These endorsements are a vital part of the brand's success that cannot be discounted. Michael Jordan, Lebron James, and Tiger Woods are just a few of the names that helped catapult Nike to buyers' collective consciousness. "Global Revenue of Adidas, Nike and Puma from 2006 to 2022 (in Billion Euros). Overview and forecasts on trending topics, Industry and market insights and forecasts, Key figures and rankings about companies and products, Consumer and brand insights and preferences in various industries, Detailed information about political and social topics, All key figures about countries and regions, Market forecast and expert KPIs for 600+ segments in 150+ countries, Insights on consumer attitudes and behavior worldwide, Business information on 70m+ public and private companies, Detailed information for 35,000+ online stores and marketplaces. Nike has frequently fallen under fire for working conditions in its overseas factories. It has been vulnerable to lawsuits. Revenue figures for Nike were converted from USD to Euros at an exchange rate of 1 USD - 0.913 Euros (April 19, 2023). As with any company, corporate missteps or issues with employee treatment have led to lawsuits. oing this well requires you to understand exactly what your audiences goals or pain points are and what they want to know. RELATED:Here's How Tennis Legend Rafael Nadal Spends His $200 Million Fortune, A post shared by Kobe Bryant (@kobebryant). Michael Jordan and Nike. In order to remain successful and seen as environmentally-friendly, it must take full advantage of the growing pool and research into earth-conscious practices for manufacturing and development. It has a number of celebrity endorsements. The stunning visual is shown on Nikes website as well, I mean, just look at the picture above. Nikes share of the performance basketball market, including the Jordan Brand, was 86% last year, according to market research firm NPD. Some experts predict that Nikes revenue will be able to grow by almost 25% through the fiscal year 2021 and reach $45.4 billion. Nike has emphasized on direct-to-customer channel which is its e-commerce website. 3. Its base product line touches most parts of the market. Particularly troublesome are some allegations of sexual harassment and unfair treatment of women in the workplace. It has a number of celebrity endorsements. This means that Jordan brand incorporates more value . The Jordan Brand had revenue of $3.1 billion in the fiscal year ending May 2019only 8% of company revenuebut likely represents a larger chunk of the market value because its 10% growth rate is faster than the companys overall. The Marketing Science Institute published a study noting the Nike golf ball division increased profits by $103 million from 2000 to 2010, due to the companys endorsement deal with Tiger Woods. 1. Nike had signed a $90 million deal with James when he was out of high school; however, the basketball star now has a lifetime deal worth $1 billion. This helps increase their profit margins, as well as the development of a trade and distribution empire sure to keep every retailer well-stocked to meet increasing demand. Not only that, but you need to create the best content on your industrys topic, compared to anywhere on the Web. This market is potential and the consumers are supposed to be serious about their purchase decision. 5. celebrity endorsements are not a new practice, the use of athletes as endorsers is still relatively . (Statista). NIKE is continually being targeted my human rights committees but despite this they are able to maintain a high profile due to its celebrity endorsements from celebrities such as Michael Jordan and Tiger Woods. Access to this and all other statistics on 80,000 topics from, Show sources information Taylor signed a deal worth $26 million with Coca-Cola for promoting Diet Coke. This statistic shows Nike's projected endorsement contracts commitments from 2021 to 2026 . Luka Doncic, to promote the Jordan Brand. Use Ask Statista Research Service. Currently, you are using a shared account. Power your extensions and other third parties with customized features. Nike's endorsements with LeBron James (NBA), Kevin Durant (NBA) and Cristiano Ronaldo (Football) are valued at $30 million each. These lucrative partnerships have enabled sports stars to earn more money outside of their game. Nike has utilized affiliate marketing to gain a broad spectrum of sports, fashion, lifestyle topics solely on Youtube. Michael Jordan's net worth explained - including Air Jordans and Nike deal worth 1bnhttps://t.co/IoJZQ4jv37 pic.twitter.com/zxR5qg4pk3. (Forbes). Nikewomen is a particular channel for women on Instagram. Michael Jordan & Hanes News on all your favorite celebs, reality TV, and movies. Quick hiring process. References Aaker, D . According to Yahoo Finance, in 2011, Neymar signed a ten-year contract with Nike, which earned him $10 million per year. Accessed May 01, 2023. https://www.statista.com/statistics/961728/nike-endorsement-contracts-value/, Nike. 50. A post shared by Maria Sharapova (@mariasharapova). Get special offers on the latest news from Mageplaza. Marketing budgets continue to skyrocket. (Statista). The Nike branding that most of us are familiar with was not the only thing that built an empire, at least not in the beginning. 