Nike’s decision to focus a major ad campaign on Colin Kaepernick under the slogan “Believe in something, even if it means sacrificing everything” is the biggest example yet of the trend of socially responsible companies deciding to stand up for their values, even at the risk of alienating part of their audience. By doing so they joined companies like Patagonia, Delta Airlines, and Citigroup in taking action that was inspired by political beliefs. Here’s what socially responsible companies can learn from Nike’s move:
- Bold decisions get attention – The old adage of there being no such thing as bad publicity is proving to be true in this case. Nike’s decision got President Trump tweeting and people talking about Nike for a lot longer than a one day news cycle. A Bloomberg article says Apex Marketing group estimated the value of the publicity generated by the Kaepernick campaign at $43 million in just the first 24 hours alone with the majority of that publicity being either neutral or positive.
- Be willing to pay the price – Nike officials knew not everyone was going to agree with their decision. They knew they would lose some customers and there would be people so enraged that they would burn their shoes. But that was a risk Nike was willing to take because they planned ahead – doing research on their demographics and the market before launching the ad. Back in 2015, a Business Insider article identified Nike’s key demographics as woman, young athletes, and runners. A 2017 Forbes article identified Nike’s demographic as being active young people with disposable income who live in cities. These are people more likely to have a positive opinion of Colin Kaepernick and what he stands for, and a negative opinion of his critics like President Trump.
- Make your decision consistent with your brand – Just Do It is one of the best known slogans in the world that recently celebrated its 30th anniversary. Being edgy and rebellious is part of that brand. Their roster of spokespeople has included Charles Barkley, Andre Agassi and Serena Williams. Just last month when Williams’ catsuit was banned from future French Open use, Nike tweeted in response “You can take a superhero out of her costume but you can never take away her super powers.”
- Wait to measure impact – Although Nike’s stock dropped 10 percent immediately after the announcement, that initial statistic may not tell the full story. By the end of the week, the stock was up one percent and according to Edison Trends – online sales September 2-4 went up 31 percent over the similar period in 2017.
- Include responsible action – Nike took a critical stem to address critics who dismiss their decision as only being about their bottom line. According to the New York Times, part of the proceeds from sales of Kaepernick inspired merchandise will go to his new “Know Your Rights” campaign.
