What is marketing. Is it just the advertising of an product/service to potential clients with the use of TV advertisements, leaflets, flyers and sales phone calls or is it more? Is advertising just the start of a successful online marketing strategy?
There are a number of different definitions of marketing from a number of different options, each one with its own take on marketing. Over the years marketing is becoming less of function and even more as a couple of values and an activity nearly all organisations have to apply.
Management expert Peter Drucker promises that 'the aim of marketing is to make retailing unnecessary, advertising and advertising are only part of a larger marketing combine' (cited in Kotler & Armstrong 2011, site 29).
Drucker shows that for successful marketing strategy the use of the marketing blend is the greatest most successful and successful form of marketing.
The marketing mixture is the procedure a business uses to market and sell its product. It is often known as the 'Four P's' as it consists of the main elements of marketing:
1. Who's the product aimed at?
2. What gain will customers expect from it?
3. Exactly what will be its edge over competition products? Or its unique feature?
4. So how exactly does the business intend to Position the merchandise within the market?
Another description of marketing from marketing master Peter Kotler points out that 'Marketing is a communal and managerial process by which individuals and organisations obtain what they want and want through creating and exchanging value with others'. (2003, Cited in Jim Blythe 2009). They believe marketing is based on the concept of value, the relationship between what has been paid for and what the buyer has received that can be improved by the marketing activities an organisation implements.
(Jim Blythe, 2009) argues Kotlers description saying that 'The problem with Kotler's explanation is the fact it tries to include all real human exchange functions and will not differentiate between your buyer and owner therefore so that it is a very extensive definition and not much use in deciding what's marketing and what's not'.
Another aspect of Kotlers classification is that of a simple under lying factor of marketing the consumers 'Needs'. Individual Needs are state governments of experienced deprivation such as basic physical needs such as food, warmness and safe practices along with both public and individual needs. Would like however are the humans' needs when molded by the individuals personality, culture and population. These wishes become Needs. 'Given their desires and resources, people demand products with benefits that soon add up to the most value and satisfaction' (Kotler & Armstrong, 2011).
In many marketing strategies Abraham Maslow's Hierarchy of needs theory is integrated. It is used for understanding individuals determination, management training, and personal development.
Figure 1. 2
Maslow suggested that human behavior and decision-making are determined by one of the five need levels in his hierarchy. If applied to marketing strategy, the ability to effectively appeal to one of these motivational motorists is a key determinant of your potential success
The Chartered Institute of Marketing (CIM) Define marketing as:
'Marketing is the management process for determining, anticipating and satisfying customer requirements profitably'. (Cited in Jim Blythe, 2009).
Their description not only looks at discovering customer needs, but also meeting and gratifying them (Short-term) along with anticipating them for future years (Long-term retention). In addition, it outlines the importance of the process of marketing with both goals/objectives and benefits.
Another way marketing strategies are created is by taking under consideration the 'marketing management orientations'. There are 5 different marketing concepts in total, focusing on ways to produce, create and market products/services/companies to prospects. The 5 marketing principles include marketing, creation, product, providing and societal marketing.
Kotler & Armstrong (2008) - Amount 1. 3
After reading a wide range of marketing concept my view on marketing is the fact 'Marketing is the procedure of fabricating customer involvement in a product/service by communicating and delivering a business's products/service/company by identifying the target market segments needs and meeting them at a revenue'.
As we can see the key target of marketing is to build up successful profitable connections between the business and the buyer, therefore marketing is essential to the majority of organisations.
A successful and well prepared marketing strategy is vital for both income and non-profit structured organisations. Within income organisations marketing is responsible for bringing income that the business needs to have the ability to stay in business and with this income ideally profit for the company. For non-profit organisations marketing is essential for attracting customers, had a need to support the organisations goal, for example, elevating funds and encouraging the organisations causes or charities. With out a strong online marketing strategy no organisation is likely to survive.
Marketing is the region of the business enterprise that can be used to interact with potential consumers. It is the companies' way of mailing out their subject matter on the particular organisation is approximately determined by their connections with marketers. Based on the advertising note the company may be regarded as creative and influential.
An comprehensive and successful marketing theory has a variety of benefits on contemporary society, such to be able to satisfy customer needs by growing products/services that lead to a better quality of life. Also by creating a competitive environment with other companies providing the same or similar products it reduces a products price, therefore increasing the demand of the product. By increasing the demand for the merchandise it also really helps to create employment opportunities as companies need to increase their labor force to help meet demand needs. Along with having the ability to develop a product syndication system this will allow products to be reached by a big volume of customers and many geographic parts.
