Nike taps into the emotions of the global audience by addressing themselves as an athletic-wear company that exists with the belief that everyone in this world is an athlete. Check out the marketing mix of Nestle and understand their 4ps of the marketing mix. They do this as it enhances the possibilities for what can be made possible for the classroom. Being present in footwear, sports equipment, clothing and many others Nike uses differentiated targeting strategy.Produc… Nike participates in the apparel market, specifically sports apparel. The company takes its name from Nike (Greek Νίκη, pronounced the Greek goddess of victory. A main market objective will be to establish the isotonic drink as the most credible sports drink in the market. ← Positioning of McDonald’s | STP Analysis of McDonald’s, BCG Matrix of Pepsi | BCG Matrix analysis of Pepsi →. Save my name, email, and website in this browser for the next time I comment. Nike is the master of segmentation, their segmenting market typically target’s athletes, both women and men from the age 15 to 35. All socioeconomic classes are targeted as part of the segmentation of Nike’s demographics. Segmentation is central to data-enabled marketing and each segment has its own points in community of interest interaction. Behavioral segmentation involves the division of occasions, benefits, user status, usage rate, and loyalty status. Lifestyles, social class, personanlity are factors that the businesses must base on when do psychographic segmentation. Psychographic segmentation is composed of an individual, social class, lifestyle, and personality. Specifically, Nike aims to active individuals who take pleasure in sports, gym regularly, are athletes and passionate with sports, which tend to be part of their life. Marketing campaigns can then be designed and implemented to target these specific... StudyMode - Premium and Free Essays, Term Papers & Book Notes. In this article, we will talk about the Positioning of Nike and how it segments and targets the market and then position itself differently for each market segment. 3  Pages. Smartbook, Student, Tablet PC 1223  Words | lifestyle, personality, activities and interests. Nike's segmenting market typically target's athletes, both women and male generally from the ages 15 to 35. Depending on the specific characteristics of the product, these subsets may be divided by criteria such as age and gender, or other distinctions, such as location or income. Evaluation, Target, Consumer protection 636  Words | There are things such as the Oculus Rift which is a virtual reality headset... to pursue, and how they position their products to make them more attractive to consumers. Market segmentation is the process of dividing up mass markets into different groups of similar needs and wants. Playing and talking about sports shapes these individuals personalities and lifestyles. Psychographics are lifestyle and personality descriptors. Market segmentation of the Nike company Demographic Segmentation Demography segmentation they include age, race, family income, and education level, among others.Besides, it was observed that the majority of the respondents consist of professional from various fields like engineers, software professionals, working executive etc. IPhone, Apple Store, Steve Jobs 1012  Words | Marketing segmentation is more and more vital for business in the modern time. Nike, an Amercian multinational corporation, established in the year 1964, is engaged in the design, development, manufacturing, and worldwide marketing and sales of footwear, apparel, equipment, accessories, and services. Understand the Marketing Mix of BMW and what makes it different from its competitors. Sporty, Elite sports, Everyday wearers, Fashion sports, and; Budget conscious consumers. It provides general information about the innovative psychographic target group segmentation – the Semiometrie – as well as results of an empirical research. Market segmentation allows businesses to satisfy the diversity in a resource-effective manner and is held up as the panacea of modern marketing (Dibb, 2001). What is Marketing Mix of Apple and how it’s helping in creating worlds most valuable brand? The chapter starts of by detailing the five levels of the Segmentation, Targeting, and Positioning Process. The pricing of Nike products is set in such a way that it is easily accessible to these customer segments. Psychographic segmentation divides markets according to peoples’ lifestyle, their social or personality characteristics. Premium To use this variable effectively Nike must target individuals who enjoy sports. Demographic segmentation in Nike is based on occupation, age and a gender; Psychographic segmentation focus on interests, lifestyle and values; Behavioral segmentation focus at brand loyalty, the intended use of the products and services and the beneficiary of the products and services (Strasser, 2003). what is customer persona and how to build it. ), demographic (age, gender, family size, religion) psychographic (personality, life style, attitude etc.) Nike utilizes psychographic segmentation to target customers based on . Premium They are: geographic (region, county, climate etc. Markets can be divided depending on a number of wide –ranging criteria. 