How Nike Is Using Digital Channels To Drive Sales

by MR Magazine Staff

Nike is trying to seize control of its customer data to stay ahead of its rivals. The company gave observers a close-up of its plans in its latest quarterly results. Here are the takeaways for marketers: App sales. App-based commerce is surging for Nike, with online sales doubling in two years to more than $2 billion (£1.5 billion), and app users spend nearly triple what they do on, according to the company, an ominous sign for retailers that could be bypassed by this trend. Nike’s in-app and online experiences must offer strong value, though, as they pit Nike against a new set of competitors like running and cycling tracking app Strava and YouTube workout tutorials, said Paul Jakimciw, group CEO at innovation agency KBS Albion. The pitfalls of maintaining that balance between experience and commerce have already been evidenced by the user reaction following Under Armour’s acquisition of MyFitnessPal and Nike’s own misstep with the redesign of Nike+, which infuriated users by deleting data and removing beloved functionality. Read more at Digiday.