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Assumptions We can reach 90% awareness in the first year 10% of our media costs is for production charges There is a demand for Nike TruFit Maternity Parents magazine full page ads are the same price as American Baby ads (owned

by the same company)

Assume that 35% of purchases are made online Ad pre & post testing assumed cost of $10,000 per ad test We will assume production/design will be done in-house The cost of Iron Girl 10K is the same as the Five Points of Life Marathon The US Department of Health and Services Birth Data for 2002 for our target

market is the same for 2006

Assume the cost per water bottle after a quantity of 5000 is $4.00 each 2006 Global Sales Summit sponsorship prices for events will be the same for the

American Baby Faire Expo

Attendance for number of participants at Nike Women's marathon is the same forIron Girl

No share of voice for the industry Print quota for in-house printing All coupons online for the promo kit are used for the marathon Postage based on 3 Digit zip code pre-sorting prior to mailing Log analysis software is in-house Video will be produced and posted in-house No shipping costs for promotional give a ways Assume spa getaway package airline tickets and hotel package equal $1700

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Executive SummaryThe following Integrated Marketing Communications presentation was developed

by the Nike Corporation in support of a new division called Nike TruFit Maternity.

TruFit Maternity is a line of fully functional fitness and athletic apparel designed to

support a healthy active pregnancy. Our product is customized by our clients to achieve

ultimate comfort, showcase their individual style and demonstrate that being pregnant is

beautiful. A woman that exemplifies our TruFit profile is, 20-49 years old and has a

household income of $30,000 or higher. Our customers receive benefits that are both

tangible and intangible in nature. They receive the highest quality material, designed

exclusively for the bodily changes of pregnant women. Comfort is achieved through our

customization option, allowing the customer added support, change dimensions and

adjust seam position and cut specifications. These benefits lead to our customers being

satisfied with the merchandise they purchase and more importantly, translates into

motivation that leads to a healthy lifestyle during their pregnancy. Intangibles such as

increased self-confidence, developing healthy habits, and reducing fetal complications

will be amongst the most important benefits derived from our products. All of these

benefits considered, women will be able to identify to our brand through our promotional

theme, Do it for your Baby. Do it for yourself. Just do it! Our marketing efforts will

begin in February 2007 with print, television, e-commerce, viral campaigns, POP

displays, sales promotions, event promotion, and public relations. Synergistic design and

implantation of these components will solidify brand recognition, and assist us in meeting

our goals for the first year of business. We plan on achieving 90% recognition from our

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target market as well as achieving $335,850,800 in retail sales ($265,272,480 - wholesale

sales).

With the institution of our media campaigns and supported by the pre-existing

distribution network of Nike Inc. and its subsidiaries, women around the globe will be

anticipating the due date of TruFit Maternity on, April 12, 2007.

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RecommendationsSegmentation Strategy

Consumer Target Market Characteristics (Appendix 1)o Geographic Information

General United States Focusing more on suburban areas

o Demographics Age: 20 49 Sex: Female Income: $30,000 or higher Occupation: professionals, students, homemakers Education: some high school, high school graduate, some college,

college graduate

o Psychographics Personality: introverted, extroverted, compulsive, ambitious,

outgoing. Lifestyle: active, adventurous, health conscious, self-aware.

o Benefits Sought Customized design/fit Comfortable material Accessibility Durable High quality Product diversification Comfort Practical Affordable

o Usage Rate of use: light, medium, heavy users User States: potential, first time, regular users

Consumer Target Market Definition and Size (Appendix 1)o Definition: Our ideal target market for Nike TruFit Maternity is anaudience of females between the ages of 20-49 years old, who occupy any

profession with an income of $30,000 or higher. Ideally our clients willalready live an active life, although we hope to reach those who are new toor curious about the benefits of maintaining a healthy lifestyle. Ourcustomers can be existing Nike supporters or ones that are experimentingwith our new product offering.

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o Target Market Size: According to the data collected by the US Departmentof Health and Human Services, there are 4,019,280 women within ourtarget market (See Appendix 1a).

Trade Target Market (Appendix 2)o Niketown stores, Nike Womens stores, and Nike Factory stores across theUnited States totaling 115 storeso Lady Footlocker, Footlocker, Champs, and Finish line stores across the

nation

Positioning Strategy Positioning Strategy

o Positioning Strategy Statement: Nike TruFit Maternity will offer a completeline of customized maternity clothing that will fully conform to a pregnantwomens ever changing body. We will be using a functional benefit

positioning strategy in order to express to our target market that they will nowbe able to exercise more comfortably, while still looking fashionable.

Competitive Analysis Category Competitors: (Appendix 3)

o Athletic Maternity Clothing: Fit Maternity Maternity Active wear Mimi Maternity

o Athletic Clothing: Lululemon Adidas Russell Athletic

Perceptual Map (Appendix 4)Marketing Objectives

Value Proposition:o Unique Selling Proposition:

Do it for your baby. Do it for yourself. Just do it!o Functional: Nike TruFit Maternity is custom fit for a womens pregnant

body and expands as the body grows. The clothes are very flexible andmove with the body, which makes it ideal for pregnant women to workoutin.

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o Emotional: This product gives women the ability to custom fit theirclothes which will make them fit better, giving women more selfconfidence. This product is also designed to promote and encourage ahealth active lifestyle, and this could motivate more women to also worktowards healthier habits.

o Self Expressive: When a women is seen wearing Nike TruFit Maternityshe will be perceived as a health conscious, pregnant women that leads ahealthy active lifestyle, and is not only concerned with her babies healthbut also her own. Our product presents the image that you are a confident,self-motivated, and health conscious.

Marketing Objectives for 2007 (Appendix 5)o Product Introduction Due Date: April 12, 2007o Total Retail Sales: $ 335,850,800o

Total Wholesale Sales: $ 265,272,480o Total Units Sold: 4,823,136 units

Marketing Mix Product Strategy

o Type of Product: Athletic Maternity clothingo Name of Product: Nike TruFit Maternityo Features:

Customized fit Custom design High quality material Durable Comfortable Affordable

Pricing Strategyo Wholesale Price: For all garments is as follows:

Walking / Jogging: $28 - $56 (Pants) Yoga / Stretching: $28 -$56 (Pants) Tank / Short Sleeve / Long Sleeve / Sleeveless Tops: $17.50 - $38.50 Sports Bras: $17.50 - $49 Causal Wear Pants and Tops: $28 - $77 (Pants) $17.50 - $49 (Tops) Warm-up Suits: $70 - $140

o Retail Price: For all garments is as follows: Walking / Jogging: $40 - $80 (Pants) Yoga / Stretching: $40 -$80 (Pants)

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Tank / Short Sleeve / Long Sleeve / Sleeveless Tops: $25 - $55 Sports Bras: $25 - $70 Causal Wear Pants and Tops: $40 - $110 (Pants) $25 - $70 (Tops) Warm-up Suits: $100 - $200

Advertising Plan Advertising Objective (Appendix 5a)

o Increase our products awareness from 0% to 90% within our targetmarket in fourteen months.

Advertising Budget (Appendix 5)o Forecasted Sales = $265,272,480o Using 20% of forecasted saleso Ceiling for advertising budget = $53,054,496o Share of voice = none

Creative Strategyo Copy Platform

Target Market Lifestyle Characteristics Active, adventurous, self-motivated Enjoys working out and leading a healthy lifestyle

Target Market Benefits Sought Comfortable material High quality Customized fit Affordable Durable Practical Product diversification

Objective: To develop strong brand awareness, knowledge and imageby convincing consumers that Nike TruFit Maternity offers a newlifestyle for pregnant women. With the customized fit and comfort notonly will pregnant women feel good about working out, they will alsolook good doing so.

Benefits: Custom fit Dri-Fit material Comfortable Support: Custom fit: Option of having clothing measurements taken and

made to customize your body Comfortable: Clothing is designed to move with the growing

pregnant body Campaign Theme:

Do it for your baby. Do it for yourself. Just do it!

