Marketing Mix of Nike and Reebok

the assignment is worth 70% and it is very urgent there are few company provided which you need to compare and do the required 4ps

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TOPIC- Marketing Mix of Nike and Reebok
Introduction
The essay throws light in understanding and analyzing the comparative analysis of the
marketing mix of the two major international brands of sports industry accessories named
Reebok and Nike.
Reebok is one of the international brands which deal with equipment for the sports
industry. Reebok accounts for more than 10% of the sales of Adidas and the global share is
around $245 billion which has been able to mark their position second after Nike. The trend of
sales has been moderate in case of Reebok wherein in 2016, it was 1770 million Euros and in the
year 2019, the sales have been around 1748 million Euros. It predicts that the company is going
at a moderate pace in comparison to other competitors (Reebok.com, 2020).
Nike is considered to be one of the pioneers in the marketing of the different
development and manufacturing of the footwear and other sports accessories. In the last three to
four years, Nike has been able to rise up to 6% in the sales of the footwear and apparels in
different parts of the world. Between the year 2011 to 2019, the sales of Nike have been around
27.4% which is all time high in comparison to the other competitors present such as Puma or
Reebok (Nike.com 2020).
Findings
Product
In case of Nike, it is capable of offering the different range of products including apparel,
equipment and shoes. The core products of Nike include the high quality sports shoes for the

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different sports enthusiasts. For instance- It has special kind of shoes for cricket that is 30%
lighter than the rival companies. Moreover, the actual product category of Nike includes the
sports apparels from 1979 and the apparels are very comfortable and the material is of high
quality (Thieu et al. 2017). Lastly, the augmented product and service offered by Nike includes
the different exchanges being done on the different products at any time within thirty days from
the date of purchase.
On the other hand, in case of Reebok, the apparels have been always the main or the
actual product from which they started. The fabrics and technology blend provides the customers
with utmost comfort (Roberts, Kayande and Stremersch 2019). In addition, the footwear is the
actual product which is being sold by Reebok under different brand names such as Reetone,
Reegym, Reetrain and ReeZig. The shoes are specially designed to make the muscles harder and
it is liked and preferred by the different sports enthusiasts.
In addition, currently, Nike has been designing along with selling products that have
capability for connecting with iPod nano which has been the other major prospect of the
company in comparison to Reebok. There is another sub brand of Nike which is NikEid for
customizing and designing the products as per the choice of the customers and it has been helpful
for them in attracting large number of audiences (Nugroho and Irena 2017).
Price
Comparative Pricing of Nike and Reebok
Particulars 2016 2017 2018 2019
Nike $700 $775 $1000 $1500
Reebok $250 $450 $475 $550

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In case of Reebok, the company has followed the standard pricing policy wherein during
the introduction of any new product, they try to keep the pricing low and as the demand of the
product begins, they raise the shift to the regular policy of pricing. It shows that the company has
always followed the price skimming strategy (Mujiyanti et al. 2019).
On the contrary, Nike includes the Value Based Pricing for facilitating the high level of
growth and success in comparison to the other competitors present in the market. Nike tries to
measure the value provided by the customers on the products which are bought by them and
through the respective strategy, Nike ensures to retain maximum buyer’s surplus in an effective
manner (Hisrich and Ramadani 2017). For instance- Nike makes Air Max for adults and
children, however, prices for both are drastically different.
Place
In case of Nike, the shoes are being carried by the multi-brand stores as well as exclusive
Nike stores which are present across the globe. Nike has been highly successful to nearly 20000
retail accounts in the United States of America and in almost two hundred countries in the entire
globe. Moreover, it has been noted that in the international markets, Nike mainly uses three
major channels for selling wide variety of products to customers who includes retailers, Nike
online stores, and online sale through e-commerce such as Amazon or eBay and exclusive offline
stores of Nike (Garabinovic and Nikitovic 2017). Nike has been successful in creating
manufacturing units in almost each and every country for helping them in reducing the cost of
logistics and receiving efficiency in distribution.

