Today, Nike’s all-access pass to experiences, products and services gets even more robust with a new set of regional benefits, including unlocking training content from the continent’s top athletes and exclusive product drops and rewards.
Source: The Nike App is Now Available in Europe
First, I’m not a stockmarket analyst and I don’t work for any firms. This post is my opinion on Nike’s growth which I’ve been monitoring for over 6 years and I’ve correctly predicted a number of moves by the brand including their recovery from their lowest share price in the last 7 years:
Nike’s Stock Price Increases on Investor’s Day | Here is Why?
On August 15, the Nike App hit 13 new markets in Europe: Belgium, Luxembourg, Denmark, Sweden, Finland, Portugal, Greece, Hungary, Slovenia, Czech Republic, Poland, Ireland and Austria. This is very important as Nike has stated that the company generates 3X the sales in their digital ecosystem. “The company’s digital sales during the quarter were up an impressive 41% year over year, growing faster than all of Nike’s channels” (Motley).
This move by Nike Digital will undoubtedly serve as the bridge to incorporating Europe into the Nike.com and Nike App experience. While the tariff situation is a constant cloud because the costs will be passed on to consumers, if Nike is capable of growing their digital channel in Europe they may have the ability to offset the tariffs within their company as opposed to passing on increased prices to the customer and that’s something that can’t be overlooked.
Sources:
https://www.fool.com/investing/2018/12/24/nike-management-talks-digital-sales-growth-opportu.aspx
