A Report on the Analysis of the Consumer

Buying Behavior of Nike Shoes

Prepared by:
Neha Parveen (13A1HP019)
Ankit Ramani (13A1HP052)
Aishwarya Singh (13A1HP062)
Manish Agrawal (13A1HP086)
Aiman Fatima (13A1HP089)

Submitted To:
Dr. Nitin Gupta,
Associate Professor and Area
Chairperson - Marketing

Micro Primary Study of the Consumer Behavior of Nike Shoes: The report is based on the
survey conducted with 36 respondents to assess their perception about Nike shoes and various
family, social and cultural factors that influence their purchase decision.
1. What family, social and cultural influences are influencing the respondents to
purchase this brand?
The purchase decisions of every individual is influenced by family, social or cultural factors to
some extent. Traditional family is defined as 2 or more persons related by blood, marriage or
adoption who reside together. Family is the first social gathering in which you are born and many
of our perceptions are shaped by the members of the family.
As we grow older, interact with individuals outside the family, we tend to compare ourselves with
those surrounding us. This introduces the concept of social class as being another variable of
influencing our decision making.
Moreover, within our family and society there is some language, knowledge, laws and customs
that also gives the society its distinctive character and personality. This is called culture. It is the
sum total of learnt beliefs, values and customs that serve to regulate the consumer behavior of
members in a particular society. Thus family, society and culture play a vital role in determining
the purchase decision of individuals.
Through the survey (Refer to Figure 13), we observe that the majority of the respondents, i.e. 67%,
fall in the age group of 21 to 24 years, followed by 30% of the respondents being in the age group
of 25 to 29 years. The remaining 3% of them lie in the age group of 16 to 20 years. None of the
respondents were of the group above 30 years.
On further analysis (Refer to Figure 14), it is inferred that out the 67% majority respondents who
fall in the age group of 21 to 24 years, Reebok, Adidas and Nike each have 21% of users
respectively. 13% of the respondents fall in the other category and 12% of them use Puma.
We can also infer that 97% of the total respondents of the survey are youths in their 20s. Of that
the usage in the majority consumer is spread among Nike, Adidas and Reebok.
Majority of the respondents (Refer to Figure 15 & 16), i.e.36%, have income level above 15,
00,000.Out of this 36%, maximum i.e., 31% are Nike users. This shows that Nike is generally
preferred by high-income group. Families of this income level generally maintain a high social
status. Based on the Social comparison theory and its related activities of status consumption
that explains about status and how it operates in relation to demographic or socio - economic
variables like family income, occupational status or prestige etc., we can reinforce the link between
family income and how it impacts social status. Thus, it can be inferred that families who are
conscious of their status and reputation in the society use Nike because they take pride in
possessing it and consider it as a status symbol.
Majority of the respondents (Refer to Figure 17), i.e. 33%, associate Nike with competence
followed by 25% respondents with pride and reputation. This shows that apart from the perception
of Nike as a go-getter and achiever, it is also associated with social status. Possessing a Nike shoe
gives the users a sense of pride and self-esteem. It can be inferred from the respondents that Nike
shoes put them apart in social gatherings and increases their reputation. Hence, Nike helps in
building up social image for its users.

