Nike Inc. is ending online sales agreements with potentially hundreds of distributors in China. This move is part of a sweeping effort to revive flagging sales and streamline the company's online business in the region.
Starting in January, Nike will shift online sales to its official website and app, as well as its flagship stores on e-commerce platforms including Tmall, JD.com, and Douyin. The transition is designed to help the company stabilize pricing and branding as it seeks to return to growth.
The initiative aims to rebuild trust with Chinese shoppers and ensure products are sold at full price. While Nike has seen signs of progress in North America and demand in its running business, China has remained a persistent pain point for CEO Elliott Hill.