Blog #3: Nike and Microcultures

In order for Nike to build a national brand in the United States, the company was forced to address different microcultures in order to increase and sustain brand loyalty from customers around the country. A microculture is defined as "a group of people who share similar values and tastes that are subsumed within a larger culture" (Babin 191). In this case, the larger culture would be the national, American culture, which is broken down into the numerous microcultures to be discussed.

The first major group of microcultures in the US is regional microculture. In 1981, Joel Garreau published a book relatively arbitrarily dividing North America into 9 different regions. For the purposes of Nike, however, an even larger number of divisions is more helpful for learning about consumer behavior. Being an athletic wear company, athletes and athletic teams (professional and collegiate) play a major role in the sale of many products, such as shoes, t-shirts, athletic shorts, etc. By finding the regions where athletes and teams are most and least popular, Nike can tailor their products to certain regions in the country. For example, selling Ohio State t-shirts in Michigan would be a disastrous move. Another example would be Johnny Manziel, a polarizing sports figure who plays for the Cleveland Browns. He is a player who most people love to have on their team, but is an extremely easy target for opposing fans. For this reason, Nike needs to carefully target (and stay away from) certain regional microcultures with their "Money Manziel" t-shirt line.

The gender microculture is also very important to Nike. In stores they have both "Men's" and "Women's" sections. Similarly, the online website has tabs for both men and women. This division of gender illustrates Nike's acknowledgment of sex roles between their customers. Sex roles "refer to the societal expectations for men and women among members of a cultural group" (Babin 194). An example of this is easily found by simply clicking on the "Men" and "Women" tabs on the website. When you click on the "Women" tab, a pink shoe covers the screen (seen on the right). When you click on the "Men" tab, a blue and yellow shoe covers the screen. The fact that Nike believes a pink shoe fits best for Women exemplifies the societal expectations that exist in our country about fashion.

A final microculture that applies to Nike is the generational microculture. Nike has noticed the younger microculture has shown great interest in bright, neon colored athletic wear. On the other hand, the older generation has been shown to still prefer the older, less flashy product line. For this reason, rather than completely abandoning the old product line, Nike has simply created new products with the more flashy colors, while continuing to produce products that also appease the older generation.





By recognizing distinct microcultures, Nike has been able to gain and retain customers with many different backgrounds, coming from many different microcultures.

Blog #2: The Many Attitudes of Nike Consumers

Consumers choose to purchase products from Nike for many reasons, such as style, feel, and versatility. Nike is by no means a monopoly and has many viable competitors in its industry (notably Under Armour and Adidas). So how does Nike sustain its consumer base? I believe it has to do with the underlying attitudes of Nike's consumers. Attitudes motivate certain consumer behaviors and can be the determining factor between whether or not a product is purchased.

Attitude #1: Utilitarian Function

The utilitarian function of attitudes shows that consumers buy certain products "because they deliver a certain benefit" (Babin 123). In the case of Nike, their consumers may have the attitude that they want to fit in. Nike is often seen as a very popular and "cool" brand to own. Using Nike as a way to boost one's status is a benefit to the consumer driven directly by purchasing certain products.

 Attitude #2: Knowledge Function

The knowledge function of attitudes "allows consumers to simplify decision-making processes" (Babin 123). After a prior purchase, a Nike consumer may develop the attitude that their products are the most comfortable on the market. This makes subsequent purchases much simpler. The consumer may become aware of the style of shoe they prefer, which pair of shorts is most comfortable, or the type of material they prefer for t-shirts. Through firsthand use of the products, the consumer develops an attitude based on prior experiences with the product. 

Attitude #3: Value-Expressive Function

The value-expressive function of attitudes "enables consumers to express their core values, self-concept, and beliefs to others" (Babin 123). This function can best be seen through consumers who buy and wear the yellow "Livestrong" bracelet developed by Nike. This bracelet was developed as a fundraising item for those affected by cancer. By wearing the bracelet, the consumer is expressing any number of personal beliefs, whether it is to inspire those fighting cancer or simply to fight through the challenges presented in life each and every day.

Attitude #4: Ego-Defensive Function

The ego-defensive function of attitude acts as a defense or protection mechanism for consumers. For example, some consumers who want to enhance their image of being active may wear Nike apparel to boost their self-esteem and protect their ego.

Clearly, a number of different attitudes affect the purchases made by Nike consumers. By tailoring products to these different attitudes, Nike can continue to retain its customers and remain a step ahead of its competitors.

Blog #1 - How Nike Adds Value for its Consumers

Every sport has types of clothing or equipment that are a necessity for the athlete to own. Football players need pads and cleats. Runners need running shoes. Baseball players need a glove and a bat.  Golfers need clubs, appropriate clothes, and golf balls. 

 

           These products all provide utilitarian value to the consumer in that they allow athletes to accomplish tasks in their respective sports. These products allow the consumer to get the job done. Running shoes allow the consumer to run and golf clubs allow the consumer to play golf.

            By offering a wide variety of these products, Nike offers utilitarian value to their consumers. However, providing utilitarian value to the consumer is not how Nike separates themselves from their competitors. After all, Adidas, New Balance, and many other companies offer some of the same products, providing relatively the same utilitarian value to consumers.

            The main differentiating factor for Nike over its competitors stems from the hedonic value it provides to its consumers. This type of value “is provided entirely by the actual experience and emotions associated with consumption, not because some other end is or will be accomplished” (Babin 29). 

One way Nike achieves this type of experience is through their celebrity sponsorships and celebrity product lines. For example, basketball players who admire LeBron James, Kevin Durant, or Kobe Bryant are in luck. Nike offers product lines sponsored by these athletes, who wear their gear in their games. Wearing the same shoes LeBron James wears when he plays is something that entices consumers. It makes the consumer feel cooler and more confident, while building a connection between the consumer and superstar athletes. Knowing that you’re wearing the same basketball shoes as one of the best basketball players in the world enhances the end experience for the consumer. 

 

           Another way Nike provides hedonic value is by allowing the consumer to make the product more personal. Using the convenient Nike ID, consumers can customize their own shoes. Nike ID allows the consumer to change everything from the color of the shoelaces to the color of the sole. It even allows you to imprint your name or initials on the shoe. Creating one’s own shoe allows the consumer to become more emotionally attached to the product, rather than simply walking into an outlet store and choosing one. Nike ID lets you create a unique, customized shoe that has never been made before. It truly is one of a kind.

www.nike.com. Just Do It.