According to the responses of the survey (Refer to Figure 18), personal decision has maximum
influence on the buying decision of the consumers. Majority of the respondents, i.e., 40% feel that
they are not influenced by family, friends etc., while purchasing Nike shoes. While there are 24%
respondents who get influenced by friends and 13% are influenced by team members. Therefore,
we can say that 37% of the sample are influenced by social factors, that is, friends and team
members.13% of the sample say that family also influences them in their decision of purchasing
Nike. In case of Nike shoes Consumer socialization is not very high, which is defined as a process
by which individuals acquire skills, knowledge attitude and experience necessary to function as
consumers by observing their family members, friends and peers. Individualistic decision making
dominates the buying pattern in case of Nike shoes. This may be due to lack of any socialization
agent. These agents are generally mother or any prominent family member who can influence the
purchase decision of others in the family. We can also infer that inter-generational brand
transfer is low as influence of family is less. The influence of family is less in the decision making
and social factors like friends and team members have some role in the choices made by the users.
Above all, personal choice rules the consumers decision of purchasing Nike shoes.
On the analysis of the responses on what the consumers infer about Nike advertisements (Refer to
Figure 19), we observe that 47% of the respondents relate it with passion for sports, followed by
22% who relate it with commitment to goals. Nike is aware that cricket is a culture in India and
therefore can use its marketing and branding strategies to target Indian audiences. Brand Nike is
known across the world for its dedication to sports. The inspiration behind the Nike campaign Just
Do it leverage the interest of the consumers during matches of Indian cricket team. This campaign
reinforces the culture created by the cricket crazy Indian youth.
According to the survey findings (Refer to Figure 7), 75% of the respondents feel that their favorite
cricketer using Nike shoes will not influence their purchase decision. This reinforces our previous
findings based on Figure 18, that personal decision influences 40% of the consumers buying
behavior. Still, 25% i.e., 1/4th of the respondents are of the view that the Nike brand being used by
their favorite cricketer will influence their purchase decision. This gives Nike the opportunity to
tap the potential cricket crazy fans and leverage the fact that cricket is a culture religiously followed
in India, to its advantage.
2. Analyze the perception of your respondents w.r.t. the given brands.
In the study we conducted to understand the perception of Indian consumers towards Nike shoes,
we experienced that customer perception plays a vital role in the success of the product. In the
world of business particularly marketing and advertising, perception is reality. How customers
perceive the brand, the products and the competitors determines how well the product performs in
the market.
Nike has built a strong brand image along the years through successfully brand association with
legendary athletic heroes. It has created a favorable perception in the minds of the Indian
Consumers; this is evident from the fact that 78 % of the respondents carry a favorable impression
about Nike shoes. (Refer to Figure 1)
64% of the respondents find Nike add to be good (Refer to Figure 2). Nike has been able to cut
through the advertising clutter and ensure that consumers note the ads. Nike through its
experiential marketing method aims at increasing the sensory input which will decrease the

problem of sensory adaptation pertaining to ads. An example of this is Nikes ID system which
allowed customer to create their shoes to suit their identity.
The consumers perception of brand influences their buying decision in sports industry, so Nike
always has been able to live up to customers expectation and its athletic fantasy that is endorsed
by real athletes. Nike uses subliminal persuasion through celebrity endorsements conveying a
meaning that a brand can make you perform better. These subliminal stimuli trigger certain
associations and motivations in a person but not necessary lead to purchase or buying decision.
This is evident from the responses where 75% (Refer to Figure 7) of the people will not necessary
by the shoes worn by their favorite cricketer. Although it does not lead to a purchase behavior, it
certainly leads to an association in minds of the consumers where people relate Nike with
Competence (41%) and Excitement (16%) (Refer to Figure).
The external influence promoting the Nike brand is the sports culture of people here in India.
Whether it may be the reason of being physically fit or being allured by the sports personalities,
Nike ads cater to people with different motives resulting in high perceptual selection. The ads
have been highly successful in conveying its message thereby reducing the problem of selective
attention usually faced by other companies. People infer the exact message like Passion for sports
(43%) and Commitment to goals (23%) that Nike wants to convey. (Refer to Figure 5)
The grouping principle of perceptual organization is used by Nike in its advertisement to imply
certain desired meanings in connection with their products. The overall mood implied by the
grouping of stimuli like sports personalities and their environment leads the consumer to associate
the ad with Passion, Commitment and Competence. (Refer to figure5 and 3)

In case of Nike, we see the factor that triggers stereotype is mainly physical appearance. In this,
people tend to attribute the qualities they associate with sportsperson with others who resemble
them. Hence Nike has successfully ensured a rational match between its product and the
professional athletes used to promote it. This effort has resulted in Nike creating a favorable brand
image in the mind of consumers and they tend to relate Nike shoes with Competence (41%),
Excitement (16%), Pride and Reputation (20%). (Refer to Figure 3).
Nike has also combined perception with culture. Knowing that cricket is an intrinsic part of
Indian culture, it comes up with ad related to cricket (ads like Let Every Yard Count) to influence
the youth of the country to buy its product. This is an appropriate strategy used by Nike as there
are respondents who gets influenced by this factor (Refer to Figure 7).
Nike is positioned as a premium brand, selling well-designed and very expensive products. 61%
of the respondents perceive Nike to be better than any other brand available in the Market (Refer
to Figure 6). In todays competitive environment, a distinct product image is very difficult to create
and maintain. And Nike has done this successfully. The factor that stops people from purchasing
Nike is mainly its price (37%) and its design (27%) (Refer to Figure 4). Nike mainly focuses on
its athletic products rather than fashion outfitters.