The conclusive aim of marketing is the exchange of products/services to customers in that manner that it increases the satisfaction of the customer's needs. The marketing functions get started with identifying the target market segments needs and ends with the consumer's needs being met.
The four main functions of marketing are to create a public identification or image of the company such as custom logo, slogans or the customer service style. This would be the image that customers will think of when thinking about the company, over time just the brand only can categorise a successful or unsuccessful company.
The second function is usually to be able to keep an eye on market fads. By continuously monitoring consumer buying habits along with general market trends campaigns an company can improve the products/services on offer to the general public.
Also when opening a new company or building a marketing strategy a company needs to be sure it will catch the attention of the prospective market with potential. Taking time on this will boost the effectiveness of the strategy and keep marketing costs to the very least.
Being able to form, maintain and build after customer associations is also another critical key function of marketing, as they are the most effective way of communicating to the target markets. By delivering the organisations key information along with keeping customers current with the organisations progress and on the products /services that are soon to be launched can help keep carefully the communication with the customers, helping to maintain the consumer - company relationship.
A great exemplory case of a firm that has perfected the role and functions of marketing to fit their brand and gratify their marketplace is Nike. (See Appendix 1 & 2 - Pg. 7-13).
'Within every company are stakeholders, they can be a person, group or organisation that has a concern or fascination with a specific company. Stakeholders make a difference or be afflicted by the organization's actions, objectives and procedures. A few examples of key stakeholders are lenders, directors, employees, federal government (and its own businesses), owners (shareholders), suppliers, unions, and the city from which the business enterprise attracts its resources'. (DictionaryBusiness)
In todays' business environment interesting with stakeholders is now increasingly essential. For my example on a marketing case study I've used the worldwide know company NIKE.
Their stakeholders do not simply include the sportsmen and consumers but all groupings effected by or have effect on their business functions. The core stakeholders for NIKE are their workers, shareholders, athletes, suppliers across the with the city and consumers. Also indirect stakeholders will be the federal and non-government organisations.
For their stakeholder analysis regarding their online marketing strategy they concentrate on the next questions, which consumers display a dependence on Nike's products? And so are we reaching all potential customers? They divided their consumers into concentrate on markets.
Athletes of all age groups, especially 8-40 years of age, they can be then segmented by lifestyle and sport and their main markets are - Activities, Producers, Strivers and Believers.
The 1st target market is the young and impulsive folks that spend a lot of time on athletics and exercise. Nike market to this stakeholder by marketing to the athlete, they use their well know slogan 'Just do it'. The next marketplace is the makers these folks are a lot like the experiencers but with much less resources. They are practical constructive individuals who enjoy physical entertainment and are enthusiastic about the quality and the practical reason for NIKE products. They market their brand by relating this portion through advertisements that depict people seeking their hardest to attain their goals. Their 3rd market will be the strivers, these are trendy, fun loving and encouraged by personal achievement, specifically concerned about the acceptance of others. NIKE grabs this section by endorsing their products with professional sports athletes, presenting their brand a positioning and name. Finally the previous segment are the believers these are the people that are encouraged by ideas, their buys are usually those of predictability, purchasing products that are familiar and established. Therefore they can be drawn to NIKEs proven quality, household brand.
NIKE uses an array of marketing tools and ways to attract all their target marketplaces.
They have a strong representation at global sporting events such as adverting as world cup football, the ultra dish, and Wimbledon. Also retaining brand associations with major sporting personalities. This is a stunning marketing tool as it gives the brand a huge name so that it is attractive to both potential consumers and shareholders.
Increasing products awareness by using designed marketing solutions such as TV areas and full site magazine advertising is also the perfect marketing strategy as it brings awareness to every possible marketplace.
NIKE also use a variety of marketing strategies and techniques such as AMBUSH marketing - promoting their product/brand at other sports brand sponsored incidents. Along with GUERRILLA marketing - paying sportsmen to work with their products. Finally they use MASS marketing - Nike products can be purchased at mass merchandisers such as sports activities direct and JD athletics.
When looking at Nike as an example they began creating products that the buying consumer didn't want resulting in a remarkable drop in their sales. They considered marketing to help fix their problems forcing those to take a hard take a look at what they were doing. This led to the company realising that concentrating primarily on the merchandise was a great way for a brand to start out, but this by itself wasn't enough they had to learn to do everything involved in attractive to the consumer, you start with understanding who the buyer is and the particular brand represents. Changing and concentrating on marketing evolved NIKE, it got them from a attempting organisation without real direction and no specific marketplace into a global renowned brand.
