Nike dominate with an ambitious mobile-first strategy. Thier SNKRS app was designed explicitly for super-fans - a bold idea that generated annual revenues from $70m to $700m in 5 years.

In July 2022, Nike has attributed its success to the mobile connections it has created with consumers, driven by consumer behavaiour change. During an earnings call, Nike CEO John Donahoe said:

Increased digital engagement is translating into more repeat buyers, a higher buying frequency and increased average order value, ultimately driving higher lifetime value through membership

Some things we can learn from this.

1. Create apps for super-fans

Nike made the SNKRS app just for their most ardent fans. In return, fans spread the word, leading to a 5% growth in other product categories. This super-fans app is also responsible for 20% of digital business revenue. How might you use apps to serve or empower your most loyal customers, giving them new reasons to rave about you and drive organic growth?

Nikes super-fans have the highest lifetime value, buying several high-value products a year. The app gives them notifications about new product launches, events and exclusive releases. It also uses geo notifications to send store promotions by proximity, adding to the personalised and exclusive experience.

According to our data, SNKRS has 400,000 monthly downloads and is 5-star app, demonstrating Nike's sustainable long-term view on mobile growth.

In 2018, Nike continued to support super-fans by giving them an augmented reality experience that enabled them to unlock rare sneakers, as this video by Fast Company demonstrates.

2. Focus on your mission

Nike's mission is to support athletes of all levels, so they developed high-quality running and training apps that anyone can use to get in shape for free. As a result, they grow membership, learn about consumer habits, and elevate their brand image. How might you use technology to achieve your mission if you weren't worried about increasing transactions and revenue?

Nike offer the Training Club app and Running Club apps for growing selection of workouts. In addition to coaching, they include recipes, videos, news, Apple Watch support and Apple Music integration.

These secondary apps drive brand awareness and product sales, and more importantly allow Nike to observe consumer behaviours so they can design better products and more tailored marketing campaigns.

"The backbone is membership…having a direct connection with consumers, and we are growing our membership. "How do we engage them? Engage them through engaging whether it's Nike Running Club, Nike Training Club, SNKRS app. Live streaming is the way to engage consumers, and what we know is: more engaged consumers buy more."

John Donahoe, president and CEO of Nike, in the December 2021 earnings call

3. Personalisation

This year, Nike started rolling out personalised and localised versions of apps tailored to each country. They believe this will lead to higher buying frequency and customer lifetime value. How might you personalise your apps and make them more relevant to people individually?

Nike's CFO noted that the company has launched a range of new apps in 2022 which have been received well overseas, such as China, Japan and Mexico. These successes are attributed to their localisation efforts within each app.

“We do not take lightly the choice made by consumers to put us in the most prized real estate that exists today: the home screen of their phone.”

4. Integrate mobile and in-store experiences

The Nike Shopping app does more than let customers buy clothes and shoes via the app; customers can scan barcodes in-store for extra product information or even request a shoe try-on. How could you use technology to make life easier for people interacting with your organisation in the physical world?

As their CEO, John Donahoe, said in a recent earnings call:

“Increased digital engagement is translating into more repeat buyers, a higher buying frequency and increased average order value, ultimately driving higher lifetime value through membership”