Founded in January 1964 by Phil Knight and Bill Bowerman, Nike is a multinational company based in the United States of America. The company is well-known for its comprehensive services ranging from manufacturing, designing, development, marketing, equipment, sales, and marketing, to accessories. In addition, the company can be recognized as the highest supplier and manufacturer of athletic sports, sportswear, and a top designer of sports attires.
With its constant successful development since its founding, this company must have some unique strategies to achieve its current strengths. These unique strategies and continuous efforts flagged away towards the company's global market. Specifically, Nike's marketing mix cannot be forgotten. The company classifies its marketing mix into four-Ps; product, price, and promotion. These helpful techniques and strategies help the company accomplish marketing campaigns.
Offering sports equipment designed for fitness and specialization is among the company's marketing mix strategies. However, each marketing mix component evolves depending on the industry's fluctuation. These continuous innovations are critical factors in the company's success in adapting to market company changes and dynamics that can affect the overall consumer demand.
Product Strategy of Nike
Nike produces a wide variety of products that may, including shoes, equipment, and apparel. When producing its products, the company prioritizes quality and a broad selection of goods for each sports lover in its marketing mix. This makes it a top leader in the sportswear industry, maximizing revenue from selling sports shoes.
Under careful observation, you may notice that Nike has a vast offering of shoe designs, including football, basketball, volleyball, crickets, etc. Certainly, as the company grows, its product portfolio will correspondingly expand. However, at a deep analysis, you will discover that Nike mainly focuses on producing shoes.
In addition to sports shoes, Nike also produces unique footwear in animated colors attractive to the younger generation. Also, it produces sneaker designs for men, women, and kids. Here are some notable shoes that Nike offers:
- The Nike Air Jordan- A classical sneaker from Nike that guarantees comfort to every user.
- The Nike Cortez- is a vintage-looking shoe anciently designed and produced for running.
- The Nike Blazer- This is a simple design Nike shoe that can be used in skateboarding.
- The Nike Air Max- Considered Nike's jewel, the first Nike shoe product that features an identifiable air unit.
- The Nike Air Force 1- The most well-known basketball shoe and a popular casual street sneaker or a sports shoe.
- The Air Huarache- is a tangled and lightweight athletics shoe popular for customers under 18 years.
Nike uses value-based and premium pricing strategies for its products. Typically, value-based pricing entails the company's attention to the current market price while imposing the price of its products. Thus, they evaluate the overall response of customers before implementing the prices on products. On the other hand, value-based pricing entails Nike offering unquestionable quality products at a considerable price than its competitors. Therefore, a gradual increase in the company's premium product cost will cause a proportional increase in sales and revenue.
In the Nike marketing mix, advertisements that include celebrities can be noted. Also, it can be related to premium branding.
Other times, Nike offers promos and discounts during special holidays such as "Easter Flash Sales" on its retail stores and online platform. This is a helpful strategy to attract new customers and retain existing ones. In addition, Nike's investment in technology can be observed in how it offers a premium price on its products. Nonetheless, the company also considers prevailing market situations when implementing its products' price ranges and points.
Place Strategy of Nike
This feature in the marketing mix shows the locations where the company sells, distributes, and makes its products accessible. Nike has many global outlets that sell apparel, sports shoes, and equipment. For instance, the outlined products are readily available at commercial stores. Here are places where Nike mostly markets its products:
- Commercial stores
- Company-owned Niketown retail outlets
- Nike Online Stores
Commercial stores are the most critical places in which Nike sells its products. These places are strategically positioned and quickly accessible in multiple markets worldwide. The commercial stores may include established enterprises like Walmart and notable regional and local stores. Thus, this 4P also demonstrates that customers can buy apparel, Nike sports shoes, and other equipment from the corporation's online store.
On the other hand, the enterprises run their Niketown retail outlets. The company owns these branches and allows access to the market and business information that contribute to corporate strategic management regarding marketing strategies and schemes for the present, prevailing, and emerging products. Based on this marketing mix element, Nike manipulates the sale and distribution of its products, more so with its Niketown retail outlets and its online stores. Nonetheless, the company has untouchable control over the sale and distribution of its products through other retail outlets.
Promotional Strategy of Nike
The marketing communications mix is another term relating to the promotional strategy in the marketing mix. Typically, it involves Nick's strategies to reach out to its focus customers. The company heavily relies on the productive elevation of its products to develop a reputable brand identity, among the SWOT analysis strengths. Also, the company applies marketing tactics to convince its clients to buy its products.
Here are some visible Nike promotional strategies:
- Direct marketing
- Sales promotions
- Personal selling
- Public relations
The major contributor to Nike's capability to attract prospective shoppers is advertising. As a result, the company heavily utilizes advertisements, especially those involving notable celebrities in sports and athletes' teams. In addition, this component of the firm's marketing mix also includes target customers buying company products. For instance, the sales staff at Niketown retail branches are emphasized using coercion.
The firm's direct awareness operations entail serial communications with local colleges, companies, and other organizations. Pertaining to the 4Ps, direct marketing involves face-to-face communication with agencies to promote the company's products in those organizations.
Notably, Nike adopts a discount-offering strategy and issues special offers to attract prospects and increase its sales. The discounts and offers can be realized as the enterprise's promotional maneuvers. Likewise, in the community relations strategy, the firm facilitates and offers financial support to public-based networks to publicize its apparel, athletic shoes, and equipment. Appertaining these elements in the marketing mix, the enterprise heavily relies on a relationship with notable influencers to successfully further its products and business in the global marketing products market.
Nike Marketing Mix (4Ps) Analysis Mind Map
To complete the comprehensive Nike marketing mix analysis, a mind map is worth showing a full diagrammatic representation for comprehension purposes. Thus, here is a mind map of Nike Marketing Mix (4Ps) analysis:
- The Nike Air Jordan
The Nike Cortez
- The Nike Blazer
- The Nike Air Max
- The Nike Air Force 1
- The Air Huarache
- Value-based pricing
- Premium-based pricing
- Commercial stores
- Online stores
- Niketown retail outlets
- Direct marketing
- Sales promotions
- Personal selling
- Public relations
Almost every business operates in a competitive environment. Thus, you must create a unique and reputable brand image for an effective marketing strategy to be successful. For example, Nike uses a unique marketing mix composed of community relations, direct marketing, partnership with celebrities and sports leagues, and advertising for its products' success. In addition, the successful multinational company creates a reputable slogan for people in all aspects of life. Particularly, it creates a notable emotional attachment to its prospect market.
As you take inspiration from Nike's marketing mix analysis report, it can be worth identifying such marketing mix strategies for your business enterprise. Luckily, you don't need to revisit our platform to view the practical strategies you just read. Instead, you can reliably download this comprehensive report via PDF Agile in PDF format. This graceful PDF software will serve all your needs irrespective of your experience; it offers a user-friendly interface favorable for experienced and new users. Amazingly, it is readily available at an affordable price and is worth its price. Therefore, you can use the software to download reports such as the Nike Marketing Mix analysis and others from our platform. Thankfully, it will give you the best experience that you ever imagined!