Mkt 435 - Nike Repositioning Paper

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Decision-Making Process

There are several elements of the consumer decision- making process pertinent to buy Nike products especially footwear. Consumers have many choices when picking the kind of shoe that is right for them. The decision making process is a way for consumers to process and analyze information and find the perfect solution. There are five main stages of the process which are: need, information gathering, evaluation, purchase decision, and post purchase behavior.

The first step in the decision-making process is very pertinent for Nike. Consumers have to recognize a need or use for their shoes. In this case many consumers realizes their current pair of athletic shoes is extremely worn and no longer provide the intended function or protection needed. Another need for consumers to buy Nike products is enhanced performance. Athletes are always looking for ways to perform better. Nike claims to have shoes for every athlete, “To bring inspiration and innovation to every athlete in the world” ("Nike'S Mission Statement", 2013).

The information gathering stage of the decision making process is important. Nike is not the shoe company out in the market. Consumers gather information about a product by looking internally and externally. Internally the consumer can reflect on past buying experiences and choices. Externally they can look at product ratings and consumer reports.

The next stage that is pertinent is the actual purchase decision. Without the actual decision to buy a product Nike would not sell any shoes. The purchase decision involves which brand and where consumers are going to buy. The location that is decided depends on convenience, atmosphere, and sales.

After consumers have made the decision to buy a pair Nike shoes there is post purchase behavior. Consumers come to realization if their choice to buy Nike shoes was a positive or negative. Sometimes companies that clients buy shoes from will follow up with calls or surveys to ensure satisfaction. Some clients can have anxiety after making what they consider to be a large purchase. (Consumer Behavior, n.d.).

With four out of the five stages of the consumer decision-making process being pertinent it is determined that there is a high level of involvement. Client do not shoes the best pair of shoes or equipment subconsciously. Nike shoes are not something bought on a regular basis. The proposed consumer analyses the different brands and options while keeping within the boundaries of their budget.

Analysis of the Post-Purchase Process of the Target Consumer

After a purchase Nike never wants the consumer to wish he or she had bought something different. To eliminate that feeling of dissatisfaction or guilt the post-purchase process for the target consumer should go somewhat like this: Customer Satisfaction, Repeat Purchases, and Customer Commitment. “A consumer’s evaluation of a purchase can be influenced by the purchase process itself, post-purchase dissonance, product use, and product/package disposition…For many products, this is a dynamic process, with the factors that drive satisfaction evolving over time” (Hawkins, Mothersbaugh, & Best, Chapter 18, 2007). Nike’s target consumer will purchase the product(s) out of a need or desire. Next the trial period of the product to determine satisfaction is usually shortly after the purchase. The trial period usually makes a full circle after a wash, or until the next wear or use. Consumer satisfaction will result in immediate use again, testing the durability of the product. When satisfied with the product the consumer may purchase another of the same, different, or an accessory to the product like socks to shoes, or gloves to golf clubs. After another satisfied purchase or several purchases the consumer may consider him or herself as a committed customer.

Criteria and Timetable of Repositioning Strategy

Conclusion

Nike is the world’s most recognizable brands of athletic footwear, apparel, and equipment. The logo of a white swoosh exhibits quality and innovation, and inspirational trademark phrase of “Just Do It,” are a combination of factors contributing to success that Nike has endured over many years since founded in 1964 by Phil Knight and Bill Powerman. Today, Nike continues to strategize and targets recreational consumers, and popular athletes on a global scale to expand the value of its brand with outer thinking and knowledge from the marketplace. The marketing team thoroughly conducted extensive research in exploring various topics such as market segmentation, targeting, positioning, internal and external influences, and repositioning of the Nike product, that revealed pertinent information. Such information included grasping a better understanding of the wants and needs of consumers, and what drives their behavior in committing as a repeat consumer that potentially results in increasing revenue and bringing continued success to Nike.

References

Consumer Behavior. (n.d.). Retrieved from

http://www-rohan.sdsu.edu/~renglish/370/notes/chapt05/

Developing a Marketing Strategy. (2010). Retrieved from

http://neelam90.blogspot.com/2010/04/learning-memory-and-nostalgia.html

Hawkins, D. I., Mothersbaugh, D. L., & Best, R. J. (2007). Consumer Behavior. Building

Marketing Strategy (10th ed.). Retrieved from

https://ecampus.phoenix.edu/content/eBookLibrary2/content/eReader.aspx.

Nike's Mission Statement. (2013).

Retrieved from http://help-en-us.nike.com/app/answers/detail/a_id/113/p/3897

Peter, J. P., & Olson, J. C. (2008). Consumer Behavior and Marketing Strategy (8th ed.).

Retrieved from The University of Phoenix eBook Collection database.

Relevant Marketing Consumer Behaviors. Gail Cohen, 2011, retrieved from http://smallbusiness.chron.com/relevant-marketing-consumer-behavior-theories-20800.html

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