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IILM Institute for Higher Education

MMP PROJECT SUBMITTED TO


Ms. Rochika GulatiOf Master of Business Admiration (M.B.A) By

VISHWADEEP BHATNAGAR PG20101348

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Table of Contents
INTRODUCTION ................................................................................................ 3 MISSION .............................................................................................................. 3 VISION ................................................................................................................. 3 NIKES PRESENCE IN INDIA: NIKE ............................................................... 4 Financial performance........................................................................................... 5 Pestle Analysis ...................................................................................................... 6 Porters 5 forces model ......................................................................................... 8 SWOT Analysis .................................................................................................. 12 Ansoffs matrix ................................................................................................... 13 7 p of Nike........................................................................................................... 14 Nike Cost Leadership .......................................................................................... 15 Nike's Differentiation Strategy ........................................................................... 16 Focus ................................................................................................................... 16 Integrated marketing communication (IMC) ...................................................... 16 Targeted............................................................................................................... 18 Advertising .......................................................................................................... 19 Budget ................................................................................................................. 23 Evaluation ........................................................................................................... 26

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INTRODUCTION
Nike is a major publicly traded sportswear and equipment supplier based in the United States. The company is headquartered in the Portland metropolitan area of Oregon, near Beaverton. It is the world's leading supplier of athletic shoes and apparel and a major manufacturer of sports equipment with revenue in excess of $16 billion USD in 2007. As of 2008, it employed over 30,000 people world-wide. Nike and Precision Cast parts are the only Fortune 500 companies headquartered in the state of Oregon. The company was founded in 1962 as Blue Ribbon Sports by Bill Bower man and Philip Knight, and officially became Nike, Inc. in 1978. The company takes its name from Nike, the Greek goddess of victory. Nike markets its products under its own brand as well as Nike Golf, Nike Pro, Nike+, Air Jordan, Nike Skateboarding, Team Starter, and subsidiaries including Cole Haan, Hurley International, Umbro and Converse. Nike also owned Bauer Hockey (later renamed Nike Bauer) between 1995 and 2008. In addition to manufacturing sportswear and equipment, the company operates retail stores under the name. Nike sponsors many high profile athletes and sports teams around the world, with the highly recognized trademarks of "Just do it" and the Swoosh logo.

MISSION:
To bring inspiration and innovation to every athlete in the world

VISION:
Innovate for better world Unleashing potential through sport. In the last two years, Nike has invested $100 million worldwide in community-based sports initiatives. By 2011, NIKE is expected to invest another$315 million. These investments will be used to give excluded youth around the world the chance to play because as access to sport can enhance their lives. Nike will provide products, resurface playing fields, support community-based programs, and help young people create their own communities. This is all will be the NIKE Let Me Play commitment.

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NIKES PRESENCE IN INDIA: NIKE


Nike has been present in India from 1996 and headquartered in Bengaluru. India is a cricket crazy nation, NIKE understood the importance of cricket and in December 2005, it tied up with coaching schools like the BCCI's National Cricket Academy. Now NIKE became official kit sponsor for BCCI Indian Cricket Team .By paying Rs.196 Crores (Rs. 1.6 Bn) to BCCI, NIKE wrested the rights to become the kit sponsor up to 2011.The first "Just Do It" cricket ad also made its appearance during the Champions Trophy." We want to look at what drives the passion for cricket in India. We aim to connect emotionally with our customers," - Sanjay Gang opadhyay, marketing director, Nike India Market share and revenue segmentation Nike realizes that in order to be number one they need to offer a wide range of products to be able to develop a culture and fulfil their loyal customers needs. Nikes strategy in terms of segmentation is excellent. Their core product is footwear but they also manufacture apparel and equipment and thus, they spread their influence in other sport-related markets. Nike also has several sub-brands to grasp different consumer groups. Nikes main source of revenue is athletic footwear, which is also its core competency. It accounts for 54% of total revenues. It is designated for running, cross-training, basketball, soccer and it includes even a casual footwear line. Sales in this segment increased by 14% in 2009 from which a big portion was a result of the increase in sales in the Asia Pacific region. The second most profitable segment for Nike is apparel, such as t-shirts, shorts, sweatpants, and licensed apparel made specifically for universities with their own logos. With an increase of only 0.2%, apparel sales accounted for 27% of the companys revenue in 2009.However, sales in this segment grew by 14% in the previous period, between 2007 and 2008, due to the growth of 25% of revenues in emerging markets, such as Russia, and other EMEA countries but also a substantial revenue growth of 50% in China. Unlike footwear, which main market is the US, the majority of apparel sales come from the EMEA region accounting for 38% of total apparel revenue Equipment, such as balls, golf clubs etc. accounts for 6% of total revenues in 2009and 13% come from other brands under Nike, such as Cole Haan, Converse, Umbro etc. these different sub-brands supplement Nike product lines.
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For instance, Umbro specializes in selling soccer apparel and footwear. Nike Golf targets golf players and offers specialized golf equipment, apparel and footwear. Cole Haan on the other hand offers premium dress and casual footwear. Hurley International offers products suitable for snowboarding, skating, and surfing.