The value of marketing is an essential process in any company with billboards, papers advertising, marketing people, services and products are all becoming daily normality in today's world. Everything in this point in time is advertised and promoted - marketing has turned into a science of its. It is becoming such a great impact on the company's success that no longer is any company or business accepted without it. With the right marketing strategy for the precise target market organisations are able to reach their customers rewarding their needs at the right time with a revenue.
Nike's online marketing strategy rested entirely upon a brandname image which is favourable and has progressed into a great multinational venture as time passes. The favourable brand image has been held afloat because of the strong relationship with the Nike's custom logo which is quite distinctive and the slogan "Just Do It" which has been found in advertisement for a long time. The business has been recognized to invest closely in adverts and brand advertising (Fill C, 2005 p. 54).
Most of the consumers of Nike's products are mainly sportsmen. This is so due to utility that is included with the products. An athlete is much more likely to move a sports shoe designed and sold by Nike greater than a one who detests having and exercises. Nike targets these consumers by contracts between Nike and athletic teams, college's athletic clubs1 etc. for product sponsorship and eventual advertising to the users of these clubs. In this way, Nike is able to reach a broad range of consumers and consumers who will buy. Even though others are likely to buy the products, Nike pays off specific emphatic targeting to the sportsman more than any group of individuals though it also targets the youth who've embraced the hiphop culture (Mercer David, 1996, pg 171).
Nike lays lots of strategies to focus on their immediate consumers; sports athletes and other sportsmen. The targeting strategies include among others the sponsorship of products by professional athletic clubs, celebrity sports athletes and school athletic teams. This strategy is specifically successful due to its ability to reach a large amount of athletes. In case the athletic team administrator prescribes a specific type of record shoes created by Nike, the trainees have no option apart from to buy them. The teams can as well choose the trail shoes in heavy and supply those to the associates.
The second strategy that Nike applies is the developing of product vacation spot. It does this by associating success with the merchandise. For example, whenever a star athlete sponsors a specific brand of shoes, the brand will be associated with success. This emotional effect is reinforced with advertisements that affirm this position.
Finally, Nike targets the consumers who will probably develop product intimacy; those who care and attention more about the tool and quality of the merchandise than the purchase price. In this manner, the pricing is not afflicted too much in a bid to accommodate a huge amount of consumers. However, price in addition has been considered Nikes marketing strategies as will be seen later in this paper (Frank, 2004, p. 173)
As mentioned in the foregoing section, Nike focuses on the consumers who embrace product intimacy and thus caution less about the merchandise. This has allows Nike to create relatively higher prices than its opponents. This is a strategy that calls for higher pricing items in order to push the perceived product value. It has been founded that consumers who look at a product to be of high quality will probably pay the high price more often and consistently. Once consumers develop product intimacy, they come to connect their person with the product and can pay whatever price quoted on the product provided it has the Nike logo onto it.
Another very important thing to notice is the actual fact that Nike uses the vertical integration pricing strategy where they take ownership of the individuals at channel levels that differ and they also engage in multifarious channel level procedures both in a bet to control costs and so influence costing function (Goldman S, 2000, pp154)
Distribution strategies embraced by an organization can either provide them with an edge in market or make sure they are lag behind the winners on the market. The better the product circulation is the more sales and so more profits. The delivery of the right product and at the right time to the buyer not only results electricity but also contributes to high amount of consumer satisfaction and loyalty. Nike distributes its products on level basis. The high priced premium products receive to certain marketers while leaving the low listed to be sold at highly discounted prices at mega retail stores such as Wal-Mart. Whereas Reebok embraced a restricted syndication strategy Nike ventured more into a global3 market capitalization (Jeannet J, 2000, pp 44).
Promotional and Communication Strategies
Apart from Nike reselling quality products that have lead to a higher amount of customer loyalty, the promotional strategies that the business employs are simply just superb. Nike has contracted a number of professional and celebrity athletes that have managed to get a considerable attention to their products. Some of the sportsmen authorized by Nike include soccer celebrities such as Ronaldinho, Ronaldo and Roberto Carlos, Basketballers such as Jermaine O'Neal and Lebron James2, triathlete Lance Armstrong and golfing superstar Tiger Woods. This has created a relatively high degree of Nike products' understanding. Besides the putting your signature on of movie star sportsmen to promote their products, Nike in addition has employed a great deal of advertising through the mass media. Nike utilizes a selective- demand advertisement focused on the high priced shoes used for traditional sports (Goldman S, 2000, pp154).
