Nike Promotional Mix

FASHION PROMOTIONS 19 FEB 2021 MR.MUHAMAD RIZAL BIN MD ZAWAWI

TABLE OF CONTENTS

11

sales promotion

PR & Publicity

01

Nike's Background

12

03

Introduction & importance of fashion promotional mix

14

06

Advertising

16

visual merchandising

09

Direct Marketing

18

Conclusion

10

Personal Selling

19

References

Corporate Identity System (CIS)

NIKE, INC.

BACKGROUND

Nike, Inc., was founded in 1964 as Blue Ribbon Sports

by

Bill

Bowerman,

the

American

sportswear company, Oregon, and his former Diagram above shown Nike Logo Evolution.

student -Phil Knight. They began their first retail outlet in 1966 and launched the Nike brand shoe in 1972, The company was renamed, Nike, Inc., in 1978 and went public

Part

two years later. By the early 21st century, Nike

owed

to

began in 1990, pay tribute to these and other

throughout the world and cost it $35, which is

company

$205 in today’s dollar.

spokespersons

while

offering

consumers a full range of Nike products. In the 1990s the company’s image briefly suffered

From 1980s Nike gradually expanded its diversified

numerous

is

The Nike Town chain stores, the first of which

mark called the “swoosh”—was recognized

through

success

Mia Hamm, Roger Federer, and Tiger Woods.

170 countries, and its logo—a curved check

and

Nike’s

endorsements by athletes like Michael Jordan,

had retail outlets and distributors in more than

business

of

its

product

acquisitions,

from revelations about poor working conditions

line

in its overseas factories.

including

Converse, Inc. (2003), the shoe companies Cole Haan (1988; sold in 2012), the athletic

Nike is now the market front-runner in the

apparel and equipment company Umbro (2008;

manufacturing of sportswear and gear and

sold

sports-equipment

enjoys possessing more than 47% of the

producer Canstar Sports, Inc. (1994; later

market share across the globe. Nike’s mission

called Bauer and sold in (2008), In 1996 the

is to bring innovation and inspiration to every

company created Nike ACG (“all-conditions

athlete (Nike Inc., 2012). The company has

gear”), which markets products for extreme

more than 700 shops around the world and has

sports

and

offices situated around 45 countries outside the

snowboarding. In the early 21st century Nike

United States. Most of its factories are in

started selling sports-technology accessories,

Southeast Asia including China, Taiwan, India,

including high-altitude wrist compasses and

Indonesia,

portable heart-rate monitors.

Vietnam, and Malaysia, etc.

in

2012)

such

and

as

the

mountain

biking

1

Pakistan,

Thailand,

Philippines,

THE FOUNDER BILL BOWERMAN

2

WHAT IS A PROMOTIONAL MIX?

Promotional mix refers to the specific combination of the channels, tools, and processes you use to promote your offerings. It’s how you persuade and remind potential customers about your products, and to help enhance the company’s and the product’s image. what channels that you use to reach the audiences, and how frequently you communicate.

THE IMPORTANCE OF FASHION PROMOTIONAL MIX

Promotion usually makes up one of the 4 P’s in the marketing mix, which are Product, Price, and Place—and it’s arguably the most important materials. That’s because your promotional strategy connected to all of your other marketing activities.

The company might have an amazing good, the most profitable pricing strategy, and the best potential location but you must share the right message with the right audience, your marketing efforts will be works. You can nail all the other P’s in your marketing mix however a carefully crafted strategy of the right promotional mix elements can make the distinction between success and failure. Without effective promotion, customers can’t receive the information about your product and service offerings, and sales will be stifled.

3

P R O M O T I O N A L

( C O M M U N I C A T I O N )

M I X

Advertising (TV, radio, press, PPC) Advertising involves all the information a business pays to deliver through a medium to reach the targeted audience. As it involves the majority of paid messages, organizations usually allocate significant amounts of the marketing budget to the advertising function. It can be costly, the advertiser has full control over the message delivered since it pays the radio station/television, print publication, or website for placement, etc.

