- After breaking up with retail partners to focus on direct-to-consumer sales, Nike is now seeking their assistance in clearing out inventory. Designer Brands, the parent company of DSW, announced that it will carry a broader range of Nike products starting later this year. Macy's also revealed that Nike apparel, bags, and gear will be reintroduced to its department stores in October. Both retailers view these agreements as expansions of their existing relationships with Nike.
- Nike executives have prioritized direct sales through their website and apps, aiming for higher profits. While partnerships with retailers offer growth opportunities, both Macy's and Designer Brands reported recent sales declines due to economic pressures and a competitive promotional environment.
Why it matters
Nike pursued a strategy called One Nike Marketplace to attract modern shoppers and enhance profit margins. This involved investing in stores, creating shopping apps, and streamlining retail partnerships. The goal was to provide customers with consistent experiences both in-store and online, while distancing themselves from poor displays and experiences at certain department and discount stores.