Branding and Packaging update

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Branding and Packaging

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In footwear industry, the Nike Company is considered as a well recognized global leader. I have a great loyalty to the products of Nike and there are several causes for the success of the organization will be discussed here. Branding and packaging strategies of the organization is one of the reasons of success. It makes Nike different from its competitors as it embeds uniqueness to its products. (Aaker, & Joachimsthaler, 2012)

Nikes uses orange box to pack its shoes having Nike Swoosh all over it. The box can be grabbed easily and also it is easy to be opened. It is easy to take out shoes and try them on. The packaging of shoes of Nike is great because of its eye attracting color, beautiful logo over the box, easy handling and perfect display of shoes.

As compared the branding of Nike and its strong competitor Adidas, Nike owns 48 percent of the United States footwear market while Adidas covers only 9 percent of it. Nike is having strong brand as compared to Adidas. Nike has made growth because of its great quality products, and off course excellent marketing and branding strategies. United States accounts for the sale of 40 percent of the sportswear internationally. Nike has reported strong appearance in the industry by gaining major shares. (Locke, R. M., 2003)

Nike formulated strong branding and marketing strategies in order to become largest distributor, designer, and marketer of athletic footwear. Nike always focused on research and development department and emphasis of innovation. This made Nike a profitable organization in the long run. Nike gave its best to produce athletic equipment, apparel and footwear to cut down or eliminate injury. It helped in maximizing comfort of athletes and improved their performance. They continue to enlarge its operation in the Africa, Middle East, Europe, USA, , Asia Pacific, and the American regions to gain more consumers. (Locke, R. M., 2003).

Nike possible has best business level strategy which combines the broad differentiation strategy and best cost provider. Branding strategies of Nike heavily relied on outsourcing and most of the products of Nike are prepared outside US. Nike is having broad network structure allowing it to cancel its alliance with any other organization. Nike has earned its brand by successfully implementing differentiation strategy.

Hiring well-known basketball player Michael Jordan, Tiger Woods and Serena Williams as world famous tennis player comes under the branding strategy of Nike. These individuals have become spokespersons of Nike which provided unique standard to the organization. US $33.4 million were spent on TV commercials and for magazine Nike spent around US$40 millions. Seeing these spending limits, it can be easily said that Nike has considerable position of branding strategies in its operational strategies. (Smit, M., 1999)

Adidas being a strong competitor or Nike has also formulated similar branding and packaging strategies but adopting broad differentiation strategy was one of the main features of Adidas overall strategy. Adidas also focused on innovation like same did by Nike and tried to produce novel products, processes and services in order to face the competition.

Adidas centered their interests in the best promoting and circulation directs in various nations by critically assessing the buyer purchasing practices and their steady battle to secure prime rack space. They have likewise grasped e-trade with a specific end goal to wind up more productive and speak to more consumers and make buying a great deal all the more effortlessly open for them. So, it can be said that Nike and Adidas both are having almost similar strategies with them but their formulation methods are different from each other. From the branding position it can be concluded that Nike has more successful implementation of branding and packing strategies. (Klimchuk, & Krasovec, 2013)

References

Aaker, D. A., & Joachimsthaler, E. (2012). Brand leadership. Simon and Schuster.

Klimchuk, M. R., & Krasovec, S. A. (2013). Packaging design: Successful product branding from concept to shelf. John Wiley & Sons.

Locke, R. M. (2003). The promise and perils of globalization: The case of Nike. Management: Inventing and delivering its future, 39, 40.

Smit, M. (1999). Ingredient branding. In Co-Branding (pp. 66-83). Palgrave Macmillan UK.

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