Successful advertising campaigns can be eye-catching, emotive, musical, creative, catchy, or even intentionally annoying to grab the audience's attention!

Direct Marketing (email, social media, gamification, etc) Direct marketing consists of any marketing that relies on direct distribution to individual consumers, rather than through a third party ( mass media).

For

example

:

Emails,

database marketing, Diagram above shown Instagram page of Nike

online

adverts,

newspapers, outdoor

advertising,

flyers,

phone

messaging,

promotional

letters,

magazine

adverts,

coupons, calls, postcards, websites.

Personal selling Personal selling is selling through a person (usually in a face-to-face setting). such as salespeople, brand ambassadors, representatives, or even influencers.

Using their experience, specialist knowledge with their communication skills, their purpose is to inform and encourage customers to purchase or try the product /service.

4

P R O M O T I O N A L

( C O M M U N I C A T I O N )

M I X

Diagram above shown Visual Merchandising of Nike

Sale Promotion Using several online and offline outlets, sales promotion creates limited-time deals and promotions on products or services to increase short-term sales. It can include sales, coupons, contests, prizes, product samples, etc.

PR and Publicity Public relations transform brand information into stories that appeal to the media and its target audiences. It amplifies strategies, news, and campaigns to build a positive image of a company through partnerships with newspapers, journalists, and other relevant organizations.

Publicity concerns present in the media. It creates public awareness for a brand. It is a promotion, used to attract attention.

Corporate Identity System (CIS) The graphic design of the firm's core visual identity.The elements of CIS including corporate name, symbol, logotype, typography, color, and slogan.

Visual Merchandising Visual merchandising is the practice of displaying and designing merchandise and store in a retail setting with the goal of attracting the shopper's sight and boosting sales.

5

ADVERTISING

Diagram above shown Athletes endorsement (Kobe Bryan)

Celebrities/Athletes endorsement A Nike used to promote its products through celebrities to represent the ideal customer or consumer of its products. The company’s advertisements perform highly popular characters, such as professional athletes. Target customers see that their favorite celebrities/athletes use Nike’s products such as Kobe Bryan an American professional basketball player.

As a result, these customers become motivated to purchase and trust to use these products. Through celebrity/athletes figures in advertising, the company’s marketing communications mix effectively promotes products to customers by motivating them to mimic how these celebrities/athletes prefer the Nike brand.

6

PROPAGANDA

Meaningful Story

SATCHEL PAIGE

Diagram above shown a Propaganda video of Nike.

Emotional Nike didn’t build its loyal fan base on harping on its iconic waffle shoes. besides, Nike’s ads rarely mention their products.

They do well due to it induces emotion in the consumer through ‘emotional branding’. Each ad is nicely crafted to evoke special feelings and needs in the consumer that can only be satisfied with Nike products.

Nike takes the analogy to a next level far more relatable: the ‘terrible foe’ is the voice in your head that tells you, “You can’t”. To that, the organization says: “Just do it.”

Each Nike ad is designed to inspire to tell the audience that we can do anything if we just try. Nike is selling more than a product; it's selling aspiration to the audiences 7

ADVERTISING

Facebook Messenger SATCHEL PAIGE

The image above shown Nike Air Jordan and Facebook Messenger Bot Collaboration.

Nike Air Jordan and Facebook Messenger Bot Collaboration Campaign For creating this campaign, Nike teams up with conversational AI platform Snaps. The project is delivering content from the Air Jordan blog, Jordan.com, and Jordan Newsweekly to the users. It divides into 3 categories: Air Jordan, shop, and watch. Messenger bots enable two-way conversations and give people a unique opportunity to connect with Nike’s Air Jordan. The bot is generating open rates of 87%, far outpacing the typical 15% to 20% it sees from emails.

