& IMC
FoundersPhil Knight Bill Bowerman
FoundedJanuary 25, 1964
Market CapitalizationUS$68B
Key Market US
Notable Campaigns“Make It Count” “Find Your Greatness”
Brand Endorsers LeBron James Maria Sharapova Cristiano Ronaldo
*If you have a body, you are an athlete.
Mission“To bring inspiration and innovation to every athlete* in
the world.”
Targ
et Co
nsum
ers
Strengths• Robust market position • Strong brand equity • Strong product innovation • Extensive distribution network • Strong marketing communication
Opportunities • Move into wearable technology
Threats • Endorsement Scandals • Pressure for better corporate citizenship
Weaknesses • Older and younger consumers perceive brand differently
NIKE’S MARKETING REVOLUTION
From product innovation to customer centric ecosystems
From hero-selling to storytelling
From traditional to digital marketing
How IMC works Nike.at
Stage 1: Tactical Coordination
Stage 2: Redefining scope of marketing communication
Stage 3: Application of IT
Stage 4: Financial & Strategic IntegrationUse of data to drive strategic planning such as product offerings
Between campaigns: No campaign is at odds with another
Brand level: Brand elements are consistent
Campaign level: Integration across all brand contact points
Collection of behavioral data and customer preference data
Code of Conduct for all business partnersMatrix organizational structure
#8Guiding Principle Y/N Justification
#1 Become a customer-centric organization ✓ Customization of shoes in NikeiD store
#2 Use outside-in planning ✓ Consumer data drives corporate strategy e.g. Nike+
#3 Focus on the Total Customer Experience ✓ Integration is achieved across all brand contact points and stakeholders in the value chain
#4 Align consumer goals with corporate objectives ✓ Focus on digital to pursue younger consumers
#5 Set customer behavior objectives ✓ Target segments and goals are established for each campaign
#6 Treat customers as assets ✓ US$2.7B marketing budget; 15� of revenues spent on endorsements
#7 Streamline the functional activities ✘ Divided into Sports Marketing, Events Marketing, Branding etc.
#8 Converge marcom activities ✘ Digital marketing department is separated from traditional marketing
*Tie compensation to IMC goals ✘ No evidence
%
Guiding Principle Y/N Justification#1 Become a customer-centric organization ✓ Customization of shoes in NikeiD store
#2 Use outside-in planning ✓ Consumer data drives corporate strategy e.g. Nike+
#3 Focus on the Total Customer Experience ✓ Integration is achieved across all brand contact points and stakeholders in the value chain
#4 Align consumer goals with corporate objectives ✓ Focus on digital to pursue younger consumers
#5 Set customer behavior objectives ✓ Target segments and goals are established for each campaign
#6 Treat customers as assets ✓ US$2.7B marketing budget; 15� of revenues spent on endorsements
#7 Streamline the functional activities ✘ Divided into Sports Marketing, Events Marketing, Branding etc.
#8 Converge marcom activities ✘ Digital marketing department is separated from traditional marketing
*Tie compensation to IMC goals ✘ No evidence
#8Guiding Principle Y/N Justification
#1 Become a customer-centric organization ✓ Customization of shoes in NikeiD store
#2 Use outside-in planning ✓ Consumer data drives corporate strategy e.g. Nike+
#3 Focus on the Total Customer Experience ✓ Integration is achieved across all brand contact points and stakeholders in the value chain
#4 Align consumer goals with corporate objectives ✓ Focus on digital to pursue younger consumers
#5 Set customer behavior objectives ✓ Target segments and goals are established for each campaign
#6 Treat customers as assets ✓ US$2.7B marketing budget; 15� of revenues spent on endorsements
#7 Streamline the functional activities ✘ Divided into Sports Marketing, Events Marketing, Branding etc.
