8/14/2019 BATCH3-NIKE Presentation v2

http://slidepdf.com/reader/full/batch3-nike-presentation-v2 1/15

BY:

XMBA BATCH 30

KAVITA BAEET

VRUSHALI MALANKAR

PRIYA MADHAVANMANDAR KARANDIKAR

8/14/2019 BATCH3-NIKE Presentation v2

http://slidepdf.com/reader/full/batch3-nike-presentation-v2 2/15

World’s most revered sports &fitness company

Global leader with a 47% market shareBased at Beaverton, Oregon , USA

Phil Knight & William Bowerman - Founder

The original name was Blue Ribbon sport.

Entered the Indian market in 1998Headquartered in Bangalore

Source: Business Week 

8/14/2019 BATCH3-NIKE Presentation v2

http://slidepdf.com/reader/full/batch3-nike-presentation-v2 3/15

 The branded athletic footwear and apparel industry comesunder Nike product range

FOOTWEAR - Within footwear Nike operates in variouscategories

Running Shoes (for men and women) – Differentiation Football shoes (Mercurial Vapor 3) – Focus with

Differentiation Basketball shoes (Air Jordan) - Focus with Differentiation Cricket (Air Zoom Yorker and Opener) - Focus

with Differentiation Floaters and Slippers – Differentiation

8/14/2019 BATCH3-NIKE Presentation v2

http://slidepdf.com/reader/full/batch3-nike-presentation-v2 4/15

APPARAL  T-shirts, tracksuits, caps, socks, bags,

 Timepieces, Eyewear, Skates, bats

Cricket and Football Jerseys – Focus withDifferentiation

SPORTS EQUIPMENTS 

Gym Equipments

8/14/2019 BATCH3-NIKE Presentation v2

http://slidepdf.com/reader/full/batch3-nike-presentation-v2 5/15

•Nike Air Max

•Nike Air Force one

•Nike Dunk SB

•Nike Shox

•Nike Free

•Nike Corte

•Nike Zoom Air

•

Nike Blazer

8/14/2019 BATCH3-NIKE Presentation v2

http://slidepdf.com/reader/full/batch3-nike-presentation-v2 6/15

NIKE = Winged Goddess of Victory

“Greeks say when we go to battleand win, we say it is NIKE!” Brand Personality – Competence

Reliable Intelligent Successful

8/14/2019 BATCH3-NIKE Presentation v2

http://slidepdf.com/reader/full/batch3-nike-presentation-v2 7/15

Brand Equity

Brand represents the consumer’sperception & feeling about theproduct & it’s performance.

 The real value of branding is theability to capture consumerpreference & loyalty.

8/14/2019 BATCH3-NIKE Presentation v2

http://slidepdf.com/reader/full/batch3-nike-presentation-v2 8/15

 The pricing is based on the basis of premium segment astarget customers.

Nike’s pricing strategy use of vertical integration in pricingwhere they own participants at differing channel levels or

take in more than one channel level operations.NIKE

$9.00 *Manufacturer

$17.50 

Wholesaler$32.50

Retailer

$65.00

Consumer

Manufacturer

Labor $2.25* 

Materials $4.95*Factory

Overhead

$1.80*

Other

Operating

expenses

and net

income

$8.50

TOTAL $17.50

Wholesaler

Nike's

payment to

factory (CGS)

$17.50

Sales,

general & 

administrativ

e costs

$4.59

Advertising,

promotions & 

endorsement

s

$2.93

R&D $2.00

Taxes $1.82

Interest

Expense

$.33

Net Income $3.33

TOTAL SP $32.50

Retailer

Retailer

CGS (from

Nike's SP)

$32.50

expenses

plus profit

$32.50

AverageRetail SP

$65.00

8/14/2019 BATCH3-NIKE Presentation v2

http://slidepdf.com/reader/full/batch3-nike-presentation-v2 9/15

8/14/2019 BATCH3-NIKE Presentation v2

http://slidepdf.com/reader/full/batch3-nike-presentation-v2 10/15

NIKE, Inc. Reports Fiscal Third Quarter 2009 Results 18 March,2009

Revenue down 2 percent to $4.4 billion, up 2 percent excludingchanges in currency

Worldwide future orders down 10 percent, down 2 percent excluding

changes in currency Current Market share price is $56.70

8/14/2019 BATCH3-NIKE Presentation v2

http://slidepdf.com/reader/full/batch3-nike-presentation-v2 11/15

Nike shoes are carried by multi brand stores and the exclusively Nikestores across the globe.

Nike sells its product to 20000 retails accounts in the US and almost200 odd countries around the world.

In the international market Nike sells products through independent

distributors, licensees and subsidiaries.

8/14/2019 BATCH3-NIKE Presentation v2

http://slidepdf.com/reader/full/batch3-nike-presentation-v2 12/15

Nike has been one of the top retail leading industries forquite some time. This is because they sell qualityproducts, customer loyalty, but most of all it’s greatmarketing techniques & branding.

Nike has a number of famous athletes to create a greatdeal of attention to their products.

In order to capture the market share Nike has signed a$43 million Kit sponsorship deal with BCCI

Nike has sponsorship deals with Man U , Arsenal and F CBarcelona.

Nike also personalizes websites (nikebasketball.com,

nikefootball.com)

8/14/2019 BATCH3-NIKE Presentation v2

http://slidepdf.com/reader/full/batch3-nike-presentation-v2 13/15

Contracts with celebrities

Contracts with celebrities

 

Maria Sharapova Tiger WoodsLebron James

 

Michael Jordan Ronaldino

8/14/2019 BATCH3-NIKE Presentation v2

http://slidepdf.com/reader/full/batch3-nike-presentation-v2 14/15

Footwear Market share of the brands in 2000.

8/14/2019 BATCH3-NIKE Presentation v2

http://slidepdf.com/reader/full/batch3-nike-presentation-v2 15/15