Close
 

The upside of alienation: Nike's power

  • Opinion
  • September 13, 2018
  • Graham Medcalf
The upside of alienation: Nike's power

The backlash to Nike’s new Colin Kaepernick campaign on social media would make a casual observer believe that Nike’s marketing team has made a fundamental mistake in going political, particularly at the height of the most divisive cultural war in U.S. history since the civil war of the 1860’s.

For those who have been living under a rock, Kaepernick, decided not to stand (took a knee) for the national anthem to protest racial injustice, in 2016.

Nike’s new campaign makes him a hero: “Believe in something, even if it means sacrificing everything.”

“Nike shares fall as backlash erupts over new ad campaign featuring Colin Kaepernick,” scream the headlines.

So, it must be a poor decision. Well no, actually. It seems to me to be a very astute understanding of Nike’s target market.

Anyone with a basic understanding of the demographic distribution and voting patterns in the United States will realise that the disposable income required to be a Nike advocate and multiple item purchaser, lies in the East and West coast states of America.

The rust belt voters who put Trump into office don’t have that much money. The loss of market share from the few who burn their Nike sneakers in the mid-west are more than made up for by the affluent left-leaning prospects for Nike footwear and apparel on the coast.

According to a report by Edison Trends, an advertising research firm, following a brief decline, Nike’s online sales grew to 31 percent in the United States’ Labour Day weekend – an improvement on the 17 percent increase seen in the same time period last year.

And closer to home, Zavy’s tracking of the reception to the new campaign shows Nike has been mentioned 323 times in comments on New Zealand media Facebook pages. Eleven percent of the mentions have been positive, while 14 percent have been negative and 76 percent neutral.

Nike has followed the money and decided to ‘Just do it’. Once the share market understands this the shares will rebound as market share soars. If I was Adidas, Puma or Under Armour in America, I’d be nervous right now.

The lesson for marketers? Don’t be scared to alienate the few to delight the many. Believe in something, even if it means sacrificing – not necessarily everything – but at least something.

​ ​

This is a community discussion forum. Comment is free but please respect our rules:

  1. Don’t be abusive or use sweary type words
  2. Don’t break the law: libel, slander and defamatory comments are forbidden
  3. Don’t resort to name-calling, mean-spiritedness, or slagging off
  4. Don’t pretend to be someone else.

If we find you doing these things, your comments will be edited without recourse and you may be asked to go away and reconsider your actions.
We respect the right to free speech and anonymous comments. Don’t abuse the privilege.

 

Mergers: Making it work

  • News
  • August 17, 2019
  • Jai Breitnauer
Mergers: Making it work

We took an in-depth look at recent retail mergers. Jai Breitnauer compiled all the advice from the feature into this handy guide on how to get one right.

Read more
 
 

Mergers: What about the staff?

  • News
  • August 16, 2019
  • Jai Breitnauer
Mergers: What about the staff?

As part of a recent look at retail mergers, Jai Breitnauer considers their effect on staff.

Read more
 
 

Walk Ethical: The new way to commit to providing a better workplace

  • Sponsored content
  • August 15, 2019
  • Sponsored content
Walk Ethical: The new way to commit to providing a better workplace

Colmar Brunton recently reported that over 90 percent of Kiwi consumers would stop buying goods and services from businesses found to be unethical. Walk Ethical is the new accreditation available for business to show they’re dedicated to ethical standards in the workplace.

Read more
 

Social scoreboard

Zavy and The Register have worked together to create a scoreboard that compares how the top 25 traditional media advertising spenders in New Zealand have performed on social media over the past 30 days, updated in real time.

 
topics
Concept to closet
Business coverage of New Zealand Fashion Week.
Regional rollercoaster
What does retail look like in 2019 for ...
Town centres
A positive retail environment over the past 12 ...
Amazon Arrival
Keeping up with all things Amazon as it ...
The Retail Yearbook 2017
As we battle our way through the busiest ...
The future is bright
We spoke with four retailers in their twenties ...
Hospitality enhancing retail
Some think food and integrated hospitality offerings will ...
Spotlight on signage
At first glance, the humble in-store sign might ...
Red Awards 2016
The Red Awards for retail interior design celebrate ...
Auckland Unitary Plan
Auckland is changing. The Unitary Plan will decide ...
How to open a store
Sarah Dunn considers what it would take to ...
All things to all people
Kiwi retailers share their omnichannel strategies.
Rising stars
Retail's top young achievers.
Delivering on your promises
The sale isn't over until your item is ...
Retail in heartland New Zealand
Retailers keep the regions pumping, but how strong ...
Sisterhood
Women in retail help one another. We spoke ...
The changing face of retail
Shifting demographics are creating big changes in New ...
The retail yearbook
With the help of experts in the retail ...
Retail rogues
We put the spotlight on staff training. Jai ...
Here come the giants
Topshop has arrived in Auckland’s CBD, David Jones ...
From retail to e-tail
Ecommerce has become part of the way mainstream ...
Loyalty in the digital age
How are retailers maintaining loyalty? Sarah Dunn, Elly ...
Window shopping: A spotlight on social media
Sarah Dunn and Elly Strang look at how ...
The Innovators | In partnership with Spark Business
Technology is rapidly changing the retail industry as ...
 
News

Are you on The Retail Hotlist 2019?

Join us in celebrating the vitality and innovation of New Zealand’s retail sector by voting for The Retail Hotlist. The NZ Retail team and Gem, ...

 
 

A Kiwi working abroad at Amazon and Microsoft talks Amazon Go

  • Technology
  • August 15, 2019
  • Idealog
A Kiwi working abroad at Amazon and Microsoft talks Amazon Go

Businesses across the board are now laser focused on how to create the best possible customer experience, but how do companies big and small ensure they’re placing people first? At the CX Conference 2019, Microsoft global industry marketing director of retail and consumer goods Catherine Brands shared her unique New Zealand insights from working at Amazon and Microsoft, including what it was like to be one of the founding team members to launch Amazon Go.

Read more
 

Inside Allbirds' first New Zealand store

  • Design
  • August 15, 2019
  • Lara Wyatt
Inside Allbirds' first New Zealand store

Founded by New Zealander Tim Brown, sustainable sneaker company Allbirds went ahead and conquered the US market before opening on home territory. The first Kiwi Allbirds store launched in Auckland's Britomart today. The Register's sister publication Good was there to check it out.

Read more
 
Next page
Results for
Topics
Jobs
About us.

The Register provides essential industry news and intelligence, updated daily. And the digital newsletter delivers the latest news to your inbox twice a week — for free!

©2009–2015 Tangible Media. All rights reserved.
Use of this site constitutes acceptance of our Privacy policy.

Advertise
The Register

editor@theregister.co.nz

Content marketing/advertising? Email anita.hayhoe@icg.co.nz or call 022 639 3004

View Media Kit

}