Nike CEO Mark Parker 'very proud of the work we've been doing' with Colin Kaepernick

Nike CEO Mark Parker spoke glowingly of the company’s controversial ad campaign with Colin Kaepernick on a Tuesday earnings call, touting the “Just Do It” promotion’s connection with consumers.

“We feel very good and are very proud of the work we’ve been doing,” Parker said. “We know it’s resonating quite strongly with consumers here in North America and around the world.”

Nike posts earnings beat, shows profit growth

Nike’s shares have risen 6.25 percent since the debut of the Kaepernick ad on Sept. 5, according to ESPN. Shares fell in after-hours trading by 3.5 percent as of Tuesday evening despite Nike showing an earnings beat and profit growth during the quarter.

Stacey Widlitz, president of consulting firm SW Retail Advisors, told CNBC that analysts wanted to see something beyond the 10 percent revenue growth that the apparel company reported on Tuesday.

Shares of Nike initially fell the day after the reveal of the ad campaign, prompting critics to cheer the results as a sign that aligning with Kaepernick was bad business. But the company’s shares’ dip that day was in line with a broader sector drop that also included losses from rivals Adidas and Puma.

RELATED: People react to Nike's Colin Kaepernick ad campaign

People react to Nike's Colin Kaepernick ad campaign
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People react to Nike's Colin Kaepernick ad campaign
.@Nike Due to your support of C.K. in your coming adds, I as an American can no longer support your company.…
First the @NFL forces me to choose between my favorite sport and my country. I chose country. Then @Nike forces me…
Our Soundman just cut the Nike swoosh off his socks. Former marine. Get ready @Nike multiply that by the millions.
The Twitter user ArtenenAeolus shared a video, since deleted, of a man burning some Nike products. (ArtenenAeolus/Twitter)
When you find out #nike is supporting #ColinKaepernick #BoycottNike 🔥🔥🔥
When you find out #nike is supporting #ColinKaepernick #BoycottNike 🔥🔥🔥
Nike ran the numbers. They’ll be ok. But please, burn your socks.
Not playing around. #BackTheBlue #BackTheArmedForces #NikeBoycott
I just gave $10 this weekend to a homeless veteran. Instead of burning your Nike gear like a goddamned idiot, donat…
#NikeBoycott meet this #VeteransForKaepernick Retired Navy Chief. I served so that Kap can have his voice and spea…
Waiting for Goodwill to open this week with all the new Nike gear... #ColinKaepernick #nikeboycott
Hey #Nike . I don't wear politics or anything related to #ColinKaepernick I no longer buy 5 to 6 pairs per year of…
.@Nike Due to your support of C.K. in your coming adds, I as an American can no longer support your company.…
Let me guess we‘re boycotting Nike because by them supporting Colin Kaepernick they are somehow “disrespecting the…
Ripping my Nike Air Max to own the libs #BoycottNike
Can't believe Nike would do such a thing. @Nike @Kaepernick7 #fire #JustDoIt #BoycottNike
.@Nike how you going to endorse @Kaepernick7 a person that advertises socks with cops portrayed as pigs, a person t…
@BreitbartNews Burned my #Nike
@TheLastRefuge2 @R_Daneel_0livaw Takin out the trash @Nike #nikeboycott
I just wrote “NIKE” on twenty dollar bills and burned them to own the libs.
wow can’t believe colin kaepernick just became the official spokesperson of brake lines
I'm finally cutting out the Nike logos out of my Nike pillow case!
Breaking: Nike responds to MAGA backlash
them: Gonna burn/throw away my Nike gear because they are unpatriotic Nike:
“This is terrible marketing. Just awful. I’m gonna show everyone how terrible this is. That’ll show Nike.”
Racists: I’m never buying Nike again Nike:
nike brilliantly found a way to get the least stylish people to stop wearing its stuff
oh wow not sure how Nike's going to survive if they lose the 70 year old white man market
When you can’t find a cross
Me, looking to see if anybody burns some Jordans rather the Nike’s they got on the clearance rack
Going one step further and no longer worshiping Nike as my goddess of victory. Will ONLY recognize Victoria, her Ro…
Wow Nike. Not a good look
I actually need a new pair of workout shoes. The choices are dizzying. The #NikeBoycott helps me narrow the decisi…
I Always thought the Air Jordan’s craze was silly. But I will be buying 10 pairs of Those "Air Kaepernick’s" when t…
Whether you agree with Nike doing the Kaepernick ad or not it’s bold and I like it. Wish more big companies took risk to make a statement.

Short-term results not a reliable gauge of ad’s success

This all goes to show that attributing these kinds of short-term gains and losses to the Kaepernick campaign is a fool’s errand, an imprudent evaluation method of a massive company not swayed by minor headwinds and tailwinds.

The use of these numbers have been primarily used to tout a win for whatever side of the Kaepernick aisle someone falls on when the numbers support an argument one way or another.

In reality, only the long-run will truly give insight into how successful the Nike-Kaepernick campaign is or isn’t. At three weeks in, we’re nowhere close to the long run.

Nike’s strategy targets young demographic over broad market

In the meantime, Parker maintains a confident stance in the risky move that eschews the broader market to appeal to a younger, more progressive demographic that Nike covets. It’s an attempt at direct engagement with consumers that Parker pointed to on Tuesday.

“How we look at it is how do we connect and engage in a way that’s relevant and inspiring to the consumers that we’re here to serve.”

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