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Encouraging healthy pregnancies one step at a timeo Execution

Television advertisement ( Appendix 6-8) Print advertisements (Appendix 9-10) Banner ads ( Appendix 11)

Internet website (Appendix 12-20)o Integration

Campaign theme, Do it for your baby. Do it for yourself. Just do it!will appear in all advertising both online and off

The website address www.niketrufitmaternity.com will be included inall television, print, and other promotional materials

Sponsorship of the Nike Women's Marathon, Iron Girl 10K, and theAmerican Baby Faire Expo will be incorporated into print and internetadvertising

Sales promotions will be incorporated in internet advertisingMedia Plan

Media Objectiveso To create an awareness of the Nike TruFit Maternity brand and benefits in

the target market (ages 20-49, female, target market size 4,019,280)through the use of media vehicles that match their demographiccharacteristics, attitude, and lifestyle

o The Geographic Scope is national, with an emphasis in suburban areas Media Strategy (Appendix 21-23) Reach/Frequency

o Reach 90% awareness in the target market (3,617,352) four times over afour week period during the 14 months of the media plan

o The reach goal is also consistent with the communications objective ofachieving 90% awareness set as advertising objective

Continuity Strategyo A combination of pulsing and continuous will be used, with the flighting

level of advertising during the product introductiono Our strategy for the length and size of ads are 30-60 second commercials

in late March and early April as well as two-page, full-color ads and ads

on cover 2 of selected magazines

Media Vehicles

Magazines (Appendix 24-26)o Parents Magazineo In Styleo American Babyo Self

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o Shapeo Fit Pregnancy

Network/Cable Channels (27-28)o Opraho Ellen DeGeneres Showo Live! Regis & Kellyo Friendso Wheel of Fortuneo Jeopardyo Sex & The Cityo Who Wants To Be A Millionaire

Interneto Banner Adso Online Communityo

Viral Video (Appendix 62)

o Podcast Length of Ads

o Single full page color ads and one full color ad on cover 2 in magazines.o 60-120 second ad commercials to begin in February two months before

our launch

Media Budgeto Media Costs (Appendix 58-61)

Total Television Cost = $20,328,764.50 Production Cost = $2,032,876.45 Total Magazine Cost = $4,656,485 (Appendix 29-33) Production Cost = $465,648.50

Total Internet Advertising Cost = $526,800 Total Media Advertising Cost = $25,512,049.50

o Advertising to Sales Ratio Year One Forecasted Wholesale Sales = $265,272,480 A/S Ratio = 15.61%

o Share of Voice Total Product Category Ad Spending = none Share of Voice = none

Integrationo Our advertising campaign will begin two months prior to the launch date

of Nike TruFit Maternity. All of our media vehicles such as the print,television, and internet will be consistent in image having all of the samecolors, fonts, themes, slogans, and models used.

Media Tactics (Appendix 34 for scheduling)

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o Media ScheduleInternet/Website Advertising

Internet Advertisingo Objective: To prompt internet users to click on the banner ad this will thenlink the consumer to the Nike TruFit Maternity website. A podcast will be

posted weekly to promote brand loyalty.

o Strategy: Banner ads will be put on the sites that our target market will

frequently use: Oprah.com Fitpregnancy.com

Podcasts will be posted on the TruFit Maternity webpage. Theprogram downloads automatically each week to subscribers

o Timing: Sneak-Peek banner ads will be put up in mid-February 2007. After

the product launch banner ads will continue to be put up on affiliatedwebsites

Podcasts will be put to the TruFit Maternity website prior to theproduct launch to give the customers a feeling of anticipation andownership before the product is available

o Cost: (Appendix 35-37) Banner ad design: in-house (no cost)

Banner ad placement: $526,800 Podcasts: in-house (no cost)

o Integration: Banner ads

Banner ads will have the same style, models, coloring as ourother print advertising and website

They will be placed on websites of products and services thatwill also promote womens health and style

Podcasts Podcasts will be available on our website.

The messages will all be centered around the Nike TruFitMaternity goal of promoting a healthy lifestyle for mothers andtheir babies

Websiteo Objective:

The website will be the primary means for our customers to learnabout TruFit Maternity products and purchase them

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The website will also be used to create a sense of belonging to acommunity for the customer through an Events page, Podcasts, andPregnancy Resources

o Domain Name: www.niketrufitmaternity.com (Appendix 38)o Timing:

The website will be up mid-February, 2007 for those that click throughon the banner ads, see the URL on the print and TV ads, and from theNike website

o Cost: (Appendix 39) Website design: in-house (no cost) Website hosting: $99/ year

o Integration:

Niketrufitmaternity.com will incorporate the same color scheme,models, and products that are featured in other TruFit Maternitycommunications

The website will also be a store which features the Nike TruFitMaternity clothing line

Niketrufitmaternity.com will also have pages to view the TV ads aswell as print ads

The website will also feature an events page informing visitors of NikeTruFits sponsored events. The first year, TruFit Maternity will besponsoring the Nike Womens Marathon on October 21, 2007 in SanFrancisco, California

The podcasts and regnancy resources will be centered around NikeTruFit Maternitys central goal of promoting the health of mothers andtheir babies The media will feature sources and experts in their field The pages have the same style as the rest of the website

Direct Marketing Direct Marketing to Consumers

o Objective:

Create awareness for Nike TruFit Maternity among the target market,and prompt the recipients to go the Nike TruFit website

o Strategy: E-mail

Customers of the TruFit website that opt-in to direct e-mail Direct mail list purchased from Fit Pregnancy to reach members of

the target market

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Print/Gift Direct Marketing: (Appendix 39a) Direct Mail: mailer would give an overview of the benefits of Nike

TruFit Maternity active-wear. In the brochure will also be a

swatch of Dri-Fit material and a TruFit Maternity magnet OB/GYN Informational Packet: A small guidebook describinghow to maintain a healthy lifestyle while being pregnant

Event Gift Bag: At the Nike Womens Marathon, Iron Girl Seattle,and American Baby Baby Faire participants will receive adrawstring athletic bag containing a Fit Pregnancy magazine, apink Nalgene water bottle and informational brochures

o Timing: The direct mail brochure will be mailed in mid-February to build

anticipation and awareness

The information packet to be included in the OB/GYN gift bag will bean on-going program that will be evaluated at regular intervals (i.e.quarterly or yearly) to find the packets effectiveness

The event gift bag will be given to the participants of TruFit Maternitysponsored events

Direct E-Mail will help build anticipation with pre-release e-mails andalso be an on-going program. Pre-release e-mails will be teasers andlink the recipient to the website. After the introduction, the e-mailswill feature new product offerings, exclusive savings, and events

o Cost: (Appendix 40-43) Direct e-mail list: $75,000 (1 blast per month for 14 months) Direct mail: $8,534,683.98 Gift bags: $179,550 Total Cost = $8,789,233.98

o Integration: The Direct Mail piece will be a tri-fold mailer that will have the same

color scheme and photos as used in the TruFit Maternity ads andinteractive

The OB/GYN Info Packet and Event Gift Bags will all have the NikeTruFit logos on them, as well as brand slogans and frequently usedcolors and styles

Sales Promotion Online Promotion

o Objective:

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The objective of our online promotion will be to drive online sales,increase traffic to our website, and provide our customers with additionalincentive to purchase our merchandise

o Strategy:

Our online promotion will feature a special pregnancy kit that will beshipped for free with each online order The pregnancy kit will include: Nike womens fitness journal to track and

monitor their physical activity and a copy of the current issue of FitPregnancy magazine, tips for healthy dieting and meal plan ideas, and a$10 off coupon for the registration price of the Nike womens marathon

o Timing: The online sales promotion will begin with the launch of Nike TruFit

maternity, April 12, 2007 and will end April 12, 2008

oCost: (Appendix 58-61) Total Cost of pregnancy kits = $5,064,292.80

o Integration: Our website will feature identical color schemes, themes, and subjects as

our print and television advertisements. Our print advertisements willfeature our website URL and the current online promotion

Bricks and Mortar Sales Promotiono

Objective: Provide incentive to purchase merchandise and drive sales at ourphysical retail stores

o Strategy: Each item of merchandise has a set of tags that are attached to the item.