1 overall draft pick straight out of high school cemented Lebron as the biggest endorsement opportunity since Tiger Woods. Nike is one of the most recognized brands around the globe. Its actually a genius collection of marketing strategies for every aspect of the brand. It could continue to develop unique products. Nike generated more than $23 billion in revenue from footwear. "Brand value of the sports company Nike worldwide from 2016 to 2022 (in million U.S. Profit from the additional features of your individual account. Seventy-seven percent of NBA players wore Nike or Jordan shoes during the 2019-20 season, according to. Whether its your blog, social media channels, emails, product pages, video platforms, or prints, every piece of content you create is to address the customers needs. If theres just one thing you need to remember from this post, it is the idea of creating marketing content that spreads instead of just for selling. Customers of Nike need to be aware of their strength and grow the ambition for reaching stronger, faster, and higher. With these follow-up emails, customers can shop and check out Nikes events at ease, while being sure that they can find all the necessary information in their inboxes. If you go to these two pages, you will see perfectly corresponding voices as well as actions that Nike speaks and does. In the other hand, . NKE StartupTalky - Know Startup Stakeholders and Learn How to's The channel holds women empowerment content that inspires the healthy and sporty lifestyle. (July 20, 2021). Derek Jeter is one of the highest-paid baseball athletes, with a $200 million net worth. 138 million followers on Instagram and 8.3 million followers on Twitter (two most-followed active channels). According to a survey by Adobe in 2018, gen Z and millennials, who were born between 1980 and early 2010s, most likely use social media as their connecting channels with digital advertisements. Converse was the brand of choice for NBA stars Magic Johnson, Larry Bird and Julius Erving. Much of Nikes manufacturing happens outside of the United States (where the majority of its sales occur), which means it is vulnerable to international trade laws and sanctions. Show publisher information The iconic swoosh and ubiquitous tagline Just do it are powerful status symbols in many social and industry circles, and the brand has come to represent the pinnacle of sportswear and footwear for decades. ", Nike, Nike's endorsement contracts commitments worldwide from 2021 to 2026 (in million U.S. dollars) Statista, https://www.statista.com/statistics/961728/nike-endorsement-contracts-value/ (last visited May 01, 2023), Nike's endorsement contracts commitments worldwide from 2021 to 2026 (in million U.S. dollars) [Graph], Nike, July 20, 2021. Nike lost 5% of its global revenue between 2019 and 2020. When top athletes are seen wearing Nike clothing, their fans want to wear it too. (Statista). That is where Nikes swoosh took inspiration - a wing. Nike generated $6.7 million in Chinese revenue. Nike It can sell directly to customers more. A shoe must be three things, It must be light, comfortable and its got to go the distance. - Bill Bowerman, co-founder of Nike. , Apr 4, 2022. During his 20-year career with the New York Yankees, Jeter was the King of New York. 6. How much does Nike spend a year on endorsements? Use Ask Statista Research Service. 7. Tiger Woods. The best of the best: the portal for top lists & rankings: Strategy and business building for the data-driven economy: Show sources information Nike has always put an emphasis on the imagery of their marketing strategy. What are the first things customers think of when then they hear about your brand? Register in seconds and access exclusive features. It is very dependent on the U.S. market. Nike understood the reason and meaning of storytelling very early and has constantly followed this strategy to cultivate customer loyalty and grow brand awareness. Then you can access your favorite statistics via the star in the header. Actual payments under some contracts may also be lower as these contracts include provisions for reduced payments if athletic performance declines in future periods. Nike revolutionized sports marketing with Michael Jordan as the brand's muse. For example, Nike recently celebrated the anniversary of their famous Just Do It tagline with an advertisement featuring a voiceover by movie star Bradley Cooper and cameos from a variety of famous athletes, which gained more than four million views during the first week it was online. A legendary football player to come out of Brazil, Neymar Jr. needs no introduction. dollars)." On October 15, Nike created a revolutionary new basketball shoe, a voice read as Jordan dribbled a basketball. Some consumers may not be aware of the full line of products, or may be turned away by higher costs when compared to other comparable products. Jennifer Aniston. Shoppers become a member by signing up through the Nike website or any of their apps; the Nike app, Nike Training Club, Nike Run Club, and SNKRS. 