How Much is Nike Sacrificing with Kaepernick Ad Campaign

The Nike swoosh went up in smoke literally as angry consumers pushed back against the company’s decision to make former San Francisco 49ers quarterback Colin Kaepernick the face of its new ‘Just Do It’ ad campaign. Kaepernick is a polarizing figure for many and the lightning rod for the nation’s conversation about the social justice protest he ignited when he began kneeling during the National Anthem in 2016. But, while some set fire to their merchandise, others were motivated to purchase.

“This is a bold and courageous move on Nike’s behalf!” says Rev. T.C. Johnson, one of the ministers who created a video last year calling for a boycott of the NFL as a response to the owners’ alleged collusion against Kaepernick. “Since Nike has stood for real justice in a true democracy, I will, and we can stand with Nike by purchasing all sporting needs from Nike until appropriate change occurs.”

When the smoke clears, Nike may find itself with some new customers and a renewed popularity. Time magazine reports Nike is experiencing a robust uptick in sales since the Kaepernick ad was announced. According to the report, online sales have increased 31%.

But, the research firm Morning Consult reports consumers have mixed emotions about the new 30th anniversary campaign. According to the survey, 24% have an unfavorable response to the brand which is a 7% increase linked to the ad. The survey also included a question aimed at gauging consumers’ opinions of Nike’s motivation with 32% saying the ad was “mostly an effort to recognize Kaepernick’s efforts” while 38% tagged the campaign as a “publicity stunt.”

Nike’s stock rebounded from an initial drop following the ad campaign announcement. And, the company is staying the course, riding out the turbulence with the awareness that the global customer is a significant contributor to its bottom line, and there are apparently many Americans who support its decision.

ESPN sportscaster Shannon Sharpe says he’s “extremely proud of and happy…Kudos to Nike.”

The National Football League is the latest arena for the nation’s increasingly bitter debate over cultural issues. The blistering tweets from the White House have fanned the anger of football fans who take issue with players for their decision to take a knee during the National Anthem as a silent protest against racial injustice. Ratings and attendance may suffer, again, this season as a result.

So far, only one sports team is ditching its Nike athletic wear in response to the Kaepernick campaign. The College of the Ozarks, a private Christian college located near Branson, Missouri, plans to remove all uniforms bought from Nike that have its logo. Officials at the College say the ad campaign promotes “an attitude of division and disrespect” toward America.