Nike is a well-known sportswear and accessories manufacturing brand that enjoys the position of number one in its field. The brand with a “tick” logo has received a big tick from its consumers which has made it the world’s largest sports shoe supplier. The brand is said to be employing over 74,400 people worldwide as of 2017. Let us have a quick glance at the inception and the net worth of Nike in 2020.
In January 1964, Phil Knight, an athlete of the University of Oregon and his coach Bill Bowerman started to distribute sports shoes manufactured by the Japanese company Onitsuka Tiger. The duo will attend various sports meet that is being held in their surroundings and sold shoes displaying them on their vehicle. They named their company Blue Ribbon Sports.
The company sold more than 1300 shoes in the first year and grossed around $8000. The following year Bill and Phil hired a full-time employee for them as a result of which they made over $20,000. In 1966, they opened a retail store for BRS in Santa Monica, California and its success made them expand their business in Wellesley, Massachusetts.
As the relationship between Onitsuka and BRS became brittle by 1971, BRS planned to end their contract with Onitsuka and wanted to start its footwear line. On May 30, 1971, BRS was renamed as Nike, and the swoosh logo designed by Carolyn Davidson was added to the brand on June 18, 1971.
Otis Davis, the winner of two gold medals at the 1960 Summer Olympics, claims that he was the first one to wear the Nike shoes made by Bill Bowerman as Davis was a student of the University of Oregon where Bill was a coach.
The name and the logo were registered with the U.S. Patent and Trademark Office in 1974 and Nike went on to hire John Brown and Partners as its ad agency. Their first ad was made in 1977 titled. There is no Finish Line. In December 1980, Nike became public after reaching 50% market share in the United States.
In 1988, Dan Wieden, co-founder of Wieden+Kennedy ad agency came up with the slogan “Just Do It” for an ad. Wieden said that the last words of Gary Gilmore which goes “Let’s Do It” inspired him to coin the slogan “Just Do It” for Nike.
The brand witnessed great expansion through the 1980s and established its World Headquarters Campus in Beaverton, Oregon in 1990. The company purchased Bauer Hockey in 1994 and went on to acquire Converse in 2003 for $309 million. It also purchased Starter in 2004 and Umbro in 2008, selling them back in 2007 and 2012 respectively. The company has over 74,400 employees worldwide currently sponsoring many world-class sportsmen and athletes.
In May 2005, Fair Labour Association accredited Nike for its Compliance Program and was nominated for the Casey Martin Award in June 2005. The company was named in the 100 Best Companies to work for the list by the Fortune Magazine in January 2006 and was ranked in top 20 in the Fortune 500 companies list in October 2006. Nike’s slogan was selected as one of the top 5 slogans in the 20th century by the Advertising Age.
Net Worth & Earnings
The company’s revenue is said to be around $34.35 billion, and the value of its total assets is $23.26 billion. Its operating income and the net income are estimated to be $4.95 billion and $4.24 billion respectively, and the net worth of the brand is $29.6 billion.
Starting as a distributor brand that used to sell shoes at the back of a car, Nike has now grown into one of the largest sportswear manufacturing brands in the world setting its foot in more than 45 countries. The brand not only says “Just Do It” it actually “Just Did It”