Nike+ Ipod Sport Kit
EXECUTIVE SUMMARY
The purpose of this report is to analyze Nike, Inc to assist the company increasing market share and sales through the product of Nike+ iPod Sport Kit and Nike+ shoes by the end of 2008. The key issues facing by Nike in marketing this product are narrow target segment and inappropriate buzz promotional strategy. There is also a minor issue of the kit's limited functionality which hinders for product growth. As a result, the current target segment of elite runners should be redefined and expanded to include the "sport fashionistas", technology savvy footwear customers, and people who are interested in sports in general. This would make the product appeal to a broader general public and increase sales potential. As for the marketing strategy, Nike should turn to traditional advertising campaign in massively broadcasting the product at different media outlets, and also sponsoring various sports events to raise awareness. Increasing efforts on the Sport Kit's research and development to continuously improve the Sport Kit's functionality should also be taken underway to secure the customers from switching to other competitors' products. With the recommendation implemented, it is expected that Nike would enjoy a higher awareness of the product, and thus lead to larger sales volume and market share in maintaining its position as the industry leader. The promotion of the Sport Kit product would also reinforce Nike's image as innovative and technological advanced to continuously attract loyal customers.
INTRODUCTION
Nike, Inc Background
With revenue of $15 billion in fiscal 2006 and the largest market share in the footwear industry, Nike, Inc. (Nike) is the leading company in the sports and fitness industry. Since its initial launch in the 1970s, Nike is committed to bring inspiration and innovation to the athletes. It positions itself as having cutting-edge technology while enhancing athletes' competitiveness. (http://www.nike.com/nikeplus/
The purpose of this report is to analyze Nike, Inc to assist the company increasing market share and sales through the product of Nike+ iPod Sport Kit and Nike+ shoes by the end of 2008. The key issues facing by Nike in marketing this product are narrow target segment and inappropriate buzz promotional strategy. There is also a minor issue of the kit's limited functionality which hinders for product growth. As a result, the current target segment of elite runners should be redefined and expanded to include the "sport fashionistas", technology savvy footwear customers, and people who are interested in sports in general. This would make the product appeal to a broader general public and increase sales potential. As for the marketing strategy, Nike should turn to traditional advertising campaign in massively broadcasting the product at different media outlets, and also sponsoring various sports events to raise awareness. Increasing efforts on the Sport Kit's research and development to continuously improve the Sport Kit's functionality should also be taken underway to secure the customers from switching to other competitors' products. With the recommendation implemented, it is expected that Nike would enjoy a higher awareness of the product, and thus lead to larger sales volume and market share in maintaining its position as the industry leader. The promotion of the Sport Kit product would also reinforce Nike's image as innovative and technological advanced to continuously attract loyal customers.
INTRODUCTION
Nike, Inc Background
With revenue of $15 billion in fiscal 2006 and the largest market share in the footwear industry, Nike, Inc. (Nike) is the leading company in the sports and fitness industry. Since its initial launch in the 1970s, Nike is committed to bring inspiration and innovation to the athletes. It positions itself as having cutting-edge technology while enhancing athletes' competitiveness. (http://www.nike.com/nikeplus/