Nike Inc presently has 858 operational chain stores
worldwide according to Statistica.com. The stores offer an outstanding level of
service, including free marathon training, exceptional one to one membership
service, and they also have Nike ID studios in most of their locations. Nike ID
offers the Nike customer the opportunity to customize almost any Nike sneaker
to their liking. Customers can play with different shoe color variations, the
soles, place their initials or name on their shoe etc. This gives more personalization
to the consumer product and also adds a unique, 1 of 1 type of concept to the
Nike shoe. Nike also has a very famous online store in which many of their
customers go to check out their new products (Nike.com). In 2014 according to
Forbes.com Nikes saw a very impressive growth of 42% in their online sales. In
the Nike store you can find ALL products Nike.They also offer many different types of services which many of their
consumers find to be very helpful.
I recently visited the Niketown flagship
location located on 57th street between 5th avenue and Madison.
And when I asked one of the employees what they offer service wise in store I
was shocked. In store they offer, a marathon training program where people can
run and get tips with professional marathon runners. In addition they offer a
Nike + Run Analysis program which helps evaluate your running style on a
treadmill in store and critique’s your running posture and style to increase
stability and stamina. They also offer a sports bra fitting system for the
ladies and pant hemming which tailors your attire to fit just right.
In this current market with so many competitors and a variety of athletic wear companies lie Adidas, Under Armor, and Lululemon as Nike's competitors. Nike has put more emphasis on its consumer decision making model. Typical the first stage of CDP starts with a need recognition, most buyers comprehend what their problem or what they're in need of between current motivation and desired motivation. For example, I saw a commercial for brand new pair of Nike shoe, endorsed by Lebron James, which stimulated me to go out and buy that Nike shoe. Customers may need to pass through the stage step by step in every purchase which involves doing the research and going from store to store or brand to brand to find something that suites them. However, in a daily purchase customer, whom usually shops off inputs, they can skip the stage of information search, evaluation and go straight to the purchase decision.
With Nike having so many different competitors, they need something to set them apart from the competition. Something they've prided themselves on is improving the relationship between their customers. Nike knows their core customer is an athlete. Instead of simply offering that person a 10% discount on merchandise, Nike delivered an app that helps their customer track their runs. Nike is engaging with their customer every single time they lace up their shoes. More importantly, Nike isn’t simply engaging their clients on a logical, “you get a discount” level, they’re engaging their customers emotionally by supporting their running goals. In result this has led to an improving the relationship between Nike and it's loyal customers by touching them not only in their pockets with discounts, but being apart of their day to day life and goals, through apps, and now wearable technology. Also with new gadgets such as the Nike Fuel band, which tracks how many steps you take, how many calories you've burned etc and the Nike watch which tracks your running pace, and distance.
They've made subtle but huge advancements to building their customer loyalty.Today’s customer expects to be engaged no matter where they are. Businesses like Nike are connecting with their customers on a day to day basis – a connection that is the golden standard for mobile loyalty programs. This connection turns into emotional loyalty, which turns into great results. A mobile loyalty program is one of the better ways to retain customers. As an added bonus, mobile programs that are really good may even capture the attention of new customers.
Nike, Inc. is the world's largest supplier and manufacturer of athletic shoes, apparel and other sports equipment. In the past several years, Nike has placed their focus on developing their global presence. Worldwide Nike has become a well known brand with the Nike Swoosh logo being a huge reason as to why they were able to further themselves globally. One of the reasons Nike is now recognized as a global brand is because they participate and play a major role in global events such as the World Cup and the Olympics. Nike played a big role in this past World Cup in 2014, and will have look to play an even bigger role in the upcoming summer Olympics in 2016. In this past world cup, they were in charge of designing the uniforms for 10 out of the 32 the World Cup teams: Brazil, the United States, Greece, England, Portugal, South Korea, Australia, France, Croatia and the Netherlands. In the past few years they've also been competing with Adidas whom is the other big player in the soccer market. Nike has been able to sign a ton of huge soccer superstars to endorsement deals, with players such as Portugal's Christiano Ronaldo, Wayne Rooney, and Neymar in their stable they were able to bring in $1.9 billion dollars in revenue in 2013. This past world cup viewership was up 39%, and with social media sites like Facebook, twitter and instagram, this years World Cup was easily the most globally viewed world cup ever.
Nike's Largest Flagship store in Harajuku, Tokyo
Nike Inc. has incurred substantial success in their global development and have also been big on their direct to consumer relationship. By placing factories, headquarters and flagship locations across the world, they've been able to spread their brand to different countries around the world. Since 2009, Nike has increased the amount of retail stores they have worldwide from 674 stores to 858 flagship locations. This has allowed Nike to capture more than 31% of the global athletic footwear market share. Furthermore, Nike and its global branches are very unique in the fact that all the products sold in the USA are the same ones of same value in that country of choice. Also, Nike is successfully able to keep in line their code of ethics and devotion to preserving and protecting the environment when developing the best product possible in all of these countries.
