The sportswear giant Nike has turns the table and proved the prediction of President Donald Trump wrong. As the president claimed that Nike hiring NFL former player Colin Kaepernick for its ad campaign would be a killing decision. However, the company endorsement with the player has become a huge success.
As per CBS News report of Friday, Nike has earned a market value around $6 billion right after it unveiled Kaepernick, who ignite the controversy as a mastermind of protest by NFL players against police violence and racism. And the company made him star of a provocative ad campaign.
As an immediate response, the campaign comes out to be controversial. Consequently, Nike’s stock dropped to 3 percent. Customers showed an intense reaction and burned Nike shoes and other products while declaring a brand’s boycott. SinceTrump, bitterly condemned Kaepernick and other athletes protest by kneeling down to the ground, stick a knife to the ad campaign and declaring this as conducting terrible message “terrible message”
After launching of the ad, the president tweeted in the days “Just like the NFL, whose ratings have gone WAY DOWN, Nike is getting absolutely killed with anger and boycotts”.
Even though at that time Nike stock prices recovered from the starting dip, but in past fewer weeks showed a performance near an “an all-time high,” CBS said.
Last week as per Reuter’s report, after releasing the Kaepernick ad, the company has traded 61 percent more merchandise. Nike came up with a strategy and put a 10 percent discount on its products after ad launching campaign.
Camilo Lyon said, known for financial services analyst from Canaccord Genuity company, “[Nike’s] new ‘Just Do It’ ad campaign with Colin Kaepernick was a stroke of genius”. Furthermore, as per Reuters, this premeditated move was another subtle but significant sign of Nike’s strength and confidence in its position in the marketplace.”