Strategic Analysis: Nike's Kaepernick Campaign and Market Segmentation

This report provides a comprehensive analysis of Nike's marketing campaign featuring Colin Kaepernick, examining the context of the campaign, its controversial reception, and the resulting division within Nike's customer base. The analysis delves into the problem statement, which centers on reuniting the divided customer base to ensure sustainable growth. It explores the lack of proper cognitive and perceptual mapping, as well as the impact on the company's brand image. The solution proposed involves conducting psychographic market segmentation to identify customer groups and tailoring a marketing campaign that resonates with the largest segment. The report justifies the solution by highlighting the varying psychologies of the customer base and the need to rebuild the brand image. An action plan is outlined, including surveys, polls, psychometric analysis, and media selection. Finally, a follow-up plan is suggested to measure the campaign's success through further surveys and polls, aiming to assess customer sentiment and correlation between responses from different demographic groups.

CAMPAIGNING POST NIKE’S
KAEPERNICK AD CAMPAIGN.

INTRODUCTION
• KAEPERNICK WAS THE FIRST NFL PLAYER TO
KNEEL DOWN BEFORE THE USA NATIONAL
ANTHEM.
• MANY CONDEMNED THE ACT AND KAEPERNICK
SOON BECAME A CENTRE OF ATTENTION.
• HIS PROTEST WAS AGAINST THE GOVERNANCE
OF PRESIDENT DONALD TRUMP, WHO HAS BEEN
ACCUSED OF RACIAL DISCRIMINATION ON A
NUMBER OF OCCASSIONS.

INTRODUCTION
• NIKE SAW BRAVERY IN KAEPERNICK’S PROTEST,
AND THOUGHT OF FEATURINJG HIM IN THEIR
NEXT CAMPAIGN.
• THE TAGLINE OF THE CAMPAIGN WAS, “BELIEVE
IN SOMETHING, EVEN IF IT MEANS SACRIFICING
EVERYTHING”.
• THE CAMPAIGN WAS NOT PERCEIVED IN A
GOOD FASHION BY MANY, AND AMERICANS
BEGAN BOYCOTTING NIKE’S PRODUCTS.

INTRODUCTION
• HOWEVER, MAJORITY OF THE COLOURED AND
BLACK AMERICANS STOOD BY NIKE’S
CAMPAIGN, INCLUDING LEBRON JAMES AND
SERENA WILLIAMS.
• THIS DIVIDED THE ENTIRE NATION INTO TWO
HALVES.
• FORTUNATELY, NIKE’S SALES WENT UP,
DESPITE A SUBTLE FALL IN STOCKS.

PROBLEM STATEMENT
• WITH NIKE’S OWN CUSTOMER BASE DIVIDED
INTO TWO HALVES, IT MUST COME UP WITH A
STRATERGY/ACTION PLAN TO REUNITE ITS
CUSTOMER BASE, IN ORDER TO ENSURE THE
COMPANY’S SUSTAINABLE GROWTH.

ANALYSIS
• THE CAMPAIGNING HAD BEEN DONE IN
ORDER TO PROMOTE BRAVERY AND
INTEGRITY.
• MIXED FEELINGS AND INTERPRETATION FROM
THE CUSTOMER BASE BACKFIRED NIKE.
• HENCE, WHAT THE COMPANY LACKED WAS A
PROPER COGNITIVE AND PERCEPTUAL
MAPPING.

ANALYSIS
• POSITIONING SHOULD HAVE BEEN BETTER IN
ORDER TO PROPERLY CONVEY TO THE
AUDIENCES THAT THE BRAND STOOD FOR
INTEGRITY AND NOT ANTI-NATIONALISM.
• IT WAS BASICALLY A SOCIAL PURPOSE
ADVERTISEMENT WHICH WENT WRONG
BECAUSE OF INACCURATE STRUCTURING OF
THE MESSAGE.

ANALYSIS
• BRAND IMAGE OF THE COMPANY HAS
DIMINISHED.
• THE CHALLENGE IS TO DO A PROPER MARKET
SEGMENTATION WHICH INVOLVES THE MAJORITY
OF NIKE’S CUSTOMER BASE, AND TARGET THEM
WITH AN APPROPRIATE MESSAGE TO BRING THE
CUSTOMER BASE TOGETHER AGAIN.
• MESSAGE MUST BE DESIGNED IN ACCORDANCE
WITH THE SEGMENTATION.

SOLUTION
• THE FIRST THINJG WHICH NIKE HAS TO DO IS
TO DO A PROPER MARKET SEGMENTATION OF
THE MARKET IN USA.
• THE FOCUS SHOULD BE ON PSYCHOGRAPHIC
SEGMENTATION.
• CUSTOMERS SHOULD BE GROUPED
ACCORDING TO THEIR SHARED
PSYCHOGRAPHIC CHARECTERISTICS.

SOLUTION
• THE MESSAGE SHOULD BE FORMULATED
ACCORDING TO THE CHARACTERISTICS OF THE
LARGEST GROUP FROM THE SEGMENTATION
PROCESS.
• THE IDEA OF THE SOLUTION IS TO COME UP
WITH A MARKETING CAMPAIGN WHICH
WOULD APPEAL TO THE MAJORITY OF THE
CUSTOMER BASE OF NIKE, AND REUNITE THEM
TO HAVE THEIR FAITH BACK IN THE COMPANY.

SOLUTION
• THE MAIN SOLUTION IS TO REBUILD THE
BRAND IMAGE TO RECAPTURE THE MARKET
SHARE.

JUSTIFICATION OF THE SOLUTION
• THE CAMPAIGN CREATED A CONTROVERSY BECAUSE
OF VARYING PSYCHOLOGIES OF THE CUSTOMER BASE.
• THEREFORE, THE PURPOSE OF THE NEXT CAMPAIGN
HAS TO HEAL THOSE ASPECTS OF THE PSYCHOLGIES
WHICH WERE AFFECTED IN THE PREVIOUS CAMPAIGN.
• THE BRAND IMAGE OF THE BRAND HAS DIMINISHED IN
THE EYES OF SOME CUSTOMERS; BUILDING IT UP
AGAIN FOR THEM WOULD ENSURE A CONSISTENT
BRAND IMAGE THROUGHOUT ITS MARKET BASE.