Nike to Cut Hundreds of Online Sales Channels in China from 2027
Nike announced that it will terminate its online sales agency agreement with Taobao in mainland China effective 1 January 2027, ending the rights of the e‑commerce platform to sell Nike products. Hundreds of other online distributors will also cease selling Nike goods, with consumers redirected to Nike’s official digital storefronts on Tmall, JD.com, Douyin and the company’s own website and app. The move aims to consolidate the brand’s presence on “premium, consistent” channels after several quarters of revenue decline in Greater China, where the latest fiscal quarter saw a 17 % drop in sales and eight consecutive quarters of reductions.
Nike’s Greater China revenue fell 12 %‑17 % year‑on‑year and the company has created a new function for local product development to better serve Chinese consumer trends. The change follows competitive pressure from domestic brands such as Anta and Li‑Ning. Analysts note that the core challenge may lie more in product appeal than distribution. Major Chinese distributors that rely heavily on Nike, such as TaoBo (which reports Nike and Adidas together accounting for 86.7 % of its revenue and Nike online sales representing about 22 % of its online revenue), saw their share price plunge after the announcement.
Entities: Cathy Sparks · Elliott Hill · Nike Inc. · Nike, Inc. · TaoBo · Taobao
Claims
What the coverage asserts, and how well corroborated each claim is across sources.
- [○ 1 SOURCE] Nike and Adidas together account for roughly 86.7 % of TaoBo’s total revenue. (581d9e2f-c865-411f-8180-2c1368ac36ac)
- [○ 1 SOURCE] Nike plans to close roughly 90 branch offices and thousands of online distributors in China. (Nike restructuring plan)
- [○ 1 SOURCE] Taobao’s user base reached 92.9 million in FY2025/26, with 91.7 % of sales coming from member purchases. (Taobao internal data)
- [○ 1 SOURCE] Adidas reported a 13 % increase in Greater China revenue for FY2025, reaching €36.2 billion. (Adidas financial report)
- [○ 1 SOURCE] TaoBo’s share price fell sharply after the announcement. (581d9e2f-c865-411f-8180-2c1368ac36ac)
- [DISPUTED] Nike’s Greater China revenue fell 12 % year‑on‑year in FY2026 Q4, marking eight consecutive quarters of decline. (cd398798-f2d6-48f6-ba00-9449603ec6ed, 581d9e2f-c865-411f-8180-2c1368ac36ac)
- [○ 1 SOURCE] Nike’s online sales represent about 22 % of TaoBo’s total online revenue. (581d9e2f-c865-411f-8180-2c1368ac36ac)
- [● 3 SOURCES] Nike will terminate Taobao’s online sales agency rights in China effective 1 January 2027. (0388ce6a-cc1a-4111-9846-2894924c2ad7, b10c0943-05f0-45ce-a836-7ca71708b743, 581d9e2f-c865-411f-8180-2c1368ac36ac)
- [● 3 SOURCES] Hundreds of online distributors in China will stop selling Nike products from January 2027, directing consumers to Nike’s official channels. (0388ce6a-cc1a-4111-9846-2894924c2ad7, b10c0943-05f0-45ce-a836-7ca71708b743, 581d9e2f-c865-411f-8180-2c1368ac36ac)
- [● 3 SOURCES] Nike created a new function dedicated to locally‑developed products for the Chinese market. (0388ce6a-cc1a-4111-9846-2894924c2ad7, b10c0943-05f0-45ce-a836-7ca71708b743, 581d9e2f-c865-411f-8180-2c1368ac36ac)
- [DISPUTED] Nike’s Greater China revenue fell 17 % in the latest fiscal quarter. (0388ce6a-cc1a-4111-9846-2894924c2ad7, b10c0943-05f0-45ce-a836-7ca71708b743, 581d9e2f-c865-411f-8180-2c1368ac36ac)