Among the tags is a special tag that will be a coupon for 20% off yournext purchase of non-maternity (or post maternity) apparel

Also in store we will feature of TruFit Maternity kiosk that will allow youto browse through merchandise in our line, create a virtual personalshopping assistant that is customized to resemble your stage of pregnancy

o Timing: The merchandise tag promotion will be run in all articles of merchandise

starting with our launch date, April 12, 2007

o Cost: The cost of the merchandise tag promotion is absorbed by the

organization in the printing costs for all other price and information tags

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We will buy computer equipment (monitors, keyboard, and mouse) fromthe Dell Company for $948 per package. Initially we will release 50kiosks making our computer costs $47,400

o Integration:

Our merchandise tags will have our website information printed on them.Our kiosk system will be an in-store version of our online store and willfeature identical user interface, colors, and images. We will also run andadvertisement to explain the usefulness of our kiosk system

Point-of-Purchase (POP) In-store POP

o Objective: Our point of purchase displays are designed to captivate customers

attention with visually appealing color schemes, subject themes and sales

promotions All point of purchase displays will be organized and easy to find

merchandise, and will have feature items to up-sell each purchase

o Strategy: Our design will include large print signs that direct women to the category

of apparel they are looking for placing similar items near each. Displays will have sizing information and feature a helpful guide to

selecting apparel that best fits your needs. (Appendix 7) We haveaccessory items located around the store and strategic locations as well asat all pay points.

o Timing: Our point of purchase displays will be operational on our launch date of

April 12, 2007. They will be re-merchandised and re-designed every othermonth

o Cost: (Appendix 44) The cost of our point of purchase displays will be free of additional

expenses. Nike stores already have display case shelves and shelf space,we have no slotting fees

Total cost of Kiosk Displays: $ 47,400o Integration:

All visual aids that are a part of the POP displays will be recognizable onour website and by our advertising theme Do it for your baby. Do it foryourself. Just Do it!

Online POP

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o Objective: Suggest additional items that the consumer may find necessary.

o Strategy: When shopping online our computer database can match and pair items

that are traditionally sold together When a customer goes to check-out the database generates a list ofitems that compliment the ones already selected. Accessory items are alsoincluded (water bottles, hats, gloves, fitness journal, etc.)

o Timing: This feature will be used when our online store goes operational on our

due dateof April 12, 2007

o Cost: Online POP features will be included in web development. Nike Inc. has

an in-house web development division

o Integration: The same items that are suggested as up-sell items are also featured at

our bricks and mortar POPs

Public Relations Consumer relations

o Objective: Our objectives of our public relations tactics are to promote our new

product. Our pubic relations will help to get our objective of 90%awareness of our brand through press releases and event sponsoringthroughout the year

o Strategy: We will send out press releases to the media that contains information

about our product introductions, sales promotions and event sponsorships We also will be using media coverage at our sponsored events

o Timing: The first press release will be released on February 1, 2007 to coincide

with the beginning of our advertising campaign. This press release willintroduce our product and create buzz in the media and the pubic

The second press release will be released on our launch date April 12,2007 (Appendix 45)

The third press release will be distrusted in each city before eachAmerican Baby Faire to announce our sponsorship of the exposition.

The fourth press release will be distributed on June 1, 2007 to promoteregistration for the Nikes Womens Marathon

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The fifth press release will be distributed September 1, 2007 to announceour sponsorship with Iron Girl 10K

o Cost: (Appendix 46-47) Total Cost = $4210

Trade Relationso Objective:

Make retailers aware of our product prior to our launch date, to allow themtime to place orders, so the product is available in their stores on thelaunch date.

o Strategy: We will send out press releases that explain our product, and the

versatility it offers in away that sounds appealing to retailers so they want

to carry our product in their stores. These press releases will also have ourscheduled events on it

o Timing: The first press release will be released approximately 6 months prior to

our launch date of April 12, 2007 The second press release will be released February 12, 2007 to remind

retailers of our planned launch date of April 12, 2007

o Cost: (Appendix 46-47) Total cost = $1290

o Integration: The press releases that are published will also be available on our website. Promote and inform consumers and the press of our sponsorship of the

2007 American Baby Faire Expo Promote and inform consumers and the press of our sponsorship of the

2007 Iron Girl 10K Promote and inform consumers and the press of our sponsorship of the

2007 Nike Womens Marathon Inform and promote our product to trade representatives and retailers

Event Sponsorship Nike TruFit Maternity will sponsor three events during the year to help promote

healthy active pregnancies. The first will be our own Nike Womens Marathon,the second will be the Iron Girl 10K, and the third will be the American BabyFaire Expo.

o Nike Womens Marathon Objectives:

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To increase awareness to our healthier active target market byintroducing our new clothing line through the event and giving eachparticipant a Nike TruFit Maternity athletic bag which include a FitPregnancy magazine, a Nalgene bottle, and direct mail pieces

Strategy: By sponsoring a marathon with active women we will create an image

of Nike TruFit Maternity as an active participant in promoting healthyactive pregnancies

Timing: The event will take place in San Francisco California on October 21,

2007

Costs (Appendix 48-50) Sponsorship Cost: $0

Estimated cost of Promotions: $179,550 Total Cost of Event Sponsorship: $179,550 Integration:

Throughout the event there will be TruFit Maternity banners placed atevery mile marker with our slogan; Do it for your baby. Do it foryourself. Just do it! Encompassing the same font, colors, and design ofall the print media directing the consumer to go to the website URL.

One informational booth will be in the expo of the event with,brochures, a TruFit Maternity kiosk display, and TruFit Maternityclothing to purchase

o Iron Girl 10K Objective:

To increase awareness to our healthier target market by sponsoring a10K run to introduce our new clothing line through the event

Strategy: By sponsoring this 10K will create an image of Nike TruFit Maternity

as being an active supporter in promoting a healthy active pregnancyand get women motivated to continue their habits when pregnant

Timing: The event will take place in Seattle Washington on September 9, 2007

Costs: Sponsorship Cost: $50,000 (Appendix 51-52) Estimated Cost of Promotions: $179,550 (Appendix 48-50) Total Cost of Event Sponsorship: $229,550

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Integration:

Throughout the event there will be TruFit Maternity banners with ourslogan; Do it for your baby. Do it for yourself. Just do it!Encompassing the same font, colors, and design of all the print media

directing the consumer to go to the website URL. One informational booth will be in the expo of the event with,brochures, a TruFit Maternity kiosk display, and TruFit Maternityclothing to purchase

o American Baby Faire Expo Objective:

To increase awareness to our target market of moms and moms to be,through establishing a sponsorship through the expo faire

Strategy: By sponsoring a baby faire expo we will be targeting a different

segment of our target market This will allow Nike TruFit Maternity to establish themselves among

a different market where we can then promote our new customizedclothing line to women and get them motivated about leading a healthylifestyle

Timing: The events will take place on weekends throughout the 2007 year

starting in the beginning of February and ending in late November.

Costs: Sponsorship Cost: $120,000 (Appendix 53-54) Estimated cost of Promotions: $1,452,000 (Appendix 48-50 & 55-57) Total Cost of Event Sponsorship: $1,572,000

Integration: Throughout the expo there will be banners with our slogan Do it for

your baby. Do it for yourself. Just do it! Encompassing the same font,colors, and design of all the print media directing the consumer to goto the website URL

We will have a pregnant run way show of our clothing line to showcase our new collection to consumers

We will also have an informational booth at the faire withinformational brochures, healthy tips for being pregnant guide, aTruFit Maternity kiosk display, and the TruFit Maternity clothing topurchase and an enter to win drawing for an all inclusive spa getaway

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Evaluation of Promotion Plan Pre-testing

o Television Gallup & Robinson In Tele Test

o Magazine Gallup & Robinson Rapid Ad Measurement

Post-testingo Media Advertising

Starch INRA Hooper: Impression Studyo Event Sponsorship

Exit surveys, number of attendeeso Website/Internet

Log Analysis Softwareo Public Relations

Monitor the publics reactions to our press releases Monitor how Nike TruFit Maternity is represented in non-company

produced mediao Direct Mail of catalogs

Number of people who respond by registering onlineo Online Contest

Number of entries Total Evaluation Cost: $22,500 (Appendix 60)

IMC Budget (Appendix 58 - 61) Budgeting Method

o Objective and Task Total cost of each IMC Element Total IMC Budget: $53,054,496 Total Advertising Spending: $ 41,405,539.23 Advertising Expenditures as a percent of IMC Budget: 78.04 %

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AnalysisSegmentation Strategy (appendix 1)

The target market for Nike TruFit Maternity is very unique. We are targeting

pregnant women who are between the ages of 20-49 years old. These women are active

and strive to have a healthy lifestyle. From our research we were able to find that on our

target market is 4,019,280 women across the United States. This is approximately 5.5%

of the entire United States population. Our efforts will be focused within our countries

borders but will have no geographic boundaries otherwise. Based on demand and sales

figures after our first year, an international campaign may be launched. This target

market is unique because of the physical changes that occur during pregnancy. Our

research has found it conclusive that the current trend in America is to engage in a

healthy, active pregnancy.