Nike has continued to be and continues to stay at the top of production and distribution of sports equipment and equipment. However, it should be noted that competitive pressure cannot allow Nike to 'sleeping at the top'. The recent Reebok- Adidas merger poses a great challenge to devise new marketing ways of continue leading or recede to oblivion. The next recommendations are advised in a situation where marketing management is proficient. Included in these are:
Increased market share through a fresh product development, experienced pricing strategies, advert and other reasonable promotional activities.
Restructure market dominance by driving a car away rivals mainly through brutal promotional strategy combined by costs function that can make the marketplace quite unattractive for the opponents.
Increased communal responsibility to strengthen the image of the company
Diversification of market through factoring the Asians and Black Us citizens in their product advertising besides performing a research to establish the tastes of the groups.
Venture into new circulation programs especially in international markets
Different rates strategy in order to open up a fresh market segments.
All the above mentioned show a reliable marketing management can hoist organizations top become market market leaders and making the marketplace market leaders maintain their competitive advantage on the market through adherence to marketing ethics, marketing ideas and well-planned and produced marketing strategies.
By: Sarah hopkins
Article Directory website: http://www. articledashboard. com
Nike is a champion brand builder. Its advertising slogans-"Bo Is aware, " "Just Do It, " "THERE IS ABSOLUTELY NO Finish Line"-have transferred beyond advertising into popular expression. Its athletic shoes and clothing have become a bit of Americana. Its brand is really as well-known throughout the world as IBM and Coke.
So it could come as a surprise that Nike, the consummate marketing consultancy, came to understand the value of marketing past due in its life: after it hit the $1 billion income mark. After greater than a decade of meteoric expansion, Nike misjudged the aerobics market, outgrew its capacity to manage, and made a disastrous move into casual shoes. All those problems forced the business into an interval of strong self-examination. Eventually, says creator, chairman, and CEO Phil Knight, the business realized that the way frontward was to develop its focus from the look and manufacture of the product, where Nike possessed always excelled, to the consumer and the brand.
Nike's roots get back to a corporation called Blue Ribbon Sports, which Knight, a past runner at the University or college of Oregon, and Bill Bowerman, Knight's past track coach, created in 1962. Blue Ribbon Sports started out distributing running shoes for a Japanese company, then shifted to creating its shoes and outsourcing them from Asia. Blue Ribbon Sports's performance-oriented product inventions and mastery of low-cost production translated into shoes runners wanted to wear and may manage. Knight and Bowerman's keep tabs on connections got the shoes onto your toes of real athletes. And then sprinting emerged as a fresh countrywide pastime.
By 1978, the year Blue Ribbon Sports activities changed its corporate name to Nike, Jon Anderson possessed gained the Boston Marathon using Nike shoes, Jimmy Conners got triumphed in Wimbledon and the U. S. Start wearing Nike shoes, Henry Rono had set four monitor and field documents in Nikes, and customers of the Boston Celtics and LA Lakers basketball teams were using them. Sales and profits were doubling every year.
Then in the middle-1980s, Nike lost its footing, and the company was forced to make a refined but important move. Instead of adding the merchandise on center level, it put the consumer in the spotlight and the brand under a microscope-in short, it learned to be marketing focused. Since then, Nike has resumed its domination of the athletic shoe industry. It codes 29% of the marketplace, and sales for fiscal 1991 topped $3 billion.
Here Phil Knight points out how Nike uncovered the importance of marketing and what difference that breakthrough has made. This interview was conducted at Nike, Inc. 's Beaverton, Oregon offices by HBR associate editor Geraldine E. Willigan.
HBR: Nike transformed the athletic footwear industry with technological innovations, but today many people know the company by its flashy ads and sports celebrities. Is Nike a technology company or a marketing company?
Phil Knight: I'd answer that question very in a different way today than I'd have a decade ago. For years, we considered ourselves as a production-oriented company, interpretation we put all our focus on designing and developing the product. However now we recognize that the most important thing we do is market the merchandise. We've come around to expressing that Nike is a marketing-oriented company, and the merchandise is our most significant marketing tool. Why is that marketing knits the whole organization together. The design elements and efficient characteristics of the product itself are just part of the overall marketing process.
We used to feel that everything started in the laboratory. Now we realize that everything spins off the consumer. Even though technology continues to be important, the buyer must lead innovation. We have to innovate for a particular reason, which reason comes from the market. In any other case, we'll end up making museum pieces.
