Nike, the world’s biggest sportswear brand, is working to bounce back after a difficult year.
Last week, the company shared its first earnings report under new CEO Elliott Hill, which experts believe could signal the start of a recovery for the brand.
Nike’s troubles began in 2020 when it cut back on partnerships with stores like Foot Locker and Dick’s Sporting Goods to focus on selling through its own stores and website. While this worked initially, sales from Nike’s own channels slowed down after Covid restrictions eased in 2021.
In April, former CEO John Donahoe admitted the company had focused too much on digital sales and needed to rebalance.
Nike is now dealing with extra inventory from slow sales as customers shift to newer styles from competitors. In its latest earnings report, the company said it plans to focus on innovation, promote sports-focused marketing, and clear old stock with discounts.
All eyes are now on Elliott Hill, a 32-year Nike veteran, to lead the brand’s comeback.