Attributes of Nike Shoes Analyzed:

QUALITY- Nike shoes have always been perceived to be of high quality.According to the
survey, 57% of the people are somewhat satisfied with the quality of Nike shoes (refer to
figure 8).This infers that the Perceived quality of Nike shoes is high. High perceived
quality of Nike shoes can either be because of the intrinsic cues or extrinsic cues or a
combination of both. Intrinsic cues (i.e. physical characterstics of the product) like
comfort, durability,and design and extrinsic cues like the packaging of Nike shoes or the
retail store image can be some of the factors behind high perceived quality among the
customers. Also, since customers are satisfied with the quality, the functional risk and
time risk associated with the product is also low.

PRICE- According to figure 9, 35% of the people are somewhat satisfied with the price of
Nike shoes. But if we refer to figure 4, we can see that 37% of the people are ready to
switch to Nike from other brands if the prices are lower which infers that still there is a
section of customers which thinks the price of Nike shoes is high and they will only switch
to Nike if it lower downs the prices. Therefore, we can say that the perceived price for
Nike shoes is high in the minds of the customers. The customers using price/quality
relationship will consider it to be of high quality due to its high perceived price.

COMFORT- According to figure 10, 53% of the people are strongly satisfied with the
comfort that Nike shoes provide. As comfort acts as one of the intrinsic cues, this is one
of the reasons why the perceived quality of Nike shoes is high in the minds of the
consumers. Because consumers feel that it is comfortable, safe and does not harm the foot
muscles, the physical risk associated with it is also very low.

STYLE- Customers rate Nike shoes very high on style. 56% of the people surveyed were
strongly satisfied with the designs of the shoes (refer to figure 11). This infers that the
physical appearance of Nike shoes is rated to be very high which influences customer
decision to buy them. And because customers find Nike shoes stylish, it also decreases the
social risk (like embarrassment) associated with it.

VALUE FOR MONEY- If we refer to figure 12, 44% of the customers are somewhat
satisfied with the value that they are deriving from Nike shoes for the prices that they have
to pay. It infers that the customers think that it has good value for money. Since Nike shoes
have got high value for money according to the customers, the financial risk (that it will
not be worth its cost) is very low.

Nike through its Product attributes and Advertisements have been able to handle perceived risk
faced by a consumer. Its excellent positioning strategies has formed consumers beliefs about its
product attributes. It is perceived as a prestigious product with a good brand image, good
durability, good aesthetics and a product worth purchasing.

Annexure I: Research Design

Sample size: 36
Sample element: Youngster between the age group of 20- 30
Sampling procedure: Random Sampling approach has been adopted.
Research approach: The survey method through Questionnaire is used.
Mode of communication: Online as well as Offline medium was used to get the required
responses.

Annexure II: Questionnaire used for the micro survey

Consumer Behavior - Nike Shoes

This questionnaire is purely an academic research for the completion of a CB Project It is

designed to investigate the factors which influence consumers perception towards Nike Shoes.
There is no correct or incorrect answer for each question. Therefore, please answer as honestly as
possible. All information provided will be treated with anonymity and confidentiality. The
survey result will strictly be used for academic purposes only.
Thank you very much for your cooperation and participation
* Required

What is your annual family income? (Approx.) *

Below 3 lakh
3, 00,001 to 6, 00,000
6, 00,001 to 9, 00,000
9, 00,001 to 12, 00,000
12, 00,001 to 15, 00,000
Above 15, 00,000
Are you aware of the Nike Shoes? *
Yes

No
Which brand of shoes do you own? *
Nike
Adidas
Reebok
Puma
None
Other:
Who can influence your decision to buy a Nike shoes? *
Friends
Family
Advertisement
Team member of Sports Club
Brand worn by Sportsperson
Personal Decision
Other:

Rate Nike shoes on the following attributes? *

1 - Strongly
Dissatisfied

2 - Somewhat
Dissatisfied

3 - Neutral

4 - Somewhat
Satisfied

5 - Strongly
Satisfied

Price
Comfort
Style
Quality
Value for
Money

How do you feel about Nike shoes on the following attributes? *

1 Very
Bad
Advertisements
Brand Image

2 Bad

3
Indifferent

4 Good

5 Very
Good

What do you relate Nike shoes with? *

Excitement
Competence
Sophistication
Self- Belief
Pride and Reputation
Other:
What factor would make you shift from current brand to Nike? *
Better advertisements
Lower Price
Good Brand ambassadors
Better design
Better comfort
Other:
What do you infer about Nike from its advertisements? *
Unique brand
Passion for sports
Risk Taking
Commitment to goals
Stylish but sturdy
Havent seen one
Other:
Do you think Nike shoes are better than other brands available in the market? *
Yes
No
Will you buy Nike shoes if your favorite cricketer uses it? *
Yes
No
Age *
16 - 20
21 - 24

25 - 29
30 - 34
35 and above
Gender *
Male
Female
Name *

Annexure III: Analysis of the responses towards Consumer Behavior of Nike Shoes

Brand Image of Nike

Very Good

22%

39%

Good
Indifferent

39%

Advertisement of Nike
Shoes
5%
3%

Very Good

Bad

Good

33%

28%

Indifferent

31%

Bad

Very Bad

Figure 1: Brand Image of Nike Shoes

What Do You Relate Nike Shoes with?