4. SEMRush shows that over 60M users land on Nikes website monthly, spending almost 7 minutes on the site and browsing almost 5 pages. (Fashionista). Employ the power of social media marketing. Another feature that improves the eCommerce shopping experience of the website is the product filter. Being a track and field coach, he easily wrote the story for his own products and connected with audiences. 1. including Nike who was forking over $10 million. Nike has a clear-cut identity as a sportswear brand, which has been building for a long time with multifaceted marketing strategies. Is that, however, everything that Nikes doing? Nike's market cap of $136 billion is three times the size of Adidas. "Nike's first signature athlete was welterweight wrestler, Wayne Wells. Are you interested in testing our business solutions? Word of mouth and social media can be low-cost alternatives, but that will not be enough in emerging markets or to promote new product launches. ", Statista, Global revenue of Adidas, Nike and Puma from 2006 to 2022 (in billion euros) Statista, https://www.statista.com/statistics/269599/net-sales-of-adidas-and-puma-worldwide/ (last visited May 01, 2023), Global revenue of Adidas, Nike and Puma from 2006 to 2022 (in billion euros) [Graph], Statista, March 9, 2023. Nike paid the fine and seized the moment with an iconic 1984 commercial. Adidas was 50% larger by revenue. A post shared by Cristiano Ronaldo (@cristiano). You can apply this feature to your eCommerce website as well with an app and keep visitors on your site for longer. If this all seems like a lot of information for you, thats because it is. For eCommerce, a big part of the marketing strategy is the buying experience. How has Nike been guiding its customers through the online shopping experiences smoothly? (January 31, 2022). Jennifer Aniston rose to fame as a cast member of "Friends" more than 20 years ago, but she's still one of the highest-grossing actresses in the country. Sponsorships and celebrity endorsements can make or break a brand, and Nike invests . Business Solutions including all features. Adidas employed over 60,000 people worldwide in 2021 and, just as with Nike, footwear is the most important category for Adidas. Nike is one of the worlds most recognizable brands, known for its quality products and powerful air of affluence and social status. It is a highly recognizable brand. Fun fact: The brand name Nike is not a senseless sequence of letters. Economic uncertainty can cause major issues. The golfer earns more than $50 million a year from his endorsement deal. (Statista). Show publisher information Seventy-seven percent of NBA players wore Nike or Jordan shoes during the 2019-20 season, according to shoe database site Baller Shoes DB. Labor conditions are problematic. With that information, Nike has constantly improved its rewards program, fine-tuning it into one of the best loyalty programs in eCommerce. Professional athletes have arguably the best career in the world as their impact goes beyond the field of sports. Please do not hesitate to contact me. [Online]. This is the Top 5 Nike Athlete Endorsements. In 2017, he also launched the Nike Mercurial Vapor XI Neymar FG cleats. Converse remains an immensely popular brand, and further opportunities for acquisition may present themselves over time. Nike benefits from a well-established brand image that is beloved by most of the market. (Statista). Customers can then scan the app in Nike stores and at Nike events to earn rewards while they attend. Apart from Nike, Odell's most prominent sponsor is United Sports Brands. Growing into new markets and expanding their product lines could shore up avenues for future growth, but failure to beat out the competition and address crucial concerns over the brand could cause major issues down the road. NIKE MARKETING STRATEGY: WHY NIKE IS A MARKETING LEADER? It has been plagued by sexual harassment allegations. Learn more about how Statista can support your business. Instead of marketing your products competitive advantages or features, think about what goal your customers are trying to achieve. Copyright 2023 by Mageplaza. But hardly anyone understands how mighty Nike is compared to other global sports brands out there, like Adidas, for example. He had a close relationship with Nike and encouraged Jordan to hear the companys pitch. The Nike loyalty program is a club where Nike customers or fans can receive exclusive benefits. Nikes stock value grew 183% from 2017 to 2021. While everyone pays handsomely to own a pair of Jordans or customized gear, Nike also increases its popularity through the swoosh on the players' jerseys. When members use the apps, their engagement score is reflected in the main Nike rewards app. Nike was all too eager to sign a $25 million a year contract with the star golfer who then represented the brand in their golf gear, as noted by Finances Online. 