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10 Types of Innovation

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How Nike uses Channel <strong>Innovation</strong> in Direct-To-Consumer Strategy<br />

Impact<br />

Flagship Store as Channel <strong>Innovation</strong><br />

• Create ‘brand experience’ focused-flagship stores<br />

that showcase distinct product categories and the<br />

story behind them.<br />

• Hire store assistant who is passionate about sports.<br />

Direct Selling as Channel <strong>Innovation</strong><br />

• Open outlet store that directly captures market<br />

base while delivering high value to consumers.<br />

Digital Brand Experience as Channel <strong>Innovation</strong><br />

~68%<br />

US athletic footwear<br />

market share<br />

> 20%<br />

sales made from Direct-<br />

To-Consumer Channel<br />

2 nd<br />

most followed brand on<br />

Instagram with 42.9mn<br />

followers<br />

Most<br />

innovative company in<br />

2013 by Forbes<br />

• Enable consumers to customise sport shoes online<br />

with preferred design and name to create brand<br />

experience.<br />

Pop Up Presence<br />

• Create pop up presence in accordance to latest<br />

international sporting events.<br />

• Design seasonal products based on latest events to<br />

create buzz.<br />

NIKE, Inc.<br />

fosters a culture<br />

<strong>of</strong> invention, which creates<br />

products, services and experiences<br />

for today’s athlete while solving problems<br />

for the next generation.<br />

It engages in the design, development, marketing, and<br />

sale <strong>of</strong> sports and lifestyle footwear, apparel, and equipment,<br />

accessories and services. In 2015, Nike's global revenue amounted<br />

to about 30.6 billion U.S. dollars.<br />

© UCSI Consulting Group 2016

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