Our success. In the early times, anybody with a glue container and a pair of scissors could easily get into the boot business, therefore the way to remain ahead was through product innovation. We been great at it. Invoice Bowerman, my previous track coach at the School of Oregon and cofounder of the business that became Nike, experienced always custom-made off-the-shelf shoes for his joggers. Over the years, he and some other employees developed plenty of great ideas that we incorporated. One of Bowerman's more renowned inventions is the Waffle outsole, which he discovered by pouring rubber into a waffle flat iron. The Waffle Trainer later became the best-selling training sneaker in the United States.
We were also proficient at keeping our processing costs down. The big, established players like Puma and Adidas were still developing in high-wage Europe. But we understood that pay were low in Asia, and we understood the way to get around in that environment, so we funneled all our most appealing professionals there to supervise production.
Not officially. We just tried out to get our shoes on your feet of joggers. And we could actually get a great deal of great ones under contract-people like Steve Prefontaine and Alberto Salazar-because we spent lots of time at track events and had romantic relationships with the runners, but largely because we were doing interesting things with our shoes. Effortlessly, we thought the entire world stopped and were only available in the lab and everything revolved around the merchandise.
When the formulas that received Nike up to $1 billion in sales-being proficient at innovation and development and having the ability to hint great athletes-stopped working and we faced some problems. To begin with, Reebok came out of nowhere to dominate the aerobics market, which we completely miscalculated. We made an aerobics sneaker that was functionally superior to Reebok's, but we missed the styling. Reebok's footwear was luxurious and attractive, while ours was sturdy and clunky. We also chose against using garment leather, as Reebok got done, since it wasn't durable. By the time we developed a leather that was both strong and soft, Reebok had founded a brand, gained an enormous chunk of sales, and gained the momentum to visit right by us.
We were also having management problems in those days because we really hadn't modified to being a major company. And in addition, we made a disastrous move into casual shoes.
Practically the same as what occurred in aerobics, with about the same time. We travelled into informal shoes in the early 1980s whenever we observed that the running shoe business, that was about one-third in our revenues at that time, was slowing. We knew that many of folks were buying our shoes and wearing them to the grocery store and then for walking to and from work. Since we been good at shoes, we thought we're able to be successful with everyday shoes. But we acquired our brains beat out. We came out with an operating boot we thought the world needed, but it was funny looking and the buying consumer didn't want to buy.
By the mid-1980s, the financial indicators were coming through loud and clear. Nike had been profitable throughout the 1970s. Then suddenly in fiscal year 1985, the business was in the red for two quarters. In fiscal 1987, sales fallen by $200 million and income headed south again. We were forced to flame 280 people that year-our second layoff ever before and an extremely painful one because it wasn't just an modification and trimming of extra fat. We lost some very good people that year.
We reasoned it out. The issues forced us to take a hard look at what we should were doing, what was going wrong, what we should were proficient at, and where we wished to go. Whenever we do that, we emerged to see that focusing exclusively on the merchandise was a great way for a brandname to start out, but it just wasn't enough. We had to complete the blanks. We'd to learn to do well everything involved in addressing the consumer, you start with understanding who the consumer is and what the brand represents.
Five years ago, I left my job as Nike's corporate and business architect to design Nike shoes. The transition was easier than you may think. I discovered long ago that a building is not simply functional; this means something to people and evokes an psychological response. It is the same with Nike shoes. A Huarache running shoe or an Air Jordan golf ball footwear is not just a mixture of price and performance. It offers feelings and images associated with it that make people like it better than another thing, even when they can't clarify why. That grey area, the items that no one can really articulate, has to do with the shoe's design.
Inspiration for a design will come from anywhere-from a animation, a poster, the environment. But the design process more often than not involves the runners who use our product. Sometimes an athlete tells me what she or he would like in a sneaker, but often it's a matter of combining the athlete's personality.
Take Bo Jackson. WHILE I was making the first cross-training footwear for Bo, I observed him play athletics, I read about him, I soaked up everything I could about him. Bo reminded me of the cartoon character. Not really a goofy one, but a powerful one. His muscles are big, his face is big-he's bigger than life. If you ask me, he was like Mighty Mouse button. So we designed a shoe called air Trainer that embodied characteristics of Bo Jackson and Mighty Mouse button. Once you see Mighty Mouse, he's moving forward. He's got a slant to him. Therefore the shoe needed to appear to be it is at motion, it needed to be kind of inflated looking and colorful, and its own features had to be exaggerated. That's how we developed the larger-than-life, brightly colored Stableness Outrigger and the similarly shaded, inflated-looking rubber tongue top.
