Section 1: Company History, Products
The company I have identified
is Nike. Nike, founded on 25 January 1964 is an American multinational
corporation that its main focus is on sport footwear and mainly target on teens
and young adults who love doing fitness exercise. Nike always portrayed itself
as a youthful, fast and lively brand through its advertisements and the
prominent slogan “Just Do It!”. I have chosen Nike from all others footwear
companies in the industry as Nike is ranked the top in area such as popularity
in consumer among the rest based on 100 surveyees I have surveyed.
Section 2: Transformation Taken Place
Internet, opens to public access in the year 1999 has catalysed the
transformation of Nike.
Selling of products to the
customers is now mainly done online. Nike has serval official online flagship
stores on different platforms such as Taobao, and most importantly, its own
official website. Physical stores now occupy a much smaller portion in the retail
component. With low-cost online shops on various platforms, a large portion of
expenses such as rental expense, transportation expense and labour costs are
cut down. With the transformation, Nike
is the only one that offers shoe customization service to its consumers in the
market currently. Consumers now can create their own unique and personal style
by choosing this exclusive service provided by Nike and purchase its product
online instantaneously anytime, anywhere with internet connection. However,
consumers might face the risks of losing their personal information such as
credit cards details and online shopping today never grant instant
gratification to the consumers.
Marketing of product is now
mainly through digitalised advertisements on social media platforms, search
engines through internet. Nike has official accounts on social platforms such
as Facebook®, Instagram®, Twitter®. It uses these official accounts and also take
full use of search engine for marketing for displaying advertisements. With
this transformation, Nike is able to target specific groups of consumers.
However, for a large portion of consumers who do not want to receive
advertisements of any kind, are forced to watch these advertisements and Nike
is one of the victimizers.
Section 3: Has Nike coped well with the
Nike is the best example that
has adapted to the transformation, this is inferred from serval visual evidence.
Nike has achieved nearly 100 million of unique visitors to its website in the
past 6 months and it has a total of 100 million of followers on Instagram®,
Facebook® and Twitter® and another 716 thousand of subscribers on YouTube®. Each
of these visitors had spent an average of 4 minutes and 16 seconds on browsing Nike’s
webpages. Videos by Nike on YouTube® has also accumulated an approximate of 125
million of views to date. This reveals the popularity and the number of
potential consumers it has. Nike is also ranked top in the footwear industry
and is having a constant growth in its value of brand since 2000. All this
suggested that Nike has coped well with the transformation due to its efficient
marketing and selling strategies.