Financial performance
Nikes financial performance has pleased investors, who now see a company where earnings are less volatile and less fad-driven, yet still growing rapidly enough to spin off lots of profit. In the past fiscal year, Nike's free cash flow totalled $1.2 billion, and its return on invested capital was 22%, up from only 14% four years ago, making it a safer investment, less volatile to liquidity problems and more appealing to investors. The company boosted its dividend by 43% last autumn and completed a $1 billion share repurchase. It plans to buy back $1.5billion more in shares over the next four years. This year, for the first time, Nike's share of the football boot market in Europe, 35%, exceeded Adidas, at 31%. Nike has achieved that fast growth in part by using the same outsize marketing tactics that made it big in the U.S. It paid the prestigious Manchester United club an unprecedented $450 million over 14 years to run its merchandising and uniform operation.

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Pestle Analysis
It is important for the organization to consider the environmental influences that have been particularly important in the past, and the extent to which there are changes occurring, which may make any of these more or less significant in the future and bring in new issues for consideration. The macro-environment consists of all the outside institutions and uncontrollable forces that have an actual or potential interest or impact on the organizations ability to achieve its objectives. The Political, Economic, Social, Technological, Legislation and Environmental factors(PESTLE), are the most important tools to consider in regards to the impact of the general environment as they provide a broad structure assessing the potential impact of these influences, positive or negative, while the opportunities and threats to be faced. Nikes international operations are subject to the usual risks of doing business abroad, such as possible revaluation of currencies, export duties, quotas, restrictions on the transfer of funds and, in certain parts of the world, political instability. Nikes products manufactured overseas and imported into the United States and other countries are subject to customs duties collected by customs authorities. Nike is unable to predict whether additional customs duties, quotas or other restrictions may be imposed on the importation of our products in the future. The enactment of any such duties, quotas or restrictions could result in increases in the cost of our products generally and might adversely affect the sales or profitability of Nike and the imported footwear and apparel industry as a whole (Nike, Inc 1996 10k report). Nike has become one of the multinational companies that represent businesses in the society under attack by a wide choice of protest or campaign journalists. The issues that Nike faces are those of human rights and conditions for workers in factories in developing countries (Nike). The company has been subject to critical coverage of the often poor working conditions and exploitation of cheap overseas labour employed in the free trade zones where their goods are typically manufactured. The forced labour camp like conditions in some overseas production plants led to several boycotts, together with coining the alternative name swastika for the companys swoosh logo (Nike, Inc). Nike is also seen as insincere because while their advertisements show women as powerful in the United States, they are seen to demoralize those in the factories in East Asia. Also in regards to wages, Nike argues that they do have fair wages according to the different countries and their cost of living instead of paying the United States dollar equivalents

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Organizations need to be aware of new technology in order to turn these advances into opportunities and a competitive edge. Technology has a tremendous effect on life-styles, consumption patterns, and the economy. Advances in technology can radically alter existing industries and because of the industries competitive nature each company makes their own advances, and then copyrights them. Nikes research team has spent more than 16 years dreaming, researching, developing and testing the possibility of attaching springs to the bottom of an athletes foot. Nike Shox, the most acclaimed technological development makes the dream a reality (Nike). Therefore, by advancing in technology, Nike holds a competitive edge in the market. Nike has also taken the lead in by being the first market with its e-commerce web site. Its web site offers online purchasing, a complete description of its product lines, store locations, and many more features to reach its market. NIKEID enables online customers to design key elements of the shoes they purchase. The goal for applying this system is to create a seamless flow of information shared by any browser using Nike employee around the world. Using this, employees can reduce time for getting information and they can obtain the information about their company and product anywhere. As a result, Nike increased more than 40% of their global sales (Nike). The economic environment consists of factors that affect consumer purchasing power and spending patterns. Economics factors include business cycles, inflation, unemployment, interest rates, and income. Changes in these major economic variables have a significant impact on the marketplace. Nike is impacted by these economic variables greatly as these things cannot be controlled. Such things as consumer-expenditure and family incomes play an important role in the marketing strategy and are an important part of Nikes advertisement campaigns The demographic environment tells marketers who can be potential customer in terms of size, density, location, age, sex, race, occupation, and other statistics. Changes can result in significant opportunities and threats presenting themselves to the organization and major trends for marketers include worldwide explosive population growth (Kotler and Armstrong). All of these can provide Nike with the tools and assets it needs to promote its products in different areas of the world and gain a bigger share of the market globally. The industry has realized the influx of womens sport players and is preparing to accommodate such an increase and as women increase their consumption the younger generation is decreasing because of the popularity of other footwear.