Working with JORDAN is a little different. He has his own ideas about how exactly he wants the footwear to look and perform. Whenever we were designing the Air Jordan 7, for illustration, he said he needed a little more support over the forefoot, and he sought more color. MID-AIR Jordans had been getting more traditional over the years, so what I believe he was sharing with me-without really revealing me-is that he wished to feel a little more youthful and ambitious. Michael is becoming older and contemplative in recent years, but he still takes on very exciting hockey, so the boot had to incorporate those traits as well.
It all arrived together for me in a poster I had formed seen advertising an Afro Pop music series on Country wide Public Radio. The imagery in the poster was very fascinating and strong and somewhat ethnic. I proved Michael the poster, and he thought it elicited the right feeling, so I drew from that. We developed a shoe which used very rich, superior colors however in a jazzy way.
Sometimes I don't have an athlete to utilize. ONCE I was designing our first outdoor cross-training boot, that was a category we were creating, I didn't have any particular players I possibly could study. THEREFORE I kept thinking about the outdoors, and this led to Local Americans, who have everything outdoors-from their tribal rituals to their daily tasks. What performed they wear? Moccasins, which are usually comfortable and pliable. Which led to the thought of a high-tech, high-performance moccasin.
I found a nice old printing by Robert Wesley Amick depicting Native Us citizens in the natural environment, and I colored some high-tech Nike's on the feet so I could visually identify the original creativity in a funny but informative circumstance. We've built a whole type of shoes around that image. The soles are flexible which means you can pad down the path, the leather is skinny and light in weight, the outsole has a minimal account, and the colors are earthy.
Stories about how exactly we attained particular designs may be interesting, but the storytelling also helps us describe the shoes to stores, sales reps, consumers, and other people in the business. You'd be shocked how much information Mighty Mouse button, Afro Pop, and a Indigenous North american in a Traditional western landscape can present.
In the first days, whenever we were just a running shoe company and virtually all our employees were runners, we understood the buyer very well. There is no shoe school, so where does one recruit people for a company that advances and markets running shoes? The running keep tabs on. It made sense, and it did the trick. We and the buyer were one and the same.
When we started making shoes for golf ball, tennis, and soccer, we did fundamentally the same thing we had done in working. We got to know the players near the top of the game and does everything we could to comprehend what they needed, both from a technical and a design perspective. Our technical engineers and designers put in a lot of time talking to the athletes in what they needed both functionally and visually.
It was effective-to a point. But we were absent something. Despite great products and great ad campaigns, sales just remained flat.
We were absent an enormous group. We comprehended our "core consumers, " the runners who were doing at the highest level of the sport. We found them as being at the top of a pyramid, with weekend jocks in the middle of the pyramid, and every person else who used athletic shoes at the bottom. Even though about 60% of the product is bought by people who don't use it for the actual sport, everything we did was targeted at the most notable. We said, if we find the people at the very top, we'll get others because they'll know that the sneaker can perform.
But that was an oversimplification. Sure, it's important to get the top of the pyramid, but you've also surely got to speak to people completely down. Simply take something simple like the colour of the boot. We used to state we don't caution what the color is. If a high player like Michael Jordan liked some type of yellowish and orange jobbie, that's that which you made-even if no person else really desired yellow and orange. Among our great auto racing shoes, the Sock Racer, failed for exactly that reason: we managed to get bright bumble-bee yellow, and it turned every person off.
Whether you're talking about the primary consumer or the individual on the road, the rule is the same: you have to come up with what the buyer wants, and you need a vehicle to comprehend it. To understand the rest of the pyramid, we do a lot of work at the grass-roots level. We go to amateur sports activities events and spend time at gyms and rugby courts talking to people.
We ensure that the product is the same functionally whether it's for Michael Jordan or Joe North american Public. We don't just say JORDAN will wear it so therefore Joe American Consumer is going to wear it. We have people who reveal what colors will be set for 1993, for instance, and we include them.
Beyond that, we do some fairly typical types of general market trends, but tons of it-spending amount of time in stores and viewing what happens over the counter, getting studies from dealers, doing focus groupings, tracking responses to our advertisements. We just sort of factor everything information into the computer between the ears and come up with conclusions.
Harvard Business Review: http://hbr. org/1992/07/high-performance-marketing-an-interview-with-nikes-phil-knight/ar/1