Wednesday, October 30, 2024

Short Essay 2_Chau Yee Ki, Joyce (1155206824)

When talking about Nike, the world’s largest supplier of athletic shoes and apparel and a major manufacturer of sports equipment, what pops into your head immediately? Is it the iconic “Swoosh” logo? Or the oft-repeated slogan “Just Do It”? Have you ever considered why these impressions are so deeply rooted? This should be undoubtedly attributable to the effective utilisation of the PESO model by the Brand.


According to Dietrich (2014), the PESO model is a strategic framework used in marketing and public relations to categorise media into four types, including Paid, Earned, Shared, and Owned. This model describes the use of different media channels in organisations’ marketing approach. 


Let’s jump into the concept of “Paid Media” first. Paid media can be broadly categorised into two types which are advertising-supported consumer content and advertising connections that provide content. Nike definitely employs both categories to engage the audience, thereby maintaining visibility in the market with effectively conveying the key brand messages. 


Taking “Just Do It” campaign as an example, it not only collaborates with high-profile athletes such as Michael Jordan and Serena Williams, but also produces high quality and innovative visuals and has a cross-platform presence, encompassing TV, print, digital, and social media, so as to maximise the power of message and the reach of consumers. With this iconic marketing campaign, it becomes a cultural touchstone and solidifies the leading position of Nike in the sportswear industry. 



Nike's "Just Do It" campaign collaborates with Lebron James, a well-known NBA player. 


“Earned Media,” which refers to a mix of brand mentions on news outlets and shares of social media platforms like Facebook, Twitter, and Youtube, consists of branded messages that another entity distributes. As a retail brand, Nike benefits from extensive media coverage, including articles and reviews of the products, as well as product seeding to the influencers and athletes to share their experience with the products, resulting in organic buzz. It is shown that earned media enhances the credibility of Nike, making it a more valuable asset for the Brand. 


Moving on to the “Shared Media”, it refers to content which is shared across third party platforms and between multiple owners. As mentioned before, Nike launched “Just Do It” campaign and it initiated “#JustDoIt,” the hashtag campaign to continuously connect the customer with the iconic tagline on social media platforms. With the mentioned hashtag campaign, it also accelerates the user-generated content and Nike would actively share content created by its customers to engage directly with consumers, fostering a sense of loyalty among them. 



"#JustDoIt," the hashtag campaign of Nike, encourages more user-generated content on social media. 

Regarding “Owned Media,” it includes the items such as company website, packaging, company employees, events, and sponsorships. There are three types of owned media: physical assets, digital assets, and created assets. Nike has “Nike.com,” its own website, serving as a hub for product information and brand values. Additionally, Nike owns “Nike Journal,” as well as issuing newsletter periodically, to ensure ongoing communication with customers.


The successful case of Nike illustrates that brands utilising different media types would contribute to marketing success. Leveraging on the PESO model, Nike creates a cohesive brand narrative effectively, thereby amplifying visibility and building close-knit relationships with the customers to drive brand loyalty, alonging with the sales.


2 comments:

  1. Your thorough analysis of Nike’s strategic implementation of the PESO model sparked my interest in exploring the brand more! In accordance with the integration of Paid, Earned, Shared, and Owned media, Nike exemplifies a comprehensive approach to marketing, and hence contributes to its global brand presence. Having read your short essay, I was curious about how Nike has balanced its investment in the four types of media and the corresponding channels; also, to what extent Nike has adapted its PESO model strategies for different global markets.

    Building upon its reputation as a leading force in the sportswear and equipment industry, Nike strives to strengthen its position as a global leader. With the PESO model, the effectiveness of Nike’s strategy often hinges on how well they integrate and balance investments in media campaigns and channels to create a cohesive brand narrative. From my point of view, earned media and shared media have stood out significantly in terms of the resonance between Nike and its consumers. Exceptional consumer experiences and active presence on social media platforms have reinforced the community to engage a network of athletes, fitness enthusiasts, and everyday individuals who share a passion for sports and active living. By doing so, Nike not only innovates and expands its product offerings but also influences athletic culture on a global scale.

    In terms of the diverse global markets, Nike has tailored its marketing efforts by understanding consumers’ specific needs and preferences in each segment accordingly. For instance, in paid media, Nike has engaged with local cultures by featuring geographical athletes in their campaigns and creating ads that resonate with regional values. Additionally, regarding the official website and journal launched in owned media, Nike has customized product recommendations that mirror the tastes and values of specific consumer segments.

    All in all, the multifaceted strategy ensures that Nike remains at the forefront of consumer minds.

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  2. Your essay on how Nike uses the PESO model is both insightful and relatable. I think you have effectively used Nike as an example and clearly demonstrated how the brand integrates Paid, Earned, Shared, and Owned media to deliver a powerful and cohesive message.

    I especially liked your analysis of the “Just Do It” campaign. It’s an excellent example of how Nike employs cross-platform strategies to create emotional connections with its audience. By telling inspiring stories and collaborating with global athletes, Nike elevates its campaigns to cultural milestones that resonate with people worldwide.

    I also think your discussion about shared media, particularly the #JustDoIt hashtag, is spot-on. It effectively highlights how Nike fosters community interaction and loyalty by encouraging user-generated content. This approach not only enhances its brand image but also creates a sense of involvement and ownership among consumers, which is crucial in today’s social media-driven marketing landscape.

    Building on your ideas, I think Nike’s use of the PESO model in Hong Kong is another excellent example of its adaptability while maintaining a global brand identity. In Paid Media, Nike has launched localized campaigns in Hong Kong featuring athletes like cyclist Lee Wai Sze and fencer Cheung Ka Long. These campaigns celebrate values like resilience and determination, which deeply resonate with the local culture. In Earned Media, Nike benefits from positive media coverage of its involvement in local sports events and collaborations with influencers in Hong Kong’s fitness scene, such as Chan Wai Man. This helps to boost its credibility and organic reach. In Shared Media, platforms like Instagram and Facebook enable Nike to engage Hong Kong audiences through challenges such as the Nike Run Club, which created a sense of community around fitness and healthy living. In Owned Media, Nike’s website and app in Hong Kong are tailored with content in Traditional Chinese and English, offering local consumers personalized recommendations and promotions. This strengthens customer loyalty and deepens their connection with the brand.

    So I definitely think your essay provides a clear and thorough understanding of how Nike leverages the PESO model to amplify its campaigns both globally and locally.

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