Women that fall into our target market are those that are currently expecting or

planning on becoming pregnant. There is no marital status requirement and we wish to

attract women that are single, married, divorced or widowed. We are marketing to both

professional working women and those that are homemakers. Although, the purchase of

our clothes does not require a certain level of education, most customers will be high

school graduates or have achieved some higher level of education. Typically our clients

will have a combined household income of $30,000 or more.

The psychographic profile of our consumers is relatively broad in scope. Traditionally

a Nike TruFit woman is ambitious and has created her desired lifestyle through

dedication, focus and talent. She is active and adventurous; she embraces activities that

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are physically challenging in search of self gratification. A Nike TruFit woman values

health and nutrition. She believes that being conscious and aware of her body can lead to

a longer, happier life. Although an ideal TruFit woman fits this description we also

encourage those who are not as easily defined. Our product calls together for women of

all shapes and sizes. We want our focus to be on the child not the mother. With this in

mind we also wish to target women who are willing to dedicate time and energy to

creating new habits, changing existing patterns, and who see the value in having a healthy

pregnancy for their babies.

Positioning StrategyNike TruFit seeks to take advantage of a specialized niche market that has been

overlooked by the apparel industry. This line of products appeals to a target market that is

an extremely stable and secure group of consumers. Pregnancy is an opportunity to leave

a legacy behind. With that legacy we hope to instill healthy values that are taught by

example from parent to child. No other manufacturer of athletic apparel has a full line of

maternity active wear. Nike TruFit Maternity will be the pioneer in this segment of the

apparel industry.

Our product line will feature a variety of products created from the existing Nike

DriFit technology. Our garments will have functional benefits of comfort, durability,

diverse product offerings and be of the highest quality material on the market. Value is

added to these benefits with the option to customize each item to compliment the

continuously changing bodies of our customers. Through our online retail store women

can control every dimension, seam placement, logo color and placement, and cut of every

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item they purchase. For the first time in the athletic apparel industry the client has the

ultimate power.

Competitive Analysis (Appendix 3 & 4)Nike TruFit Maternity is classified as being in the athletic apparel industry. We

manufacture items such as: sports bras, short and long sleeve shirts, tank tops, full length

pants, sport Capris, yoga pants, and complete warm-up suits. With this product

description we compete with hundreds of retailers and manufactures on the same product

basis. What sets us apart from the competition is that all of these items are tailored

specifically with a pregnant body in mind. This drastically reduces the amount of direct

competitors in our niche. Our primary competition is comprised mostly of online retailers

of maternity active wear and the largest manufactures of general athletic apparel. The

following is a list of our main competitors:

Mimi Maternity Fit Maternity Maternity Active Wear Lululemon Adidas Russell Athletic

We have established these businesses as our main competition within our market.

Competition will be fierce but we are confident that Nike TruFit Maternity will withstand

competitive pressure by the nature and value of our products. Many of these companies

offer limited lines of maternity active wear, but not to the extent of Nike. Others, such as

Adidas, Russell Athletic and Lululemon are competitors because they offer an alternative

solution to maternity specific apparel. They manufacture general athletic apparel that is

not customized to fit the changing needs of pregnant clients. A visual representation of

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our position relative to our competitors can be seen in (Appendix 4). These reasons give

us confidence that we will not only survive in highly competitive market, we will thrive.

Marketing Objectives (Appendix 5 & 5a)Nike TruFit Maternitys due date is on April 12th, 2007. This is when both online

and bricks and mortar retail stores will be actively selling merchandise. This date was

selected because spring is known as the season of birth and life. This directly

compliments our products objective. Spring is also a time when people start to engage in

more physical activities. The diminishing presence of winter-time weather changes

consumers attitudes and habits toward exercise and fitness. Women in particular begin to

think of the arrival of bathing suit season and feel the need to tone up or lose those

unwanted holiday pounds. Pregnant women are making the effort to stay in shape during

the term of their pregnancy rather than trying to get back in shape after 9 months of

inactivity. Keeping up is easier than catching up!

Our marketing goal for the first year of business is to create 90% awareness in our

target market. This will translate into 10% of our target market buying the product at least

one time, and 5% of our target market being repeat buyers and loyal customers.

(Appendix 5a)We will attract those customers by creating a value proposition and unique

selling proposition that customers can identify and believe in. Our unique selling

proposition is a phrase that builds on the Nike company slogan of Just do it! We added

on to this slogan by making it more personal to our targeted consumer. Women will be

able to identify our line through many integrated aspects of our marketing mix one of

which being our slogan, Do it for baby. Do it for yourself. Just do it!

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An essential element of marketing today is to remember that the consumer is very

smart. Their purchasing habits can be sporadic and unpredictable. We have made an

effort to control those irrational behaviors by creating a stable value proposition.

Functional benefits are perceived as the reasons a woman needs to buy athletic apparel.

She needs comfort, support, style, affordability and durability. Our functional benefits are

a one stop shop. Our merchandise is adjustable and expands and moves with the body.

We feature adjustable bras and stretchy material to ensure that our customers remain

satisfied with their purchases throughout their pregnancy. Emotional benefits include the

ability to be in control of what you buy. If you are able to design what you wear you are

more likely to wear it, and you have a sense of pride in what you are wearing. Another

benefit that creates emotional attachment is the amount of time women will spend

exercising. Women that look and feel great are more inclined to stay focused on their

healthy habits. This creates higher self confidence. There is also a self expressive benefit

to our product. The customization of our merchandise can allow women to make a

statement about their style and individuality. This feature alone may make our clients

become the trendsetters in their neighborhoods, schools or place of business. Nike is

amongst the highest end retailers in the athletic industry. By endorsing the swoosh

women are making a statement that they are confident, expressive, and proud.

From a numerical standpoint achieving our marketing objectives will be determined

by a few essential figures. Our goal is to sell a total of 4,823,136 units in the first year.

(Appendix 5). If this number is reached we will achieve our forecasted sales figure for

the year. Our forecasted wholesale sales are $265,272,480. Our forecasted retail sales are

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$335,850,800. Achievement of these figures will provide powerful growth potential

figures for our investors and stakeholders.

Marketing MixProduct Strategy

Nike TruFit maternity clothing items have an array of unique advantages that will

make them the most comprehensive maternity active wear garment on the market. As

mentioned before the ability to control the placement of stitching and embroidery, and

nearly every other design dimension will provide the most customized fit imaginable. We

are aware that people prefer clothes to fit in different ways, and need comfort and support

in different areas. We have summarized the cut styles into an easy to see visual that will

help customers select their desired fit. Once the product has been custom fit to each

individual, the fun begins. We surrender creative control to our clients. Base color, accent

color, stitching color, logo color and placement, and material pattern can be manipulated

to fit their tastes and preferences.

One thing that is not negotiable in our product is our material. We insist on

providing the highest quality material in the world. Nike is the inventor of DriFit and

Sphere textile technologies. All of our merchandise will be made of these material types.

DriFit technology pulls moisture away from the body during physical exercise. This

reduces moisture induced friction irritation. Sphere technology pertains to the bodys

temperature. As the body increases in temperature tiny pockets in the material expand,

capturing the heat from the body. As the body cools down, this trapped energy acts as a

layer of insulation allowing the body to cool down at a more controlled level. Our

material is also extremely durable. We expect that our customers will use our

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merchandise for physical activity. The combination of spandex and polyester, make our

merchandise stretchy and resistant to shrinkage. Our products are designed to withstand

daily washing and drying.

The cost of Nike TruFit merchandise is very affordable, especially considering the

level of quality and custom fitting. We are sensitive to the fact that pregnancy come with

its own set of costs and unplanned expenses. We do not want to have a product that deters

customers because of the price. For this reason we have made our products affordable

relative to the competition.

