When you look at Nike's value today, which hovers around 150 billion dollars, it's hard to believe that it all started with 500 dollars and a handshake. Who created the Nike brand? The answer takes us back to 1964, in Oregon, where two running enthusiasts decided to revolutionize the world of athletic shoes.
Nike is much more than a clothing brand. It's a cultural and technical revolution built pair by pair. The adventure began by selling Japanese shoes from the trunk of a car on the athletic tracks, to become one of the most influential brands in the world. Understanding the origins of Nike is discovering the spirit of its creators, their bold marketing strategies, and their innovations like Air cushioning or the Waffle sole that redefined athletic performance.
The founders: Philip Knight and Bill Bowerman, the architects of Nike
Nike was built on the alliance of two complementary personalities. On one side, the business and strategic vision, on the other, the technical obsession and the quest for absolute performance. This combination allowed the company to survive its chaotic beginnings.
The genesis of Blue Ribbon Sports
The story really starts in 1962. Phil Knight, freshly graduated from Stanford, writes an audacious thesis: Japanese shoes could beat the German models, adidas and Puma, which dominated the American market.
To test his theory, Knight goes to Japan and secures a meeting with Onitsuka Tiger (now ASICS). He bluffs by presenting himself as the representative of a fictitious American company, "Blue Ribbon Sports" (BRS), and secures distribution rights for the western United States.
The figures from that time testify to the simplicity of the beginnings:
- Official creation: January 25, 1964
- Initial investment: 500 $ each for Knight and Bowerman
- First order: 300 pairs of Tigers
- First year: 8,000 $ in revenue, with a negligible profit
Blue Ribbon Sports was just a simple intermediary, but the foundations of Nike were laid. Knight managed sales and administration, while Bowerman focused on the product.
The complementarity of an entrepreneur and a coach
Bill Bowerman was far from an ordinary partner. This legend of athletics at the University of Oregon was Phil Knight's former coach. His obsession? The weight of shoes.
This quest for lightness drove Bowerman to dismantle Tiger shoes to modify them. He reinforced the cushioning, changed materials, and tested his prototypes directly on his athletes. Phil Knight, with his accounting expertise and determination, kept the company alive despite always tight finances. This alliance between raw innovation and aggressive management created the company's DNA: a company designed by runners, for runners.
The birth of the Nike brand: name, logo, and identity
In the early 70s, relations with Onitsuka deteriorated. Knight and Bowerman realized they needed to create their own line to survive. This was the turning point: the company transitioned from distributor to creator.
The transition from Blue Ribbon Sports to Nike and the choice of name
In 1971, the break with Onitsuka was definitive. The team urgently needed to find a name for their new shoe brand. Phil Knight leaned towards "Dimension Six," but Jeff Johnson, the first full-time employee, had another idea.
In a dream, Johnson saw the name of the Greek goddess of victory: Nike. He explained to Knight that great brands (Kleenex, Xerox) often have short names with impactful sounds like the "K." Under the pressure of production deadlines, Knight reluctantly agreed. This mythological name, a symbol of victory, would become one of the most valuable assets in commercial history.
The creation of the swoosh: a symbol of speed and victory
The visual identity is just as crucial. In 1971, Phil Knight called on Carolyn Davidson, a graphic design student in Portland, to create a logo evoking movement.
The guidelines were vague, but the goal was clear: to stand out from Adidas's three stripes. Davidson presented several sketches. Knight chose this inverted checkmark, while admitting, "I don't like it, but I'll get used to it."
- Creation fee: 35 dollars (2 $ per hour)
- Symbolism: the "Swoosh" represents the wing of the goddess Nike and evokes movement and speed
- Impact: now instantly recognized worldwide, even without the brand name
Carolyn Davidson, initially paid a modest sum, would receive in 1983 a gold ring set with diamonds and 500 Nike shares, whose value skyrocketed, finally recognizing her major contribution.
The rise to success: innovations, marketing, and expansion
With its identity defined, Nike had to prove its technical value. The strategy revolved around three pillars: revolutionary product innovation, disruptive marketing, and athlete sponsorship.
The first significant innovations (Waffle Trainer, Air)
Innovation at Nike is measured concretely. The first revolution came in 1974 with the Waffle Trainer. The idea was born in 1971 when Bill Bowerman observed his wife's waffle iron. He imagined that a sole with this relief would offer superior traction on the new polyurethane tracks. He poured rubber into the device and created the legendary waffle sole.
In 1978, aerospace engineer Frank Rudy proposed integrating pressurized gas pockets into the soles to improve cushioning. This was the birth of Nike Air, first integrated into the Air Tailwind.
| Innovation | Year | Flagship model | Technical contribution |
|---|
| Waffle sole | 1974 | Waffle Trainer | Enhanced grip, lightness, shock absorption |
| Nike Air | 1978 | Air Tailwind | Durable cushioning, reduced muscle fatigue |
| Air Visible | 1987 | Air Max 1 | Revolutionary design, cultural icon |
The impact of athletes and the power of the slogan "Just Do It"
Nike revolutionized marketing by turning athletes into cultural icons. The riskiest and most profitable bet? Michael Jordan in 1984. Jordan preferred adidas, but Nike offered him an unprecedented contract: 500,000 $ per year for 5 years, plus royalties. According to rumors, the NBA banned the first Air Jordan (red and black) for non-compliance, with a 5,000 $ fine per game. Nike allegedly paid and used this ban for a legendary campaign. Result: 126 million in sales in the first year, against 3 million expected. But it seems this storytelling was simply an exceptional marketing stunt.
In 1988, Dan Wieden created the slogan "Just Do It." These three universal words allowed Nike to transcend sports to become a philosophy of life, boosting its North American market share between 1988 and 1998.
The conquest of global markets and diversification
The IPO in December 1980 provided the capital for aggressive global expansion. Nike diversified by acquiring competitors (Converse in 2003) and entered European football in the 90s, Adidas's territory. By signing the Brazilian team and Ronaldo, Nike proved it could dominate any sport.
Nike today: a sportswear giant and its cultural influence
Today, Nike far exceeds the scope of shoes. It is a true barometer of pop culture and urban fashion. With over 51 billion dollars in revenue in 2023, the Swoosh brand dominates the global market. Its strategy favors "Direct to Consumer," selling directly through its channels rather than through retailers.
Nike's cultural influence is particularly evident among sneakerheads. Limited drops create massive demand, turning each pair into a potential investment.
Nike continues to innovate with the Vaporfly or its "Move to Zero" initiatives. The brand still masters the art of storytelling, linking high-level performance and urban style to remain relevant to every generation.
The lasting legacy of Nike's builders
The story of Nike proves that passion coupled with innovation can transform an entire market. Phil Knight and Bill Bowerman didn't just sell shoes; they sold the idea that everyone is an athlete. From that handshake in 1964 to the current empire, their legacy lies in this culture of risk and performance. They built a machine where design, marketing, and engineering collaborate to push boundaries.
Frequently asked questions about the Nike brand
What is the origin of the Nike brand?
Nike finds its origin in Blue Ribbon Sports, founded on January 25, 1964, by Phil Knight and Bill Bowerman in Oregon. The company initially distributed Onitsuka Tiger shoes in the United States.
Who owns the Nike brand?
Nike is a publicly traded company, owned by institutional and individual shareholders. Co-founder Phil Knight and his family, however, maintain significant influence through their ownership structure.
Who is the founder of Nike?
Nike was co-founded by Bill Bowerman, legendary track coach at the University of Oregon, and Phil Knight, middle-distance runner and business graduate from Stanford.