Nike posted sluggish growth as the largest sportswear brand in the world faced rising competition, a consumer pullback in its key markets and strategy missteps.
Nike faces a consumer slowdown for discretionary goods and tough competition from upstart running brands like Hoka and On. Customers are changing their behaviors, passing up discretionary purchases of expensive sneakers and athletic clothing for basics and experiences such as concerts and travel.
Nike is also facing new competition. Hoka, a French brand founded as a running shoe for hardcore marathoners that soon caught on in the mainstream, is growing thanks to its emphasis on comfort over traditional style.
The company in recent years has slashed the number of traditional retailers it sells its goods to while shifting to grow directly through its own channels, especially online. Nike has said it can make more than double the profit selling goods through its own website and physical stores than it can through wholesale partners. Nike has since brought back some of the retailers it initially cut out. Nathaniel Meyersohn, CNN.
Fri, 28 Jun , am 2 min read. In this article: NKE. Terms and Privacy Policy. Privacy dashboard.
