Raphkicks@Raphkicksllc
No words to even describe this, I would just qualify this as self-inflicted brand suicide
> Nike wants to flood retail partners with inventory, lock in guaranteed cashflow
> Scarcity model helped Jordan brand preserve prestige, no more appeal as almost all new Jordan retro sneaker releases are widely accessible
> Models sit on shelves, retail partners and boutiques end up cashflow negative with Nike invoices hitting weekly
> Jordan brand previously backed up releases with heavy marketing and activation events, effort bar seems so fkn low these days that most semi-interested sneaker consumers probably weren’t even aware of the “banned” lows releasing this past week
What an insult to the investors and retail partners who have continuously placed their trust in Nike’s supply chain…
The underlying issue is and has always been very clear: Nike has lost control of its own supply chain
• cargo theft still a prevalent issue with early Jordan retros hitting the market weeks early at an effective cost basis of $0, allowing sellers who have no direct connection to the Nike supply chain to undercut direct Nike partners
• international retailers in overstocked and highly corrupted regions exporting releases by the thousands of units into the U.S. market, the most prized and profitable region for Nike, jeopardizing any supply chain integrity that U.S. retailers once benefited from
> U.S. Nike retailers have lost so much confidence in Nike sneaker launches that they rush to secondary market platforms to quickly take any profit they can before the market turns to absolute shit
Let me put it clearly, NIKE RETAILERS are selling more on StockX and GOAT than they are on their own retail sales channels….
The alarm bells should’ve rang a while ago, but no one at Nike seems to be concerned apparently
Nike supply chain management = 0/10