Excitement

Very Bad

Figure 2: Advertisement of Nike Shoes

Factors that would make you shift from

current brand to Nike
Better
Advertisements
Lower Price

Competence

20%

5% 16%

7%
11%

41%

Sophistication
Self Belief
Pride and
Reputation
Other

32%

0%
2%

Good Brand
Ambassadors
Better Design

37%

27% 2%

Better Comfort
Other

Figure 3: Consumer Perception of Nike Shoes

Figure 4: Reasons for shifting to Nike Shoes

Inference from Nike's Advertisements

Are Nike Shoes Better than

Other Brands?

Unique Brand
Passion For Sports

7%
11%

7%

Risk Taking

43%

23%
9%

Commitment to
Goals
Stylish But sturdy

39%
61%

No

Haven't Seen One

Other

Figure 5: Inference from Nikes Advertisements

Yes

Figure 6: Nike shoes v/s other brands

Will you buy Nike shoes, If

your Favourite Cricketer uses
it?

How do you rate Nike shoes on

'Quality' attribute?
Strongly
Dissatisfied
Somewhat
Dissatisfied
Neutral

16%
25%
Yes

75%

57%

27%

Somewhat
Satisfied
Strongly Satisfied

No

Figure 7: Nike Shoes and Cricket

Figure 8: Perception on Quality of Nike Shoes

How do you rate Nike shoes On the

'Price' attribute?

How do you rate Nike shoes on

'Comfort' attribute?

Strongly
Dissatisfied

19% 5% 15%

Somewhat
Dissatisfied
Neutral

35%

5%
42%

53%

26%

Strongly
Dissatisfied
Somewhat
Dissatisfied
Neutral

Somewhat
Satisfied
Strongly Satisfied

Somewhat
Satisfied
Strongly Satisfied

Figure 9: Perception on Price of Nike Shoes

How do you rate Nike shoes on

'Style' attribute?
2%
9%
56%

33%

Strongly
Dissatisfied
Somewhat
Dissatisfied
Neutral
Somewhat
Satisfied
Strongly Satisfied

Figure 11: Perception on Style of Nike Shoes

Figure 10: Perception on Comfort of Nike Shoes

How do you rate Nike shoes on 'Value

for money' attribute?
11%

44%

14%

Strongly
Dissatisfied
Somewhat
Dissatisfied
Neutral

31%
Somewhat
Satisfied
Strongly Satisfied

Figure 12: Perception on Nike shoes being value for money

Age Group

Choice of Shoes
16 - 20

30%

3%

21 - 24

67%

25 - 29

13% 21%
12%
12%

21%
21%

Reebok
Adidas
Nike
Puma

30 - 34

None

35 and above

Figure 13: Age Distribution of the respondents

Figure 14: Shoe preferences of the respondents

Annual Family Income

High Family Income Shoe

Preference

Below 3 lakh

14%

36%

22%

11%6%11%

3,00,001 to
6,00,000
6,00,001 to
9,00,000
9,00,001 to
12,00,000
12,00,001 to
15,00,000
Above 15,00,000

15% 16%
15%
23%
31%

Reebok
Adidas
Nike
Puma
Other

Figure 15: Family income of the respondents

How do you relate to Nike

Shoes

Figure 16: Shoe preference of High family income group

Influence in Buying Decision

Friends

Excitement
Family
Competence

25%

6% 19%

Sophistication

2%
3%
11%
7%

Self- Belief

6%
11%

33%

Pride and
Reputation
Other

Figure 17: Perception of Nike shoes

24%
13%

40%

Personal
Decision
Team Member
Advertisement
Brand worn by
sports person
Other

Figure 18: Influence of buying decision of Nike Shoes

Advertisements of Nike Shoes

Unique brand

6%
11%

8%

Passion for sports

Risk taking

22%

47%
6%

Commitment to goals
Stylish but sturdy

Haven't seen one

Other

Figure 19: Perception of Nike shoes advertisements