What comes to mind when you think about athletes’ shoes, inspiration, and innovation? Most probably Nike? From Olympic champions to everyday runners, Nike makes you feel like a winner. How did a shoe company become synonymous with the drive to win? It’s all about a genius brand positioning strategy. The strategy that makes them sell belief – the belief that you can push harder, go further, and achieve more. Nike stimulates this perception in its consumers’ minds through a carefully crafted brand positioning strategy.
This post is all about the brand positioning strategies that helped Nike build an empire that rules the sports world.
What is a Brand positioning strategy?
Brand positioning strategy is the process of differentiating your business from competitors and getting a top spot in the minds of your audience. This builds trust and boosts credibility, making them loyal customers. That said, it’s essential to understand your target consumers so you can position yourself as a solution that creates a successful brand positioning strategy.
Nike brand positioning strategies that shaped the sports industry
Nike’s brand positioning strategy wraps around innovation, inspiration, storytelling, collaborations with renowned athletes, and a socially responsible business approach. Let’s delve deeper into these critical positioning strategies that have built Nike’s legacy.
1. Know and listen to each potential consumer’s segment
What makes a Nike brand positioning strategy successful is understanding their customers. Nike covers a broad range of audiences, so they segment them into different categories to position the brand by keeping all in mind. Therefore, Nike creates different products and messages for each customer segment. Nike almost pulls athletes from every major sport.
- Demographics: Nike attracts customers from ages 11 to 45, encompassing men, women, children, and teenagers. They launch significant footwear and apparel for women, men, and teens to support all in building their lives.
- Geographically, Nike targets customers worldwide, including Europe, the United States, Asia, and the Middle East. Remarkably, Nike understands the diverse needs of customers from different backgrounds and caters to them accordingly. Similar to the United States, which caters to the needs of football and basketball players, India’s brand focuses on cricket enthusiasts. Sydney, England, and the Middle East emphasize soccer and rugby products.
- Behavioral: Nike’s target audience is from the high-income group that is willing to spend a premium to live a healthy and active lifestyle. On the other hand, Nike targets an audience that is tech-loving, fashion enthusiasts, and wants to stay updated with the times.
- Psychographic: Nike targets customers who strive to improve their lifestyles, health, and hit their daily goals. People who are style-conscious, weekend runners, and want to be the best version of themselves and the best athlete in the world.
Meanwhile, Nike deeply understands all audience segments and then positions and serves its customers on a personal and community level.
2. Innovative technology
One of the positioning strategies that helps Nike to outperform is its innovative products. Nike launches a cutting-edge product to improve athletes’ performance and reach goodness.
From the start, they focus on improving the performance and excellence of athletes. Whether it’s Nike’s Nike Air Max line, Flyknit technology, or the Air Force 1 sneaker, they all aim to refine comfort, performance, and sustainability.
The Zoom Vaporfly Elite is developed to push the boundaries and transform the athletic landscape. The Nike Zoom Vaporfly Elite features Nike ZoomX Midsole ties that helped Kipchoge, Desisa, and Tadese attempt to break the 2-hour marathon barrier. Nike constantly evolves and brings new technology products to cater to the needs of every customer segment.
3. Inspiring and emotional storytelling
Nike doesn’t just sell shoes; they inspire people to achieve more.
And stories of real athletes help inspire its customers to achieve their goals.
Nike’s “Just Do It” motivates and empowers athletes to overcome challenges and strive for greatness.
You can see this perspective,”‘just do it,” in every story Nike tells, making it a central theme of the brand’s narrative. For instance, their 2012 campaign, “Find Your Greatness,” created hype on social media during the Olympics.
As the competitor Adidas secured the Olympic sponsorship, they were forbidden from using the Olympics in their ads. Nike has found the solution and established itself as a brand that inspires all, not just popular athletes.
They featured common athletes who showcased their skills and worked hard to achieve their goals. In one of the ads, they feature big boy Nathan running on the road, finding greatness, as they believe that an athlete has overcome hardship and hit their goal.
After the pandemic, Nike ran a storytelling campaign , “You Can’t Stop Us,” that blended various sports and cultures, featuring athletes overcoming injuries and returning to the game. Essentially, they motivate and inspire a determination that never stops, even in the most challenging times. No matter what, Nike always comes to inspire and encourage athletes to find their greatness.
4. Collaboration with notable athletes
Another brand positioning strategy that thrives for Nike is their partnership with prominent sports persons. Nike doesn’t just partner with athletes, but it also helps them build.
As an example, in 1984, Nike signed a deal with Michael Jordan and introduced his sneaker line, “Air Jordan,” featuring the Jumpman logo.
Additionally, Michael Jordan’s deal with Nike earned him billions of dollars.
And you know what’s interesting here is? The NBA even fined Michael for wearing those black/red Air Jordan shoes as it was a violation of its uniform policy. But Nike accepted this controversy and paid all fines.
They made a strategy to position Air Jordan as a symbol of rebellion and individuality in their “Banned” campaign. Meanwhile, the campaign was a big hit, giving the Air Jordan iconic status and generating significant revenue. The first release boosted Nike sales and brand image. In those days, no athlete owned a personalized sneaker line, and it was a massive hit for Nike.
Nike continued its strategy to partner with athletes. They collaborated with many, such as LeBron James, Serena Williams, Kylian Mbappé, Tiger Woods, Kobe Bryant, and Cristiano Ronaldo. This strategy positions Nike as a symbol of inspiration, empowering athletes to pursue their goals.
5. Social Responsibility and Global Impact
Nike understands that modern customers prefer a brand that makes environmentally friendly products. In fact, today’s consumers are more likely to support businesses with strong sustainability practices.
Thereby, Nike took steps to position itself as a socially responsible brand. They position that the brand implements eco-friendly practices and supports social causes. Meanwhile, this strategy helps them attract customers who value business impact in the environment and maintain their competitive edge.
Want to learn more about brand positioning? Read Framework for Brand Positioning: Practical Tips to craft yours
Final Thoughts
Nike didn’t build accidentally; they carefully crafted their brand positioning strategy. Nike carries inspiration and innovation to every athlete, helping them live a healthy lifestyle. The brand has a broad audience, so it creates segments and inspires every consumer with different products.
Most importantly, Nike’s emotional and inspiring storytelling, collaboration with popular athletes, and innovative products have helped them thrive in the sports industry. Later, their position on sustainability benefits Nike in retaining and attracting new customers who are eco-conscious.
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