Nike Brand Management: Evaluation of Brand Development Strategy Report

This report provides a comprehensive analysis of Nike's brand development strategy, examining its background, brand identity, and the rationale behind its brand development decisions. The report delves into Nike's brand strategy, including its effective use of emotional marketing and the development of a strong brand identity through the brand identity prism. Furthermore, it evaluates Nike's marketing mix, covering product, price, place, and promotion strategies, and how these elements contribute to its overall brand management. The analysis includes the graphic design elements and brand mantra, illustrating how Nike has cultivated customer loyalty and brand recognition. The report concludes with an assessment of the effectiveness of Nike's brand development approach and marketing mix.

Brand Management
9/19/2019
Nike

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Contents
Introduction......................................................................................................................................2
Company background......................................................................................................................3
Brand development strategy............................................................................................................3
Brand strategy of Nike.................................................................................................................3
Brand identity of Nike.................................................................................................................4
Brand identity prism................................................................................................................4
Graphic design.............................................................................................................................7
Brand management......................................................................................................................7
Marketing mix.................................................................................................................................8
Product strategy...........................................................................................................................8
Price strategy...............................................................................................................................9
Place strategy.............................................................................................................................10
Promotion strategy.....................................................................................................................10
Conclusion.....................................................................................................................................11
References......................................................................................................................................12

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Introduction
In the current era, every company has to follow the brand development strategy that is an
continuous process that helps the brand to growth in the competitive market. The aim of the
report is to review and evaluate the brand development strategy of the existing company. The
company that has been selected for this assignment is Nike who is performing effectively in the
market. The brand development strategy of Nike will be discussed in the report with the
justification for the brand development decisions that are made by Nike in the market. The
marketing mix evaluation has been done which shows the ways through which the brand
promote their product in the market.

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Company background
Nike is recognised American Multinational Corporation which is engaged in the design,
development, manufacturing and marketing and sales in the field of apparel, accessories and
other services. The company has its headquarters near the area of Beaverton, Oregon, in the
Portland metropolitan area. Nike is considered as manufacturer and supplier of apparel and
athletic shoes in market. The mission of the company is to do everything that is possible to
expand its human potential (Nike, 2019). The company believes that they are forming the
groundbreaking innovation in sports by making the product more sustainable. This builds the
diverse and creative team across the world that is possible by forming the positive influence in
communities.
Brand development strategy
The brand management is analysis and planning on the brand that is perceived in the market by
Nike brand. It is essential for the Nike brand to form the good and effective relationship with the
target market that contributes in managing the brand. The brand development strategy involves
the brand strategy, brand identity, Graphic designs, brand management (Chaffey & Ellis-
Chadwick, 2019). The below given section include the brand development strategy along with
their justification.
Brand strategy of Nike
The brand strategy is the brand communication that remains more effective in the market as they
can form the image in the market. Nike advertisement takes the common hero story and this
turns it on their head. The company focuses on the internal foe-our laziness rather than inspiring

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the loyalty among the customers by singling out an outside enemy. The advertisement of
company shows that every morning when that alarm goes off and it remains the dark outside, the
battle starts now (Brohi, Prithiani, Abbas, Bhutto & Chawla, 2016). This motivates people to go
for the long run and this leads to rise in the battle. This shows the way through which Nike uses
the emotional marketing to communicate and this inspire the loyalty among the customers. The
strategy of brand is excellent because they are willing to communicate the message that every
person can be hero of their own strategy. The company identity has contributed effectively in
inspiring the loyalty among the targeted customers that majorly include youth and athletes. Thus,
this makes the company to choose the strategy that is reason they are well known in market.
Brand identity of Nike
The identity is one of the major components that works as the brand development in the mind
and heart of customers. The identity of brand is visible element of brand are color, design, logo
and other which makes the brand distinguish from the other brand in mind of customers. The
concept of the brand identify for Nike can be understood with the help of prism framework.
Brand identity prism
Brand identity prism is a concept, which is coined by J.Kapferer in the year 1986 in which he
presents that any brand can be recognised by their own characteristics that include personality,
physique, culture, relationship, self-image, and reflection (Wheeler, 2017). The image given
below shows the applicability of Prism concept of Nike that leads to the development of the
brand in the market.

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 Physique: - It is a physical aspect in which the brand communicates the customer about
their logo and symbol that represent company. The logo and symbol is a right tick with
the “Just Do It”. The image given below shows the logo of the Nike: -
 Relationship: - The second dimension of the brand identity is relationship that brand has
with their customers because they are involved in the transaction with the customers. The

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company provide the comfort to the customer and they make them loyal towards the
brand. The relationship that is formed by the company is comfort that is more demanded
by the customers (Chaffey & Ellis-Chadwick, 2019). The company wants to
communicate that comfort allows customer to run the day but do not let it run.
 Reflection: - Reflection is one of the major component in which the targeted customer
identify himself as a person in terms of the brand. Nike brand tries to design the product
as per their needs that contribute in forming the reflection of the strong brand. The
reflection that is communicated by Nike is to make the customers full of energy,
youthful, competitive, and aggressive and the brand conscious (Green, 2016).
 Personality: - The personality is another element that is explained by making use of the
features related to the personality that are linked with the brand and closely with the self-
image. The personality brand has maintained in front of the customers is all about the
sportive, spirit, athlete and lifestyle which helps the brand to present in front on their
targeted customers.
 Culture: - The culture presents the set of values that brand is inspired as well as
originated from and they want to maintain reflect the same. Nike has an American, sport,
and fitness culture, which is promoted by them globally (Brand Palettes, 2019).
 Self-Image: - The self-image over here means that every individual that is targeted group
determine the brand in relation to himself along with the internal version of reflection.
The self-image of the customer is important in the eyes of brand because of their own
traits. The personal traits that brand shows is athlete, brand conscious and cool which
helps them to relate with customers.

