Nike Case Study
1. Initially Nike decided to segment 13 years old soccer players in their Marketing strategy. How did segmentation strategy change when Nike became a more important company in the football arena and in preparation for 2010 world cup? Why do you think they changed the target market?
2. Using the HBS module note on Market segmentation, Target market selection and positioning, can you please suggest how you would write Nike’s Positioning statement in Football?
3. In the two-way dimensional model of consumer decision making (Involvement/Information processing) Which type of consumer decision making involves the purchase of a pair of football shoes?
4. In the 5 stage traditional model of consumer decision making, can you please describe in your own words the stages to purchase a new pair of Mercurial Vaporsuperfly II Elite?
5. Heuristics are mental shortcuts that help consumers simplify their decision making tasks. Which kind of Heuristic Processing would you associate to the use of football celebrities (eg: Ronaldinho’s youtube video “touch of Gold”) in Nike’s commercials?
6. Let’s suppose that a Nike commercial is overexposed and repeated many, many times, up to the point consumers become very familiar with it. What do you think it might happen to the consumers over exposed to it?
7. An important Sensory threshold is the just noticeable difference. Let’s assume that the just noticeable difference for football shoes price is estimated to be approx.10%. ifa pair of Mercurial costs 100 US$ and we want to increase the their price, what is the maximum price increase we could apply before the price change becomes noticed by a consumer?
8. Using confort, support and style as the 3 attributes in the Theory of reasoned action attitude formation, please prepare 2 tables, one for Nike and one for Adidas to determine your overall attitude versus these 2 brands