Nike Just Does It
Despite the critics and the cynics, Nike will put its best foot forward with an entirely new business model. The stock is still mending from tariff setbacks last week, but that hasn’t stopped it thinking outside of the shoebox for growth ideas. Lace-up investors!
Gone are the days of buying shoes only for their core purpose of keeping our feet protected. These days, we’ve got to do it in style! Nike has gotten selling new shoe designs down to a tee. They come thick and fast in new styles, the marketing every bit as entrapping. The business model, however, Nike has never touched. Products are sold once, over-the-counter, in a traditional way. That’s all about to change…
Some lucky kids are about to get a new pair of trainers every month, with Nike trying to win parents’ over with a subscription shoebox that comes monthly, bimonthly, or quarterly. The majority of humans only have two feet, so this is the only way Nike could convince shoppers to commit to more than one pair of sneakers at a time. Christmas will come early for 2 to 10-year-olds, parents will save, Nike will grow, and investors will profit. That’s the plan!
Nike has been around the block a few times as one of the most classic and famous brands trading today. It’s not as young as it once was, some investors now thinking Nike is having a mid-life crisis as it chases unorthodox pockets of growth. Combining this new idea with its fastest-growing segment is also seen as a risk by many investors, with subscription boxes having been done to death already. Subscription shoeboxes, however, have a chance.
The back-to-school shopping season is well underway, so it’s a baptism of fire for this subscription model as parents are immediately judge how often their kids need new trainers. Wide-eyed investors await the numbers! It promises to be interesting!
