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Nike Cuts China Online Distributors

Financial Times Companies •
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Nike Inc. will drop more than 1,000 online storefronts in China, focusing sales on its own website, app, and key platforms Tmall, JD.com and Douyin from January. Vice‑president Cathy Sparks said the move aims to stop a fragmented distribution that has hurt performance and trust after Covid‑19.

The change means partners such as Topsports will cease online sales from 1 January, a move that sent Topsports’ Hong Kong shares down 23%. Nike’s housings in greater China have already fallen 12% YoY to $1.3bn in the last quarter, amid fierce competition from domestic brands like Li Ning and Anta and international rivals such as Adidas.

Nike says it will still work with a small number of multi‑brand partners and invest in its 16 store partners. “This is not about reducing access,” the company said, stressing that retail partners remain central to the brand’s experience in China.

Analysts warn that cutting wholesale partners could open shelf space for competitors, but Nike’s strategy focuses on consolidating its digital presence to rebuild revamped growth.