1. Monster at Marketing
Garet Hawley
“You feel like you play better – you are better – because of the gear you’re
wearing. It’s the perfect placebo effect. And hey, if it works, then ‘Just Do It.”
Ryan Watt doesn’t hesitate to endorse the Nike, Inc. brand. As a self-labeled
“Nike addict,” Watt is loyal down to each pair of socks. When it comes to shoes,
clothing of sporting equipment, Nike is the first and only choice.
“Sometimes I find myself buying things simply because it has the Swoosh; I
might not even need the product,” Watt said.
Nike is one of the most recognizable and successful brands in the world and
the Swoosh is having dramatic impacts on consumer lives, both positive and
negative.
Since the Swoosh first appeared in 1970, the company has dominated much
of the athletic and fitness world; the use of professional athlete endorsements gives
an unbelievably luring desire for their products.
With strategic marketing strategies, and effective use of athlete
endorsements, Nike brings in over $20 billion in revenue per year, according to
financial reports.
Basketball, golf and hockey demonstrate how Nike has achieved industrial
leadership.
As of 2013, Nike controls 92 percent of the basketball market in the United
States, according to SportsOneSource research firm.
Jenna McNaney, a business analyst for Quick2LAUNCH, looked into Nike’s
successes correlated with marketing.
“By placing the Swoosh or ‘Just Do It’ on the product, it becomes more
valuable than the Adidas stripes or Puma cat. Having the brand is as valuable as
having the actual product.”
The branding and marketing campaigns are reaching audiences across the
globe, making the brand more desirable.
“Making the brand more desirable and valuable. The sports celebrities
convey the idea of athleticism and become this almost heroic, iconic symbol people
strive to become,” McNaney said.
“When consumers translate these ideologies and Jordan’s [or Woods’] iconic
stance into the swoosh, the Nike logo has incredible value.”
Tiger Woods, for example, is the face of Nike Golf. He signed a $181 million
contract that spanned over 2000-2010. In that decade, Nike increased golf ball sales
alone by $103 million.

2. The use of athlete endorsements changes the marketing scheme and
advertising abilities throughout the world. By using strategic icons, Nike targets
areas of athleticism and fitness, and quickly become competitive – or market leader.
Today, Nike Golf is among the most elite clubs, apparel and accessories.
“Nike has created superior value by utilizing celebrity endorsers, such as
Michael Jordan, to represent their brand. The idea is that the celebrity image is
embedded into the consumer’s mind and will cause the consumer to associate the
endorser with Nike’s products,” McNaney said.
From 1997-2002 Nike decided to target the hockey market. According to
financial reports, Nike spent over $900 million dollars in marketing, including
athlete sponsorships. By the end of 2002, Nike was the leading provider of hockey
equipment and jerseys. Many athletes even developed specialized skates that
challenged the typical look of skate.
As Watt puts his closet on display the countless shirts and shorts are easy to
see. Dozens of Nike shoes are sprawled on the floor, and occupying his shoe shelf.
It's more of a shrine than a closet.
“When I go to buy new shoes or clothes, I like to wear the stuff my favorite
athletes wear,” Watt said. “I am from Los Angeles, so Kobe Bryant is my favorite
player. I wear his shoes and have a lot of his apparel line.”
In 2011 Bryant’s new shoes had total sales over $40 million. The closest
athlete from another brand was Derrick Rose. His personal shoe sold $25 million.
According to a statistical report of basketball shoe sales, the Jordan Brand, a
subsidiary of Nike, had over $2 billion in shoe sales alone, dominating over 50
percent of the basketball market.
McNaney explains we are drawn to the “heroes and idols of our age.” Athletes
who have overcome obstacles, conquered intense criticism or demonstrated their
good-natured personalities are generally used for promotional purposes.
The 2013 marketing campaign for Nike challenged consumers to “Find Your
Greatness.”
This marketing campaign helped Nike, Inc. reach over $23 billion in revenue,
according to company reports. It was one of the most successful years in the
company’s history.
Nike has been under scrutiny of sweatshop labor since the early 90s. Since
the first accusations, Nike has developed industry-leading standards to working
conditions for factories overseas.
Nike employs over 40,000 people worldwide.
Conversely, a Stanford study suggests that the Nike Swoosh produces a sense
of materialism and greed—especially in America.
In the early years of Michael Jordan’s basketball career, youths across
America were being targeted for their Nike gear.

3. Assault or murder charges were deterred people less than the heavy Nike
price tag.
“People are driven by peer pressure,” said Mervin Daniel, a sociology
professor at Michigan State University. “What’s advertised on TV, what your friends
are doing, you do it too.”
Just Do It is seen as a mantra of materialism and consumerism.
Watt helped Nike reach that level. In 2013 alone, Watt purchased eight pairs
of basketball, running or training shoes.
The appeal of the Nike brand is having powerful impacts on consumer’s lives.
Nike is being compared to be the Apple and Google of the sports industry.
Continually looking for more effective and eco-friendly ways of making and
producing products is benefiting people across the globe.
“Some of our new shoes are made from a single thread,” said Hannah Jones,
Head of Sustainability. “Compare that to shoes that are usually 30 pieces stitched
together. We can almost eliminate all waste.”
As he is lacing up his brand new Kobe IX Elite shoes, days after the original
release, he laughs; he’s nervous.
“I don’t understand why intermural sports means so much to us,” Watt said.
“It’s not like we’re going to the NBA or fighting for an endorsement deal. I guess it
matters because we love the game.”
The noises echo and vibrate through the crowded basketball center.
A faint odor, from gym bags to socks, freshly drawn signs to cheerleader’s
perfume mixes in the air.
“As I’m lacing my shoes I imagine scenarios in the game. I imagine what I’ll
do. Once I hear that rubber squeak, you can’t stop me.”
The Lakeshow basketball squad never lost a game.
There’s more to it than winning. There’s more to it than looking good.
“You always feel like a champion.”