2023 Leaf Group Ltd. / Leaf Group Media, All Rights Reserved. Currently, you are using a shared account. Jordan wore Converse sneakers at the University of North Carolina, and his first choice was to join Adidas after the Bulls drafted him. How to Get Your Car Sponsored Professionally. To use individual functions (e.g., mark statistics as favourites, set The Jordan Brand had revenue of $3.1 billion in the fiscal year ending May 2019only 8% of company revenue but likely . You need at least a Starter Account to use this feature. For Nike, the segmentation is professional athletes, sportsmen or people who are going to join the sporty or healthy lifestyle. [Online]. The 5 8 Texas native had an accomplished . According to the company's annual report for 2021-22, Nike is the world's largest seller of athletic footwear and apparel. This strategy further implements Nikes branding image into visitors minds, leaving an impression of a sport brand that is unique and youthful. However, behind all of them, there is one element that plays a fundamental role, it is product positioning. Net sales of the Reebok brand worldwide from 2006 to 2022, Sportswear & sporting goods companies by worldwide revenue 2021. From Disabled and $500k in Debt to a Pro Blogger with 5 Million Monthly Visitors, Shoe Dog 3 Minute Summary: 15 Lessons Learned + PDF, Target SWOT Analysis for 2021: 24 Key Strengths and, "From Disabled and $500k in Debt to a Pro Blogger with 5 Million Monthly Visitors. ", Coca-Cola SWOT Analysis Matrix: Opportunities and Weaknesses, BMW SWOT Analysis Matrix: Opportunities and Weaknesses, 100 Best Side Hustles for Teens to Make Money, 10 Proven Psychological Pricing Strategies with Examples, 100 Office Etiquette Rules You Need to Know. Manufacturing costs typically stay low. Nikes annual revenue still grows steadily year after year. I was viewing a pair of running shoes for women, so the recommended products also have the same style and similar colors to the one I clicked on. The ideal entry-level account for individual users. His net worth in 2020 is estimated at $25 million. He earned an estimated $130 million from Nike last year, four times as much as LeBron James, who has the biggest shoe deal among active NBA players. Nike has struggled to maintain an environmentally-conscious brand image. Nikes share of the performance basketball market, including the Jordan Brand, was 86% last year, according to market research firm NPD. If youre not solving problems, answering questions, being entertaining, or helping your audience be better at what they love, then you should rethink your approach. You need a Statista Account for unlimited access. (Statista). Doing some research first definitely helps. The brand has made strategic endorsement deals that have evolved a small company into a billion-dollar enterprise over the years. As the image above suggests, consumers can sort products by many aspects, such as size, brand, type, suitable weather, icon, material, technology, height, width, and more. Lets see what sort of marketing strategy Nike used to achieve and maintain their status of a markets dominant player. Customer signing up for a membership is only a part of Nikes customer experience. The firsts qualities of Nike that people can think of are being lightweight, comfortable, durable, and supportive. The emails serve as automated responses to many touch points during the customer journey, such as signup, reviews, successful purchases, delivery, newsletters, holiday events, and more. Any ordinary woman who is interested in self-care might possibly feel involved in the community and also, attracted to the brand who shares the message. Furthermore, it isnt much of a complex strategy at all. Even your grandpa probably does. Are you interested in testing our business solutions? As soon as this statistic is updated, you will immediately be notified via e-mail. 6. Kylie Jenner: Puma, $1 Million. If youre unsure about your customers real needs, consider research methods from simple keyword research to surveys and get a better idea of what kind of content you should create so theyll find your brand valuable. 