Brand Management

Brand Management

Corporate Mission Statement

The mission of Nike is to become an organization that gives surprises to athlete industry. The company has a mission to maintain its market position with quality footwear, equipments and apparel for industries and individual customers. The company makes its product available everywhere. The management has a belief that the success of Nike is driven by its stakeholders.

Competitive Environment

Nike Golf two main competitors are Callaway Golf, Adidas/Taylor Made, and Acushnet Company. Callaway is the number one golf club maker in the world with 2010 revenue of $1,127 million. Adidas recently bought out powerhouse Taylor Made which was the second ranked golf club maker in the industry. Adidas also poses as a major threat with the apparel industry of golf since they are targeting similar customers. The 2010 annual revenue for Adidas/Taylor Made was $812 million. The other top competitor is the Acushnet Company which owns Titlist, Cobra and Footjoy. Titlist is the number one golf balls, and footjoy is the number one golf shoe maker. The 2010 revenue was $480 million. There are many other smaller competitors such as Ben Hogan, Mizuno, Pinnacle, etc. that each has a small piece in the golf industry. Nike was once one of the smaller competitors but has grown at a tremendous rate to be one of the dominant players in the industry (Kornberger, 2011).

The Brand

In 1996, Nike set up a separate unit, Nike Golf. Nike marketing executives were asked to look into the future for the company's next big sponsorship. Everyone was waiting for who Nike would sponsor, following their success with Michael Jordan. They decided to sponsor a young top amateur by the name of Tiger Woods. Tiger had just won the NCAA individual golf championship and became the first golfer to win three consecutive U.S. Amateur titles. Tiger Woods saw that he had a great future ahead of him in the golf world and dropped out of Stanford University and turned pro. At the time Tiger Woods joined Nike, the company was a $120 million business that was primarily based on apparel and footwear sales. Today, Nike golf has become a full line golfing company and with 2008 annual revenue of $720 million. Nike believed the idea to tag on to a promising new athlete was extremely successful with Michael Jordan, and wanted to build a similar image with Tiger Woods and golf. Tiger's first contract with Nike was for $40 million dollars, more than he had ever won playing golf. It was a 5 year contract but by 1997 Tiger proved his worth by winning the Masters. After that Nike had found its image (Chatterjee, 2009).

Reason for the Selection of Brand

The brand of Nike is recognized as the top brand in sports wear. This brand comes up with innovative footwear products and it is promoted as sport wear instead of casual. The brand is also involved in controversies in religious context. The writer chose this brand because of its popularity in the world and its unique ...