Presentation on Sales management of NIKE

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- Jincey Jose (A009)
- Shraddha Bhatt (A024)
- Richa Tupsakhare (A022)

2. OverviewOverview
• About NIKE
• Brand Portfolio
• Nike product range and description
• SWOT Analysis of NIKE
• Diversity
• Product, Customer, Relationship
and Presentation Strategy
• Segmentation and positioning
• Channel Distribution
• Key financial data
• Competitors
• Conclusion
• References 2

3. • Nike is the U.S-based manufacturer of athletic shoes,
apparel and sports equipment.
• Stock symbol: NKE (NYSE)
• Annual revenue (2013): increase of 8% on 6.7 billion $
• Founders: Bill Bowerman, Philip Knight
• Year established: 1964 (as Blue Ribbon Sports)
• Industry: Sportswear/equipment
• HQ: Beaverton, Oregon
• President/CEO: Mark Parker
• Staff: 30,200
• Products: shoes, apparel and sports equipment, accessories
• Slogan: Just Do It!
Baby to
GIANT..
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5. Brand Portfolio
• Cole Haan, designs and distributes dress
and casual footwear, apparel, and
accessories for men and women
• Converse Inc., offers a diverse portfolio
including premium lifestyle men's and
women's footwear and apparel.
• Hurley International LLC., designs and
distributes a line of action sports apparel for
surfing, skateboarding and snowboarding,
and youth lifestyle apparel and footwear
• NIKE Golf, designs and markets golf
equipment, apparel, balls, footwear, bags
and accessories worldwide.
• Umbro.Ltd., designs, distributes, and
licenses athletic and casual footwear,
apparel and equipment, primarily for the
sport of football (soccer) 5

6. NIKE Product Range
• NIKE+
• NIKE FOOTBALL (SOCCER)
• NIKE ATHLETIC TRAINING
• NIKE GOLF
• NIKE FOOTBALL
• NIKE RUNNING
• NIKE BASKETBALL
• NIKE SB
• NIKE SPORTWEAR
• NIKE WOMEN’S
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8. • Runners performance monitored via a radio device in the shoe which
links to a iPod nano
• Software tracks- Distance, Pace, Time and Calories burnt during a
workout
• Two ways to use effectively:
NIKE+ Fuel Band (USB pendrive)
NIKE+ iPod (sensor & reciever)
NIKE+ iPod gym (no sensor required)
Product Description
NIKE+
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9. Product Range of NIKE+
• NIKE+ Connect
• NIKE+ Fuelband
• NIKE+ Running App
• NIKE+ IPOD Nano
• NIKE+ IPOD Sensor
• NIKE+ IPOD Watch Remote
• NIKE+ Kinect Training
• NIKE+ Move
• NIKE+ Sportband
• NIKE+ Stopwatch GPS
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11. Brand Ambassador
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LE Bron James
American Professional
Basket Ball Player

12. SWOT Analysis of NIKE
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13. • Strengths
• First of its kind
• Unique, convenient and technologically
advanced (iPod nano, fuel band)
• Strong partnership of NIKE+ and iPod
• No additional settings or adjustments needed
• It is safe to comprehend the desirability of
the product
• Runner may customize their own workout
• Sync to motivational songs
• Weaknesses
• The income of the business is still heavily
dependent upon its share of the footwear
market.
• The retail sector is very price sensitive.
Most of NIKE’s income is derived from
selling into retailers.
• Limited target market
• Not widely publicized
• Costly for beginners
SWOT Analysis of Nike+
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14. • Opportunities
• Nike is a fashion brand.
• The business could also be developed
internationally, building upon its strong
global brand recognition.
• Producing sportswear products from
manufacturing waste;
• Emphasis on corporate marketing
strategy through the promotion of
corporate brand and sponsorship
agreements
• Can be included in workout and weight
loss programs due to obesity crisis
• Room for advancement
• Threats
• The market for sports shoes and garments
is very competitive.
• The retail sector is becoming price
competitive.
• Financial crisis may lead to job shortages
in a number of Nike’s worldwide
subsidiaries;
• The company has experienced negative
publicity feedbacks due to its extensive
advertising in mass media
• Extensive competition and imminent
reduction in profit margins as first of its
kind
SWOT Analysis of Nike+
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15. Diversity and Inclusion is what drives creativity and innovation.
Nike’s ability to lead in innovation and creativity hinges on their ability to attract and retain
the best global talent.
To achieve this vision, the strategy is to:
• Cultivate diversity and inclusion to develop world-class, high-performing teams
• Ignite change and inspire critical conversations around diversity, inclusion and innovation
• Create venues and environments for open dialogue, diverse opinions and a multitude of
perspectives
The Diversity and Inclusion team focuses on three areas:
• Engaging Employees
• Providing Business Consultation
• Developing Innovative Tools, Models and Designs
Diversity
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17. • Key to Nike+ system is Nike shoe
and its resident
accelerometer( water proof and
shock resistant pedometer).
• Fuel band- USB chip from watch
attached to computer for statistics
• 2 hours charging gives 14 hours
output
• iPod- For motivation, resistant to
hard disc failure
Product Strategy
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18. Customer Strategy
• Awareness of product being superior to
future competition.
• This leads to patronage buying motive
• Quality of product should be highlighted
so that consumers recommend.
• By providing excellent consumer service.
• By providing toll free number
• By providing website details
• Surveys to randomly selected group of
customers who have purchased the
product
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19. Relationship Strategy
• Prospecting new customers.
• Strengthening current relationships.
• Awareness of the product’s true potential rather than its
existence.
• Joint customer relationship between Apple and Nike.
• Provides gift vouchers and discounts on further products.
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20. • Demo of product in action to capture
attention
• Increase awareness (iPod and nike
shoes)
• Highlight products features and
benefits
• Eliminate buyer’s resistance to price
by showing them how money is saved
• Change consumer’s perception that
Nike+ is a want into a need
• Allow more buyer seller interaction
(interactive demo)
Presentation Strategy
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NIKE’s Marks..
Even in Olympics
•NIKE has been adopting
parasitic marketing techniques.
•NIKE wasn’t an official
sponsor of 1996 summer
Olympics but constructed a
building overlooking the
Olympic park to associate
themselves with it.

