1 March 2022

Nike’s accelerated shift to direct-to-consumer (DTC) sales means a bleak outlook for retailer Foot Locker, reports ILM.

Reporting its 2021 financial results on February 25, Foot Locker said: “Beginning in the fourth quarter 2022, Foot Locker, Inc. does not expect any one vendor to represent more than 55% of total supplier spend, down from 65% in the fourth quarter of 2021.

“As a result, no single vendor is expected to represent more than approximately 60% of total purchases for fiscal 2022, down from 70% in 2021, and 75% in 2020. This change reflects the accelerated strategic shift to DTC by one of the company’s vendors (Nike) and Foot Locker, Inc.’s ongoing brand and category diversification efforts.”

The retailer has estimated the result of this change with a forecasted drop of 4-6% in sales for the current financial year.

Nike’s aggressive DTC strategy has seen the brand close its wholesale accounts with retailers including Zappos, Dillard’s, DSW, Urban Outfitters and Shoe Show, in addition to cutting back the quantity of product available in existing vendors like Foot Locker.

Baird analyst Jonathan Komp said: “Today’s update is likely to fuel longer-held investor concerns about Foot Locker’s extremely concentrated exposure to Nike which has been emphasising its own DTC channels and has announced strategic relationships with others.”

關於亞太區皮革展 ​

我們為皮革、物料及時裝業界創造面對面洽談的機會,爲客戶締造實質商機。我們雲集世界各地的商家,讓他們尋找新的合作伙伴,發掘潛在客戶或供應商,並掌握業界最新發展。   我們主辦多個專注時尚及生活潮流的商貿展覽會, 為這不斷變化的行業,提供最全面的買家及參展商服務,方便他們了解急速轉變的行業環境,並預測來季趨勢。

社交媒體:​

聯絡我們: