1. Nike
Paul Vella
Assignment 2

2. Nike Company Profile
• American multinational manufacturing Co.
• Core products include footwear & apparel
• Unwavering commitment to advertising
• Key Marketing Initiative
– Use of high profile athletic endorsements
• Nike’s brand portfolio
– Nike, Cole Haan, Converse, Hurley, Nike Golf and
Umbro.
– 75% of the growth is expected from the Nike brand.

3. Marketing Campaign
• Advertisements
– Focus on individuals, not products
– Ads focus on grit, determination, human spirit,
courage & greatness
• Co-founders’ vision
– Bill Bowerman’s observation many years ago “endless possibility
of human potential in sports”
– Phil Knight “when we help athletes reach their potential, that
process helps Nike & consumers reach their”
– Set the tone for Nike and its core marketing initiative

4. High Profile Athletes
• Signed Michael Jordan in 1985
– First elite athlete signed
– Jordan endorsed a version of Nike’s Air Shoe,
otherwise know as “Air Jordans”.
– From 1985 Nike continued to sign top athletes
• Other Key Signings
– Bo Jackson, Tiger Woods, Kobe Bryant,
Lebron James

5. LeBron “The Rise”
• Nike continues to maintain Bowerman’s legacy
• Nike most recent campaign featuring Basketball
superstar LeBron James called “The Rise”.
• According to David Grasso, Vice President of Global
Brand Marketing, the campaign celebrates LeBron’s
courage to forge his own journey even when other
may have disagreed with his decision.
• It’s this Just Do It spirit that defines LeBron and Nike
as we strive to inspire all young athletes.

6. Core Marketing Initiative
• Despite, the rising athlete endorsement
cost and turbulent economic conditions,
Nike remains committed to use of high
profile athletes
• Phil Knight said that “athletes at their best,
represent some of our most noble
characteristics- passion, commitment,
competitive fire, being part of team, the
ability to overcome adversity”

7. Financial Success
• Marketing Initiative Translated to
Unprecedented Revenue Growth
– Revenues expanded to over $19B in fye2010
as compared to $0.946MM in fye1985
(signing of Jordan)
– Net income increased from $0.01MM in
fye1985 to $1.9B in fye2010

8. Brand Equity Model
• Nike strong brand equity position
• Brand Asset Valuator (5 Pillars)
– Differentiation, Nike product line is well
established (swoosh design trademarked in
> 150 countries & easily distinguishes
product from competitors, even without NIKE
name)
– Energy, Nike sales have expanded
exponentially (<$1MM in 1985 to $19B in
2010)

9. Brand Equity Model (cont)
– Relevance, significant global coverage (over
170 countries worldwide)
– Esteem, Nike’s significant yoy earning
growth is a reflection of how well the brand is
regarded & respected.
– Knowledge, Nike is the largest seller of
athletic footwear & athletic apparel in the
world, which demonstrates worldwide appeal
& intimacy

10. Brand Asset Valuator
• Nike Brand Asset Valuator (BAV) Results
– Nike demonstrates Energized Brand Strength
– Nike demonstrates Brand Stature
– BAV reflects Nike as a Market Leader

11. Conclusion
• Based on BAV Nike is a market leader
• Nike continued use of high profile athletes
to endorse its product has directly
contributed to their financial success