Where Did Nike Win?

Recently, Nike Soccer has released third short films on the football market. In the animated movie about 5 minutes, called the ultimate duel, the soccer game was manipulated by scientists in the clone star, who made a "never fail" team. But the team lost their appreciation and lost by the audience after losing the real players' adventure, fighting spirit and human error.

In the animation, some of the world's top players are organized to complete a task: save the football from the evil behind the scenes manipulators. They are going to make an ultimate confrontation with the "clone stars" who will not make mistakes. The result is that the players will make mistakes.

This animated short film of Nike has spread rapidly in the circle of friends. The football stars' constant attack of "dare not take risks is a real adventure" has aroused strong resonance. The self motivating theme has been overshadowed by Adidas's personality. It only shows some promotional videos of stars' cool action. This is clearly the successful continuation of Nike's brand's personal struggle and inspirational theme.

In fact, for the digital transformation of Nike in the Internet era, we can regard this animated short film as a metaphor - Nike is carrying out an "ultimate confrontation" with the old and new rivals in the Internet age. For now, Nike's record is good.

According to the latest data, Nike's revenue increased by 8.1% in the 12 months ending February 2014.

One, where did Nike win?

Nike made two technological innovations last year: New shoes Surface technology Flyknit and sports digital product Nike+FuelBand (a smart bracelet) were named "the 50 most powerful companies in the world" in 2013 by Fast Company. Millward Brown has just announced the world's top 100 brand value list in 2014, Nike surpassed Zara house. Clothes & Accessories Top of the list - specifically Nike ($24 billion 579 million), Zara (23 billion 140 million), H&M (15 billion 500 million), UNIQLO (7 billion 300 million), Adidas (7 billion 100 million). Nike's brand value is more than two times that of its direct competitor Adidas.

In terms of traditional technical indicators, Nike is also keeping the lead. Aastamuse, Japan, is a company that collects official data on patent information in Japan and abroad, and analyzes the strength of intellectual property rights of enterprises. In June 10, 2014, the company published the column "Brazil World Cup, the world's top players' soccer shoes", and from the comprehensive strength of intellectual property, Nike ranked first. That is to say, Nike has many advantages over Adidas and other competitors.

Using digital strategy, Nike is developing more ambitious sales targets: Nike predicted last year that the company's revenue will reach $36 billion in the fiscal year ended May 2017, with an average annual compound growth rate of 9.2%.

Why did Nike win so many competitors? In fact, we could not regard Nike as a traditional sport Brand Company long ago. You can regard it as a fashion of selling sports -- from concept to lifestyle to the high-tech service company of supporting products.

The whole process of change can be seen as an "ultimate confrontation" of Nike's automatic launch in the Internet era. Its main rivals are those of Internet start-ups rather than Adidas's old rivals. For Nike, a giant company with a market value of more than $about 60000000000, these emerging Internet Co are still very small, but Nike has already felt their potential threats, flexible and quick paced. For example, RunKeeper and Endomondo, inspired by Nike+ inspired sports applications, soon got tens of millions of dollars of venture capital to converge on their tens of millions of users. Endomondo not only launched portable devices with Fitbit and other companies, but also created a brand of their sportswear and directly grabbed business with Nike.

Technological superiority is, of course, an important factor in winning, but vision is more important than technology. Nike, a company specializing in sports equipment for half a century, is reinventing the sports industry with the idea of Internet and user experience, turning itself into a service company that revolves around sports users. clothes And shoes are just one of the products it offers.

Two, Nike's Internet layout has gone through the process from hardware to software to community + big data.

Nike's Internet transformation can be traced back to 8 years ago in 2006. In May of that year, Nike and Apple Corp jointly launched the Nike+iPod campaign series in New York. Nike+iPod components add sensors to the shoe and install iPod to the receiver, enabling users to see their running speed and distance in real time. This is the first intelligent hardware launched by Nike, which sells for only 19 US dollars. It is a chip product that is larger than the adult thumb cap. Users can collect data collected from nikeplus.com on top of it and share their sports experience with friends and get some suggestions.

Since then, Nike has released App for Nike+ GPS and Nike+ Training, as well as a device called Nike+ SportWatch GPS and Nike+ Basketball for specialized fields. Their functions are similar to the original Nike+ chips: tracking, recording and sharing.

People who do not know Nike digital strategy will think that Nike has recently abandoned Nike+ FuelBand, which is shrinking digital services. In fact, Nike has given this part to its old partner, apple, and has concentrated on running software and the user community behind her huge hobby movement.

