Investigate if recent Nike NBA/NFL celebrity endorsements affect

the purchase decisions of Nike’s customers in order to determine if sales are

impacted. https://www.forbes.com/sites/robertpassikoff/2013/12/12/if-the-
nike-brand-dont-fit-lebron-cannot-commit-
2/#177f639177ff https://hypebeast.com/2017/8/kyrie-irving-nike-basketball-
tokyo-interview

Sam Morales
"Dream Crazy"- (Colin Kaepernick) More than
27 million views- released on Sept. 5.
• https://www.youtube.com/watch?v=Fq2CvmgoO7I
"I Believe"- (LeBron James) More than 6
million views- released on Oct. 20.
• https://www.youtube.com/watch?v=XMggxvn-6QU
"OBJ Don't Stop"- (Odell Beckham Jr.) More
than 3 million views- released on Nov. 18.
• https://www.youtube.com/watch?v=pqyjKK371vs
Kyrie Irving #11- More than 3 million views-
released on Nov. 22.
• https://www.youtube.com/watch?v=QOzZDdXetUA
Kevin Durant - Rise. Grind. Shine. Again- More
than 2 million views-released on Jun. 8.
• https://www.youtube.com/watch?v=s-ua5tDFaJM
Who is Nike's target audience?
• 15-40 years old. Stats reveal 18- to 34-year-olds make up 30 percent of the American population while
representing 43 percent of Nike’s customers.
• Numbers show that Nike’s customers are 7 percent less likely to be Republicans than the general population
and 3 percent more likely to be Democrats.
• African-Americans account for 13 percent of the population, but 18 percent of Nike’s market share.
• Hispanics, who are 16 percent of the population but 19 percent of Nike buyers.
• Asians, who are 3 percent of the population but 5 percent of Nike customers.
• Caucasians in the United States make up about 75 percent of the population, it represents only 67 percent of
Nike’s base.
• **don’t add up to 100 percent because the marketing numbers accounted for those who identify as more
than one race.**
• Nike seeks to build customer loyalty by focusing on how Nike makes you feel- behavioral.
Methodology
Survey- 15 questions
consisting of multiple
choice/open ended
questions. Questions of
demographics, knowledge of
players and knowledge of
products. Examples of
questions are "what are the
top two things you consider
when buying a Nike product?
or "please select all the
players you're familiar with."
Methodology-
Survey
• The survey will take an average of 5-10 minutes to
complete and would be posted on Nike's website,
Nike's social media and survey websites.
• The purpose of the survey is to gain an
understanding on some common attitudes,
beliefs, and values for what people think about the
NFL/NBA celebrities representating Nike and if that
has any impact on a consumer's purchasing
behavior.
• The survey would be open to the public for 5 days
and we would hope to gain at least 3,500
responses.
Methodology-
Survey

• If anyone answers that they are under the

age of 15 and answers that they have not
purchased a Nike product within the past
year, they will be automatically kicked out.
• The survey would provide segmentation of
what participants took the survey and allow
for better questions to be asked in the
followup methodology, a focus group.
 • Will take place in:
• Portland, Oregon (blue) pop. of 647,805and Beaverton,
Oregon pop. of 97,514 (Nike's headquarters).
• Dallas, Texas (red) pop. of 1.34 million and San Marcos,
Texas pop. of 63,071 .
Methodology- • San Francisco, California (blue) pop. of 880,000
and Orange, California pop. of 140,560.
Focus Group • Salt Lake City, Utah(red) pop. of 200,544
• Reasoning is to have a combination of red/blue states
and rural/urban cities.
 • Sample size for a 95% confidence level and 6% margin of
error is to have an ideal sample size of 267.
• There would be about 38 participants in each of the
7 states
• We would divide the 38 participants into 3 groups based
on age, (15-19), (20-30), (31-40). Each group would have
between 11-12 participants. The study will be conducted
Methodology- nearby the cities.

