Research problem:

How have Adidas used

the instrument Branding,
and which roll did it play
in the competition
between Adidas and Nike?
Author: Karolina Tich

Brand Identity Prism - Nike

Physical product
Sports and
fitness

Personality
Like Jordan, Woods

Relation
Sponsorship,
Ethics

Reflection
Aggressive,
Provocative,
In-your-face

Culture
American
Just do It!

Self image
Cool
Athlete

Brand Identity Prism - Adidas

Physical product
Sports and
fitness
Relation
Quality and
Heritage

Reflection
True sportsmanship
Strong work ethic
A good team player

Personality
Traditional, Conservative, Collective
Culture
European
Traditional

Self-Image
Relates more to
competing than to
winning

Brand Equity

Brand
Awareness
Endorsement
focus strategy
National
advertising
Nike:
Development of
NikeTown stores
Adidas:
branded
grassroot
sponsorship

Perceived
Quality

Brand
Associations
Nike:
Sports
Life style
Attitude
Adidas:
Heritage
Tradition
Quality

Brand
Loyalty
Nike:
Sales 1986:
$ 1 billion
Sales 2002:
$ 9,9 billion
Adidas:
Sales 1992:
$ 1.7 billion
Sales 1998:
$ 4.8 billion

Three most important tools which have

enhanced brand awareness on Nike
Endorsement focus strategy

Participation of famous athletes with the company

Michael Jordan, Tiger Woods, Andre Agassi
They are heroes
Succesful strategy during 80s and 90s
Costs e.g. Jordans average salary about 20 million USD per year

Nike Town
13 Nike Towns in the world
High costs, cannot expect opening of a NT in the Czech Rep. soon

National advertising
Innovative way, big extent of advertising, uses all communication mix
TV, internet, campaigns like Just do it
Costs approximate costs of campaign like Just do it about 100 million
USD

Efficiency of strategies used by Nike

Endorsement focus strategy
High efficiency in 80s, 90s
Jordan possible to measure directly by amount of sales of Air
Jordan products
Nike golf sales increased to 250 million USD from 100 million
USD in 2000
Supports brand awareness, has enhanced the image of the company

Natinal advertising
Hard to express efficiency directly
Has helped to understand Nike mission, wearing Nike is more a
live philosophy than just a fashion

Nike Town
Has brought to the branding and marketing world something
absolutly new and original, created strong brand identification

Expected orientation of Nike strategies

New trend in the society individuality the
endorsement focus strategy will probably loose its power,
people do not want to be like Jordan anymore
We can expect orientation to campaigns emphasizing
individuality
Possible transfer of investments from endorsement focus
strategy to national advertising

How have Adidas used the instrument Branding,

and which roll did it play in the competition
between Adidas and Nike?
media advertising,
new subbrands,
sponsorship
branded grassroot sponsorship

Adidas used the same theoretical systems as

Nike to develop their brand building.

Conclusion
In this project were used two theoretical models Kapferer
Prism model for branding identity and model for brand
equity
Models were applied on companies Nike and Adidas and
showed and explained main aspects of brand building of
Nike and Adidas
Revealed strong and weak sides of these companies in
brand building
This theoretical approach can be used in comparison of
other companies due to its theoretical background

Thank you for

Your attention!