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Environmental consciousness has a strong presence in Western Europe and Japan, as well as in the United States (Kotler and Armstrong 76). Currently, Nike has been pursuing product sustainability for more than decade. From increasing the use of water-based solvents in footwear manufacturing and working to keep greenhouse gas emissions in check, to supporting organic cotton and turning old shoes into new sports surfaces, Nikes commitment to sustainability is part of our Considered ethos (What led us to Nike Considered). It can be said then that Nike does not suffer environmental issues. It is important for Nike to understand the sociocultural environment which is made up of forces that affect societys basic values, perception, preferences, and behaviours with changes affecting customer behaviour, which affects sales of products. Nike targets the social values of achievement, self-actualization, individualism, and conformity with slogans as Just Do It! becoming a cornerstone of Nike advertisements. Because Nike targets individuals in athletic fields, they find it necessary to attack the emotions of success and self-fulfilment

Porters 5 forces model


Rivalry ( very high)

Since the athletic footwear industry in the US is a mature industry, competition is targeted towards attaining market share. Companies need to introduce products at numerous price levels in order to compete and reach all areas of the market. In this sense there are only a few players who are able to compete in all sectors: Nike, Adidas-Reebok, and New Balance. Smaller firms in this industry focus on specific type of shoes hence targeting specialized sub-markets, i.e. Asics on running shoes. Rivalry among the big players is fierce. Since they cannot compete on price they need to differentiate their product through constant innovation. Also, continuous efforts are needed towards strengthening their brands In order to stay competitive and have presence in all sectors, many mergers and acquisitions, i.e. Adidas and Reebok, are taking place and the market is going towards consolidation. As a result, maintaining a single brand image for companies like Nike becomes really a tough ask.

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Threats of New Entrants: (Low) Barriers to entry in the athletic footwear industry are high due to several factors. It is as very capital intensive industry. Even though it would not be difficult for a new company to obtain the raw materials and the labour needed to produce shoes, there is almost no chance for them to gain popularity in such a mature industry with some of the strongest brand names in the world. Brand loyalty is extremely strong and it would be very hard for a new entrant to steal loyal customers from the already existent players. Economies of scale play a huge role as well and the bigger players have an advantage of producing the products at a lower price than compared with newer entrants. As the output is bigger and the fixed costs of factories, machinery, marketing and R&D will be decreased per unit. Both marketing and R&D constitute high costs and since new entrants will not be able to take advantage of the economies of scale they will be less competitive. Another barrier is the fact that access to endorsement, which we discussed, is very important in the industry. The bigger players have already established agreements with both teams and athletes. New entrants will not be able to pay hefty sums for such agreements. Similar conditions apply for distribution opportunities and retailers. They want the well-established brands on their shelves that customers want rather than a new unknown brand. The industry itself is in a consolidation phase and only the big ones will survive. The large companies are strategically and constantly acquiring smaller companies. Some of the most popular acquisitions include Reebok by Adidas, Converse by Nike, Saucony by Stride Rite, etc. Small companies are bought before they become a threat to the bigger ones and before they have a chance to gain market share. In other words, it is impossible to grow in this industry because someone will take over your company.

