Nike Takes Digital Data and Social Media Marketing Seriously

Nike a powerhouse in Digital Big Data and Social Media Marketing 

Nike is one of the global marketing powerhouses that has been moving to take digital and social media marketing very seriously. Having established Digital Sport, a new division the sports giant launched in 2010 the global sports company, aiming to go further on developing new devices and technologies that allow sports users to track their data: personal statistics in any sport activity in which they participate. This efforts are part of a global complete marketing approach that comprehends the power of tech, big data and social media marketing various 360 degrees channels.

So far the Digital Sport division best-known product is the Nike+ running sensor, the blockbuster performance-tracking tool developed with Apple (AAPL). And some 5 million runners now log on to Nike (NKE) to check their performance. The company Digital Sport also released its first major follow-up product, a wristband that tracks energy output called the FuelBand.

Nike's new digital hook the Nike+ logo the new Nike FuelBand and the Nike+ SportWatch GPS

Nike’s new digital hook the Nike+ logo the new Nike FuelBand and the Nike+ SportWatch GPS

Nike is full aware of the scope of digital, personal data, and social media and the recent moves are on the direction of establishing new solutions for users and sports people worlwide conscious of the importance os social analytics and personal tracking data systems.

The venture division Digital Sport is part of a global strategy that comprehends the needs of digital strategy and business intelligence. This division of Nike is not just about creating must-have sports gadgets but a part of a global effort top be part of the moves of customers and sports people around the world. Getting close to sports people moves, and special its consumers’ data NIke holds exceptional promise for one of the world’s greatest sports companies and marketers to go forth in feeding the best answers to their needs and opportunities to engage with them and get feedback from products.

This bold moves means Nike can follow closer their users, customers, build an online community for them, and forge a tighter relationship and long term engagement. This is Nike bold move to understand that data, big data and social media are now full part of the business cycle and the only way to move forward.

This move it’s part of a strong bigger, broader effort to shift the bulk of Nike’s marketing strategy into the digital and social media realm, and it is a step that marks the biggest change in the company’s headquarters Beaverton since the creation of just do it, or even since a graphic design student at Portland State University put pen to paper and created the Nike famous Swoosh.

The global sports brand Nike has taken social media marketing in-house

Following this move the global sports brand Nike has taken also social media marketing in-house in a bid to gain a deeper understanding and relation with its fans. The company’s internal social media teams will now manage all online communities from its Portland, Oregon headquarters after previously outsourcing the responsibility to agencies such as AKQA, Wieden & Kennedy, Mindshare and R/GA.

It follows a review by Nike’s senior director for social media and community Musa Tariq who pushed for the brand to assume full control of its social media offering following his arrival from Burberry last October. Musa Tariq was Burberry’s social-media marketing guru, that left the brand to take up the similar role at the global sports mogul Nike.

Nike social media plan reuse a shoe

Nike social media plan reuse a shoe

MarketingWeek reports that Nike has taken management of its social media marketing in-house and away from its digital advertising agencies in an effort to get closer to its fans. The company’s internal social media teams will now manage all online communities from its Portland, Oregon headquarters after previously outsourcing the responsibility to agencies such as AKQA, Wieden & Kennedy, Mindshare and R/GA.

The move, which is thought to taken place in November, is part of a broader effort from the business to gain a deeper understanding as to how its consumers interact with the brand on its owned social networks such as Nike Plus as well as on third party platforms.

Both Tesco and Reebok other massive global marketing powerhouse brands are thought to be pursuing similar strategies in the hope of boosting brand loyalty through online chatter and real time social media engagement.

The legendary brand blew up its single-slogan approach and drafted a new playbook for the digital era

Nike’s spending is shifting and going digital and in the new social media marketing differentiated landscape. As the company drops costs on TV and print advertising, (in the U.S. has dropped by 40% in just three years), the company total marketing budget has steadily climbed upward to hit a record $2.4 billion last year. Brian Collins says on the subject:

“There’s barely any media advertising these days for Nike,” says , a brand consultant and longtime Madison Avenue creative executive.

Nike stop the mainstream reliance on top-down campaigns celebrating a single hit, whether a star like Tiger Woods, a signature shoe like the Air Force 1, or big spending commercials from the late ’80s that sold the entire brand in one fell Swoosh. Nike knows it has to be fast adapting and answering to their audience and needs. Their markting spend is flexible and diverse and the bellow graphic shows:

Nike Advertising Expenditure and Revenue Kantar Media source

Nike Advertising Expenditure and Revenue Kantar Media source

Nike has come up with a long tail marketing approach that uses direct marketing, internet paid search and social media and above all looks and understands that their place is a whole new long repertoire of interactive elements that let Nike communicate directly with its community of consumers, whether it’s a performance-tracking wristband, a 30-story billboard in Johannesburg that posts fan headlines from Twitter, or a major commercial shot by an Oscar-nominated director that makes its debut not on primetime television but on Facebook.

Nike is going everywhere where its customer is. Nike has move forward and understood marketing a long tail effort of relation with their customers and answering their needs with related relavant products and campaigns, changing faster and dynamic. Jon Bond, co-founder of Kirshenbaum Bond Senecal & Partners who now runs a social media agency says:

“Clearly they (Nike) think they can get by without big television campaigns anymore.”

Nike has been lapping other blue-chip marketers in this domain big time. The Redmond company spent nearly $800 million on ‘nontraditional’ advertising in 2010, according to Advertising Age estimates, a greater percentage of its U.S. advertising budget than any other top 100 U.S. advertiser and in 2011 and 2012 continued the trend.

And that is indeed the way! Social media and digital are out there opening new directions to companies that know how to use and adapt towards it. Nike is one of them!

To finish an interesting video about the efforts of emotional story branding and Nike brand efforts:
Nike Brand Strategy: Emotional Branding using the Story of Heroism