Description
Consumer Behavior Case Study: Nike and Maslow’s Hierarchy of Needs
Introduction
Nike is a global leader in athletic apparel and footwear. Its success can be partly explained by how it meets different levels of consumer needs based on Maslow’s Hierarchy of Needs, which include:
1.Physiological,
2.Safety,
3.Social,
4.Esteem, and
5.Self-Actualization.
Objective
To analyze how Nike appeals to consumers by satisfying different levels of needs in Maslow’s hierarchy.
Maslow’s Hierarchy Applied to Nike
1. Physiological Needs
•Nike shoes and clothing fulfill basic needs for protection, comfort, and performance during physical activity.
2. Safety Needs
•Durable materials and product features (like arch support or grip soles) give consumers physical safety.
•The brand’s consistency also provides emotional security (trust in quality and performance).
3. Social Needs (Love and Belonging)
•Nike’s community marketing makes consumers feel like part of a group (e.g., runners, gym-goers).
•Collaborations with athletes and influencers reinforce a shared identity.
4. Esteem Needs
•Wearing Nike is associated with success and confidence.
•The brand’s message (“Just Do It”) promotes self-confidence and personal achievement.
5. Self-Actualization Needs
•Nike encourages customers to reach their full potential, whether in sports or personal growth.
•Inspirational campaigns show people overcoming challenges and pursuing excellence.
Discussion / Assignment Questions
1.Which level of Maslow’s hierarchy do you think Nike focuses on the most in its marketing? Why?
2.Can you think of a Nike ad that appeals to self-actualization needs? What message does it send?
3.How does Nike create a sense of community among its customers?
4.Do you think Maslow’s hierarchy is still relevant in understanding consumer behavior today? Why or why not?
5.Choose another brand and identify how it meets at least three levels of Maslow’s hierarchy.
Consumer Behavior Case Study: Apple iPhone and the Product Life Cycle
Introduction
Apple’s iPhone is one of the most successful consumer electronics products in history. Its journey follows the Product Life Cycle (PLC), which includes the following stages:
1.Introduction,
2.Growth,
3.Maturity, and
4.Decline.
Objective
To understand how consumer behavior and marketing strategies change throughout the iPhone’s product life cycle.
Product Life Cycle Stages Applied to iPhone
1. Introduction Stage (2007)
•Consumer behavior: Early adopters and tech enthusiasts were willing to pay a premium to try something new.
•Marketing focus: Heavy promotion to build awareness and excitement.
•Product: Only one model, limited features compared to today, but revolutionary at the time.
2. Growth Stage (2008–2014)
•Consumer behavior: More mainstream users started buying iPhones due to peer influence and improved features.
•Marketing focus: Expanding market reach, releasing multiple versions (e.g., 3G, 4, 5), and targeting new customer segments.
•Result: Rapid increase in sales, word-of-mouth, and customer loyalty.
3. Maturity Stage (2015–Present)
•Consumer behavior: Most people already own smartphones; now they upgrade based on features, design, or brand loyalty.
•Marketing focus: Focus on product differentiation (camera, performance, ecosystem), loyalty programs, and emotional branding.
•Strategies: Introducing multiple models (Pro, Mini, SE) to appeal to different price points.
4. (Future) Decline Stage?
•Potential behavior: Market saturation, slower sales, and consumer fatigue.
•Apple’s response: Innovating to delay decline—foldable phones, AR glasses, or deeper integration with services (iCloud, Apple Pay, etc.)
Discussion / Assignment Questions
1.Which stage of the product life cycle do you think the iPhone is currently in? Why?
2.How does consumer behavior change from the growth stage to the maturity stage?
3.What strategies has Apple used to keep the iPhone from entering the decline stage?
4.Can you think of a product (not from Apple) that is currently in the decline stage? What are the signs?
5.How do marketing strategies need to change as a product moves through each stage of the life cycle?