Corporate Social Responsibility

Is Nike’s Corporate Social Responsibility Just Marketing Genius?

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Rashida

“Believe in something, even if it means sacrificing everything.”

That’s the slogan for the 30th anniversary of “Just Do It” that featured former NFL start and #BlackLivesMatter campaigner Colin Kaepernick.

Only 20 years prior, consumers protested outside Nike stores for allegations surrounding child labor and sweatshops.

Did the largest player in the athletic market, with $28 billion in annual sales, really change its tune, or is the corporate social responsibility just a really smart marketing ploy?

Change and Transparency

Following the Nike boycotts in the 90s, the CEO made a public announcement promising change. By 2005, the brand published a full list of its factories and a detailed report of pay scales and working conditions. They admitted to continued problems and acknowledged the issues while working toward change.

Today, Nike is one of the leaders of corporate social responsibility (CSR).

Nike has made a commitment to implement sustainability efforts and is constantly evolving to reduce its environmental impact. While the company is by no means perfect, Nike has a vision that’s explained it its yearly sustainability report.

In addition to environmentally sustainable changes, Nike has also made some bold social statements. Nike has created several advertisements that address and support Black Lives Matter, women’s rights, women in sports, and more. They make a conscious effort to show diverse athletes in their ads and marketing.

But is it all a ploy?

Socially Conscious Consumerism

It’s not a new concept for brands to respond to the demands of their audience and consumers. In fact, 57% of young people want brands to use advertising to raise awareness of social and ethical issues. Many brands focus on the impact they have on the world and want to position themselves as industry leaders.

Nike has taken several powerful political stands that have inspired many of their consumers but ignited others.

Nike wants to grow the brand and knows it will do so with certain key demographics. The three consumers Nike focuses on the most right now are women, young athletes, and runners. It’s also more important to note that Nike customers are more ethnically diverse than the country’s population at large. 45% of Nike customers identify themselves as black or Hispanic, and 46% as white.

What Nike Consumers Want

The fact of the matter is that many Nike consumers want a brand with a sense of purpose. With the majority being young adults and a consumer base far more diverse than the makeup of this country, Nike is making a logical choice by leveraging their ads for social issues that a large part of their audience values. By showing support for the social and ethical issues that women and ethnic minorities face, Nike is positioning themselves for loyal, passionate consumers.

Nike certainly isn’t perfect, and many criticize the brand for its own shortcomings. In reality, the brand is still working through its own processes and policies but has ingrained CSR in its culture. The bulk of Nike’s customers want to hear the brand speak out on social and political issues, which is exactly why they’re doing it.

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