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2026-07-26 17:43 UTC → 2026-07-27 07:03 UTC ·
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Nike’s late‑July Nike announced in late July 2026 announcement that it will restructure overhaul its digital sales network in mainland China took China, with the changes taking effect on 1 January 2027. The company will end plan ends contracts with hundreds of third‑party online retailers, including major partners such as Talob Talob, Baosheng and Baosheng, Taobao, and will concentrate sales on its redirects shoppers to Nike’s own website (Nike.com.cn), digital storefronts – Nike.com.cn, the Nike app, and flagship stores on Tmall, JD.com and Douyin. Physical stores run operated by partner retailers will stay open. The shift is intended remain open, but online distribution will be confined to stop price fragmentation, curb deep‑discount wars and gather consumer data after these “premium, consistent” channels. The restructuring follows eight consecutive quarters of revenue decline, including decline in Greater China, highlighted by a 13 % YoY drop year‑on‑year fall in FY‑2026 China revenue to about (about $58.5 billion billion) and a 17 % fall in Greater China sales drop in the most recent quarter. Nike faces growing competition from local brands Anta and Li Ning. Cathy Sparks, Nike’s vice‑president for Greater China, described the market as “too fragmented,” prompting created a new product‑development function focused on Chinese consumers. Analysts note consumer trends, acknowledging that tighter distribution alone product appeal may not solve the sales slump, but be as critical as distribution. The move is also a response to intense competition from domestic brands Anta and Li‑Ning and aims to curb price fragmentation and deep‑discount wars while improving consumer data collection. Analysts view the move tighter distribution as part of a necessary step within Nike’s broader direct‑to‑consumer strategy in the market. strategy, though they caution that sales recovery will depend on resonating product offerings.