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How have Adidas used the instrument Branding, and which roll did it play in the competition between Adidas and Nike?
Author: Karolina Tich
Brand Equity
Brand Awareness
Endorsement focus strategy National advertising Nike: Development of NikeTown stores Adidas: branded grassroot sponsorship
Perceived Quality
Brand Associations
Nike: Sports Life style Attitude Adidas: Heritage Tradition Quality
Brand Loyalty
Nike: Sales 1986: $ 1 billion Sales 2002: $ 9,9 billion Adidas: Sales 1992: $ 1.7 billion Sales 1998: $ 4.8 billion
Three most important tools which have enhanced brand awareness on Nike
Endorsement focus strategy
Participation of famous athletes with the company Michael Jordan, Tiger Woods, Andre Agassi They are heroes Succesful strategy during 80s and 90s Costs e.g. Jordans average salary about 20 million USD per year
Nike Town
13 Nike Towns in the world High costs, cannot expect opening of a NT in the Czech Rep. soon
National advertising
Innovative way, big extent of advertising, uses all communication mix TV, internet, campaigns like Just do it Costs approximate costs of campaign like Just do it about 100 million USD
Natinal advertising
Hard to express efficiency directly Has helped to understand Nike mission, wearing Nike is more a live philosophy than just a fashion
Nike Town
Has brought to the branding and marketing world something absolutly new and original, created strong brand identification
How have Adidas used the instrument Branding, and which roll did it play in the competition between Adidas and Nike?
media advertising, new subbrands, sponsorship branded grassroot sponsorship
Adidas used the same theoretical systems as Nike to develop their brand building.
Conclusion
In this project were used two theoretical models Kapferer Prism model for branding identity and model for brand equity Models were applied on companies Nike and Adidas and showed and explained main aspects of brand building of Nike and Adidas Revealed strong and weak sides of these companies in brand building This theoretical approach can be used in comparison of other companies due to its theoretical background