Pricing Strategy

Since Nike is the worlds largest retailer of high-end athletic apparel, our pricing

strategy will compliment the organizations existing model.After our research we usedcurrent low and high end cost to find the price range for our merchandise.The price ofNike TruFit is comparable to that of regular industry prices. Since customization is only

an option, consumers can purchase merchandise that has been traditionally designed and

manufactured. The extra cost is incurred only if the client wants custom apparel. The

average additional cost of customization is $20 per item. Our wholesale and retail prices

are as follows:

Wholesale:Walking / Jogging: $28 - $56 (Pants)Yoga / Stretching: $28 -$56 (Pants)Tank / Short Sleeve / Long Sleeve / Sleeveless Tops: $17.50 - $38.50Sports Bras: $17.50 - $49Causal Wear Pants and Tops: $28 - $77 (Pants) $17.50 - $49 (Tops)Warm-up Suits: $70 - $140

Retail:

Walking / Jogging: $40 - $80 (Pants)Yoga / Stretching: $40 -$80 (Pants)Tank / Short Sleeve / Long Sleeve / Sleeveless Tops: $25 - $55

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Sports Bras: $25 - $70Causal Wear Pants and Tops: $40 - $110 (Pants) $25 - $70 (Tops)Warm-up Suits: $100 - $200

Note: Our wholesale pricing is 30% less than our retail pricing.

Distribution

Since we are a division of Nike, our distribution network has already been

established. We have major national retail accounts with Foot Locker and Lady Foot

Locker, Champs, and Finish Line, as well as 115 Nike owned and operated factory

outlets, and Nike Town locations. We are adding a Nike TruFit Electronic Kiosk to our

bricks and mortar locations where clients are walked through the steps of customizing

their merchandise, placing their orders and receiving order confirmations. This feature is

also available online at HYPERLINK "http://www.nike.com" www.nike.com for

our e-commerce clientele.

Advertising PlanOur extensive advertising plan will begin in February 2007. Since Nike TruFit

Maternity is a new product, our main focus is on creating value proposition and

increasing awareness from 0% to 90% of our target market and transitioning through the

preceding stages of the Communication Effects Pyramid (See Appendix5a). Creating

awareness and buzz about our product is a critical component to our advertising plan,

considering we are the first to introduce such a product to the market. Our goals will be

measured by comparing actual sales, profit and market share data with our annual

forecasted figures. Seeing as we are the only kind of product in our industry we have

established our own budget, the budgeting method we used was objective and task. We

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have forecasted our first year sales to be $265,272,480 (See Appendix 5). Using 20% of

our forecasted sales we have set our advertising ceiling at $53,054,496 (see Appendix 5).

We do not have a share of voice for our industry. We are the pioneers of this product and

have no product class competitors. With the Nike TruFit Maternity launch we hope to

capture the attention of clients who previously viewed our brand as strictly competitive

apparel. We hope to expose the practical, nurturing side of Nike that embraces the

experience of having a baby.

Our target market is defined by a combination of both demographic and

psychographic characteristics. We wish to reach an audience of females between the ages

of 20-49 years old. They are characterized as being stylish, out going, health conscious,

and adventurous. They enjoy going out on the town, shopping, working out, being social

and leading a healthy lifestyle. Our customers can be existing Nike supporters or ones

that are experimenting with our new product offering. They can be from any profession

as well as from any geographic region in the country. Ideally our clients will already live

an active life although we hope to reach those who are new to or curious about the

benefits of maintaining a healthy lifestyle. Nike TruFit Maternity allows women to

customize their garments to create the ideal fit. They are also able to adjust color and

other attributes to express their own style and creativity. Our material is the highest

quality in the industry and is equipped with DriFit technology that pulls moisture away

from the body, reducing friction irritation. Our sports bras feature adjustable support

features to provide optimum comfort during exercise or leisure activities. Another unique

feature is the option to have the babys due date, name or other custom text embroidered

on the garment in a position selected by the customer. We have adjusted the positioning

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of seams and cosmetic stitching to further enhance our clients satisfaction with the

product. These attributes will ensure comfort; provide women with motivation to be

active, and outfit them in apparel that TruFits their every need.Creative Strategy

During the first fourteen months of our marketing campaign, we will conduct

several executions. We will have one viral video (See cover 2), several television ads

(See Appendix 6), an internet website (See Appendix 12-20), banner ads (See Appendix

11), podcasts, and several print ads that will be seen in magazines of interest in our target

market specific magazines(See Appendix 9-10). The purpose of our advertisements is to

introduce a new product line called Nike TruFit Maternity that focuses on an active,

health lifestyle during pregnancy. By creating customized maternity athletic apparel we

are establishing a unique niche in the apparel that has previously been overlooked. We

believe that by outfitting women in fitness apparel that is comfortable, supportive,

practical and aesthetically pleasing, they will engage in activity that will stimulate a

lifetime of healthy habits for both mother and child.

We consider the integration of our advertising campaign to be very important

throughout our fourteen month schedule. All advertising and promotional media will be

consistent with use of design, fonts, colors, photos, theme, our slogan; Do it for your

baby. Do it for yourself. Just Do It!, and our Nike logo. The website URL will be

included in all advertising and promotional media as well such as our direct mail,

informational brochures, and catalogues.

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Media Plan (appendix 21-23)

The objective of our media plan is to create awareness in our target market that

stimulate trial use and repeat customers. We plan to reach 90% of our target market

(3,617,352 people) 4 times over a four week period during the 14 months of media

planning. A combination of pulsing and continuous advertising will be used during a

majority of the media schedule and flighting will be used early on in the schedule to

assist in product introduction. We have planned a detailed schedule of various vehicles to

help our message be heard. We have used national media to reach the largest portion of

our market. We have placed print ads in various niche market publications to isolate a

more specific group of consumers. Our television advertisements will be 60 seconds in

length during the introduction stage and drop to 30 second slots for the remaining 10

months. Our print advertisements will be one and two page, full color ads many of which

will be on the 2nd cover of our magazine choices. The combination of continuity

strategies will be effective due to the synergy created in the design as well as the

carefully planned release of each media vehicle. Each release is planned to support

another aspect of our IMC plan. For example, press releases will be released at a time

when they compliment an event or significant occurrence provided by our organization.

This is how we developed a fully integrated marketing communications plan. Many

members of our target market will be tuned into television, reading magazines, or logged

onto the internet during these time segments. Stay-at-home moms and homemakers may

have leisure time during the daytime hours and will be exposed to at least one of our

selected media vehicles.

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Magazine (Appendix 23)

We selected a host of magazines to run our print media. We chose these specific

magazines because their readership audience matches our target market. We selected

specialty magazines such as Parents Magazine, American Baby, and Fit Pregnancy to

focus on readers who currently have children or are thinking of having more. Our other

magazine choices are ones that are more broadly focused on our target market, Shape,

Self, and In-Style. Being featured in doctors offices, school and displayed in homes, all

of these magazines have high pass along readership numbers, supporting our decision to

advertise in them.

Television (Appendix 21-22)

Using national television advertising is the fastest way for us to reach a large number

of people in our target market. We used the Marketers Guide 2006 as a basis for our

research figures and found that we will maximize our advertising effect if advertising is

done during the daytime and early evening television programming. We concentrated

much of our advertising efforts during popular shows that have a majority of female

viewers. These shows include, the Ellen DeGeneres Show, Oprah and Live! With Regis

and Kelly. One of the major benefit of advertising during these shows is that the CPM is

the lowest of television advertising rates. Other shows that we have to chosen to run

advertising in are the afternoon and early evening time slots. The syndicated shows of

Friends, Wheel of Fortune, and Jeopardy are the specific shows we chose for the

afternoon and evening. We decided against running many advertisements in the late night

segment. We assumed that many women will be putting children to bed, cleaning up from

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dinner, catching up on last minute work obligations, or getting ready for bed during those

hours. We did choose to run advertisements in one prime time show, Sex in the City.

Since many members of our target audience are career professionals they typically wont

spend a majority of their evening hours being receptive to advertisements.

Our television advertisements will be 30-60 seconds in duration, and be a

combination of feel good and light humor in theme. Our television advertising is planned

to run the entire 60 weeks of our advertising schedule.