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Substitutes: (Low) In theory there are a several substitutes of athletic shoes. However, the perceived threat is low since they have unique functions. First, in the sports industry, other types of apparel could also be seen as a substitute, in terms of building image and style. Second, in the same product category, other types of shoes are also substitutes, such as slippers, heels, boots, flip-flops, etc. Even though sneakers are still the most popular type of footwear in the world, there is substantial threat coming from the number of other types of shoes. Lifestyle athletic shoes sales, for instance are growing at the fastest annual rate and Puma is undoubtedly the leader in this segment- with more than 50% sales growth. Companies such as Steve Madden and Sketchers are also seen as threats. Steve Maddens thick high heeled shoes are very popular and since thick heels are considered a more comfortable version among women they could be a substitute for sneakers. Sketchers introduced non-athletic heel-less shoes also called sneaker mules These shoes, first gained popularity in Europe but now are also becoming popular in the United States. Supplier Power : (Low) Typically athletic shoes are manufactured using three major raw materials- cotton, rubber, and foam. The rubber is vulcanized through a simple chemical process that improves durability and stability. However, all of these materials are commodity goods. In other words, the suppliers do not have the power to bargain the price of their product, since there are numerous suppliers. Hence the supplier power is low. However, there has been some standardization of production in the industry due to growing concerns of labour practices of the suppliers and manufacturers. These practices have been damaging the image of some companies including Nike. Therefore, the big companies prefer to work only with approved manufacturers and suppliers that are known to follow these labor standards. Both Adidas and Nike have created a system to ensure that all the high quality of the product, the working conditions, and the distribution are at high standards.

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If the supplier fail to meet these standards contracts are discontinued. Therefore, suppliers are trying to establish themselves as reliable because once they gain Nike as a customer they know that they will request enormous volumes. However, to reach this level, the supplier needs to make investments in their facilities to improve working conditions and many suppliers cannot afford to do so. Buyer Power: (Very High) The buyers for this industry are retailers and end users. The footwear retailers, i.e. Footlocker, Wal-Mart, range in sizes. However, the top 25retailers account for two-thirds of the sales of athletic footwear- approximately $15 billion in value. New retailers are entering the market, such as big box stores and vendors that open their own stores. The lack of concentration among buyers brings down the margins and gives the power to the vendors. Retailers also have no power in determining the design of the product. Therefore the big footwear manufacturers generally dictate the price of their shoes. In order to gain more power buyer companies have started merging- Footlocker Foot Action, Sport Authority- Gart. This consolidation will transfer some of the power from the big players because in order to be industry leaders they will need these wellrecognized retailers as well. Growing margins suggest that buyer power has been increasing. The end user of the industry is also considered a buyer and he has unlimited power. Every company is fighting for the loyalty of the end user through constant innovations and brand management. However, if the user is dissatisfied, he can easily switch the brand to another one. Therefore, overall we consider buyer power to be high.

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SWOT Analysis
Strengths: Nikes major strength is its strong brand image and recognition worldwide; it is one of the leading sportswear manufacturers. Everyone is familiar with the term just do it Their products are seen as quality worldwide and are more popular because of its association with many celebrities (due to advertising and promotion).They have strong customer base and consumer loyalty. Nikes competitiveness in the sporting industry is also a major strength. Nikes Founder and CEO, Phil Knight has often been quoted as saying that 'Business is war without bullets. (marketingteacher.com). they are always improving their advertising and promotion methods and are constantly ahead of their competitors. They are constantly improving and growing their product range (for example creates your own trainers at nike.com). Nike is also in a strong financial position, with minimum long term debts. They do not tie-up cash in buildings and manufacturing. They are constantly increasing productivity by switching their production to the cheapest available place, at the highest quality. Weaknesses: Nike as well as other brands has been portrayed negatively because of poor wages and working conditions in its overseas factories. This bad public image could lead loss of existing customers, and potential customers switching to more ethical brands. The sportswear industry is very price sensitive, all competitors prices are about the same. Nike has its Nike shops and the selling of its products direct to the consumers conflicts with other resellers of the brand. Most of Nikes earnings are derived from selling into retailers. And retailers attempt to pass some of the price competition onto Nike, which decreases Nikes profits. Opportunities: Nikes main opportunity is product development. Developing their product range make them more competitive. Products tend to go out of fashion quickly and Nike can introduce new products fast. Consumers will desire the newest and latest products from Nike. They can also diversify into other parts of the industry; there are always new sectors of the market to reach. Increase in internet shopping will reduce the cost and improve prices making them competitive.

