Nike, originally founded as Blue Ribbon Sports in 1964, became successful through category and geographic expansion, particularly through basketball and soccer endorsements. The company continuously updates its products and pricing strategies and operates in over 160 countries, while facing challenges like supply-chain issues and competition. Adidas can compete by targeting Nike's lifestyle segment, promoting eco-friendliness, and securing athlete endorsements.

1. Nike

2. Nike history
Nike, originally known as Blue Ribbon Sports was started
by Bill Bowerman &Phil Knight in 1964.
Its logo the swoosh was designed by Carolyn Davidson.
Nike is named after Greek Goddess of Victory because
Nike is ‘all about winning’

3. Why is Nike so successful ???
Success of Nike can be attributed to three factors
Category expansion
Geographic expansion
Exceptional in Updating four P’s

4. Category expansion : wide product range

5. Geographic expansion

6. Nike in USA
Nike hit the ground running in USA through
basketball and signed contract with Michael
Jordan.
Nike revenues surpass $1 billion for the first
time with the introduction of Air Jordan
shoes

7. Nike in Europe
Nike’s big break : Brazil won soccer in 1994
changed Nike’s image in Europe .
This made overseas revenues surpass US
revenues for the first time.

8. Nike in Asia
Nike’s big break in Asia : 2008 summer Olympics in Beijing.
Nike made ads featuring Olympic athletes and sponsored 11 out of 12 high
profile US basketball players.
Sales in Asia grew by 15%

9. Updating 4 P’s

10. Product
Nike’s products and technologies advance along with
customer’s needs and preferences.
Dri-fit, Nike Air, Nike+ are its famous technologies.
Nike’s accessories vary hugely.

11. Pricing
At the initial release Nike’s products follow
premium pricing but as they age the pricing
strategy changes to more of penetration
strategy.
Nike’s products are expensive but
reasonable.

12. Place
• Nike distributes its products through long
chain retailers like Footlocker and Rebel.
• Nike operates in more than 160 countries
around the world.

13. Promotion

14. Advertising campaigns

15. Social Media Marketing

16. Macro environment
Social factors
Technological factors Economic factors
Legal factors

17. Nike Today
Brexit effect - Nike’s Run Faces a Tough Climb amid rising inventory and
supply-chain stumbles.
Nike wins the sneaker war against Under Armour.
Nike continues sponsorship of Maria Sharapova and FC Barcelona.
Nike's 1st self-lacing shoe will be HyperAdapt 1.0; will be exclusive to
Nike+ app members.

18. What pro’s, con’s and risks of Nike’s core marketing strategy???
Pro’s-
Slick high tech image.
Creating brand value by promoting top athletes.
Global presence
Constant innovation
Con’s-
Targets only the sports segment so it loses market in life style products
Products too expensive for the middle class.
Risks-
Intense competition
Negative influence of spokesperson.

19. If you were Adidas ,how would you compete with Nike???
If I were Adidas I would target the market which Nike lacks. I would
focus on life style products.
I would present Adidas products as more eco-friendly and flexible.
In the important events I would take special care to sponsor top athletes
before Nike does.

20. Summary

22. Disclaimer
Created by Padma Vaibhavi, NIT Raipur, during Marketing Management
internship by Prof.Sameer Mathur, IIM Lucknow.
See (www.IIMInternship.com)