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Module 3 Assignment:
Marketing Strategy for Good
Prepared by:
Date:
WMBA 6060: Marketing for Competitiveness
Part 2: Marketing with the Customer in Mind
Nike’s external stakeholders’ influence on designing the marketing campaign
Consumers, stockholders, members of government and business, and activists are just some of the stakeholders that Nike regularly communicates with. These stakeholders will provide input on the marketing campaign’s direction, assisting with identifying critical problems and formulating strategies for implementing corporate social responsibility (Hale, 2021). The corporation should see stakeholder participation as a vital facilitator of risk management and new product development. As a result, Nike’s reputation for social responsibility is strongly impacted by the communities it serves as stakeholders (Hale, 2021). When a product is seen to have a net positive social effect, consumers are more likely to purchase it. The objectives of these stakeholders encompass encouraging community growth.
Nike company customer base that reflects diversity and inclusion
Consumers of Nike fall within a broad age range, often between the ages of 15 and 45. To assure future development and create lifelong brand lovers, Nike targets middle-aged customers with discretionary money while also developing its engagement with younger audiences (Dupree, 2020). The company’s customers include both men and women, but the majority of the company’s resources go into developing its women’s collection, which includes such products as leggings, sports bras, and “athleisure.” Nike is also popular among U.S. teenagers in terms of footwear and clothing this year (Dupree, 2020). Nike’s premium brand image and price structure reflect that most of its customers come from more affluent socioeconomic backgrounds. The typical Nike shopper is an avid athlete who values a healthy and active lifestyle. Consumers in the Nike target demographic are not only highly competitive athletes but also trendsetters and technophiles who want to have the best and most cutting-edge gear in the fitness industry (Dupree, 2020). Nike often targets emerging psychographic groups as part of an effort to expand its customer base. Some examples of this demographic include “weekend runners,” people who like to exercise on the weekends and may even be preparing for a half marathon, and “style shoppers,” women in their twenties who are interested in sporting the newest in sportswear trends before, during, and after their exercises.
Marketing and Customer Needs of Nike
Marketing’s foundational idea is based on meeting fundamental human needs. Nike must rely heavily on the endorsement of well-known celebrities in order to boost the reach of its social media campaign. As a company, Nike is committed to exploring novel approaches to product development and market satisfaction. The needs of the customers may be broken down into three classes: The footwear must meet three criteria: (a) it must be easy to walk in; (b) it must be lightweight; and (c) it must be reasonably priced. Nike can better meet its client’s needs by engaging them in two-way communication; the company clearly doesn’t simply listen to its customers; it takes the feedback it receives and uses it to improve its products (Eyada, 2020).
Nike customer buy-in
Retailers have seen an uptick in athletic footwear sales due to consumers’ growing interest in health and fitness. They understand that regular physical activity is just as crucial as a nutritious diet. Nike has successfully capitalized on this trend by making their goods widely accessible and pushing these ideals in their advertising. At the moment, the firm relies on endorsements from famous people to boost sales and awareness. The firm is aware of the fact that certain clients would prefer to do business with well-known people. It demonstrates why Michael Jordan, Tiger Woods, and Michael Johnson are some of Nike’s sponsored athletes. The firm convinces buyers that they are in on the action with these famous faces (Tuleja, 2021). The brand’s success in the U.S. and European markets may be attributed largely to the celebrities who have endorsed it.
The worldwide competition in the sportswear business poses the greatest risk to Nike’s ability to win over its current and prospective new consumer bases. There are also other brands out there, including Adidas and Puma. The firm is losing a lot of money due to the present spending on advertising and promotional sales. So, it’s natural that there would be competition in yet another area.
Market development is a typical recommendation that will help Nike Company beat the competition and win over customers. This might be anything from the kind of message to the manner of delivery. Targeting untapped markets or niches paves the way for the company’s expansion.
References
Dupree, A. R. (2020). The Impact of Nike Inc.’s Utilization of Sustainable Business Practices in Their Marketing Strategy on Brand Equity, Brand Image, and Brand Loyalty (Doctoral dissertation).
Eyada, B. (2020). Brand activism, the relation and impact on consumer perception: A case study on Nike advertising. International Journal of Marketing Studies, 12(4), 30-42.
Hale, K. (2021, September 9). Nike shareholders race towards Diversity Data. Forbes. Retrieved August 21, 2022, from https://www.forbes.com/sites/korihale/2021/09/08/nike-shareholders-race-towards-diversity-data/?sh=79817403c01e
Tuleja, E. A. (2021). Nike, Inc. Intercultural Communication for Global Business, 216–222. https://doi.org/10.4324/9780367423827-15