Nike: 4 P's

As I write this I am wearing Nike Air tennis shoes, a black Nike zip up hoodie, and white Nike ankle socks. As far as I am concerned, Nike has created a clothing empire that almost anyone can feel comfortable wearing. If you look passed the fact that Nike uses questionable labor practices to make their products, they have essentially created one of the most recognizable brand names in history.

Product: The name Nike has no other meaning than the products it is associated with. This arbitrary meaning gives strength to the product in that it can never be confused for something else. It is easy to pronounce, distinct, and it translates easily into other languages because there is no actual translation. The hard “k” sound in the name shows that these products can be “daring.” The entire concept behind Nike is to “Just do it.” There is no other statement that really comes close to this in terms of telling someone to be daring. This is attractive to customers because it suggests that by purchasing these products you can become a better, more athletic person. It is as though the products themselves will give you qualities that make you more attractive other people as well. The logo is much like the name in that it is easily recognizable and distinct. The Nike swoosh is one of the most universally recognized symbols on the planet. One advantage that Nike has over similar clothing companies like Reebok or Puma is that by creating such strong brand recognition; they have set themselves up to extend their brand name into different categories. Nike makes anything from shoes to shorts to sports equipment. The reason they have been so successful is due to the trust they have created with their consumers through brand development. Not only do I use their products because they have developed a smart marketing strategy, but also because they products they create are high quality and functional. 

Place: Niketown. If you have never been to a Niketown store I highly suggest you go even if you have no interest in Nike products. The sheer showmanship of the store is enough to make you interested in whatever they are selling. Niketown stores can take up entire city blocks and feel as though you have traveled 10 years into the future. These stores contain basically every Nike product you could ever imagine while boasting chandeliers made of shoes. Every square inch of the place screams Nike. The smell of the store is that of new shoes while the aesthetics of the place are enough to make P. Diddy’s mansion look like a second rate motel. Although you can find Nike products in almost any department store you go to, Niketown offers the full experience. While traveling in Paris I happened to stop by the Niketown and they had everything from a half-sized regulation basketball court to a testing facility in which anyone could test out their new shoes by running sprints and jumping over obstacles. Not only does this store have all of the products, but it creates a memorable experience for the customer that brings them back over and over again.

Price: Nike has become so well known for quality products that most people will pay top dollar for these products. This is why Nike uses cost-based pricing. It is interesting to know that many other companies that compete with Nike have noticeably lower prices. This does not deter people from purchasing the Nike product for a few reasons. Not only does Nike have better quality products, wearing Nike says something about who you are. It is almost like a status symbol telling everyone who sees you wearing the product that you are financially capable of wearing expensive clothing. This is an ego boost for the consumer which in turn makes them want to continue buying the product. However, these high prices couldn’t be possible if Nike did not have such high brand equity.

Promotion: This is one of Nike’s strong points. Nike advertises in almost every medium known to man and they do it with the utmost precision. The print advertisements are generally simple but send a powerful message. There is almost never any prices displayed in their advertisements and Nike almost always uses a popular athlete to promote their product. One great example of this is a commercial with LeBron James in which he advertises his new shoes with a speech about how he sets his own expectations and that no one else can define his legacy but himself. The advertisement is meant to show the consumer that with these shoes you are able to exceed everyone else’s expectations and rise above.