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Marketing · 13 min

What marketing does

Before anyone buys your sneakers, they have to hear of them, want them and find them. That's the marketing team's job. Here's how they do it, and what it costs to win one customer.

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Ticket 01 · The guess

How much goes to getting noticed?

Nike sells sneakers and sportswear all over the world. Out of every $100example (example number: Our example: a round amount of Nike's revenue.) it took in, how much did it spend on what it calls demand creation: ads, marketing, and paying athletes and teams?

$25
$0$40
Words to know

Spot something wrong?

Tell us what looks off. No name or email needed.

What kind of problem?

0 / 1000

We'll also send this page, the lesson, ticket 1, so we can find it. Nothing else. Privacy

·
Sources and every number (5)

Sources

  • NIKE, Inc. Form 10-K for the fiscal year ended May 31, 2026: total NIKE, Inc. revenues and demand creation expense (Item 7, results of operations) · NIKE, Inc. (filed with the U.S. Securities and Exchange Commission), 2026
  • Teens, Social Media and AI Chatbots 2025 (online survey of 1,458 U.S. teens ages 13 to 17, Sept. 25 to Oct. 9, 2025, conducted through Ipsos; published December 9, 2025) · Pew Research Center, 2025
  • Duolingo, Inc. Form 10-K for the fiscal year ended December 31, 2025 (Item 1, Sales and Marketing) · Duolingo, Inc. (filed with the U.S. Securities and Exchange Commission), 2025
  • Disclosures 101 for Social Media Influencers · U.S. Federal Trade Commission, 2023
  • FTC's Endorsement Guides: What People Are Asking · U.S. Federal Trade Commission, 2023

Every number

  • $100example (example number: Our example: a round amount of Nike's revenue.) · Our example: a round amount of Nike's revenue.
  • $46.4Bsec.gov ·2026 · Total NIKE, Inc. revenues, fiscal 2026 (the year that ended in May 2026), from its 10-K.
  • $4.8Bsec.gov ·2026 · Demand creation expense, fiscal 2026: brand marketing (advertising, digital marketing, brand events, store displays) plus sports marketing (athletes and teams), from its 10-K.
  • $4.7Bsec.gov ·2026 · Demand creation expense, fiscal 2025, from the fiscal 2026 10-K.
  • $10.25sec.gov ·2026 · Worked out: demand creation $4.8B ÷ revenues $46.4B, fiscal 2026, for every $100 of revenue.
  • 61%pewresearch.org ·2025 · Share of US teens who say they use TikTok at least daily. Pew Research Center's online survey of US teens ages thirteen to seventeen, fall 2025.
  • 55%pewresearch.org ·2025 · Share of US teens who say they use Instagram at least daily. Pew Research Center's online survey of US teens ages thirteen to seventeen, fall 2025.
  • 46%pewresearch.org ·2025 · Share of US teens who say they use Snapchat at least daily. Pew Research Center's online survey of US teens ages thirteen to seventeen, fall 2025.
  • 20%pewresearch.org ·2025 · Share of US teens who say they use Facebook at least daily. Pew Research Center's online survey of US teens ages thirteen to seventeen, fall 2025.
  • 21%pewresearch.org ·2025 · Share of US teens who say they use TikTok "almost constantly". Pew Research Center's online survey of US teens ages thirteen to seventeen, fall 2025.
  • 3%pewresearch.org ·2025 · Share of US teens who say they use Facebook "almost constantly". Pew Research Center's online survey of US teens ages thirteen to seventeen, fall 2025.
  • 80,000 peopleexample (example number: Our example launch month: people who saw the brand's short videos.) · Our example launch month: people who saw the brand's short videos.
  • 2,400 peopleexample (example number: Our example launch month: people who visited the brand's website.) · Our example launch month: people who visited the brand's website.
  • 72 peopleexample (example number: Our example launch month: people who bought a pair: the month's new customers.) · Our example launch month: people who bought a pair: the month's new customers.
  • 3%example (example number: Our example, worked out: 2,400 people of the 80,000 people.) · Our example, worked out: 2,400 people of the 80,000 people.
  • 3%example (example number: Our example, worked out: 72 people of the 2,400 people.) · Our example, worked out: 72 people of the 2,400 people.
  • $1,500example (example number: Our example: a month of short-video ads.) · Our example: a month of short-video ads.
  • $1,000example (example number: Our example: paid to one runner with many followers for a post.) · Our example: paid to one runner with many followers for a post.
  • 9 pairsexample (example number: Our example: free pairs sent to creators to try.) · Our example: free pairs sent to creators to try.
  • $60example (example number: Our example: what one pair costs the brand to make and ship to a creator.) · Our example: what one pair costs the brand to make and ship to a creator.
  • $540example (example number: Our example: worked out: 9 pairs × $60.) · Our example: worked out: 9 pairs × $60.
  • $2,000example (example number: Our example: a month's pay for a part-time marketer.) · Our example: a month's pay for a part-time marketer.
  • $5,040example (example number: Our example: worked out: $1,500 + $1,000 + $540 + $2,000.) · Our example: worked out: $1,500 + $1,000 + $540 + $2,000.
  • $70example (example number: Our example: worked out: $5,040 ÷ 72 people.) · Our example: worked out: $5,040 ÷ 72 people.
  • $20.83example (example number: Our example: worked out: $1,500 ÷ 72 people, the ads alone.) · Our example: worked out: $1,500 ÷ 72 people, the ads alone.
  • $45example (example number: Our example: what one first pair leaves the brand after making and shipping it.) · Our example: what one first pair leaves the brand after making and shipping it.
  • 12.1%sec.gov ·2025 · Worked out from Duolingo's 2025 10-K: sales and marketing expense ÷ total revenues, 2025.
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