8

DIRECT MARKETING

Direct Email Customers can signed-up to Nike’s email list as brand-new subscribers and have paid close attention to how they’re communicating, what they’re sending, and why they might be sending it. Nike will send an email to the customer about their

new

product,

campaign,

and

birthday

promotion. There are also some benefits by sign up to Nike's email such as free shipping and newly updated Nike merchandise or the latest news of Nike.

Colleges and Universities Nike's

new

products

are

usually

advertised. Nevertheless, to make a

massively greater

impact, the company employs salespeople to approach several individuals or organizations in target

market

segments.

For

instance,

the

company approaches and promotes its products to sports organizations in colleges, schools, and universities. Nike’s marketing communications mix uses direct marketing to build stronger relations and develops loyalty among target consumers,

who

become

exposed to the Nike brand.

Diagram above shown direct email of Nike

9

more

frequently

PERSONAL SELLING

Diagram above shown retail store of Nike

Store personnel in store Nike’s personal selling efforts happen in the stores. Store personnel is trained to provide help to customers in knowing more about the company's products, and to persuade them to buy or try these products. In some cases, sales personnel also promote the company through personalized service that helps customers find the right NIKE product.

Nike's personal selling provides a positive customer experience. Customer experience is enhanced due to the persuasion and trained assistance from sales personnel.

Customers feel empowered in making informed buying The diagram above shown well trained sale personnal of Nike

decisions. This tactic helps make customers feel good and satisfied with the products they buy from Nike. Therefore, Nike’s marketing communications mix uses personal selling to create a better customer experience and relations, while promoting the company’s products.

10

SALES PROMOTION

Sales Promotion Nike’s sales promotions are usually in the form of special offers given to the target customers. The company uses sales promotions to motivate new and current customers by providing extra benefits, such as the savings they can make by purchasing when discounts or special offers are given. Sales promotions in Nike’s marketing communications mix drive demand from new customers by motivating them to purchase the company’s products based on these perceived benefits.

Diagram above shown Websites item promotion of Nike

For example:

The diagram above shown NIKEID's promotion Deal.

NIKE will be providing sales up to 50% or 70% depending on the holiday. Employee discount for Nike's staff and NikeID discount code.

NikeID is a popular service provided by Nike, which allows customers to design and personalize their own Nike shoes.

11

PR & PUBLICITY

The diagram above shown the sustainable technology of Nike.

Green Technology The company implements public relations as a way of addressing social issues linked to its business.

For instance, the company undergoes social pressure about the use of sweatshops, as well as pressure to improve green technology integration in the business. Hence, the company decided to use public relations to deliver information to stakeholders regarding current and planned corporate citizenship activities to improve the business and its effect on stakeholder groups. Nike is given a good example for the social and it also increases in its sales.

12

PR & PUBLICITY

The diagram above shown ''THE FIFA WOMEN’S WORLD CUP'' members.

Sponsorship ''THE FIFA WOMEN’S WORLD CUP'' The company concerns public relations by sponsoring sports events and similar activities, Nike uses these activities to deliver messages to the target customers about what the business does to address relevant social issues.

For instance, Nike’s Sponsorship Efforts In The Women’s World Cup Prove that more Brands Need To Prioritise the Female DemographicAfter a surprising performance saw the U.S won ''THE FIFA WOMEN’S WORLD CUP'', the victory served to highlight just how successful Nike's marketing has been. The Iconic brand has been a harbinger of women's representation in the sport long before equality was even trending, but it still has a long plan to go.

Besides, Nike’s promotional mix involves public relations to address social issues and to provide a good image of the brand, so that current and potential customers will develop a better perception of Nike and its products.

13

CORPORATE IDENTITY SYSTEM

Logo, Secondary Logo(s) & Submarks:

Typography/ Font Design​:

Slogan:​

Corporate Colour Pantones: Nike primarily used the red and white color palette on its logo for much of its history.

The red: exemplify passion, energy, and joy, while the white color represents nobility, charm, and purity.

White and black are the two primary colors used to display the logo on their shoes and apparel.