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Threats: There is a threat of consumers leaving Nike, as they have a bad ethical image. Also using celebrities can be a gamble as they might also cause negative images like Kobe Bryant and the sexual assault case. Also increases and decreases in foreign exchange can affect their business

Ansoffs matrix
Market penetration - As Nike are fairly established in their market this will not really occur, however Nike could attract non-users of their products, or attempt to get current customers to purchase more through advertising or other promotions. Product Development This will affect Nike as they are constantly developing products for the same market, for example new types of trainers, also is could occur that as Nike are creating new products it may gain new customers for them. Therefore new product development can be a crucial development strategy if Nike wants to stay competitive Market Development This will not affect Nike greatly, as they tend to focus their products in known markets, and if they change their market, Nike have the resources to completely develop a new strategy, rather than using existing products. Diversification I think Nike have the power and know-how to do this, however currently has been fairly limited, they have, over the years really increased the range of sports in which they produce for, however I would like to see them move away and attempt to create new products in new markets. For example Nike MP3players, or Nike Televisions, Nike Laptops.

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7 p of Nike
1. Product Nike offers a wide range of shoe, apparel and equipment products, all of which are currently its top-selling product categories. Nike started selling sports apparel, athletic bags and accessory items in 1979. Their brand Cole Haan carries a line of dress and casual footwear and accessories for men, women and children. They also market head gear under the brand name Sports Specialties, through Nike Team Sports, Inc. They sell small amounts of plastic products to other manufacturers through Nike IHM, Inc. Bauer Nike Hockey Inc. manufactures and distribute ice skates, skate blades, in-roller skates, protective gear, hockey sticks and hockey jerseys and accessories. 2. Price Nikes pricing is designed to be competitive to the other fashion shoe retailers. The pricing is based on the basis of premium segment as target customers. Nike as a brand commands high premiums. Nikes pricing strategy makes use of vertical integration in pricing wherein they own participants at differing channel levels or take part in more than one channel level operations. This can control costs and influence product pricing. 3. Place Nike shoes are carried by multi-brand stores and the exclusive Nike stores across the globe. Nike sells its product to about 20,000 retail accounts in the U.S. and in almost 200 countries around the world. In the international markets, Nike sells its products through independent distributors, licensees and subsidiaries. Independent distributors need not adapt to local pressures because the 4Ps of marketing are managed by distributors. 4. Promotion Promotion is largely dependent on finding accessible store locations. It also avails of targeted advertising in the newspaper and creating strategic alliances. Nike has a number of famous athletes that serve as brand ambassadors such as the Brazilian Soccer Team (especially Ronaldinho, Renaldo, and Roberto Carlos), LeBron James and Jermaine ONeal for basketball, Lance Armstrong for cycling, and Tiger Woods for Golf. Nike also sponsors events such as Hoop It Up and The Golden West Invitational. Nikes brand images, the Nike

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name and the trademark swoosh; make itone of the most recognizable brands in the world. Nikes brand power is one reason for its high revenues. Nikes quality products, loyal customer base and its great marketing techniques all contribute to make the shoe empire a huge success. Packaging Packaging refers to the way your product or service appears from the outside. Packaging also refers to your people and how they dress and groom. So the packaging of the goods and shoes of Nike is very presentable. And all the employees in the store are well dressed. All of them are dressed in similar uniform, well spoken. Physical evidence At Nike showrooms they have huge collection available in design, in size, in variety. They make their customer sit down and figure out a way for their product so that they knows exactly what theyre buying Process This is for service sector so I am unable to write about it.

Nike Cost Leadership


Nikes corporate cost leadership strategy includes a moderate level of diversification. The operational relatedness between businesses is very high. They share most information and technology needed to succeed. Nike falls into the category of related constrained, since less than seventy percent of revenue comes from a dominant business and all businesses share product, technological and distribution linkages. Nikes diversification is related because the firm builds upon or extends its core competency and resources/capabilities to create value. Also, economies of scope are incorporated. Nike expects activity sharing among units to result in increased strategic competitiveness and improved financial returns, which it has seen. Moreover, intangible resources are difficult for competitors to imitate and/or understand. This allows the other businesses to gain an advantage immediately over competitors.

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Nike's Differentiation Strategy


Differentiation strategy by Nike is used to gain market share advantage in the broad foot ware market. Aside from foot wear, the company boasts of products such as clothing, equipment, and even accessories. The strategy is achieved by producing consumer goods and services that customers perceive to be of high quality or have added unique features. This has been achieved by the company innovating state of the art athletic shoes that are publicized through dramatic guerrilla marketing (Marca, 2001). Marketing of the different products is designed to coerce customers that Nikes shoes are not only superior but also a high fashion statement which is a necessary part of a lifestyle based on athletic or sporting interests. The company has also differentiated itself by using highflyers that are best used in distinguishing sporting disciplines hence enabling the company reach its target market, for instance, the Brazilian national soccer team or even Michael Jordan.

