Marketing Excellence the company's first spokesperson, had an irreverent attitude that matched Nike's spirit. In 1985, Nike signed up then-rookie guard Michael > > Nike Jordan as a spokesperson. Jordan was still an up-and- Nike hit the ground running in 1962. Originally known as comer, but he personified superior performance. Nike's Blue Ribbon Sports, the company focused on providing bet paid off-the Air Jordan line of basketball shoes flew high-quality running shoes designed for athletes by ath- off the shelves and revenues hit more than $100 mil- letes. Founder Philip Knight believed high-tech shoes lion in the first year alone. As one reporter stated, "Few for runners could be manufactured at competitive prices marketers have so reliably been able to identify and if imported from abroad. Nike's commitment to design- sign athletes who transcend their sports to such great ing innovative footwear for serious athletes helped build effect." In 1988, Nike aired the first ads in its $20 million "Just a cult following among U.S. consumers. Nike believed in a "pyramid of influence" where the Do It" ad campaign. The campaign, which ultimately fea- preferences of a small percentage of top athletes influ- tured 12 TV spots in all, subtly challenged a generation of enced the product and brand choices of others. Nike's athletic enthusiasts to chase their goals. It was a natural marketing campaigns have always featured accom- manifestation of Nike's attitude of self-empowerment plished athletes. For example, runner Steve Prefontaine, through sports. DEFINING MARKETING FOR THE NEW REALITIES CHAPTER 1 53 As Nike began expanding overseas, the com- play today. Tiger's powerful influence on the game and pany learned that its U.S.-style ads were seen as his Nike-emblazoned style has turned the greens at the too aggressive in Europe, Asia, and South America. majors into "golf's fashion runway." Nike realized it had to "authenticate" its brand in other Nike is the biggest sponsor of athletes in the world countries, so it focused on soccer (called football and plans to spend more than $3 billion in athletic outside the United States) and became active as a endorsements between 2012 and 2017. The com- sponsor of youth leagues, local clubs, and national pany also has a history of standing by its athletes, teams. However, for Nike to build authenticity among the such as Tiger Woods and Kobe Bryant, even as they soccer audience, consumers had to see professional ath- struggle with personal problems. It severed its rela- letes using its product, especially athletes who won. tionship with Lance Armstrong in 2012, however, after Nike's big break came in 1994 when the Brazilian strong evidence showed that the cyclist doped during team (the only national team for which Nike had any real his time as an athlete and while competing during all sponsorship) won the World Cup. That victory transformed Tour de Frances. Nike released a statement explain- Nike's international image from a sneaker company into a ing, "Nike does not condone the use of illegal perfor- brand that represented emotion, allegiance, and identifi- mance enhancing drugs in any manner." Prior to the cation. Nike's new alliance with soccer helped propel the scandal, the company had helped develop Armstrong's brand's growth internationally. In 2003, overseas revenues LIVESTRONG campaign to raise funds for cancer. It surpassed U.S. revenues for the first time, and in 2007, designed, manufactured, and sold more than 80 million Nike acquired Umbro, a British maker of soccer-related yellow LIVESTRONG bracelets, netting $500 million for footwear, apparel, and equipment. The acquisition made the Lance Armstrong Foundation