Nike+Running's running App is quite popular among sports people, and more importantly, it is free of charge, unlike the $more than 100 Fuelband. In the Chinese market alone, downloads of Nike+Running applications last year exceeded 3 million times. Globally, Nike+ has at least 20 million users. In other words, Nike can better and more efficiently access its core users through free App.

The more imaginative part of Nike's Internet strategy comes from big data. These Nike+ series collect sports and physical data of sports enthusiasts, and at the other end can connect all kinds of health service providers. For example, Apple has released a data integration application called "HealthKit", which is combined with Nike's three party health application. Users can gather information from different health devices to enhance medical services.

ManagerShare+ view 1: from smart chip Nike+iPod, fuel wristband Nike+FuelBand to various mobile applications Nike+ Basketball, Nike+ Training, Nike+ Running and Nike+ Move, Nike's Internet strategy has gone through the process from intelligent hardware to software application, from single platform to multi platform, from independent research to open platform.

ManagerShare+ view 2: behind the digital strategy of Nike Internet era, it is actually an extension of its brand strategy. In terms of user access, it extends the process of Nike from elite users to public users, from professional sportswamers to amateur sports enthusiasts and even pseudo lovers.

ManagerShare+ view 3: Nike's Internet strategy has more imagination than big data. These Nike+ series collect sports and physical data of sports enthusiasts, and at the other end can connect all kinds of health service providers.

Three. Strategic support and organizational support for Nike's Internet layout.

Considering that apple CEO Tim Cook joined the Nike board nine years ago, Nike's digital tour is definitely carefully planned.

Nike Nike Digital Sports was founded in 2010. The whole team has 240 people, the most famous product is Nike+, and Nike's R & D, marketing and other departments belong to the same level, which is in a very high position in Nike's global organization framework. Before that, Nike+'s project operation was mainly completed by the digital marketing team running under the Nike marketing department. The clear message conveyed by such a structural adjustment is that sports digitalization has officially become the strategic direction of Nike's development.

The strategy needs supporting organizations and talents. Inside Nike, there is a department similar to Google laboratory, Innovation Kitchen, which is responsible for the development and test of Nike's internal frontiers, while the role of Ben Shaffer in Nike is similar to that of Jonathan EEV in apple, and the fuel wristband Nike+ FuelBand is developed by this department. In April of this year, Ben Shaffer, head of the lab, was dug away by apple to study Apple smart watch Iwatch. He may be one of the best talents in the field of wearable devices all over the world. From this, we can see what level of technology Nike has achieved in intelligent hardware.

Nike's bigger change lies in the openness of mobile app development: it does not plan to fight alone. In April 11, 2014, Nike announced the establishment of the Fuel Lab laboratory in San Francisco, opening up the NikeFuel platform to third party developers to find more innovative applications. Nike recently launched the Nike+Accelerator project with the second largest incubator in the US, TechStars, to encourage entrepreneurial teams to develop more innovative applications using the Nike+ platform.

Nike's development of intelligent hardware and software is actually building a channel beyond traditional marketing channels, which is directly connected to every user or potential user. The result is that in the past 3 years, Nike's advertising budget in traditional media has dropped by 40% (its marketing budget has reached 2 billion 400 million US dollars in 2011); in addition, Nike's non traditional marketing budget in 2010 has reached US $800 million, and the proportion of total marketing budget is ranked first among American advertisers.

Because of the exchange and sharing experience among users on these internet platforms, they constantly bring in new customers, create and disseminate brand loyalty, and also drive sales performance. In the case of Beijing market, about 40% of Nike+ users bought Nike brand running shoes and will continue to buy other equipment, according to a shopkeeper in Nike Beijing. Although there were no financial details about Nike+, analysts said that the number of Nike+ members increased by 55% in 2011, while its running business revenue increased by 30% to 2 billion 800 million dollars, and Nike+ contributed.

ManagerShare+ point of view 4, and Nike's target consumer group is precisely the group that is extremely sensitive to fashion trends. If we do not establish a new connection with the characteristics of the times with their pulse beating, Nike will be left behind and abandoned. So Nike launched this digital revolution early, so as to share its fate with its target audience.

ManagerShare+ viewpoint 5, Nike Internet The fundamental reason for transformation is that it knows the mobile Internet era, everyone is media, everyone is terminal. Nike has also completed the transformation of marketing digitalization through Internet transformation.