Focus
Nike and Adidas focus on aspiring athletes between the age of 15-35. They also cater to the needs of people who consider in sport as a way of life and are willing to pay a premium for the brand value of the products.

Integrated marketing communication (IMC)


Integrated marketing communication (IMC) may be defined in various ways, but the most comprehensive definition is that of the American Association of Advertising AgenciesA concept of marketing communications planning that recognises the strategic roles of a variety of communications discipline and combines them to provide clarity, consistency and maximum communications impact through the seamless integration of discrete messages. To bring inspiration and innovation to every athlete in the world. This statement was inspired by, a highly esteemed track and field coach and co-founder of Nike Inc. This motto is the companys foremost mission, but strategically integrated with this goal I have used and made an integrated marketing communication plan for Nike football shoes.

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The main IMC objective is to employ a range of marketing communication tactics that would cater to the organizations target market, who have different nationalities, genders, cultures, and ages. To enact this, Nike introduces its latest products named Nike football through a marketing communication group that could strengthen the positioning of, and key messages about, the Nike brand, through different forms of visual aids and point-ofpurchase advertising ( 2002). As discussed above Nike first develops its goods and services that would eventually cater to the needs and demands of people all over the world. As a result, its market share would increase, and more revenue would be generated for the organization. Evidently, because of this Nike has branches in different parts of the world, such as in Europe, Asia, and the like. I have created an extensive integrated marketing communication plan for Nike football shoe . I have used both traditional mass media advertising as well as online tools in constructing a comprehensive IMC program for NIKE football. This program succeeds in constructing synergies across multiple marketing and advertising platforms to communicate a unified message to their potential customer base. The main objective of the integrated marketing communications plan for Nike Football is to move the sales needle for Nike running shoes. Nike is also trying change the perception that that there is a sport named Football in the world and India should have their own football team. A successful IMC campaign for Nike football will thus help to change the perception of the Nike Running brand and increase their market share at the expense of their rivals.

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Targeted

Women Men Girls 3-36 month 3-8years 8-15 years Boys 3-36 months 3-8years 8-15 years The unique Nike Shoes compared with other sport shoes covers the largest market. The company officially became the No. 1 driver in golf in2005 and in 2008 Nike made their first major move in Football market. At present, Nike has slowly crawled its way back up into the ranking of the top footwear manufacturers in the world. Nike Football mainly focuses on men and women who are brand conscious or are looking for comfort and performance in the area of footwear. A major chunk of their customers include athletes who are looking for sports shoes which are customized according to their needs.

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As the campaign was started during the launch of its new shoes Nike football Nike has a variety of objectives that we are trying to achieve with the integrated marketing communications plan for their Nike Football. While Nikes primary goal is to create sales of their Nike Football shoes, Nike is also trying to strengthen the Nike Football shoes within the realm of the overall Nike Corporation. I am trying to achieve this goal through the implementation of a wide ranging IMC plan which focuses on interaction between consumers and Nike football shoes. Since Nike football products are being primarily marketed towards dedicated Players, and because the products are predicated on activity by the user, the Nike Football IMC campaign itself revolves around active marketing elements. Examples of this, which will be explored further, include the Nike football Human 10KRace, the Nike Plus website. As IMC evolves, it is being recognized as a business process that helps companies identify the most appropriate and effective methods for communicating and building relationships with customers and stakeholders. With respect to this concept We are trying to make Nike football a part of active peoples lifestyles, thus creating a high involvement product and IMC campaign that will strengthen the Nike football brand image and result in long term dedicated consumers and sustained product sales.

Advertising
The Nike Football integrated marketing campaign involves extensive advertising across multiple media platforms. These include: television commercials, print media, radio advertisements, and internet banner ads. Nike also advertises their Nike football line of products by featuring them prominently in their Nike Town stores with their own dedicated section, frequently located in a primary spot of the stores. Nike can also have relationships with sporting goods stores Elion sports well, tatsam store, and these retailers set up dedicated sections and displays for Nike Football. Nike Football advertisements should have focused on the game football and create buzz among Indians for football component of the product. Nike Football can use television commercials and print media advertisements which are featuring normal people who are not celebrities. During television commercials they can show the actors is either shown running themselves or the viewer represented with a first person perspective of the sights and sounds from the runner or showing different tricks of football using foot. The commercials should feature a voice over where the footballer narrates their journey and emphasizes the difficulties and dedication that their pursuit requires.

