Author Topic: Nike: Will 2018 Be A Good Year?  (Read 55 times)

Offline Dihuaxiu28

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Nike: Will 2018 Be A Good Year?
« on: January 22, 2018, 07:05:01 AM GMT GMT »
There's a lot of change happening right now for Nike and retail in general. The fallout of places like Footlocker (FL) last year definitely hurt Nike. Their new "Consumer Direct Offensive" involves a streamlining of retail channels for nike air max 1 ultra 2.0 essential trainer. Whereas the company has done business with 33,000 retailers previously, they will be cutting that to just 40 partners. In return these retailers will receive marketing dollars and assistance in driving differentiation by essentially focusing exclusively on Nike products.

Footlocker will be one of these retailers, and its recent display of its new store shows what Nike is talking about. There are areas focused purely on Nike sales, with store staff focused purely on nike air max thea womens buy online. It certainly is a direct approach to the problem. That said, I still question whether it will dissuade consumers from buying the plethora of other options out there these days.

While stateside has been slow for Nike, Europe and overseas sales have been growing. There's concern that things like Puma (OTCPK:PMMAF) could begin taking market-share there, just as nike air max 1 ultra 2.0 essential trainer has done here.

It will be curious how it all plays out, but I'm skeptical of the stock. There's an ongoing diversification of apparel companies that's stretching the market out in many directions. Lululemon (LULU) continues to do its thing. Under Armour is trying to figure out how to reinvigorate itself as it suffers from a more dramatic version of the same problem Nike has. It's a touch sector. Who's to say that Nike forcing retailers to place more store emphasis on its goods is going to drive consumer demand? The fact of the matter is that I can go online and find like 10 cheaper alternatives. All in all, nike air max thea womens buy online seems like the right play to me in this industry. It is producing better earnings.

My prediction for Nike is a shift in its goal of $50 billion in sales by 2022. It just doesn't seem likely from current growth rates and retail trends.