Focus Group • In order for the participant in the focus group to qualify,
they need to have bought 2 or more Nike products since
Nov. 2017 and be familiar with NFL and NBA players. We
would try to make the groups diverse with ethnicities
and generally have more male than female since the
endorsed products appeal to men.
 Methodology-Focus Group

To recruit participants for the focus The length of the focus group will be Some questions would include an ice Participants would be reimbursed with a
group, they would have needed to about 30-45 minutes to complete. breaker, explain why you buy Nike $40 gift card to Walmart, Amazon or
completed the previous survey products, and to show and discuss recent Nike.
successfully. Awareness of the focus NBA/NFL Nike campaigns.
group would be posted locally and use
data from Nike to find frequent
customers.
Signature shoe stats
2017
1.LeBron James- Nike
2.Kyrie Irving- Nike
3.Kevin Durant- Nike
4.Stephen Curry- Under Armour
5.Michael Jordan- Nike
 • Shares of Nike closed at an all-time high following Kaepernick's ad
• Kaepernick ad- The number of items sold out went from 703 for the 10 days prior
to the ad, to 1131 for the 10 days after the ad went public. Rise of sold out items
increased by 61%.
• 31% increase in online sales a week after the Kaepernick ad aired.
• Nike gained around 170,000 followers on Instagram in the wake of the campaign.

• Nike is predicated to earn $400 million each year off Lebron James' shoes. Nike
pays LeBron James $60 million annually.
• Nike gets more for its money with Kyrie Irving than Lebron James due to an ROI
of three times more.

Brand equity
Nike's LeBron 16 "I Promise Shoe"
The Nike Air Force 1 Utility Cleat (Odell Beckham Jr. Special Edition) will be worn by OBJ during
pregame of the New York Giants’ November 25 away game versus Philadelphia.
Nike PG (Paul George) 2.5 x PlayStation- releasing December 1st.
Nike Zoom KD11 PE "Seattle Blends"
Nike "Little Big Cats" Toddler
Pack- a lion for LeBron, a tiger for
Durant and a cheetah for Kyrie.
 • the individual expressiveness
of the '70s, the bold
creativity of the '80s, and the
childhood nostalgia of the
'90s – and infuses them into
three special colorways.

KYRIE- 4 decades pack

Nike Dangeruss Wilson 1
Interesting facts about Nike revenue and
endorsements
• LeBron James gets paid $30 million annually from Nike
• Kevin Durant gets paid $8.5 million annually from Nike
• Nike's revenue for FY 2017- $34.4 billion
• Nike's revenue for FY 2018- $36.4 billion
LeBron James, Paul George and Kevin Durant have
showed support towards Colin Kaepernick.
Works Cited
• Demographic findings
• Bowman, Jeremy. “Who Is Nike's Favorite Customer?” The Motley Fool, The Motley Fool, 24 May 2016,
www.fool.com/investing/2016/05/24/who-is-nikes-favorite-customer.aspx.
• George-Parkin, H. (2018, September 06). Nike Was Mentioned 5 Million Times in 3 Days on Social Media & More Crazy Stats Since
the Colin Kaepernick Ad. Retrieved from https://footwearnews.com/2018/business/athletic-outdoor/nike-colin-kaepernick-ad-
stats-twitter-1202671097/
• Smith, T. (2018, September 06). Nike's Colin Kaepernick Ad Makes Sense After Looking At Customer Demographics. Retrieved from
https://www.inquisitr.com/5059602/nikes-colin-kaepernick-ad-makes-sense-after-looking-at-customer-demographics/

• Nike Revenue/Celebrity Endorsement Findings

• Badenhausen, K. (2018, June 05). LeBron James Is NBA's Top Shoe Salesman, Keeping Nike Firmly In Lead. Retrieved from
https://www.forbes.com/sites/kurtbadenhausen/2018/04/30/nikes-lebron-james-is-the-nbas-best-selling-shoe-
salesman/#377a1da25313
• Lipper Alpha Insight Research. (2018, September 20). Nike Ad Spurs 61% Rise In Sold-Out Items. Retrieved from
https://seekingalpha.com/article/4207263-nike-ad-spurs-61-percent-rise-sold-items

• Smith, C. (2018, October 27). 30 Amazing NIKE Facts and Statistics. Retrieved from
https://expandedramblings.com/index.php/nike-statistics/