Nike is back on Amazon after a six-year break. This move marks a big shift for the company, which had focused on selling directly to customers and controlling its own distribution. Now, Nike is selling on Amazon through its own authorized store.
This change comes as Nike faces pressure on its profit margins. The company has also announced price hikes for clothing and shoes starting this week. Nike had left Amazon in 2019 to focus on its own channels and selected distributors. At the time, the company said it wanted to offer a more premium and personalized experience.
But things have changed. Nike needs to reach more customers and stay competitive in the ecommerce market. By returning to Amazon, the company can tap into the platform’s huge user base and robust logistics. This could help boost sales at a time when Nike’s profits are under strain.
A Nike spokesperson said this move is part of a broader strategy to strengthen its commercial ecosystem. This includes expanding to new digital accounts, like Amazon in the US, and launching an AI-powered conversational search to improve online services.
Prices are going up to protect margins
Nike is also raising prices on some products, especially shoes and clothing. This is to protect its margins from rising production costs and promotional pressure in the sector. The company had warned about this move in its latest quarterly results, citing a complex economic environment and slowing demand in some regions.
Price hikes will range from $2 to $10. For example, items priced between $100 and $150 will go up by $5. Shoes priced over $150 will see a $10 increase, while products under $100 won’t change. This two-part move – returning to Amazon and adjusting prices – shows Nike is rebalancing its commercial strategy to adapt to a changing market. The company aims to maintain profitability without giving up growth, combining expanded consumer touchpoints with tight control over product profitability.
By going back to Amazon, Nike joins a growing trend in the fashion and sports industry: returning to strategic marketplaces to maximize visibility and sales without sacrificing efficiency and brand control.