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![]() The .nike Dot BrandNike, Inc sells quality footwear, apparel, equipment and accessories in more than 170 countries. Nike branded products are produced in more than 800 factories around the world. There are almost one million workers in Nike's contract supply chain. Nike produces a wide range of sport and leisure wear and is the world's largest seller of athletic footwear & apparel. Internet interaction and sales (which it refers to as "Direct to Consumer" operations) are key operational factors. Content is currently broadcast in a variety of traditional generic domain extensions such as .com, .net, .mobi and many cc (country code) TLDs such as .cn and .in. The "Nike" trademark is famous, distinctive and valuable and represents a very significant level of goodwill, globally. This is a result of the company's extensive sales & marketing efforts. The trademark is officially registered in many countries. Continual protection of the integrity of the brand is paramount.
Nike believes that its proposed .nike extension will provide an "online single source-identifying location for its current and future customers". The TLD will also be useful to general internet users, investors and the media, and will serve as a trusted and intuitive namespace. Navigation will be streamlined by using short and memorable internet addresses. The TLD will be an integral part of the company's strategy of using emerging technologies to achieve its aims. At time of application, Nike did not consider there had been enough time (or available market insight) to fully evaluate the potential of the .nike string. The company intends to analyze general market adoption of the brand domains to determine both short- and long-term best use options. Nike is already aware that with the growth trajectory of new channels such as mobile devices, there is an opportunity to create an innovative virtual avenue to online content that might "deepen and broaden its relationship with consumers". While ICANN has not specifically recognized the dot brands as a separate domain class, Nike anticipates that the brand domains will come to be seen as such. Nike views its string as a .brand TLD and will deploy it to promote and protect its identity and online presence.
The Applicant also carefully notes that the driving factor in securing the .nike TLD is "precautionary in nature". Nike has a flexible four stage plan to rollout the TLD: 1. Register a limited number of second level (left of the dot) domains. These will be used for technical testing to ensure seamless and secure operations, interoperability etc. 2. Widespread internal corporate use. Develop and evaluate strategies to potentially migrate traffic from existing domains to the new TLDs. Consider extending registration rights to licensees & partners. 3. Depending on evaluation of Stage Two, migrate online content over to the new .nike string and extend registration to select associates. The Applicant expects that domain registrations in the first five years will be less than 10,000. 4. Further assessment of its business plan and expansion strategy in light of the view that the collective impact of the .brand domains will likely take at least five years to be realized. It is even possible that registration rights might be extended to approved customers. Ultimately, Nike will measure the success of the .nike domain in terms of increased consumer recognition and trust. At time of application, Nike considered that there were uncertainties about the adoption of the new gTLD program, the response of search engines, and "unanswered questions concerning consumer recognition". If the results are promising, Nike will commence a broader initiative which may include ads, media outreach, in-store communications, email campaigns and other programs. Nike intends to create a "trusted online environment for consumers to access Nike's online content". Nike branded websites will form an authentic and verified ecosystem where users can access genuine Nike information and make purchases from a trusted marketplace. Consumers will quickly appreciate that brand domains such as .nike are owned and fully controlled by their respective corporations. This will generate a public interest benefit.
Nike and its TLD registry services provider Neustar, Inc agree that they must act as stewards to protect the integrity of the .nike namespace in the public interest. Privacy will be protected. Any possible abusive or malicious domain activity such as fraudulent actions, spam, phishing, malware distribution, fast flux hosting, botnets etc will be eradicated as far as is possible. In particular, Nike wishes to prevent piracy and counterfeiting and the new TLD will assist with this goal.
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