Internet and E-commerce

Recently, online efforts have been a hotspot for marketing and advertising. New

ways to reach specific groups of consumers continue to appear all over the internet. Our

advertising efforts on the web consist of banner advertisements, viral videos and

consumer to consumer advertising, our website, and podcasts. The main emphasis for

our online advertising is our website. This is the place where we can stress the

importance of our mission. Our web site also has links to online health information, local

community fitness activities, information and motivational podcasts, and healthy recipe

ideas. We are also the host of many events and activities. All information and registration

can take place from our site. Our website also features our online store that is directly tied

to sales promotions and point of purchase plans.

Website AdvertisingBanner Ads (Appendix 35-37)

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To prompt internet users to go to the Nike TruFit Maternity website, banner ads

will be developed and placed on Oprah.com and Fitpregnancy.com. These websites were

selected based on the high number of visitors from the target market. Simple sneak-

peek banner ads will be put up in mid-February, to build anticipation for the new product

line. After the product launch rich media banner ads will continue to be put up on

affiliated websites.

Podcasts

Podcasts will be posted weekly to give the users of Nike TruFit Maternity a resource and

a sense of belonging to something more than just a product; it will also promote brand

loyalty. Podcasts will be developed in-house and will be simple short videos that are

educational, inspirational, and occasionally funny. This will be updated weekly to

prompt users to keep returning to download the videos to their computer or subscribe to

the podcast to download it automatically. Podcasts will be put on the TruFit Maternity

website prior to the product launch to give the customers a feeling of anticipation and

ownership before the product is available.

The integration of the Banner ads will have the same style, models, coloring as

our other print advertising and website. They will be placed on websites of products and

services that also promote womens health and style. The Podcasts will be available on

our website which has a uniform style. The messages will all be centered on the Nike

TruFit Maternity goal of promoting a healthy lifestyle for mothers and their babies.

Internet

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The website for Nike TruFit Maternity (appendix 12-20) will be used to show the

clothing line. Customers will be able to go to the Maternity Collection section of the site

to view the clothing and customize the fit based on their measurements. Once the order

has been customized, the purchase can be made and then sent to the customer by mail.

The website will also be used to create a sense of belonging to a community for

the customer through an Events page, Podcasts, and Pregnancy Resources. The Events

page will inform site visitors about the sponsored events The Nike Womens Marathon,

Iron Girl 10k, and theAmericanBaby Faire Expo. The Pregnancy Resources will be a

collection of information on various topics on how to have a healthy pregnancy.

The Nike TruFit Maternity website will be up and running well before the product is

available. This will be for those who click on the banner ads, see the URL on print and

TV ads, find the site through the main Nike website, and want to download the podcasts.

The purpose of having the website up before the product launch is to educate the

customers about the benefits of TruFit Maternity and to build anticipation.

The TruFit Maternity website will incorporate the same color scheme, models,

and products that are featured in other TruFit Maternity advertisements. The website will

be where it all comes together. The clothing line will be featured in the Maternity

Collection section. Press releases can be read in TruFit News. TV and print ads will be

viewable on the site as well. To stay true to the Nike TruFit Maternity message the

Pregnancy Resources and Podcasts will focus on aiding women in having a healthy

pregnancy.

Direct Marketing

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To help create awareness for Nike TruFit Maternity, direct e-mail, mail, and gift

bags will be utilized to reach the target market. The end goal is for recipients of the

direct marketing to visit the TruFit Maternity website.

Direct E-mail

Direct e-mail will be sent to customers from the TruFit Maternity website and

from the opt-in e-mail list from Fit Pregnancy (Appendix 40). To make a purchase,

customers will enter their e-mail addresses and may opt-in to be a part of the Nike TruFit

Community. Fit Pregnancy is a publication that caters to the TruFit Maternity target

market, and will be a good fit for an e-mail list. The recipient will receive direct e-mails

about TruFit Maternity promotions, health tips, and events.

Direct Mail Brochure (Appendix 39a, 41-43)

Direct mail brochures will be sent to the target market to inform potential

customers of the benefits TruFit Maternity offers. The brochure will give an overview of

the active-wear customization feature as well as the better material used (Nike Dri-FIT).

A swatch of Dri-FIT material will be attached to the brochure so recipients can actually

feel and see the difference. To promote continued awareness, a magnet will be included

so recipients will see TruFit Maternity every day.

Event Gift Bag

The Event Gift bag will be given to participants of the TruFit Maternitys

sponsored events. Currently TruFit Maternity is planning to sponsor the Nike Womens

Marathon in San Francisco, the Seattle Iron Girl 10k, and the American Baby Faire Expo

which takes place in various cities in the U.S. The bag is a draw string sport-bag

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featuring the TruFit Maternity name and logo. It will contain an informational brochure,

a healthy tips guide for being pregnant and a pink nalgene bottle.

OB/GYN Information Packet

The objective of the information packet is to benefit pregnant women and to

increase brand awareness. Women visiting the OB/GYN for their maternity

appointments receive a gift bag with formula, diapers, coupons, etc. Included in this

gift bag will be a small guidebook describing how to maintain a healthy lifestyle while

pregnant.

Integration

The direct e-mail will have a similar style and color scheme as the TruFit Maternity

website. It will feature the products as well as tips on how to have a healthy pregnancy.

The direct mail brochure is also in the same style as other advertisements. The event gift

bag and OB/GYN information packet will feature the TruFit Maternity logos and colors

as well as helping promote the goals of maintaining a healthy pregnancy. All direct

marketing will give the URL to direct recipients to the website.

Sales PromotionOur sales promotion will be broken down into two divisions; online sales

promotions and in store sales promotion. We plan on having unique promotions in each

division to reward the customer for purchasing merchandise from both mediums.

Although we will feature separate promotions, we will create an integrated promotion

that creates synergy amongst our promotional vehicles.

Online Promotion

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The objective of our online promotion will be to drive online sales, increase

traffic to our website, and provide our customers with additional incentive to purchase

our merchandise through our online store. We hope to capitalize on the design,

implementation, and creative resources available to us at Nike Inc. Our online promotion

will feature a special pregnancy kit that will be shipped for free with each online order.

The pregnancy kit will include: Nike womens fitness journal to track and monitor their

physical activity (See appendix 62), copy of the current issue of Fit Pregnancy magazine,

tips for healthy dieting and meal plan ideas, and a $10 off coupon for the registration

price of the Nike Momens Marathon. All of these things combined will create a nice

presentation that will be a rewarding and useful gift. The online sales promotion will

begin with the launch of Nike TruFit maternity, April 12, 2007 and will end April 12,

2008. The online sales promotion will be supported by two months of online advertising

prior to April 12, 2007. Our web site will feature preliminary information and a count

down to the product due date.

The cost of our free pregnancy kit will be $3 per kit. The Nike womans Fitness

Journal will total about $3 per unit for binding. The printing costs will be absorbed by our

in-house printing and publications department. The second feature, a recent copy of Fit

Pregnancy Magazine will also be donated to us free of charge. We have come up with an

agreement with the magazines owner that allows them to give us 1,000 copies per

month. The contract was negotiated as such for the complimentary issue to be taken out

of the magazines controlled circulation budget. They have requested that a mailing

database be sent to them every month to follow up on the potential leads our agreement

my have created. The third aspect in our online pregnancy kit is tips for healthy dieting

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and meal ideas. This publication will be created by members of our team. They will

collect information from credible online sources and combine it with research from

textbooks, journals, and magazines. The information will be published in a magazine

style. Articles will feature the original source of information and how to purchase the

original documents. We will follow the same process for collecting healthy meal ideas

that are simple, nutritious and cost efficient. We will have a nutritional doctor review our

selections before it is distributed. The cost for these items will also be absorbed by our in-

house publications department. The final part of our pregnancy kit will be a $10 off

coupon for the Nike Womens Marathon. The cost for printing the coupons is absorbed as

the rest of our printing costs. However the money that would be made from charging full

price for the marathon will be lost. The dollar amount that could potentially be lost is

$150,000 on registration. The marathon has 15,000 participants.

Our website will feature identical color schemes, themes, and subjects as our print

and television advertisements. Our print advertisements will feature our website URL and

the current online promotion. We further integrate this part of the marketing mix by

adding the incentive and discount to participate in one of our planned event sponsorships.

