The Role of Online marketing in Retail Sector in UK- Case Study of Nike

By

[Name of the Supervisor]

[Date of Submission]

TABLE OF CONTENTS

CHAPTER 01: INTRODUCTION1

1.1Background of the study1

1.2Profile of the Company2

1.3Aim of the Study3

1.4Sales of Nike4

1.5Objective of the Study6

1.6Justification of Study6

1.7Chapter Outline7

CHAPTER 02: LITERATURE REVIEW9

2.1Introduction9

2.2UK Retail - overview10

2.3New Opportunities and Threats10

2.4The size and growth of the retail sector11

2.5Recent Trend in UK13

2.5.1Top 10 UK Retailers15

2.6Role of Online marketing16

2.7Growth of Online marketing19

2.8Internet Users in the World20

2.9United Kingdom Internet Users20

2.10Significant Concepts Affecting Online marketing21

2.11Brand Structure22

2.12Perception development in Consumers23

2.13Improvements in Online marketing24

2.14Factors Affecting the Retailing over internet Adoption26

2.15Online Model for conducting the business and Marketing Strategy28

2.16Multi-Channel Management28

2.16.1Summary29

2.17Sales and Marketing Management Retail Industry30

2.18Online Merchandise Management30

2.19Online Store Management31

2.20Conclusion and Implications32

CHAPTER 01: INTRODUCTION

Background of the study

UK Economic statistics for 2011 suggest a continuation of the subdued economic conditions that have been prevailing in the recent months. Manufacturing output fell in October, and construction activity remained weak. Labor market indicators were also weak, with a further rise in unemployment in the latest three months, accompanied by continuing modest earnings growth. The strong growth in exports in last October even though from a low September base and continuing good spirit of internet retail sales in November. There was reduction observed in the consumer price inflation in the second month running to an annual rate of 4.8 per cent in November.

In the third quarter of 2011, there is an estimation of irregular growth. Even in the services sector, which provided the mainstay of aggregate economic growth, strength was not broadly based, being confined to a small number of sub-sectors. In terms of expenditure components, the main drivers of sustainable growth - household consumption, business investment and overseas trade - were all weak. GDP is noticed to rise by 0.6% between the second and following quarters of 2011, revised up slightly from the prior estimation of 0.5%. The output and income estimates have grown slightly faster than this, with the expenditure estimate growing more slowly at 0.4 per cent.

In the retail sector, Nike has shown a successful come back after the recession while utilizing a significant tool known as online marketing. The company has revenues of approximately $19bn which is soon planned to enhance by 15 percent in the near future. However, the growth of the retail sector is not high and thus in all three measures of GDP - based on output, expenditure and income estimates - growth is concentrated in a relatively narrow range of components. The limited sources of growth in the expenditure and income components restricted the growth of the retail sector. In terms of the output components too, growth in services sector output is confined to a few sub-sectors.

Profile of the Company

Nike is a publically trading company with headquarters in Oregon, United States. It is among the major producers of sports equipment, sportswear and the leading supplier of apparels and athletic shoes in the world. It has revenues of more than $18.6 billion. Around the world, Nike employees more than 34,000 people and are in the list of ...