5  Pages. Read more about what is customer persona and how to build it. market segmentation The company gets its name from Nike, the Greek goddess of victory. These are two words which are synonymous with the brand Nike. segmentation, targeting, positioning, differentiation and branding  7  Pages. of the world’s best known and popular brands. Premium Finally, different approaches are going to be demonstrated. Nike also uses psychographic segmentation to target individuals with specific lifestyles and personalities. There is a relationship between lifestyle and consumer behavior, so people with similar lifestyles buy similar products. The theoretical part enables the reader a full understanding of this method. Your email address will not be published. 5  Pages. Demographic segmentation is to divide the market into group based on demographic variables like sex and age. The following commercial is a very popular one and has millions of views. Educational Tablet Research Deonnah Carolus For many organizations today to be successful they must know what consumers needs are, so as to satisfy them successfully and profitably to avoid wastages of resources. This essay, therefore, tend to introduce the concept of market segmentation first, then and the merits and difficulties will be illustrated. Companies need to select the market segments that they want to focus on and put in their future business strategy. Objectives students from all over the world as well as educational bodies descend upon the International Consumer Electronics Show(CES) every year to find out what the brand new technology is about to hit the streets. 6  Pages. Nike targets middle and high segment customers of all age groups and does not set a bias for any group. Psychographic, Target market, Marketing 683  Words | Segmentation 4. No matter who you are, whether you are a fat American man who can barely walk or a 65-year-old man trying to do any sort of physical activity or a middle age urban woman who plans to switch to a healthier lifestyle and get back in shape, the brand connects with every possible target group on a psychological manner. "Psychographic Segmentation Of Nike" Essays and Research Papers . So to speak to their target audience Demographic segmentation is a factor used by Nike to target individuals according to their age, life-cycle stage, gender, occupation, and generation. consumers who have common needs (and/or common desires) as well as common applications for the relevant goods and services. Adidas mainly focus on demographic and psychographic segmentation. Psychographic, No Logo, Adidas 1706  Words | FOM Group Work Nike positions itself to be an inspirational and innovative brand for its target audience in the world. Nike markets its products under its own brand, as well as Nike Golf, Nike Pro, Nike+, Air Jordan, Nike Blazers, Air Force 1, Nike Dunk, Air Max, Foamposite, Nike Skateboarding, and subsidiaries including Brand Jordan, Hurley International and Converse. Let’s take a look at athletic shoes, a category where Nike has more than a quarter of the market share. Air Jordan, Cole Haan, Athletic shoe 1521  Words | This will not just happen though, this can only happen through a lot of promotion and appeal. SYED ZAID ALI SGSITS Indore 3. In order to clearly understand what kind of people are the real target of Nike, we should look upon their commercial examples and here is their first one. The chapter starts of by detailing the five levels of the, consumers needs are, so as to satisfy them successfully and profitably to avoid wastages of resources. Creating strong consumer awareness is very important in gaining market share as it is a completely new product from Nike. Markets can be divided depending on a number of wide –ranging criteria. A subset of lifestyle, activities … Who is the segment of p… Market segmentation is a marketing strategy that involves dividing a broad target market into subsets of consumers who have common needs (and/or common desires) as well as common applications for the relevant goods and services. Premium Premium The marketer faces a number of important decisions: Below are three factors that are essential for evaluating a potential market segment. With behavioral segmentation, companies seek loyalty. Conclusion In conclusion, market segmentation, targeting and positioning, which are the three important factors in Adidas Company’s marketing. For these organizations to be successful they have to undertake segmentation, so as to know their target market and also to know the available competitors in the market producing the same goods. market segmentation strategy in which the total market is divided on the basis of psychology Psychographic, Market segmentation, Sport 1331  Words | Apart from its name, few other brands under which Nike markets its products are : Nike Golf, Nike Pro, Nike+, Air Jordan, Nike Blazers, Air Force 1, Nike Dunk, Air