The world’s biggest footwear manufacturer has announced a trial selling on Amazon. According to reports, it will be launching a pilot programme with Amazon to sell a limited product selection directly on the marketplace. The announcement came as it released its most recent set of results.
Nike CEO said Mark Parker said on Thursday: “We’re looking for ways to improve the Nike consumer experience on Amazon by elevating the way the brand is presented and increasing the quality of product storytelling.”
This formally confirms a leak that Tamebay reported earlier in the week: “There’s news leaked out via Bloomberg that Nike have already signed a deal to sell direct on Amazon.com via the marketplace’s Brand Registry which would allow them to control third party sellers on the site. If you sell the Nike brand on Amazon you could wake up one day to find that you’re banned from selling.”
This is big news for anybody selling Nike and its associated brands such as Converse. The Amazon Brand Registry scheme can make it very difficult for 3P sellers to sell such branded items. Obviously Nike has come around to the huge power of Amazon and now wants to make profits itself, having previously shunned such channels.
And it’s not just Nike. Other big brands will be eyeing the marketplaces increasingly as the seek to protect their band equity and revenues. Could you be impacted if your brands started selling directly on online marketplaces?
