Just redo it: inside Nike's plans to put the swoosh back into its sales

"The entrance to Nike's swish global headquarters in Beaverton, Oregon is paved with rough cobbles, designed to remind employees to watch their step when they go forward. Last summer, though, not even the world's biggest sports brand could stop itself from taking an almighty tumble. Over the course of one July day in 2024, Nike's share price plummeted by $28bn the worst single-day performance in the company's history after it revealed that second-quarter sales were down 10%."

"There were headlines proclaiming that Nike was in crisis. That it had lost its cool, become either too woke, too safe, too conservative or too cumbersome, depending on their political stripe and reading of the situation. To no one's surprise, its chief executive, John Donahoe, stepped down. True, Nike was still worth around $100bn more than twice the value of its closest rival, Adidas, and even further clear of Puma, Lululemon and New Balance."

"Just over a year later I am sitting with Nike's new president and chief executive Elliot Hill, talking about how he intends to turn the company around with the help of some wild new innovations, including the world's first motor-powered running and walking shoe. Soon I will also hear about mind shoes that help Erling Haaland focus before matches, a self-inflating winter jacket that Team USA will wear at the Winter Olympics, and technology that aims to help England's footballers at the World Cup."

Nike experienced a steep one-day market value decline of $28bn after reporting second-quarter sales down 10%, prompting the resignation of CEO John Donahoe. The company retained a market value near $100bn despite criticism that it had lost cultural relevance, while competitors like Adidas, Puma, Lululemon and New Balance remained much smaller. Executives attribute part of the setback to self-inflicted issues and wider economic pressures. New CEO Elliot Hill is pursuing a turnaround through ambitious product and technology innovations, including motor-powered shoes, 'mind shoes', a self-inflating winter jacket and sports-specific performance technologies.

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