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These spots are also often filled with contemporary rock. The overall goal of the advertisements is to publicise football game in India. These types of advertisements appeal consumers on an emotional level through transformational advertising. In addition, such advertisements can be attempted to capitalize on peoples emotions by emphasizing personal feelings such as pride, achievement, ambition, and actualization. .The consumer will then associate the product with these feelings and attributes that they wish to achieve, and they will purchase Nike Football shoes as a means of trying new sport . These advertisements can also emphasize the branding of the different TV Shows like roadies and music programs or fear factor ,football matches local matches through the Nike football title sponsorship and games coordination. They can different television commercials featuring different football players like Wayne Rooney, Rio Ferdinand etc. These commercials are a noted departure from the previous line of advertisements because they appeal to the consumer on a rational and emotional level. These advertisements also differ from other Nike football commercials because different celebrities emphasize the game and will show how much enjoyable game is football. These ads do not show general people , Nike football shoes, and they do not contain music, they simply feature the celebrity standing against a plain white back drop and speaking to the camera, which also presents a departure from other Nike football advertisements. Sales Promotion The Nike is doing very less sales promotion if compared with advertisements. If we see On the clearance section of Nikes website they offer a very limited number of items from the Nike football shoe at discounts and even then they are available in limited sizes. They can co brand themselves with other big brand like apple to promote their brand. This is possible because Nike and Apple both have strong brand identities and the Nike football shoe is a distinctive product co-branded by both companies, thus it is probably not necessary for them to offer sales promotions around the product. However, they can conduct a football match in India similar to IPL and ask local players to join that. This is another form of sales promotion to entice people to sign up for the game, although they must still pay a fee to enter the game . In return they receive an individually numbered Nike Dri Fit t-shirt, Nike football shoes, access to a post-race concert in their city, and some money can be donated to a designated charity.

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Direct Marketing Programs We can use telemarketing, infomercials, or television spots for direct marketing purposes, Nike football shoes can be the part of Nike catalogues. Nike can send out e-mails to customers in their respective databases they can e-mail directs potential customers to their the dedicated website, and it advertises the multiple things about the events, about the products, about the offers. Internet/Interactive Internet marketing is perhaps the focal point and most utilized component of the Nike Football integrated marketing communications media mix. It is a critical element for promoting as well as utilizing the central component of the Nike Football, and Nike has created a high level of internet interaction around Nike Football. Nike has a website named nike.com / football. In order to access the site a customer must create an account with Nike, and from that point forward they can save their data through the website. Nike also offers a wide array of training and tracking tools that customers can use through the website which creates a very high level of consumer interaction with the site and frequent site visits. These programs include the Nike+ Coach which allows Nike football users to get customized training programs designed for their individualized goals or set specific goals to work towards in the future. The Nike football internet site also has a community feature that allows users to join teams and running clubs while monitoring their status against other teams and individuals from anywhere in the world. Nike has also used internet banner ads to advertise Nike Plus products, and in conjunction with their current integrated marketing communications plan these banner ads have been used to promote the upcoming Events and sport games. We can be strategically placed these banner ads on websites where they footballers and athletes will see them. As an example, they can place these banners on the homepages of both espn.com and other sports website. They can promote through different social networking sites like Facebook, twitter they can upload their videos on YouTube this will not cost much to them. of both espn.com and running.net in the weeks leading up to the race.

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Publicity/Public Relations Programs They can organise different events like Football matches and ask general public to participate. Even they can charge some amount of tickets which they can use as donations. Nike is doing a lot of fund raising programs they can use that to create buzz and promote themselves. Viral Marketing They can use viral marketing for the Nike Football brand through various websites including YouTube. They can make videos which are take on various forms such as actual Nike Football television commercials, consumer how to videos, and product reviews. In addition to the quantity of the videos and their popularity such videos appear to be well received by viewers who consistently rate them between four and five stars. Therefore Nike can definitely create buzz for their products and brand through viral marketing, particularly on YouTube, and the promotion of their brand through these mediums falls in line with other elements of their IMC plan. Budget allocation: Criteria Reach 20% Time spent 5% Influence 20% Persuasiveness 15% Television 97.4 25% 236 48% 74 14% 68.2 102% Newspaper 70 15% 26 5% 7.4 14% 8 120% 3 7% Magazine 50 13% 16 3% 3.8 70% 9 135% 33 18% Internet 65.6 17% 98.5 20% 6.7 134% 4.6 69% 2 7% 2% 5 100% 3.9 58.5% 10 8% Outdoor 40.3 10% 486.7

Campaign Fitness 50 40% 53%

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Budget
Alloca Amt (Rs.) tion (%) Television 45 45 10 27413716 27413716 6091937 55 45 Newspaper 4643341 3799097 35 55 10 Magazine 7340260 50 Outdoor 4514899 4514899 100 8419137 Internet Allocation Amt (%) (Rs.) Allocati Amt on (%) (Rs.) Allocation (%) Amt (Rs.) Allocation (%) Amt (Rs.)