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Figure 1: Online Store of Nike
(Source: Nike.com 2020)
Figure 2: Offline Store of Nike
(Source: Nike.com 2020)

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On the other hand, Reebok have exclusive stores, factory outlets and distributors in
different parts of the country which makes them efficient. The company is capable of hiring
various professionals for choosing best location that suits their outlet. The overall situation of
Reebok is effective as there is equal balance between limited edition shop, unique kind of outlets
along with super sale outlets (Filbert and Anthony 2018). Presently, the company has been able
to mark their presence in the online purchasing system and through this; they have completely
changed the notion of the selling aspect. From the comparison, through the ecommerce websites
across the world such as Flipkart, Amazon, they pose the great threat to Reebok and it is
effective in maintaining their position through the e-commerce approach (Esmaili et al. 2017).
Figure 3: Offline Store of Reebok
(Source: Reebok.com 2020)
Through the analysis, it can be said that Nike exclusive stores are common in every city
as well as suburbs and they are always findings ways to provide satisfaction to the customers and
give them value. In comparison, Reebok is capable of providing values to the customers,

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however, in case of online shopping approach, Reebok needs to understand the concept of online
marketing and gain more customer base in a short span of time (Ang and Rusli 2018).
Promotion
To help the customers in understanding their offerings, Reebok has embarked themselves
on the fidelity promotional campaign in a strong manner. As the brand ambassadors, Reebok has
been successful in targeting many sportspersons such as from cricket, football along with NBA.
Moreover, there are various actors and actresses who are being selected for advertisement
campaigns conducted by Reebok (Ang and Rusli 2018). Moreover, there are various
sponsorships of Reebok in IPL, Davis Cup and others which have been helpful for them in
attracting the attention of the customers in the market in an appropriate manner. Both offline and
online campaigns are followed by Reebok for their promotional campaigning approach.
Moreover, Reebok keeps on changing their brand logo which includes "I am what I am” or
“have fun while running” and so on which means they prefer the luxurious kinds
of target audiences (Garabinovic and Nikitovic 2017).
On contrary, Nike focuses on the extremely aggressive as well as
comprehensive kind of tools and Medias related to marketing their products and
services to the customers in the entire world. Nike is completely opposite of
Reebok wherein they are capable of conducting different exhaustive campaigns
in YouTube, Facebook and Instagram for reaching to millions of customers. The
similarity between Nike and Reebok is that they both use the celebrity
endorsements as their promotional campaign for making the customers aware
regarding their new offerings. Nike offers bulk discounts and timely discounts
through their offline and online stores for reaching out to the large number of

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audience’s everyday and catches the Mass Attention at the bigger kind of sale
offered by them which is termed as healthy and socially conscious in nature
target audiences (Nike.com 2020).
Direct Marketing
In case of Nike, they apply the strategic kind of combination of personal selling, sales
promotion along with public relations for reaching to the millions of customers and attract them
in buying their products. The respective combination of direct marketing helps Nike in
strengthening their brand image and promotes their products through such aspects (Nike.com
2020). In contrary, Reebok is always finding the niche in the entire established kind of market
and provide the customers with the different details through Instagram and they organize
customer focused events which will be helpful for them in managing their brand presence in the
strong manner (Taboli, Pariz and Vafada 2017). However, Nike has been highly effective in
direct marketing strategies in comparison to Reebok as the exhaustive kind of direct marketing
helps them in improving their brand image every day (Garabinovic and Nikitovic 2017).
Conclusion and Recommendations
Therefore, from the overall analysis, it can be concluded that the most effective
marketing mix has been of Nike wherein they have been particular regarding their 4Ps aspect.
Nike has been particular in making the customers understand their different deals and attract
through discounts. On the other hand, Reebok mainly focuses on the niche market segment
which is not as efficient as Nike. The 4Ps have been applied by both the brands for making the
audiences understand their offerings, channels of promoting their products and pricing which is
applied by them.

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In case of Reebok, the company could utilize the different kinds of detailed information
on the events which have been organized by them for the customers. On the other hand, in case
of Nike, the company needs to focus more on the pricing approach in detailed manner which will
be providing a detailed overview to audiences regarding the efficiency.

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References
Ang, C. and Rusli, H., 2018. The Impact of Marketing Mix 4Ps and Consumer Behavior toward
Purchase Decision of Adidas Products. iBuss Management, 6(2).
Esmaili, S., Rezaei, N., Abbasi, R. and Eskandari, S., 2017. The Impact of Marketing Mix on
Perceived Value, Destination Image and Loyalty of Tourists (Case Study: Khalkhal City,
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Filbert, A. and Anthony, W., 2018. The Impact of Marketing Mix of 4Ps (Product, Price, Place,
and Promotion) towards Repurchase Intention with Customer Satisfaction as the mediator: In the
Case of Uniqlo. iBuss Management, 6(2).
Garabinovic, D. and Nikitovic, Z., 2017. Importance of combining marketing mix instruments in
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