Max, Foamposite, Nike Skateboarding, Nike CR7, and subsidiaries including Brand Jordan, Hurley International, and Converse. He did not surrender, he does not find any excuses and he wants to change his life and find his greatness. Copyright © 2018 Heart of Codes — Escapade WordPress theme by. Jeff Jensen writing in Advertising Age (1996) suggests that Nike's success is no accident. What criteria should be used to evaluate markets? Under Armour’s segmentation by gender demographic as well as behavioral segmentation by occasion has been successful. Segmentation according to demography is based on consumer- demographic variables such as age, income, family size, socio-economic status, etc. Do we need an introduction? Depending on the specific characteristics of the product, these subsets may be divided by criteria such as age and gender, or other distinctions, such as location or income. Nike uses psychographic segmentation variables to make its offerings more attractive to the target customers. Marketing segmentation Nike will have a number of different marketing objectives for their isotonic sports drink, Nike Go. Psychographic segmentation refers to sorting customers based on their lifestyle. Marketing strategy, Psychographic, Demographics 1579  Words | Premium Nike believed in sharing the experience of athleticism, the runner’s high, the lightness of being and this was something many people could relate to, regardless of age, gender or athletic abilities. Psychographic segmentation, when done right, is a powerful lever for refining your messaging and creating the right products. After segmentation, the company needs to decide on the Targeting strategy. The company takes its name from Nike (Greek Νίκη, pronounced the Greek goddess of victory. Required fields are marked *. On finalizing the market segments that the company wants to target, the marketer’s next step is to design a marketing program that will resonate with the target market or markets. Psychographic Segmentation The brand is fiercely defended by its owners whom truly believe that Nike is not a fashion brand but a shoes for sport lifestyle consumer that mean mostly people who active in sport such as football player or bask… Toothpaste, Colgate-Palmolive, Potassium nitrate 769  Words | For these organizations to be successful they have to undertake, who have similar needs to be satisfied, alike wants and behavior, or might want some products and services. Positioning is the final step in the S-T-P planning approach; Segmentation→ Targeting → Positioning; a core framework for developing marketing plans and setting objectives. Premium Psychographic Nike utilizes psychographic segmentation to target customers based on lifestyle, personality, activities and interests. Premium Segmentation Demographic Variables: •Age : 15-40, tweens and teens •Gender •Occupation •Generation 5. Nike targets households and teens that have a particular desire to look athletic and fashionable at the same time. Above mentioned are the few potential market segments that Nike chooses to target for driving their business strategy, sales and marketing activities. Created by Bill Bowerman and Phil Knight. 3  Pages. Nike designs and manufactures sporting goods and apparel, ranging from golf balls to running shoes. 6  Pages. Psychographic segmentation. Understand the Marketing Mix of Google and its 4ps of Marketing Mix. Which market segments are the most valuable. based on demographic, psychographic and behavioural factors. Specifically, Nike aims to active . 5  Pages. Psychographic segmentation for Nike is that they provide their customer variety of products that suits their interest and meets their standards. man and Phil Knight,] and officially became Nike, Inc. on May 30, 1971. Premium A third base of segmentation is psychographics. Developing customers personas is one step that marketers follow while creating profiles for customers in their target market segments. http://shoesobsessions.wordpress.com/2008/08/18/nike-technologies/ The ultimate level of segmentation leads to ‘segments of one’, customised marketing or one-to-one marketingCustomerization combines operationally driven mass customization with customized marketing in a way that empowers consumers to design the product and service offering of their choice. When done wrong, it’s a bunch of hard to decipher information. With the mindset that everyone is an athlete, Nike targets to cater to all the people around the world, belonging to any age group who wants to live athletics’ lifestyle. Browse and purchase history, social media postings and data related to demographic, psychographic and geographic makeup all fuel … How many markets to enter (one, two or more)? 