11534695 50 2097217

52.66% 60919370

14.68 8442438

18.10 20979172

7.79 9029797

7.26 8419137

Television Budget
Total Budget for TV: 60,919,370 National Network TV- 42,643,559 (70%) Cable TV- 18,275,811 (30%) National Network TV Cable TV

Percentage Budget Planning

70% 42,643,559 14,74,068 28 weeks

30% 18,275,811 9 channels for 36 weeks

Total

41,273,904

96,454,66

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Internet
City or Town Keyword search Banner sponsorship

Percentage

50%

30%

20%

Budget

4,209,569

2,525,741

1,683,827

Sponsorship, 20

keyword search, 50

Banner, 30

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Newspaper
Newspaper region Mon-sat Frequency Rates Times India Hindustan Times Navbharat Times The Hindu Dainik Jagran Dainik Bhaskar 25 6413 25 2571 191025 25 50 5310 7077 25 25 7077 6750 353800 484900 50 32654 25 5700 1831400 26 29,300 25 40602 2253600 of National 30 116,300 Sunday Frequency Rates 25 32900 Budget (rs.) 3489000

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Evaluation
We will carry out an evaluative research on its advertising campaign prior to release, while the campaign is running and once the campaign gets to its end. These campaigns has been developed to achieve concrete objectives. Pre-evaluation: Concept and Copy testing Testing positioning, image and brand identity we will test the advertising concepts and copy. By testing the concepts and copy on its print and storyboards, we wants to prove that the message sent is understood by Nike football target market and the creates the image and positioning intended. Concept testing: The first evaluation step will be testing the concept; even before the actual ads are competed to make sure that the direction taken is appropriate. During this process the slogans and basic product positioning will be tested as well as the use of celebrities. Concept testing gives the Nike football the opportunity to receive some feedback, before the ads are completed. How: Nike football will carry out semi structured questionnaires and attitude and opinion scales. Copy testing: Before the campaign starts running in the media a copy testing will be conducted in order to predict its effectiveness and likeability. An evaluative testing will be executed. People will be asked what they like and dislike and why. How: Shows testing. Since a concept testing was previously conduced the copy testing will use the final print ads and commercials. Commercials will be run during shows test. Shows.

Concurrent testing
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Image, effectiveness and awareness While the campaign is running a traditional media and social media tracking will be executed. Doing so, Nike football will reassert that its campaign is running correctly and will be able to know what the immediate response to it is. The concurrent evaluation will help Nike football know what its target thinks about the running campaign, and if something is not working correctly. How: Tracking studies: traditional and social media tracking and product satisfaction surveys. Television, radio and magazines rates, clicks through rates, YouTube Channel views, Facebook comments, blogs mentions or related articles. In the interactive era that we live it is possible to obtain real-time feedback directly from the target market in addition to the traditional media measures.. Thus, the information obtained will not be uniquely quantitative but also qualitative. Impact on sales: While the campaign is running Nike football will study its sales to track the direct impact of the campaign on the product. The consumption of the burrito bowl will be studied in detail. How: Sales statistical study. Post testing Once the campaign come to its end, Nike Football will evaluate its final results in order to find if the objectives were reached. Post testing will also help Nike Football to analyse and understand what was doing best and what it is to improve or even avoid in future campaigns.

Impact on sales:
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Once the campaign is finished Chipotle willanalyze its impact on sales to and study its profitability. o How: General sales statistical study and Burrito Bowl salesstudy Attitudes and persuasion- Commercial reaction: Thecampaign communication effects will be also tested.

It isimportant to analyze the favorable buying attitude promoted bythe advertising campaign, since it is the target final response tothe campaign. o How: Sales studies and product satisfaction surveys in ourrestaurants (recall test). Awareness and Brand recognition: Other communicationeffect has to do with the awareness created by the advertisingcampaign. In the end, this is the main goal of any advertisingcampaign, reason why it should be tested. Also, Chipotle wantsto test if the brand has improved recognition towards its market,and Chipotles positioning is now being a qualitative and healthyfast food restaurant. o How: Memory test (recognition test) and TOM

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