Case Study of Nike: Building a Global Brand Image

1. Strategic Positioning in the Early Years:

In its early years, Nike strategically positioned itself in the athletic footwear and apparel
market through several key moves:
Innovation
Nike's commitment to innovation was evident from its early days. In 1972, Nike released
its first signature shoe, the Cortez. The Cortez was a lightweight and durable running
shoe that quickly gained popularity among athletes. Nike continued to innovate in the
years that followed, releasing new and improved shoe designs on a regular basis.
One of Nike's most notable innovations was the waffle sole. The waffle sole was inspired
by the ridges on a waffle iron, and it provided improved traction and cushioning. Nike's
waffle sole technology became a signature feature of its shoes and helped to set the
company apart from its competitors.
Partnership with Athletes
Nike's partnership with renowned track coach Bill Bowerman and track runner Phil
Knight was pivotal to the company's early success. Bowerman and Knight were
passionate about athletics and shared a vision for creating better running shoes.
Bowerman was a brilliant coach and inventor. He was always experimenting with new
shoe designs, and he pushed Nike to develop innovative products that would help
athletes improve their performance. Knight was a shrewd businessman who had a deep
understanding of the athletic footwear market. He was instrumental in building Nike's
brand and expanding its reach.
Manufacturing Shift
Initially, Nike distributed Japanese-made Tiger shoes. However, in 1971, the company
decided to shift to manufacturing and designing its own footwear. This gave Nike more
control over the quality and design of its products, and it also allowed the company to
respond more quickly to market trends.
Nike's decision to shift to manufacturing its own footwear was a bold one, but it
ultimately paid off. The company was able to develop a reputation for producing high-
quality and innovative athletic footwear.
Waffle Sole Technology
The introduction of the waffle sole with nubs, inspired by a waffle iron's ridges,
revolutionized running shoes. It made their shoes lighter and more comfortable than
competitors' offerings.
The waffle sole technology was one of Nike's most significant innovations. It provided
improved traction and cushioning, and it helped to reduce the weight of Nike's shoes.
The waffle sole also had a distinctive look, which helped to make Nike's shoes stand out
from the competition.
Athlete Engagement
Nike engaged athletes early on, with the likes of Steve Prefontaine becoming an
ambassador for the brand. Athletes' success and endorsement of Nike products helped
build the brand's reputation.
Nike understood that athletes were the best way to promote its products. The company
partnered with some of the most successful athletes in the world, including Steve
Prefontaine, John McEnroe, and Michael Jordan. These athletes wore Nike products and
endorsed the brand in their public appearances.
Nike's athlete engagement strategy helped to build the brand's reputation for high-
quality and performance-enhancing products. It also helped to create a sense of
community among athletes who wore Nike products.
2. Key Elements of Nike's Brand Identity:
Innovation
Nike has always been at the forefront of innovation in the athletic footwear and apparel
industry. The company has developed numerous innovative technologies, such as Air
cushioning, Urethane materials, Shox, and Total 90 Concept. These technologies have
helped to improve the performance, comfort, and durability of Nike products.
For example, Nike Air cushioning is a technology that uses pressurized air to provide
cushioning and support. Air cushioning was first introduced in the Nike Air Tailwind in
1978, and it has since become a signature feature of Nike shoes.
Passion for Athletics
Nike's founders and early team had a deep passion for athletics, which translated into
their product offerings and brand ethos. Nike's products are designed to help athletes
perform their best, and the company's marketing campaigns often feature athletes who
are passionate about their sport.
Nike's passion for athletics is evident in its commitment to sponsoring athletes and
teams. Nike sponsors some of the most successful athletes in the world, including
Michael Jordan, Tiger Woods, and Serena Williams. Nike also sponsors professional
sports teams, such as the FC Barcelona soccer team and the US Women's National
Soccer Team.
Nike's sponsorship of athletes and teams helps to promote the brand's image as a
supporter of athletics and athletic excellence. It also helps to connect Nike with
consumers who share the company's passion for sports.
Athlete Endorsements
Nike is known for its association with top athletes from a variety of sports. Nike athletes
include Michael Jordan, Tiger Woods, LeBron James, Serena Williams, and Cristiano
Ronaldo. These athletes are some of the most successful and popular athletes in the
world, and their association with Nike helps to reinforce the brand's identity as a symbol
of athletic excellence.
Nike athletes wear Nike products and endorse the brand in their public appearances.
This helps to promote Nike's products to consumers and to create a sense of excitement
and anticipation around new Nike releases.
For example, the release of the Nike Air Jordan sneakers in the 1980s was highly
anticipated by consumers due to Michael Jordan's association with the brand. The Air
Jordan sneakers were a huge success, and they helped to make Nike a leading player in
the sneaker industry.
"Just Do It" Slogan
The iconic "Just Do It" slogan was first introduced by Nike in 1988. The slogan quickly
became associated with Nike, and it has since become one of the most recognizable
marketing slogans in the world.
The "Just Do It" slogan embodies Nike's brand identity of athletic excellence,
perseverance, and self-improvement. It encourages consumers to pursue their goals and
to never give up.
The "Just Do It" slogan has been used in a variety of Nike marketing campaigns, and it
has also been featured in popular culture. The slogan has inspired millions of people
around the world, and it has helped to make Nike one of the most popular and
successful brands in the world.
3. Differentiation from Competitors:
Product Innovation
Nike is known for its commitment to product innovation. The company has a team of
dedicated designers and engineers who are constantly working to develop new and
innovative athletic footwear and apparel. Nike's product innovation is evident in the
many innovative features that the company has introduced over the years, such as Air
cushioning, waffle soles, and Flyknit technology.
Design
Nike is also known for its focus on design. Nike's shoes and apparel are designed to be
both fashionable and functional. Nike's design team creates shoes and apparel that are
both stylish and comfortable to wear. Nike also uses a variety of colors and patterns in its
designs, which helps to make its products stand out from the competition.
Nike's focus on design is evident in its many popular shoe models, such as the Air Jordan,
the Air Max, and the Nike+ Running shoes. Nike's shoes are popular with athletes and
consumers alike due to their stylish designs and high performance.
Lightweight
Nike's shoes are also known for being lightweight. Nike uses lightweight materials in its
shoes, such as Flyknit technology and Air cushioning. This helps to make Nike's shoes
comfortable to wear and also helps to improve athletic performance.
Nike's focus on lightweight shoes is evident in its many popular running shoes, such as
the Nike Air Zoom Pegasus and the Nike Air Zoom Vomero. Nike's running shoes are
popular with athletes and consumers alike due to their lightweight and responsive
designs.
4. Role of Athlete Endorsements:
 Athlete endorsements played a significant role in shaping Nike's brand
positioning. Nike strategically associated itself with successful and well-liked
athletes, such as Michael Jordan, Tiger Woods, and Lance Armstrong.
 These endorsements not only brought credibility but also created an emotional
connection between consumers and the brand. Fans of these athletes aspired to
be like them and, by extension, wear the same brand.
 The success of athletes like Tiger Woods and Michael Jordan while wearing Nike
products showcased the brand's commitment to excellence and success.
 Athlete endorsements helped Nike stand out in a crowded market by associating
the brand with athletic achievement, which resonated with consumers' desires
for high performance and success.