Nike and Saudi Arabia Spotted Tigers - Kendra simek, Guy Jacques, Connor Griffin and Jim Mcgowan

Who is Nike?

American footwear and athletic apparel company; Massive marketing campaign in the US; Creative tagline for marketing “Just Do It”; Customers: 33% Females, 67% Males; Male conversations: endorsements, sports... Female conversations: family, style...

Saudi Arabia

Population: 32.4 million (318.9 million in US)

Median Disposable Income: $16,550 ($21,812 in US)

Household Size: 5.7 people (2.54 in US)

Life Expectancy: 75.5 (78.7 in US)

Over two-thirds of the population is under 30 → Importance of e-commerce

Nike in Saudi Arabia

Sentiment: 59% Positive, 34% Negative

Passion Score: 18/100

Demographics: 18% Female, 82% Male

Cost - Purchase Intent - Quality

How Perceptions Have Changed Over the Years

People have lost expectations for Nike to expand product array due to costs, and quality, expectation is high for Nike watch (just released)

SA: 2014/2015 soccer gulf cup jersey kits were the most recent expected product before watch

Since 2009:

Expectation fallen 6%, down to 18%

Quality has fallen 2.8%, down to 8.2%

Service has fallen 2.5% ,down to 6.%

Cost has fallen 3%, down to 10%

Attraction went up 1%, up to 2%

Concerns and Key Events for Nike

In United States:

Honduran labor dispute threatens university contracts

LeBron James (NBA) signed $1B deal, limited success

In Saudi Arabia:

Low Passion score (18/100)

Only 23 mentions/day, 33% negative

Improper association between citizens and Muslim terrorists

Nike Sponsors Home Football (soccer) Jerseys

Release of Apple Watch Nike+ (Oct 2016)

Nike has identified Saudi Arabia as a promising smaller market that it hopes to capitalize in. However, to this point, Nike has struggled due to a low number of conservations about the brand, despite the country’s obsession with Western apparel. Concerns about its labor practices continue to circulate, but if the brand is to succeed in the future, Nike needs to generate more interest and stick to what it does well, instead of trying to over-expand.

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Created By
Kendra Simek

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