22. NIKE’s 4 P’s
Product
• (As explained before)
Price
• Product line pricing
• Value added pricing strategy,
segmented and psychological
pricing
• Shoes range from 4000-7500 INR
Promotion
• Advertizing (repeat messages at
low cost many times)
• Direct marketing (through e-
shop)
• Public relations (sponsorship of
Manchester United)
• Sponsors of Indian Cricket team
since December 2005
Place
• Leads US market
• Started in India through
licensing route 22

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24. Segmentation and Positioning
Segmentation
• Benefit segmentation
The Nike mission: To bring inspiration and innovation to every athlete in the
world.
• Consumers also might be segmented based on loyalty to company.
Customer service mission: To represent the highest service standard within and
beyond our industry, building loyal consumer relationships around the world.
• Nike segment the international markets by geographic location; the United States,
the Americas, Asia Pacific and Europe, Middle East and Africa (EMEA).
Positioning
• Highly differentiated products (based on style and design)
• “More for more”
• Consumer products
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25. Channel Distribution
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Directselling

26. Key Financial Data
• In 2013 there is a gradual increase in nike plus’s revenue and pre tax
income.
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27. Key Financial Data
• The chart below is showing an increase in earning per share and future of Nike +
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28. Competitive advantage
• As competitive strategy Nike use
product differentiation.
• Nike is known for its
technologically advanced
products.
• Nike will also focus on making a
strong effort in price leadership.
Chart 4: Revenue Performance
713
8,225
13,262
-
2,000
4,000
6,000
8,000
10,000
12,000
14,000
Nike Adidas Puma
Source: Nike,Inc; Puma.Inc; Adidas,Inc
Revenueinmln€
Chart 5: Earning per share
2.66 2.96
5.81
0.00
1.00
2.00
3.00
4.00
5.00
6.00
7.00
Nike Adidas Puma
Source: Nike,Inc; Puma,Inc; Adidas,Inc
EPS,€
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29. • Apple recently patented a future Nike+ system that
would utilize a combination of GPS sensors and a
processor unit to monitor an athlete's performance in
real time and give the runner feedback based on his or
her age, weight, and gender.
• The system would also keep track of a shoe's
durability, alerting the runner when the shoes have
become too worn out and could increase the risk of
injury.
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Advancement..

30. Conclusion
• Nike, Inc. is a company rooted in
competition.
• They did know that product quality and
innovation would help athletes to
achieve greater goals.
• Nike still operates on this philosophy
today.
• It is one that has helped athletes and
stakeholders alike to realize athletic
and financial greatness.
• Despite a changing marketplace for
athletic footwear, Nike wants to expand
their product lines and marketing reach
to become a more powerful global
brand.
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•http://www.nikebiz.com/media/pr/2011/06/27_Q4FY11Earnings.htm
• http://www.nike.com/nikeos/p/nike/en_IN/
•http://www.marketingteacher.com/swot/nike-swot.html
•http://www.degree-essays.com/essays/marketingessays/nike-
marketingstrategies.
•http://business.mapsofindia.com/top-brands-india/top-shoe-brands-in-
india.html
•http://www.fibre2fashion.com/news/leathersnews/newsdetails.aspx?
news_id=31395
•White paper ―Winning Value Propositions and Sustainable Business
Performance – by Eric Balinski‖

33. Thank you for attentionThank you for attention..
• Questions?
• Comments?
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