Nike: PR + Advertising Builds A Brand

Posting in Advertising, Consumer, Green, Sports

 

This summer’s world cup has been a platform for marketing some of the most prestigious brands in the world.

 

This is a guest post by our intern, John.  John is a May 2010 graduate of St. John's University where he received a B.S. in Marketing and was a point guard for the Red Storm.

 

 

As the countries are brands themselves, which develop marketing councils with tourism and investment agencies to create consistent and long-term visions for the brand of the nation, the month long tournament was meticulously planned so that everyone investing in the event gained a particular experience.

Nike, in particular, had one of the most successful campaigns during the tournament. Aside from the success of their “Write the Future” commercial series, the most interesting part of their strategy that set them apart from their top competitor (Adidas) was their participation in going green. Nike produced uniforms for nine teams in the tournament, including Netherlands, Portugal, South Korea, Australia, New Zealand, Serbia, Slovenia, Brazil, and the United States, made of polyester material that was compiled of recycled plastic bottles. The uniforms were made solely out of bottles obtained from landfills in Japan and Taiwan, where there are factories using PET yarn that is manufactured in China and other low-cost Asian countries as well as clothing manufacturers.  Each shirt is allegedly made up of eight bottles that are melted down into polyethylene yarn, reducing energy consumption by almost 30% in comparison to the manufacturing of virgin polyester. The conservation of raw materials was achieved through moving 13 million plastic bottles from the landfill, which equates to nearly 560,000 pounds of polyester waste. While saving materials produced by petroleum, Nike saves greenhouse gas emissions and provides their brand with a positive image.
   
Some may worry that the change in production may affect the value of the jersey and shorts. However, Nike claims that going green “did not sacrifice performance,” stating that they are 15% lighter and have more ventilation. They also refer to a considered index that can rate the environmental impact of the waste and its chemical solvent. Other notable companies previously implementing similar concepts consist of Patagonia and Coca-Cola, while others have used these resources to develop carpets, automotive parts, and packaging materials. From a cost standpoint, utilizing PET is about the same cost as using virgin material. The only significant concern that some have is the fact that the material requires a supply of plastic bottles, which could encourage their consumption and increase material needed to be recycled.

Considering Nike’s successful history in sales and athletic sponsorships, they have taken a beating when it comes to public relations and social responsibility, having seen their share of accusations over time.  Problems like these have plagued major corporations, such as Wal-mart and McDonald’s, forcing them to find ways to drive from being associated with greed and corruption. However, in a recent Corporate Responsibility report, Nike’s focus was recognizing the impacts of declining natural resources. This seems to be a continuation of their goal to reach a model that achieves zero waste with products that can be reused.

Sometimes utilizing public relations can work better for a brand than advertising could, and other times advertising is better than public relations. At a time when oil spills and global warming play such large roles in current events, a company showing their effort in helping a cause plays an even bigger role. Due to the evolution of media, consumers have gained an altered impression of promotion and are more skeptical than ever when being sold. This is why the capability to show that a company is investing time and money into more than just business is essential, and an excellent way to build trust in a brand.

Without credibility, there is no brand, and while a brand is known as an image and a reputation is a reality, the company that is able to draw a parallel between the two will be the most successful.

For companies reaching levels of distrustful perception in regards to compliance the way that Nike had, it should be noted that it is possible to move your brand away from those strong negative correlations.

Although it is impossible to exist completely without criticism, the eco-friendly production of uniforms was a nice touch on a world stage and has helped Nike to gain positive feedback globally.

 

 

Tags: adidas, athletes, corporate responsibility, green, Nike, recycled uniforms, soccer, uniforms, word cup soccer, world cup