2. When talking about marketing strategy, the ecommerce shopping experience is a must. It can expand into emerging markets. "Nike's Endorsement Contracts Commitments Worldwide from 2021 to 2026 (in Million U.S. Nike has all but cornered the market on footwear, but the opportunity remains for it to set the standard in other areas. The athlete has endorsement deals with brands such as Babolat, Kia, Santander, and Emporio Armani. The amount represents approximate amounts of base compensation and minimum guaranteed royalty fees Nike is obligated to pay athlete, public figure, sport team and league endorsers of their products. (New York Times). MJs brand shows no signs of slowing down. According to Lottoland, Woods made $600,000 playing golf from June 2014 to 2015, while he raked in $50 million in endorsement deals. 1 Michael Jordan & Nike - $145 Million (This Year) And topping the list go highest-paid celebrity endorsement deals of all time is, of course, Michael Jordan and Nike. Tiger Woods: $20 million/year. On October 18, the NBA threw them out of the game. Nike now has a virtual monopoly in the once-competitive basketball sneaker business. Lebron James is commonly considered one of the greatest athletes to ever grace the NBA and professional sport with his presence. Statista. In 2021, Nike's brand value was 22.8 billion. Get full access to all features within our Business Solutions. Available: https://www.statista.com/statistics/632210/nike-brand-value/, Brand value of the sports company Nike worldwide from 2016 to 2022, Number of employees of the top sportswear companies 2021, Sportswear import value in the EU from 2014-2019, Sportswear export value in the EU from 2014-2019, Export value of sportswear in the EU by leading country 2019, Importers of fashion sportswear in the EU 2019, Import value of fashion sportswear to France 2019, by product, Distribution of import value of fashion sportswear to France 2019, by product, Average growth rate of import value of sportswear to France 2014-2019, by product, Average import unit price of fashion sportswear to France 2019, by product, Imports and exports value of sports footwear in France 2015-2020, Imports and exports volume of sports footwear in France 2015-2020, Change in revenue of sporting goods retailers in France 2019-2020, Sales value change of lingerie and swimwear in France 2019-2020, by item type, Breakdown of sports and sportswear purchases in France 2020, by channel, Market share of sports and sportswear retailers in France 2020, Production volume of sports shoes in France 2010-2020, Production volume of men's anoraks, ski jackets, windcheaters in France 2017-2019, Yoga clothing market size in France 2019, by type of item, Yoga clothing market breakdown in France 2019, by type of item, Leading brands of sports shoes/trainers in France 2020, by number of users, Most visited sportswear stores for sports purchases in France 2018, Annual revenue of selected athletic wear companies in France 2015-2020, Leading Dcathlon sports clothing in France 2014-2021, by number of users, Women's swimwear usage in France 2014-2020, by number of purchased items, Men's swimwear usage in France 2014-2020, by number of purchased items, Sportswear clothes most frequently used by the French in their daily life 2018, Annual Consumer Price Index for women's sportswear in France 2010-2021, Annual Consumer Price Index for men's sportswear in France 2010-2021, Annual Consumer Price Index for children's sportswear in France 2015-2021, Sports apparel and equipment annual spending of French sportspeople 2019, by gender, Annual spending on sportswear by French sportspeople 2019, by age group, Annual spending on sportswear by French sportspeople 2019, by level of income, Annual spending on sports apparel and equipment by people in France 2019, by type, Annual spending on sports apparel and equipment by French people 2019, by channel, Share of French yoga practitioners' spending on sportswear 2019, by type of clothing, Leading 'Shoes (Except Sports And Indoor)' brands among women in FR 2021, by number of users, Sports clothing items usage in France 2014-2020, by amount spent, Global brand value comparison of Nike and adidas from 2010 to 2022, Global brand value of H&M from 2016 to 2022, Global brand value of Zara from 2016 to 2022, Global brand value of Uniqlo from 2016 to 2022, Global brand value comparison of H&M and Zara from 2010 to 2022, Global brand value of Chanel from 2017 to 2022, Global brand value of Dior from 2016 to 2022, Global brand value of Herms from 2010 to 2021, Global brand value of Cartier from 2016 to 2022, Global brand value of Louis Vuitton from 2016 to 2022, Global brand value of Gucci from 2016 to 2022, Global brand value of Gillette from 2016 to 2022, Global brand value of Nivea from 2016 to 2022, Global brand value of Dove from 2016 to 2022, Brand value of the sports company Nike worldwide from 2016 to 2022 (in million U.S. dollars), Find your information in our database containing over 20,000 reports, America's favorite clothing and footwear brands.
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