#8 Converge marcom activities ✘ Digital marketing department is separated from traditional marketing
*Tie compensation to IMC goals ✘ No evidence
The
Experience
Social Media
Point-of-Sale
Mobile
Events
WebMedia Relations
Out-of-Home Advertising
Endorsements
Print & TV Advertising
CSR
Employee CommunicationsCompensation/Incentive Policies
Corporate Culture
Word-of-Mouth
Products
Supply Chain Management
#JustDoIt
#MakeItCount#FindGreatness
+
COMMERCIAL (ONLINE & TV)
MARKETING ACTIVATION: SOCIAL MEDIA & EVENT
PRODUCTS
ADVERTISING & POINT-OF-SALE
COMMERCIAL (ONLINE & TV)
MARKETING ACTIVATION: SOCIAL MEDIA & EVENT
PRODUCTS
ADVERTISING & POINT-OF-SALE
CAMPAIGN HIGHLIGHTS
Most shared campaign on the
planet in 2010
Twice as much brand buzz as official
sponsor Adidas at the World Cup
Global sales growth of 7% following the
campaign
+
#JustDoIt
#MakeItCount#FindGreatness
+
COMMERCIAL (ONLINE & TV)
MARKETING ACTIVATION: SOCIAL MEDIA
PRODUCT
#JustDoIt
#MakeItCount#FindGreatness
+
#JustDoIt
#MakeItCount#FindGreatness
+
COMMERCIAL (ONLINE & TV)
#JustDoIt
#MakeItCount#FindGreatness
+
PRODUCT
MARKETING ACTIVATION: SOCIAL MEDIA #JustDoIt
#MakeItCount#FindGreatness
+
MARKETING ACTIVATION: SOCIAL MEDIA #JustDoIt
#MakeItCount#FindGreatness
+
CAMPAIGN HIGHLIGHTS
#JustDoIt
#MakeItCount#FindGreatness
+
@nike (2.2M ) VS
@adidas (470K)
18% profit (2012) driven by the sales of
FuelBand
Nike+ digital ecosystem: From
8.5M to 18M users in a year
COMPETITION
IMC• Advanced stage • Digital & social media savvy • Nike+ & FuelBand
IMC• Advanced stage • “All In” Campaign • MiCoach
IMC• Early stage • “Nature of Performance”
Campaign
How IMC works Nike.for
Components of Brand Equity
Presence Identity/Image
Perceived Quality Commitment
Competitors
Constituencies
Financial Value
Presence BREADTH“one sight, one sound”
DEPTHDialogue = knowledge
IDENTITYSecrecy
IMAGECustomers as Co-Creators
Identity/Image
IDENTITYSecrecy
IMAGECustomers as Co-Creators
Identity/Image
INTERNALTalent Retention
EXTERNALPrice Inelasticity Commitment
Perceived Quality
ALIGNMENT
CLOSED LOOP
Promise VS Expectations
Using Customer Data
Components of Brand Equity
Presence Identity/Image
Perceived Quality Commitment
Financial Value
Competitors
Constituencies
Meaningful Brands Study
Financial Value
Brand Asset Valuator
Attitudinal
PRESCRIPTIVE EVALUATIVE
EquiTrend
The Conversion ModelBrandDynamics
The Effectiveness of IMC1. Define time frame
2. Pre-IMC Measurement 3. Post-IMC Measurement
4. Compare
Meaningful Brands Study
Financial Value
Would your customers care if your brand disappeared tomorrow?
Meaningful Brands Study
Financial Value
Connect human well-being with brands
Meaningful brands beat stock market by 120%
Nike ranks 7th on the list
InterBrand
Financial Value
Financial
BUSINESS BRAND
BrandFinanceAnnual Report
The Effectiveness of IMC
Fortune 500
1. Monitor brand listings 2. Develop internal KPI 3. Track brand equity
Attitudinal Financial
�40
Moving Forward
JUST DO I{MC}.
Financial Integration
Linking Compensation
Evaluation Loop
Customer Brand Valuation
Streamlining Functions
We have challenges, but challenges have always made
us better and stronger.-Mark Parker
Q&A