Bricks and Mortar Sales Promotion

The objective for our bricks and mortar sales promotion will be to provide an

incentive to purchase and drive sales made at our physical retail stores. As shoppers have

become accustomed to each item of merchandise having a set of tags that are attached to

the item. Among the tags are our promotional tags that will be a coupon for 20% off your

next purchase of non-maternity (or post maternity) apparel. This will not reduce the price

of the current item causing no problem with price orientation, but inspire brand loyalty

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and repeat purchases in different divisions of the company. Also in stores we will feature

our TruFit Maternity kiosks that will allow you to browse through that stores available

merchandise inventory, and create a virtual personal shopping assistant that is customized

to resemble your stage of pregnancy. This virtual personal assistant will enable the

customers to try on clothes without having to step a foot in a dressing room. This

assistant will also suggest items that would compliment your current check-out basket,

and offer you the option to order your products the store doesnt have in stock. Shipping

fees for orders placed using our kiosk system will be free of charge. This could be a

turning point in consumer shopping. It combines the worlds of online retailing and bricks

and mortar stores. The purpose is to make an easy to use, personalized, efficient system

that provides a solution to every problem a customer could encounter.

The merchandise tag promotion will be run in on all articles of merchandise

starting with our launch date, April 12, 2007. The in-store kiosk will become available in

our Nike towns, Nike factory outlets and stores with the highest sales volume first. They

will become available to smaller stores in three month increment and on an as needed

basis.

The cost of the merchandise tag promotion is absorbed by the organization in the

printing costs for all other price and information tags. The kiosk technology and user

interface is essentially an extension of our website and existing Nike technology. Our

technology department will create the interface. We will buy computer equipment

(monitors, keyboard, and mouse) from the Dell Company at a base price of $948 per

package. Initially we will release 50 kiosks making our computer costs $47,400 (see

appendix 44).

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Our merchandise tags will have our website information printed on them. Our

kiosk system will be an in-store version of our online store and will feature identical user

interface, colors, and images. We will also run an advertisement to explain the usefulness

of our kiosk system.

Point of PurchaseIn-store P.O.P.

Our point of purchase displays are designed to captivate customers attention with

visually appealing color schemes, subject themes and sales promotions. Since many sales

transactions are decided upon at the point of purchase, we want to highlight the benefits

of our products, and have them be visually stimulating to our customers. All point of

purchase displays will be organized and easy to find merchandise, and will feature items

to up-sell each purchase. Our design will include large print signs that direct women to

the category of apparel they are looking for. We will place similar items near each other.

Displays will have sizing information and feature a helpful guide to selecting apparel that

best fits your needs. (See appendix 63) We have accessory items located around the store

and strategic locations as well as at all pay points.

Our point of purchase displays will be operational on our launch date of April 12,

2007. They will be re-merchandised and re-designed every other month. This will keep

our displays up-to-date, and give our customers an experience that is new and refreshing

each time they shop.

The cost of our point of purchase displays will be free of additional expenses. The

effort of our point of purchase displays will be focused around the merchandising layout

and our in-store kiosks. Nike factory stores already have display cases and shelf space, as

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do Nike Town facilities. We have no slotting fees at Footlocker and Lady Footlocker

stores because Nike has already purchased wall and floor space for a slotting fee. Our in

store merchandise will be arranged in a section of space that has already been allotted to

Nike products.

All visual aids that are a part of the POP displays will be recognizable on our

website and by our advertising theme Do it for your baby. Do it for yourself. Just Do it!

This theme will be present on display cases, hangers and on wall and overhead signage.

Online P.O.P.

The goal of our online point of purchase is to suggest additional items that the

consumer may find necessary at the transaction point. We have technology that databases

customers purchases and is able to find trends and buying patterns from that data. Each

customer creates a login and password that is used to access the online store. Mailing

addresses, e-mail addresses and previous payment methods which will help expedite the

check-out process. When a customer clicks the check-out link from the web site they are

directed to a screen that shows suggested items that compliment their current

merchandise. Often times this feature will go unused, but in many instances it has proven

to increase sales based on the customers impulsive nature. The database also will display

what items have been purchased by each customer when they log onto the online store.

This feature will be used when our online store goes operational on our due date,

April 12, 2007. We have webmasters that constantly monitor the condition of the site, the

information displayed and correct any maintenance issues. Online POP will be provided

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by our award-wining internal web-development department. This dissolves any major

costs associated with our point of purchase.

Similar to our Bricks and Mortar store point of purchase displays, the

merchandise that is available and suggested to the customer and the transaction point will

help add revenue the customers purchase. As mentioned previously, our online customers

receive the free pregnancy kit that will integrate our event on bricks and mortar stores.

Public RelationsConsumer

During the introductory period of Nike TruFit Maternity, we will be distributing

five different press releases to announce the launch and promotional information about

our product. We will be distributing our press releases through PR newswire; we plan to

use these press releases as our main source to raise the publics awareness of our new line

of maternity wear. Our goal is to generate media attention through our press releases and

have press coverage of our stories, and news stories written about Nike TruFit Maternity.

The first press release (Appendix 34) will be released on February 1, 2007 to

coincide with the beginning of our advertising campaign. This press release will

introduce our product and describe the features that it has to offer. This press release is

meant to establish our new product as the future of athletic maternity wear. Our next

press release will be released on our launch date which is April 12, 2007, (Appendix 45)

this release will pertain information about our product and our sponsored events that are

coming up within the next year. There will also be three other press releases that follow

that will be released throughout the first year. These releases will contain more in-depth

information pertaining to our sponsorship of the American Baby Faire Expo and the

chance to win a spa getaway to New York City. In June we will also be announcing and

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promoting early registration for the Nikes Womens Marathon. To promote early

registration and get women to visit our website, we will offer free pregnancy kits for

those who sign up for the marathon through Nike TruFit Maternitys website. Also in

September we will send out a press release to announce our sponsorship of the Iron Girl

10k that is taking place in Seattle Washington. All of the press releases that are above are

meant to help us get a positive word out about our product and help us reach our target

market objective. The total cost of the five consumer press releases will be $3940 at $645

per release and $170 for statewide for each American Baby Faire Expo, according to PR

newswire rates (Appendix 46-47).

Trade

Our main goal with the trade public relations is to let retailers know about what

our product has to offer and the value that it would bring there customers if they carried

Nike TruFit Maternity. Although we will be selling our product through our website and

all Nike stores throughout the United States, we will also relay heavily on our retailers.

Our trade publicity is meant to directly show retailers that our product is like no other

athletic maternity wear, and will be in high demand.

As with the consumer press releases the trade press releases will also be released

through PR newswire. Our first press release will be sent out approximately six months

before our launch date of April 12, 2007. This press will explain our product in-depth and

all the versatility that it has to offer to pregnant women. We will also have our scheduled

events contained in the press releases. With our press releases we not only want to create

buzz within our target market but also with any possible retailers. Our second press

release will be released in February approximately two months before our launch, as a

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reminder to retailers to place orders if they already have not so they can have their store

stocked in time for the launch of Nike TruFit Maternity. The total cost of the two trade

press releases will be $1290 at $645 per release according to PR newswire rates

(Appendix 46).

Event SponsorshipNike TruFit Maternity will be sponsoring three events throughout the fourteen

month marketing period. The first event will be our own Nike Womens Marathon, the

second will be the Iron Girl 10k, and the third will be the American Baby Faire Expo. We

will have all of our sponsored events on the website as well as press releases to the public

to inform them of our upcoming event sponsorships. We believe that these events will be

very beneficial to sponsor in order to gain awareness and build a positive image among

our target market of TruFit Maternity, being an active supporter of leading a healthy

active lifestyle while being pregnant. At all the events we will be giving out promotional

TruFit athletic gift bags and inside will be a Fit Pregnancy magazine, a pink Nalgene

bottle with our slogan, logo, and website URL on it, informational brochures and other

direct mail pieces explaining our products benefits.

The Nike Womens Marathon will take place on October 21, 2007 in San

Francisco California. Part of the proceeds will go to supporting the Leukemia and

Lymphoma Society, which is the worlds largest voluntary health organization dedicated

to funding blood cancer research. In launching our TruFit Maternity line at the event we

will be gaining an increased awareness to our healthier active target market of women

who are already aware of the Nike brand name. In launching our new maternity line at

this event Nike users will see that we are active supporters in promoting healthy active

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pregnancies among women and establish ourselves as the only maternity custom fit

athletic wear on the market to increase our brand loyalty. We will incur no costs in

sponsoring this event because it is our own event, the only costs we will incur will be that

of promotions (See Appendix 48-50).

