Foreign media: Nike's sales in China have plummeted by 30% since 2021, with annual revenue hitting its lowest level in eight years, and it has now seen eight consecutive quarters of year-on-year decline, transforming from a once-fastest-growing market into the smallest one.
The core issue lies in the rise of "Guochao" (China-inspired trends): younger consumers increasingly favor domestic brands such as Anta and Li-Ning, perceiving Nike as lacking innovation and not "cool" enough; meanwhile, Nike’s product decision-making remains highly centralized at its U.S. headquarters, resulting in insufficient localization—unlike Adidas, which achieved a turnaround through its China-based team-designed "Chinese Jacket," selling out within 27 minutes.
Beyond this, during the pandemic, Nike allowed offline distributors to sell online but failed to reset the policy afterward, leading to channel confusion and rampant discounting. Now, Nike is cutting off thousands of online distributors—even if this short-term move may cost about $1 billion in annual revenue—its goal is to rebuild a premium image through full-price sales. The newly appointed head of Nike Greater China, Casey Sparks, is advancing local product development and plans to launch a sportswear casual series specifically designed for Chinese consumers within the next 18 months.
Original source: toutiao.com/article/1872057970102284/
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