14

CORPORATE

Exclusive Prints/ Patterns​ IDENTITY SYSTEM

1987 Print Fleece Crew

15

VISUAL MERCHANDISING

Window display Nike regularly updates its displays during each season Using a creative and straight forward design

for

promoting

their

new

merchandise and collection on their window display such as straight forward slogan '' Just Do It '' & the iconic bold word of Nike.

Apply bright lighting to highlight focal points for grabbing the audience’s attention The simple and bigger font delivers a clear message to the audience.

Iconic

logo

and

symbol

audiences know is ''Nike''shop

The diagram above shown the Window display of Nike.

16

to

let

VISUAL MERCHANDISING

The diagram above shown the Instore layout of Nike.

Store Layouts Creative and modern decoration.

Enough space between products and fixtures display freshens up their displays regularly to grab the attention of the audience Switch up its merchandising whenever new products come in, change the outfits of the mannequins or feature different offerings every other week.

Merchandise display Merchandise are display in organized Product are listing in a Categorization by signage The new product is placing in a focus area and apply bright lighting to highlight focal points Position Staff and Service Counters are accordingly and The diagram above shown the the merchandise display of Nike

ready to services their customer.

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CONCLUSION

Nike is a well-known, successful company worldwide. Though this assignment shows that Nike maintains a positive, corporate culture within an innovative and profitable company. Besides, Nike has more followers on its social media than all of its competitors and can target specific audiences. Thus, the communication mix plays a key role in Nike’s marketing strategy and is a key reason for its strong brand name.

Nike is not always focusing to promote its product but frequently using Propaganda advertising to bring out a powerful and positive message to motivated the audiences in their growth. Moreover, regardless of Direct Marketing, Personal Selling, and sales promotion. Nike is able to deliver the latest information and promotion to its target audiences and also provide better, one to one services to their customer. Hence, the customer will feel value and respect for Nike. Furthermore, Nike is continuing to improve and concentrating on the social issue of the environment and Prioritise the Female demographic. This means this brand not only selling the product but also helping and delivers a sound to impacting to social.

Others than that, Nike keep updating its product innovation and regularly refresh their Visual Merchandising even though it has a high sales every year.

Lastly, the successful key of Nike is to keep innovation, focus on social issues, and also providing a good product and services. If we similarly shape our business as Nike we can enjoy similar success too.

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REFERENCES

1

Arica, A., 2018. Nike Air Jordan Collabs With Facebook Messenger Bot To Bring Content. [Online] Available

at:

https://digitalagencynetwork.com/nike-air-jordan-collabs-with-facebook-

messenger-bot-to-bring-content/ [Accessed 16 2 2021].

2

Britannica, T. E. o. E., 2020. Nike, Inc.. [Online] Available at: https://www.britannica.com/topic/Nike-Inc [Accessed 16 2 2021].

3

CAMPBELL, J., 2019. Nike’s Sponsorship Efforts In The Women’s World Cup Prove More Brands Need To Prioritise Their Female Demographic. [Online] Available

at:

https://www.gq.com.au/fitness/sport/nikes-sponsorship-efforts-in-the-womens-

world-cup-prove-more-brands-need-to-prioritise-their-female-demographic/newsstory/3642420742ee4ac9cf62fe9a457d2646 [Accessed 16 2 2021].

4

GREGORY, L., 2018. Nike’s Promotional Mix (Marketing Communications Mix). [Online] Available at: http://panmore.com/nike-marketing-communications-mix [Accessed 16 2 2021].

5

Haileyesus, S., 2019. 20 Store Layout Tips that Make You More Money. [Online] Available at: https://smallbiztrends.com/2019/12/store-layout.html [Accessed 16 2 2021].

6

lpeterboehm, 2016. Nike – Innovating with Sustainability. [Online] Available

at:

https://digital.hbs.edu/platform-rctom/submission/nike-innovating-with-

sustainability/ [Accessed 16 2 2021].

7 Porter, J., 2012. 7 Tips to Create Winning Window Displays. [Online] Available at: https://www.entrepreneur.com/article/223677 [Accessed 16 2 2021].

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