The Iron Girl 10k will take place on September 9, 2007 in Seattle Washington. In

sponsoring this event Nike TruFit Maternity will hope to gain an increased awareness to

our healthier target market of women who might not be aware of the Nike brand name. In

establishing a presence at this event we will gain an increased awareness of our healthier

target market and establish brand name recognition of Nike being the only custom

designed maternity athletic wear clothing line on the market. There we will have a booth

were consumers can go and receive further information on Nike TruFit Maternity. Also at

the booth there will be a kiosk display for consumers to customize and design their own

clothing and be able to get tips on achieving a healthy pregnancy. The costs for this

event will be $50,000 for sponsoring the event and the promotional costs we will incur

assuming an audience of 15,000 participants will be $179,550, for a total cost of

sponsorship of $229,550 (See Appendix 48-52).

The American Baby Faire Expo will be taking place throughout the market year

starting in early February and ending in late November. By establishing a presence as a

sponsor of the Baby Expo, we hope to reach a different part of our target market who

might not lead an active lifestyle. In targeting moms and moms to be at this Expo, we

hope to promote an active lifestyle while being pregnant. To get our target audience

motivated to be active while carrying their child. In showing the benefits and customized

design of our clothing line we hope to catch our target markets attention in seeing that

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you can be comfortable and also look good while working out. At the Expo TruFit

Maternity will be recognized as a sponsor in having our name, slogan, and website URL

on all the showcase literature bags handed out at the door with TruFit healthy pregnancy

kits, pink Nalgene bottles, and informational brochures and direct mail pieces inside. We

will also have two table top showcase display booths set up in the main entrance of the

Expo with banners set up as you enter the Expo. Our both will showcase our clothing

line, a enter to win all exclusive sweepstakes giveaway for a pregnant spa getaway

package to New York City (See Appendix 55-57),have informational brochures and our

kiosk display to show women how you will go about customizing and designing their

clothes. During the Expo we will have a pregnant run way show with everyday women,

to showcase our clothing line to our target market and increase brand recognition by

showing them how good they too can look while being pregnant. The costs for these

events will be $15,000 for sponsoring the event, the promotional costs assuming an

audience of 15,000 people attending will be $179,550, the cost of the spa giveaway will

be $2000 for a total cost of event sponsorship totaling $1,572,400. (See Appendix 48-50,

53-57)

Evaluation of Promotion PlanPre-testing of Advertisements (TV and Print)

In order to effectively evaluate our print and television advertisements, we did

both pre-testing and post-testing of our ads. We are using Gallup and Robinson to pre-test

our ads. By using Gallup and Robinson we will gain a deeper understanding of viewers

overall attitudes towards the ads as well as gain insight on product and brand recognition.

Gallup and Robinson In-Tele Test and Rapid Ad Measurement testing will give as an

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overall evaluation of the likeability, brand recognition, effectiveness, and general reaction

to our advertisements. This will help us determine which advertisements are effective to

then implement within our IMC Plan.

For post-testing we will be using Starch INRA Hooper: Impression Study, this

will work for our print and television advertisements. This study will help us identify the

communications effect of our advertisements through personal interviews of consumers

who have viewed the advertisements; this allows us to accurately determine if we are

reaching our goal of 90% awareness. The total cost for the evaluations of our promotional

plan are $22,500. (See Appendix 60)

For our event sponsorships we will be using exit surveys to measure the

effectiveness and the number of people attending. To measure the effectiveness of our

website and internet advertising we will use log analysis software, this will provide us

with the websites number of hits, pages, visits, unique users, and what exactly the

consumers visited within our site. To measure the effectiveness of our online sales

promotion and direct mailing of informational brochures and catalogues we will use the

number of entries in the contest and the number of registered consumers who receive our

direct mailing pieces. Lastly, in measuring the effectiveness of our public relations we

will monitor any non related company publicity that is being distributed throughout the

media.

IMC Budget (Appendix 58-61)

Initially, the advertising budget for Nike TruFit Maternity was estimated at

$53,054,496, based on 20% of forecasted sales for the first year. Nike TruFit Maternity

follows the Nike tradition of producing high quality active-wear using the best clothing

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technologies. Adding the feature of women being able to order custom-fit clothing,

TruFit Maternity truly stands alone. Due to these characteristics, the primary advertising

goal for the introduction of the custom tailored, maternity active-wear line is to create

awareness among a large portion of the target market. The belief is, with few options for

high-quality maternity active-wear, informed women will eagerly purchase from Nike

TruFit Maternity to maintain their health and self-image, as well as helping their babies

stay healthy. To increase awareness, funds from the advertising budget were allocated to

TV advertising, print advertising, internet advertising, website development, direct

marketing, event sponsorship, sales promotions, point of purchase and public relations

(See Appendix 61 for pie chart)

Television ads are effective at reaching a large number of women in the target

market and a good vehicle to effectively communicate the message of TruFit Maternity.

The shows selected to advertise in, were due to their large portion of women viewers at

times when other obligations at work and home would draw their attention away. Total

spending for this medium amounted to $20,328,764.50 of the total IMC budget (See

Appendix 58).

A better medium for targeting members of the target market has proven to be print

advertising. Magazines that specifically cater to women who are driven, healthy, and

intelligent were chosen to promote the Nike TruFit Maternity line. Two of these

magazines were also used in other marketing efforts Fit Pregnancys website and e-mail

opt-in list, as well as American Baby Faire Expo. To reach these women, of the IMC

budget was used for print advertising or $5,508,225 (See Appendix 58)

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Banner ads placed on two websites that are frequently visited by the target market

Oprah.com and Fitpregnancy.com. Based on the online advertising rates from the two

websites $526,800 (appendix 58) will be spent placing the ads previous to the due date

and after the introduction. Offering weekly podcasts to potential customers will bring the

most bang for the buck. The service will automatically download educational,

inspiring, and funny short videos to subscribers computers each week. These videos will

all be focused around TruFit Maternitys central message, Do it for your baby. Do it for

yourself. Just do it! The proverbial icing on the cake will come at no cost to the IMC

budget. All videos will be produced and posted in-house by Nike.

The website, nike-trufitmaternity.com, will be central at giving information about

the TruFit Maternity line, as well as giving other information about the TruFit Maternity

lifestyle. All print, TV, direct marketing, internet, and other advertisements will all

prompt potential customers to the website. Like the podcasts, the website will be

developed in-house by the Nike web design team and will only cost $99 per year, or

.0002% of the IMC budget. This insignificant cost pales in comparison to the purpose of

the website.

Direct marketing was selected as a tool in achieving the communications goal due

to its ease of measuring effectiveness, and ability to contact the target market. Fit

Pregnancy maintains and opt-in e-mail database that will be utilized to engage more

involved members of the TruFit Maternity target market. After the release of the product

line, an opt-in e-mail list will also be compiled from the TruFit Maternity web orders.

The cost of the e-mail database from Fit Pregnancy will be $87,500 (See Appendix 59),

and the TruFit Maternity customer list will come at no cost. Direct mail will also be

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utilized to further propagate the benefits of Nike TruFit Maternity. A direct mail list was

obtained from InfoUSA of the addresses of women that best match the target market.

This list was purchased for $803,271.90 (See Appendix 59). Each address will be sent a

brochure that details the advantages of maintaining a healthy pregnancy and Nike TruFit

Maternity. The brochure will cost $0 because they are produced in house and postage

will cost $7,731,412.08.

At Nike TruFit Maternity Sponsored Events will be an effective means of

building awareness of the brand and promote a positive brand image. Three events will

be sponsored The Nike Womens Marathon, Seattle Iron Girl 10k, and the American

Baby Faire Expo. The Nike Womens Marathon and Seattle Iron Girl both will be held

during the fall of 2007, giving the brand a much needed boost at a time of year that is

typically a lull in retail sales. At each event gift bags will be given to help build a

positive image, as well as aid in sponsorship recall. Included in the sport-bag will be a

Fit Pregnancy magazine, a pink Nalgene bottle - with the Nike TruFit Maternity logo,

slogan, and URL printed on it, and an informational brochure giving more detail about

Nike TruFit Maternity. The total estimated cost of the event gift bags will be $179,550

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