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Digital Sport is not just about creating must have sports gadgets. Getting so close to its consumers data holds exceptional promise for one of the world greatest marketers: It means it can follow them, build an online community for them, and forge a tighter relationship with them than ever before. It part of a bigger, broader effort to shift the bulk of Nike Air Max Light marketing efforts into the digital realm and it marks the biggest change in Beaverton since the creation of just do it, or even since a graphic design student at Portland State University put pen to paper and created the Swoosh.
Just try to recall the last couple of Nike commercials you saw on television. Don't be surprised when you can't. Cheap Nike Air Max 1 spending on TV and print advertising in the U.S. has dropped by 40% in just three years, even as its total marketing budget has steadily climbed upward to hit a record $2.4 billion last year. "There's barely any media advertising these days for Nike," a brand consultant and longtime Madison Avenue creative executive.
Air MaxesGone is the reliance on top down campaigns celebrating a single hit whether a star like Tiger Woods, a signature shoe like the Air Force 1, or send ups like Bo Jackson Bo Knows commercials from the late 80s that sold the entire brand in one fell Swoosh. In their place is a whole new repertoire of interactive elements that let Nike communicate directly with its consumers, whether it a performance tracking wristband, a 30 story billboard in Johannesburg that posts fan headlines from Twitter, or a major commercial shot by an Oscar nominated director that makes it debut not on primetime who now runs a social media agency: "Clearly they think they can get by without big television campaigns anymore."
The reason for the shift is simple: Nike is going where its customer is. And its core customer,a 17 year old who spends 20% more on shoes than his adult counterparts, has given up television to skip across myriad online communities. Not only does Nike think it can do without the mega TV campaigns of old, it says the digital world allows the brand to interact even more closely with its consumers maybe as closely as it did in its early days, when founder Phil Knight sold track shoes out of his car in the 1960s. That a major change, Nike CEO Mark Parker explained to Fortune during a recent interview in his tchotchke filled office in Beaverton. "Connecting used to be,Here some product, and here some advertising. We hope you like it,"he says."Connecting today is a dialogue."
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