Nike's latest campaign paid off yesterday as the world's biggest athletic footwear company reported a better than expected 25 per cent jump in first-quarter profits, helped by robust US sales.
The summer-long Speed initiative was the company's largest global integrated brand push. It featured athletes such as Serena Williams and Lance Armstrong and was aired during sporting events including the Tour de France, the Olympics and the US Open golf.
"The campaign...has given the brand additional heat and the business strong momentum as we move further into the fiscal year," said Mr Mark Parker, president of the Nike brand.
Nike revenues had grown 35 per cent since the Sydney Games in 2000, he said. "Our approach to the summer of 2004 was different from years past," he added. "Instead of focusing on one three-week period, we created a brand initiative that spanned the entire summer."
Nike's first-quarter revenues increased 18 per cent to $3.6 billion (€3 million) while net income rose from $261.2 million a year ago to $326.8 million.
