Dan Chilton, Dan Grogan, Garrett Hoag, Jeremy Moglen, Erin Wolstenholme

Road Map  Introduce Nike  Market Assessment  SMART Objective  What are new product is  Service Decisions  Sales  Additional Revenue  Financial Analysis  Evaluation and Control

Nike, Inc.  Founded in January 1964  Bill Bowerman  Phil Knight  With a handshake, $500 each, mutual trust, and an order of 300 Tiger running shoes  Started as Blue Ribbon Sports, Nike name and swoosh taken over in 1971

Nike, Inc.  First athlete endorsement: Steve Prefontaine  Total Revenue= $25.3 billion

Organizational View  Mission: To Bring Inspiration And Innovation To Every Athlete In The World” * If You Have A Body, You Are An Athlete  Vision: to help NIKE, Inc. and our consumers thrive in a sustainable economy where people, profit, and planet are in balance. To get there, we’re integrating sustainability principles and practices into everything we do: design; developing sustainable materials; rethinking processes; advocating for change in industry. To measure our progress, we set ambitious long-term targets and report on our performance

Organizational Culture  Nike’s culture wants to engage and inspire creative innovation.  Developing the best employees is the most beneficial asset to the company  Nike’s philosophy is to have mutual trust and respect among everyone in the company

Market Assessment  SWOT  Strengths - New Market, new line  Weakness – competitors, never done product before  Opportunities – New partnerships/more income  Threats – Bad image, lower standard of Nike

Market Assessment  Primary- survey released to random super markets  Secondary- Energy Drinks  Psychographic Segmentation – common lifestyle

Market Assessment  Positioning- Sports affiliated area, professional athlete/professional team willing to back the product.

SMART Objective  To establish the Nike Fire to over 2 million dollars in profit in the first year of manufacturing.

Marketing Mix  Product: Nike Fire Having all of the great ingredients of a sport drink on the market already with an added bonus of an energy boost  Price: $1.99 for 3 pack $9.99 for 5 gallon

Marketing Mix  Limited Distribution Sporting goods stores Nike Outlet Stores  Promotions Commercials Magazine ads; SLAM, ESPN, SI, Runners World, Eastbay Coupons Promo-codes Sampling at Nike outlets Social Media

Marketing Mix  Public Relations Multi-camps Athletes

Sales Management  Push Strategy Incentives for warehouse and retailers Monetary Signed memorabilia  Pull Strategy Promotions

Service Decisions  Nike Fire will be tested with elite athletes University of Oregon Tested in labs Will determine how the product will work  Surveys Conduct consumer surveys Take the feed back to make adjustments to the product

Risk Management  Reputation Prevent law suites ○ Nike Fire will make the initiative to resolve problems before/ while they occur include making a public announcement, whether a press conference or formal address to the problem to inform the public on what had occurred.  Health and Nutrition Labels Allow the consumer to see what is in the product. ○ To create prevention Example- allergic reaction

Areas of Incremental Revenue  With Nike having a phenomenal grasp on the sporting goods market, Nike Fire will be able to sell products with the Nike Fire Logo on them.  Along with selling Nike Fire Product, we will sell refillable water bottles, that will contain a free sample of the powder.  Another product that Nike Fire will sell will be Gushers, that will replenish lost electrolytes  All of these products will be sold on Nike. Com which will consist a separate Nike Fire Tab.

Financial Analysis

 These figure that were present on the last slide represent the sales, expense, and income Projections on a 5 & 10 year forecast.  With income projections being the least in the first year, do to high expenses and low target recognition.  Nike Fire projects that in a 5 year period we will increase income from $3.8 million – $19.9 million.  As well as increasing its income profits from $3.8 million - $50.6 million.

Evaluation and Control  Monitoring of Marketing mix:  Setting organizational goals will help guide Nike Fire employees.  With employees being a major part of Nike Fire’s Organization have a positive work environment; that will also offer incentives for their hard work.  An effective marketing control system has four major components, which include, mission statements and objectives, organizational structures to meet objectives, employee performance standards, and adjusting methods.

Evaluation and Control  Plan for Adjustment:  Contingency plans are an import factor, making sure that there is always a fall pack to an organization’s original goal.  Contingency plan’s are important when competing with large competitors like Gatorade and Powerade, because they can always lower prices and can afford the initial lose.  Because of this, Nike will have to do research, to prepare for possible problems, by reviewing market segmentation, and marketing mix to stay relevant in the market.

Evaluation and Control  Anticipated response from Competition:  With Nike Fire entering the market, we expect competing sports drinks to follow. Especially by new companies try to enter the powder drink market.  We will also be prepared that both Gatorade and Powerade will try an eliminate Nike Fire, by lowering its prices.  Because of this we will promote the benefits on why our product has better health benefits than our competition.