Nike's controversial Colin Kaepernick’s campaign has been the talk of both advertiser and consumer circles this month. Kicking off the campaign with a commercial released during the NFL season opener, the video featured Kaepernick’s voice, and introduced the tagline “Believe in something. Even if it means sacrificing everything,” a reference to Kaepernick’s national anthem protest against police brutality which arguably cost him his NFL career.
In response to the ad, audiences fall into three basic camps: those for which the campaign strengthens the appeal of the brand and the consumer’s respective loyalty; those who have decried the brand as anti-American and called for a boycott; and those that think Nike is exploiting a sociopolitical issue for their own gain. Regardless of which of these camps you fall in, there’s one thing that’s obvious by now, the campaign has been a success.
Nike stock prices reached an all-time high immediately in the aftermath of the ad, and their e-commerce channel will likely be a beneficiary of their ad-spend: their recent earnings report highlighted Nike’s direct digital sales channel as its “fastest-growing segment, rising 36% overall during the quarter.”
But the success of Nike’s campaign doesn’t mean that aligning with a controversial cause should be taken lightly. If you’re betting on controversy to make your brand relevant, there are many things you should consider first.
The content landscape is shifting.
In many ways, a major brand like Nike aligning with a highly controversial issue is unprecedented, but thanks to the evolving content ecosystem, audiences have been primed to see this type of unapologetic content that more closely reflects their own beliefs.
According to Justin R. Ching, the founder of j-school, a production company whose goal is to tell the stories of underrepresented groups in their own voices, and a writer/producer who’s making a name for himself in appealing to niche audiences, this content shift started with streaming-video-on-demand (SVOD).
"SVOD platforms made it possible for niche content to have a long-term path to growth," says Ching. "Networks traditionally took a one-size-fits all approach to content, too afraid to alienate any demographics. When streaming platforms started producing content with a focused and authentic approach to previously underserved audiences, viewers responded overwhelmingly well to seeing content that reflected their own identities.”
Ching makes the case that the one-size-fits-all network narrative is similar to what we see from brands that are afraid of alienating factions of their potential consumers. But the brands that are sticking with these boardroom-approved messages haven’t caught up with the times.
Bet on your core.
Regardless of the timing, Nike understood that a campaign of this nature could alienate some consumers, and decided to take a calculated risk. Understanding who their target consumers are and what they value as a cohort, they were able to make a bet; one that paid off.
According to a recent poll released by ESPN, the ad reached Nike’s target consumer. "Nike took a strategic risk to alienate some customers in order to appeal to their core base of 18 to 29-year old males," said John Gerzema, CEO of The Harris Poll. "It was a calculated move to become a more polarizing brand and it seems to have worked."
And it’s not surprising. The age range of Nike’s target consumers encompasses the Millennial and Gen Z demographics, both of which are known for their support of socially active brands.
Make it authentic.
Both of these generations are savvy and know how to differentiate between marketing and reality, which is why marketers have been laser-focused on conveying authenticity.
"Audiences are braver about their beliefs than ever before," says Ching. "We're no longer in a place where the safe middle-of-the-aisle-approved narrative is good enough. Consumers want businesses to take a strong point of view and truly demonstrate they share the same values, especially if that means making a sacrifice.”
In Nike’s campaign, sacrifice was a major player in its perceived authenticity. Nike effectively said that they were willing to invest in consumers who aligned with the company’s values, even if it cost them sales from entire cohorts of people.
But if the sheer volume of press that Nike has received, or the increase in social media mentions since the Kaepernick campaign is any sign of its success, then Nike is winning.
Online sales grew by 31% during the bank holiday weekend after the ad launched, according to researcher Edison Trends. And social media mentions of Nike-owned brands increased significantly after the Kaepernick ad was released, peaking at over 450,000 mentions in a single day on Twitter alone.
