Nike, Inc., in 1978. By the early 21st century, Nike had retail outlets and distributors in more than 170 countries, and its logo—a curved check mark called the “swoosh”—was recognized throughout the world. (The Editors of Encyclopaedia Britannica, 2018)

In“the early 21st century Nike began selling sports-technology accessories, including portable heart-rate monitors and high-altitude wrist compasses.”The Nike Town chain stores, the first of which opened in 1990, pay tribute to these and other company spokespersons while offering consumers a full range of Nike products.”Nike Inc. uses its promotional mix or marketing communications mix to communicate with target customers in the global athletic footwear, apparel, and equipment industry.”The company is a good example of a business that uses different kinds of communication in its promotion activities.”Nike’s marketing communications mix is effective because of the balance it creates between attracting new customers and keeping existing customers.” (Panmore Institute, 2018)

In“developing and maintaining its marketing communications mix, Nike Inc. applies a strategic combination of advertising, personal selling, direct marketing, sales promotions, and public relations.“This combination allows the company to effectively promote its products and strengthen its brand image.”Brand image is one of the major business strengths and contributors to the company’s long-term success.“(Panmore Institute, 2018)

In advertising, Nike Inc.’s goal is to reach large populations of target customers with the biggest possible impact. Successful advertisements promote the brand to customers. Trusov, M., Rutz, O. J., & Bucklin, R. E. (2017).”These advertisements also improve consumers’ perception about the company and its products.”Even though advertising is an effective marketing communications tactic, it is typically costly, especially when involving traditional media like television, radio and print. Still, through successful implementation, Nike reaps the rewards of a stronger brand image and higher demand for its products. Thus, despite the high cost of advertising, the company achieves net benefits in its financial performance. Part of Nike’s success is owed to endorsements by such athletes as Michael Jordan, Mia Hamm, Roger Federer, and Tiger Woods.

References

Panmore Institute. (2018). Nike’s Promotional Mix (Marketing Communications Mix) - Panmore Institute. [online] Available at: http://panmore.com/nike-marketing-communications-mix [Accessed 24 Sep. 2018].

The Editors of Encyclopaedia Britannica (2018). Nike, Inc. | History & Facts. [online] Encyclopaedia Britannica. Available at: https://www.britannica.com/topic/Nike-Inc [Accessed 24 Sep. 2018].

Trusov, M., Rutz, O. J., & Bucklin, R. E. (2017). Metrics for the New Internet Marketing Communications Mix. In Review of Marketing Research (pp. 195-212). Routledge.

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