Question

Take any global product/brand.

Do a field research done[ write your own analysis without literally doing the field work by making your own assumptions using your own imagination and write analysis by assuming what customers perceive and make the report look like you have done ot as if customers filled it honestly ]

(e.g., interviews, FGD, observation, projective technique etc.) with at least 10 respondents to answer the following questions.

In the report, clearly mention the demographic and psychographic profiles (e.g., age, gender, lifestyle, life stage, marital status etc.).

 

Search online or news/reports published in newspapers/magazines or any other source. You should use multiple sources to identify at least two problems/challenges faced by the brand. Please mention the sources in the report.

Find out the following from your field research:

Perception of the brand among consumers

Need and motivations to purchase (or not purchase) the brand

Map the five steps of consumer decision making process

What are the influencers in the purchase process?

Role of pricing and features in the purchase

Based on your analysis, do a SWOT analysis.

Suggest recommendations to the brand to address the challenges identified in step 1.

 

You need to summarize the findings based on field research and submit a report (not more than 15 pages)

Answer 1

Let us take the global brand Nike.

The field report asked the following questions:
1. Do you use any Nike products?
2. If yes, how has your experience been?
3. If no, why not?
4. How likely are you to use more Nike products?
5. What perception do you have of the brand?

The following answers came in:

A] Age: 17, Gender: M, Lifestyle: High school student, Life stage: Late teens, Marital status: Unmarried
Uses Nike products as he's on the track team, good experience, comfortable on the soles. Always replaces old shoes with new Nikes. The 'Just Do It' tagline and the logo are very well known and have a positive impact.

B] Age: 22, Gender: M, Lifestyle: College student, Life stage: Young adult, Marital status: Unmarried
Used Nike products in school, switched to Crocs since not involved in sports anymore. Would buy Nike products if need arises or joins a gym. Positive perception.

C] Age: 50, Gender: F, Lifestyle: Mother of two, Life stage: Middle age, Marital status: Divorced
Owns a pair of Reebok shoes and uses for jogs around the block, has been using Reebok products for a very long time, unlikely to switch, Nike might be good but she doesn't have any use of it right now.

D] Age: 32, Gender: F, Lifestyle: Working female, Life stage: Adult, Marital status: Unmarried
Doesn't have much use for Nike products, seems like a big commercial faceless brand and prefers shopping for big brand shoes. Prefers shopping in custom boutiques and dislikes big corporations.

E] Age: 81, Gender: F, Lifestyle: Retired housewife, Life stage: Elderly citizen, Marital status: Married
Doesn't use Nike products, has no need for it. Hasn't heard of the brand.

F] Age: 15, Gender: F, Lifestyle: Student, Life stage: Teens, Marital status: Unmarried
Uses Nike products for gym class and the occasional exercise spree, would buy another Nike product to replace current one, comfortable and look good, likes the brand.

G] Age: 23, Gender: F, Lifestyle: Working adult, Life stage: Young adult, Marital status: Married
Uses Nike products as she's a gym trainer, swears by her Nike clothes and shoes, only prefers those when buying anything sport-related. Positive opinion.

H] Age: 41, Gender: M, Lifestyle: Working adult, Life stage: Adult, Marital status: Married
Uses Nike products for early morning jogs, loves the comfort of the shoes.

I] Age: 16, Gender: M, Lifestyle: Student, Life stage: Late teens, Marital status: Unmarried
Has no use for Nikes, has seen peers wear Nikes, has positive opinion.

J] Age: 17, Gender: M, Lifestyle: Student, Life stage: Late teens, Marital status: Unmarried
Uses Nike products as he's on the lacrosse team, good experience. Might switch to Reebok as Nikes wear out too quickly. Opinion deteriorating.

According to the Wall Street Journal, the company is facing some issues. The apparel industry is struggling and consumers associate the brand with shoes majorly. Women's clothes seem to have new competitors every day. Its most popular design may be going out of style - stylish sneakers are in and that implies the demise of Nike's famous boots for basketball, at least.

Strengths in the SWOT analysis of Nike

• Nike is the world’s no. 1 shoemaker. It designs and sells shoes for a variety of sports including baseball, golf, cheerleading, volleyball, tennis and football.
• Nike is a global brand. It is the number one sports brand in the World. Its famous ‘Swoosh’ is instantly recognizable, and Phil Knight (Founder and CEO) even has it tattooed on his ankle.

Weaknesses in the SWOT analysis of Nike

• The income of the business is still heavily dependent upon its share of the footwear market. This may leave it vulnerable if for any reason its market share erodes.
• The retail sector is very price sensitive. However, most of its income is derived from selling into retailers. Retailers tend to offer a very similar experience to the consumer. So margins tend to get squeezed as retailers try to pass some of the low price competition pressure onto Nike.

Opportunities in the SWOT analysis of Nike

• Product development offers Nike many opportunities. The brand is fiercely defended by its owners whom truly believe that Nike is not a fashion brand however consumers that wear Nike product do not always buy it to participate in sport. In youth culture especially, Nike is a fashion brand.
• There is also the opportunity to develop products such as sport wear, sunglasses and jewellery. Such high value items do tend to have associated with them, high profit.

Threats in the SWOT analysis of Nike

• Nike is exposed to the international nature of trade. It buys and sells in different currencies and so costs and margins are not stable over long periods of time. Such an exposure could mean that Nike may be manufacturing and/or selling at a loss. This is an issue that faces all global brands.
• The market for sports shoes and garments is very competitive. Competitors are developing alternative brands to take away Nike’s market share.