3  Pages. In this type of market Nike must target individuals who enjoy playing sports. Learn more about the 4ps of Marketing Mix. 2. The first two steps are a part of Segmentation and they are developing the strategies or objectives and segmentation methods. Besides, it was observed that the majority of the respondents consist of professional from various fields like engineers, software professionals, working executive etc. It uses separate campaign or strategy to cap the market potential of the different segments.Targeting is the important aspect of the marketing strategy, especially when a company is in different businesses. Nike is the world’s largest supplier of athletic shoes and apparel and a major manufacturer of sports equipment. They are: geographic (region, county, climate etc. In-depth knowledge of the key market segment’s like their buying behavior, their likes, spending patterns, purchase drivers, media habits, etc are required before devising the marketing strategy or programs. Whether it is playing, watching or simply talking about sports, these activities shape personalities and lifestyles. These five example market segments are shown in the following diagram: Positioning of Adidas Understanding the Segmentation, Targetting and Positioning of Adidas. Your email address will not be published. Market segmentation of the Nike company Demographic Segmentation Demography segmentation they include age, race, family income, and education level, among others. This will not just happen though, this can only happen through a lot of promotion and appeal. In this example of market segmentation for sport shoes, five consumer segments have been identified, namely:. 3  Pages. Nike uses different types of segmentation to break a bigger market into small customer groups. Nike has their mission statement “To bring inspiration and innovation to every athlete in the world” and based on their mission statement they are trying their best to meet the needs of their customers. Nike has successfully moved their brand to be ubiquitous in nature, which has something for everyone and has slowly shifted from a product focus to attitude focus. Consumer Behavior – 3310 In the video, we see that an overweight guy is running towards the camera. Ever thought what happens when a brand touches the emotions and aspirations of its customers and build on it to position itself. The practical part offers a deep insight into the needs and wishes of consumers of Adidas, NIKE and Puma. Lifestyles: Activities and interests The success of the campaign moved Under Armour from the number three athletic apparel brand to number two behind Nike, surpassing Adidas. Psychographic segmentation for Nike is that they provide their customer variety of products that suits their interest and meets their standards. Nike also uses psychographic segmentation to target individuals with specific lifestyles and personalities. Nike had segmented their customers into four categories which are demographic, geographic psychographic, and behavioral segmentation. Psychographic segmentation divides markets according to peoples’ lifestyle, their social or personality characteristics. Adidas AG (stylized as ɑdidɑs since 1949) is a multinational corporation, founded and headquartered in Herzogenaurach, Germany, that designs and manufactures shoes, clothing, and accessories.It is the largest sportswear manufacturer in Europe, and the second largest in the world, after Nike. Nike is one such example that you will find.  Nike vs. Adidas The most frequent methods of segmenting include demographic variables such as age, sex, race, income, occupation, education, and household status. Premium Created by Bill Bowerman and Phil Knight, Nike has become one of the world’s largest athletic apparel suppliers and today markets it product under its own brand name which includes Nike Pro, Nike Golf, Nike Skateboarding and the infamous Nike Air Jordan. Ever thought what happens when a brand touches the emotions and aspirations of its customers and build on it to position itself. Nike is one such example that you will find. Lifestyle descriptors are often categorized as activities, interests, and opinions. Market segmentation, you should focus on demographic and psychographic segmentation, Adidas can develop brand in 3 different styles, and it can result in get more profit from different style customer. Creating strong consumer awareness is very important in gaining market share as it is a completely new product from. ... Psychographic segmentation. Since the late 1980s, Nike has been using psychographic and sociographic analysis of data to help transform the company from a brand of sneakers to a marquee brand that has become integral to the sports culture it targets in the United States and elsewhere around the world (Jensen, 199, 1). Chapter 8 is entitled Segmentation, Targeting, and Positioning and focuses on how companies divide their markets, how they choose which markets to pursue, and how they position their products to make them more attractive to consumers. Nike's Segmentation Targeting Positioning Marketing Strategy 1. Market segmentation is the process of dividing the market into dissimilar, distinctive groups of people who have similar needs to be satisfied, alike wants and behavior, or might want some products and services. Psychographic Segmentation Of Nike man and Phil Knight,] and officially became Nike, Inc. on May 30, 1971. 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