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Graphic design
The graphic designs include color schemes and logo that remains different from their
competitors and can effectively contribute in shaping the perception of the customers towards the
brand. Nike brand make use of the black and white color palette on its logo. This logo of derived
from the goddess wing “Swoosh” that is symbol of sound of speed, power, movement and the
motivation (Brand Palettes, 2019). The company make use of this brand scheme majorly for the
print or digital projects that are required to use the different particular color values to match with
their color palette.
(Source: Brand Palettes, 2019)
Brand management
Brand management involves the investment that is done by any company within the market to
manage their different identity in the market (Hidayat & Sriwarno, 2015). The company has
three brand mantra which is authentic, performance and athletic to guide the efforts of marketing.
It has been found that brand mantra is used to take the right decision to manage brand due to

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which Nike rolled out its successful apparel line as remained innovative for the company to
provide the benefit to athletes for whom they make investment in technology (Išoraitė, 2018).
The company make use of the Nike Air Technology uses supergrasses encased in urethane
plastic to offer the cushioning within the shoe that provides the great cushioning without hurting
the losing performance.
Marketing mix
The marketing mix is a tool that is pursue by every company in the competitive environment
with the motive to promote their product in the market (Baker, 2014). The below given is the
marketing mix of Nike company which shows that how company is make their strategy for the
brand.
Product strategy
Nike adopt the strategy in which they offer the wide range of shoe, apparel and other related
equipment’s that are currently its top selling product. The products strategy of the company has
contributed appropriately in forming the image of brand as the sports specialities through
manufacturer and distributors of company.

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(Source: Nike, 2019)
The distributor of the company along with the company communication about the product makes
the company to form the image in mind of customers about their product. The direct dealing of
the company helps he brand to understand the needs of customers that is accomplished by them
in the form of new product in market.
Price strategy
The pricing strategy is essential while forming the brand image in the market. In the field of
sports, the pricing strategy of company is premium for the target customers (Saidani &
Sudiarditha, 2019). The brand commands majorly for the high premiums and thus they have the
image in the market as brand that deals in premium segment. The company make use of the
pricing strategy that allow the company to make use of vertical integration where the other
participants have their channel level and take participation in different channel level or also in
more than one channel level operations (Bhasin, 2019). This is one of the way through which
brand can control the cost and influence the pricing strategy of product. In addition, Nike pricing

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strategy is designed to be competitive which means that they review the prices kept by their
competitors and accordingly they decide the price of product in the fashion apparel only.
Place strategy
The company has the place strategy that is carried by them as the multi-brand stores that are
available across the world (David, 2011). The company deals it’s product to approx. 20,000 retail
accounts in the market of U.S. and they are serving in more than 200 countries across the world.
The company provide products through the self-governing distributors, subsidiaries, and
licensees. However, the company the manufacturing units are present in Asia and the customer
service with the different operational unit across the worldwide.
Promotion strategy
Promotion strategy is adopted by the company to promote the products and services in the
market. The promotion is majorly dependent on searching the available stores places. It makes
use of the targeted advertisement with the help of advertisement, social media, and other
strategic alliances (Chernev, 2018). The company has the wide number of the popular athletes
that promote the product of company being the brand ambassadors like Brazillian Soccer Team,
Jermane O’Neal and many others.
Nike contributes effectively in sponsoring the events Hoop It Up and The Golden West
Invitational. The image of the brand is with the Nike name as well as the trademark Swoosh that
make it with one of the most known brands (Gregory, 2018). The promotion activity contributes
effectively in enhancing the brand power that is the reason behind the high revenue. The
company deliver the high quality products that will lead to loyal customer base, which is a great
marketing techniques that contribute to form the brand recognition in the market.

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Conclusion
In the end of report, this can be concluded that Nike brand need to develop the brand strategy for
making the image in the market among the targeted customers. Brand development strategy of
Nike involves the different components that include brand identity, brand strategy, graphic
designs. The report shows that company put many efforts due to which they are able to gain the
customer loyalty among the market. The different concept has been applied by the company
contribute in improving the value of brand with Prism model of brand identity. The brand has
their own position in minds of customers and presently the brand is known by customers. The
marketing mix analysis has been done which include the ways though which the company
promote the products services in the market. The elements shows that there are wide ranges of
products are offered by company and they follow the premium strategy. Along with this, the
company provide their products all around the world and they have wide promotional strategy
that helps them to form brand value.