#riskeverything - ROI of Nike's Social Technology implementation

Image courtesy of theinspirationroom.com

Nike's #riskeverything Campaign

I love football. I'm passionate about it. So when the 2014 World Cup came along I was ecstatic. I was awake at odd hours of the morning ready to cheer on our boys. And when Nike launched their football campaign to capitalise on the approaching football season, I was immediately hooked.

This campaign used social technologies to release to the world... a story. Nike took one long segment and broke it down into smaller segments, releasing them individually through the Nike Football YouTube and the Nike Football Facebook pages. With the hashtag #riskeverything, came the opportunity for fans to showcase their #riskeverything moments in one of Nike's videos. With the likes of Cristiano Ronaldo, Brasil's Neymar, and the legendary Wayne Rooney featuring in this story, the clever product placement, as well as this incredible opportunity for viewers, it was bound to be a success.

In this post I will discuss Nike's Return on Investment (ROI) generated from this campaign as well as the many benefits that surfaced. If you haven't already seen these videos, I would highly recommend checking them out. Below are a few of my favourites - "Winner Stays" and "The Last Game" are sure to give you a chuckle (I laugh every time anyway).

Nike Football "Winner Stays" from Nike Football Youtube

Nike Football "The Last Game" from Nike Football Youtube

Nike Football "Pressure shapes legends" from Nike Football Youtube

Dare to #riskeverything from Nike Football Youtube

Return on Investment (ROI) from this campaign

Tangible Benefits

Preceding the tournament, Nike posted a 21% increase in football revenue alone. From information gathered from their 2014 Annual Report, the gain they made from this investment was $2270 Million, an 18% change from previous years $1930 Million (but 21% when excluding currency changes from said previous year). From here, and taking into account the currency changes and report information, the calculated cost of this investment equaled approximately $1870 Million. Meaning Nike's ROI from this football campaign is as follows:

ROI = Gain from investment - Cost of investment

            __________________________________________________     x 100

Cost of investment

$2270 Million - $1870 Million

        ___________________________________     x 100

$1870 Million

= 21% ROI

Taking into account their 2012-2013 increase of a small 9%, the #riskeverything campaign definitely utilised social technologies to their advantage this year. Let's now look at some intangible benefits gained.

Intangible Benefits

To make this easy, here is a neat little infographic of the benefits gained through multiple social technologies.

Stats on #riskeverything campaign as of Aug, 2014. Image courtesy of Nike and Darren Heitner/Forbes

As of August 2014, the campaign had generated more than 22 million engagements, where these engagements includes likes, comment and shares over numerous social platforms. From Twitter alone, Nike received a total of 3,072,369 mentions during the World Cup.

Even now, from information I gathered from a quick search on Social Mention, the #riskeverything hashtag is still being used throughout social technologies, and still having a significant reach to current and potential Nike customers.

Dated 18/09/14, 4:05pm

One can only make the assumption that majority of these intangible benefits are being converted into some form of revenue for Nike. It is evident that business definitely increased as a result of this campaign, and without the use of social technologies, the benefits and success would not have been as jaw-dropping. Nike's ROI approach has proven to be a strength in their enterprise, not only increasing revenue for them, but also increasing awareness of the brand as well as customer loyalty.

Thank you for reading!

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