I wasn't sure if Nike's decision to use Kaepernick would work, but evidently some people who buy shoes don't feel the same way some people who own football teams. Capitalists need consumers, and the guys buying the sneakers aren't the same guys who are renting luxury suites at the stadium.
CBS News wrote:The heat Nike has taken over its controversial advertising campaign featuring former NFL start Colin Kaepernick seems to have had another effect: burnishing the iconic brand's appeal to investors.
Nike shares have surged 36 percent on the year, making the company the top performer on the Dow's index of 30 blue-chip stocks. The run-up includes a nearly 5 percent increase since Nike's Labor Day announcement that Kaepernick would be featured in its campaign, adding nearly $6 billion to the company's market value.
The stock continues to hover near an all-time high, which it reached in mid-September only weeks after some Nike customers publicly burned their shoes to express their displeasure at the new ad.
In afternoon trading Nike shares were up slightly to $85.67.
For Nike, the boost eases concerns about the decision to link its brand to the controversial Kaepernick, who in 2016 started kneeling during the national anthem before games to protest racial injustice.
Nike knows its consumer base, which skews younger, said Art Hogan, chief market strategist at B. Riley RBR. "I don't think they just randomly decided to put this ad out, thinking, 'Let's commit political-correctness suicide'."
"People vote with their wallets, and the one clear winner in athletic apparel remains Nike," he said, comparing Nike to Apple in its ability to create demand by rolling out "must-have" products.
Again, the stock market sees the difference between the luxury boxes and the guy on the street, and bets accordingly.
"The great problem of any civilization is how to rejuvenate itself without rebarbarization." - Will Durant "We've kept more promises than we've even made" - Donald Trump "Of what meaning is the world without mind? The question cannot exist." - Edwin Land
I'm not sure if it's because Nike was in the news recently over this or because people are showing support, but I have never noticed so many people wearing Nike as I have lately.
And whether more people are wearing their stuff or I am more attuned to seeing it doesn't really matter from the company's perspective. They've got me thinking about them. That's some fine marketing.
God belief is for people who don't want to live life on the universe's terms.
MeDotOrg wrote:I wasn't sure if Nike's decision to use Kaepernick would work,....
you werent sure if an inflammatory and controversial ad campaign would work? How long have you been in America?
Seek freedom and become captive of your desires...seek discipline and find your liberty I can tell if a person is judgmental just by looking at them what is chaos to the fly is normal to the spider - morticia addams If you're not upsetting idiots, you might be an idiot. - Ted Nugent