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Report On The Case Study Nike

2216 words - 9 pages

Report on the Case Study Nike

This report has been produced to provide an insight into the consumer
decision-making process, buyer behaviour factors that consumers of
Nike are influenced by. The report also details recommendations based
on the findings.

2.0 Summary

The report is about Nike, regarding the case study. The report
elaborates on the aspects including buyer behaviour, brand image,
consumer decision making, and marketing research techniques applicable
to Nike.

3.0 Introduction

Nike is the worlds number one sports shoe company. In the US Nike
dominates 35% (source: see appendices) of the sports shoe market and
its products are sold in more than 140 countries worldwide, it also
holds one of the most recognisable logos (amongst others Coca-Cola
etc) in the world, the Nike Swoosh.


Question One

4.1 The majority of Nikes customers (70%) purchase their products for
non-sporting activities. Instead they are bought for their
'fashionable' brand image, rather than for their actual purpose. For
example running shoes are designed for that purpose, running, but are
usually purchased by the fashion conscious whose decision is based on
their popularity and the appearance of the shoe.

4.2 The consumer buyer decision-making process for a pair of Nike
training shoes will not be the same for each consumer. The consumers,
which Nike attracts, could be divided into two categories. Those who
have an actually purpose for buying, and no what they want, these
consumers purchase them for the purpose which they were originally
made-sport. The second category could include those who have grown
accustomed to the brand and the fashionable image, these consumers
purchase them for 'everyday purchases' and focus on the fashion aspect
of them, rather than their actual function.

4.3 Extended Problem Solving

This decision making process would be apparent on consumers who's
purpose for purchasing a Nike product is controlled by whether or not
it suits their needs. This type of consumer would not be as concerned
with branding, but whether it meets their requirements. The making
process would be longer.

4.4 Routine Problem Solving

Nike's prominent and continuous advertising campaigns ensure that
consumers in the youth market are aware of the brand, as greater
awareness inevitably leads to greater sales. Once these sales are
secures by consumers in the youth market their interest is maintained
by further advertising, which leads to repeat purchase.

4.5 Variety Seeking Behaviour

Although Nike is the market leader in sports shoes, this doesn't
guarantee consumers will switch to competitors alternatives. There are
consumers who switch brands in an attempt to be different. This is
often due to changes in...

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