AP/Mike McCarn
Colin Kaepernick, kneeling in protest during the national anthem in 2016.
- Nike selected former NFL quarterback Colin Kaepernick as one of the faces of a new ad campaign featuring the brand's famous "Just Do It" slogan.
- The move was instantly controversial, with some Nike customers threatening a boycott, cutting up their Nike clothing and burning their sneakers.
- An ad like this carries risk, but it will still likely pay off for Nike.
Nike has stirred a hornet's nest with its newest "Just Do It" ad campaign.
It features former NFL quarterback Colin Kaepernick, with the words "Believe in something. Even if it means sacrificing everything" emblazoned across his face. The ad is an obvious reference to NFL players kneeling in protest during the national anthem, a practice that was started by Kaepernick.
Nike's new ad is clearly a risk. It predictably blew up on social media and immediately became controversial. While some praised the ad, others lambasted it and chastised the company. It has spurred calls for a boycott of Nike products. Some more dramatic people on social media decided to light their shoes on fire or burn them in outdoor fireplaces.
Nike had to have to known that the ad would not be taken well by some, but it decided to release it anyway. A brand as big as Nike doesn't make big moves like this without considering every angle.
By at least one measure, the ad was enormously successful. Nike and its ad were top-trending terms on Twitter on Monday when it was released. At the very least, everyone is talking about it.
Keeping belief-oriented customers in mind
Put simply, however, it's a game of numbers when it comes to big brands' decision-making. As Matt Powell, sports-industry analyst for NPD Group, put it simply in a tweet: "Old angry white guys are not a core demographic for Nike."
Nike primarily targets younger customers including teens, and since 2017 it has focused on what it calls "key cities," like New York and Los Angeles, and has driven growth by "deeply serving" the customers who live there.
Younger customers are more likely to expect the brands they buy from to take a stand like Nike just did, with 60% of millennials identified as "belief-driven buyers" globally, according to a 2017 study by Edelman. In fact, 50% of all customers now say they buy based on belief.
Nike had retained Colin Kaepernick, even after he was not signed to a team in the NFL, from a deal dating back to 2011, according to The New York Times. Nike and Kaepernick extended the deal with the beginning of this new campaign.
Kaepernick's profile has not faded in his time out of the league, and sales of his merchandise remained strong in 2017 even though he was not playing. His official jersey was the 39th best-selling for 2017, and it was the only one from a player not currently in the league to break the top 50 in sales.
Nike is planning on releasing a line of merchandise with shoes and T-shirts in conjunction with the ad, according to The Times, and it will donate to Kaepernick's non-profit, which focuses on "higher education, self empowerment, and instruction to properly interact with law enforcement in various scenarios."
Nike also made a shrewd move when it signed a 10-year deal to outfit all the teams in the NFL in March. It did not need the league's approval for Kaepernick's appearance, as he is not currently a player.
"Nike has a long-standing relationship with the NFL and works extensively with the league on all campaigns that use current players," a Nike spokesperson said to the Wall Street Journal. "Colin isn't currently employed by an NFL team and has no contractual obligation to the NFL."
Kaepernick is currently locked in a battle with the NFL, alleging that the league and its teams colluded to keep him out of the league.