As part of the sportswear giant’s initiative to improve direct-to-consumer (DTC) sales, Nike‘s mobile apps have helped drive sales growth during the pandemic. These apps allow individuals to engage in a variety of activities with a gamification strategy aimed at preserving loyalty, improving brand messaging, and driving sales.
With many consumers spending time at home and avoiding shops due to health problems, companies such as Nike with large retail footprints have been forced to change their sales strategies. Consumers are still shopping for apparel, especially athletic wear and other casual work-from-home styles, but are doing so at a higher pace via mobile websites, social media markets, and apps.
Nike, not providing exact figures, reported a 9 percent gain to $11.2 billion in total revenue. Shortly, digital sales will make up about half of total revenue, the company forecasts.
The company’s portfolio of apps highlights that consumer accessibility philosophy, helping Nike to collect data on the buying habits of fans, personal details, and exercise routines that can inspire new marketing activities.
Tying participation workout apps
Nike’s exercise apps, separate from its dedicated shopping apps, also feature mini shopping sections to reach people when they think about workouts and necessary gear. The Nike Run Club app, along with practical tools such as a GPS tracker to measure distance, has guided runs with a pre-recorded coach to encourage and advise. There are hundreds of video workouts and tips on nutrition and wellness in the Nike Training Club app, illustrating how content can reinforce the idea that Nike is a reliable source of inspiration to set and achieve fitness goals.
Their suite of apps is a key method of obtaining customer first-party data, putting them at the top of the buying funnel and encouraging them to regularly check in with gamified experiences. Nike Run Club allows people to share their accomplishments with a community of like-minded people and receive encouragement, while Nike Training Club offers digital badges and several other rewards for regularly logging in or following a workout routine.
The mobile pivot
Nike was forced to turn gears rapidly to strengthen its digital distribution platforms as the pandemic led to lockdowns on non-essential companies including the clothing stores. Nike took measures to improve repeat interaction, with mobile apps being a necessary touchpoint between businesses and customers.
The company updated its marketing for more people trapped indoors and debuted a new slogan, “Play inside, play for the world,” along with accompanying social media hashtags. Last March, it cut the subscription rate for its Nike Training Club Premium service, granting individuals immediate access to a suite of services, including Nike Run Club and Nike Training Club apps, social networks, websites, and “Trained” podcast.
Since then, by offering unique product deals and interactive content, Nike has continued to make the app a core part of its brand experience. Building on ads featuring Colin Kaepernick, the former quarterback who has become an activist for social justice, the organization has retained support for diversity and inclusion initiatives.