I think it is great as well.Personally I think it’s fantastic. As a business move, we’ll see how it works out for them. I can see how this would attract more athletes, particularly athletes of color, to Nike as a choice sponsor, which as we know drives kids to want their sneakers/attire/etc. But they are basically making the exact opposite calculation that the NFL has made in terms of which way the sports-consuming public will lean on this issue.
Also, the Nike logo is going to be on every single NFL uniform this weekend as we head into week 1 of the NFL season. It is going to be very interesting, players are going to be asked to comment on this and lots of them are going to be honest about how they feel, one way or the other. And I am sure we’ll get some tweets by our president about this before the weekend.
Well said. It will be interesting to see how it all plays out, but kudos to Nike for using its position for good.Personally I think it’s fantastic. As a business move, we’ll see how it works out for them. I can see how this would attract more athletes, particularly athletes of color, to Nike as a choice sponsor, which as we know drives kids to want their sneakers/attire/etc. But they are basically making the exact opposite calculation that the NFL has made in terms of which way the sports-consuming public will lean on this issue.
Also, the Nike logo is going to be on every single NFL uniform this weekend as we head into week 1 of the NFL season. It is going to be very interesting, players are going to be asked to comment on this and lots of them are going to be honest about how they feel, one way or the other. And I am sure we’ll get some tweets by our president about this before the weekend.
It's going just about how you would expect....Well said. It will be interesting to see how it all plays out, but kudos to Nike for using its position for good.
It's going just about how you would expect....
Smashing my Keurig machine to own the libs.“Boycotters” are also burning Nike shoes in a fire pit among other forms of “boycotting Nike”
People are stupid
That sounds right to me, especially since Nike also is the dominant brand and jersey manufacturer for the NBA - a professional league that encourages its athletes to stand up for/speak out on causes.I have a feeling the people cutting the swoosh off their joke stuff will be outnumbered by those who buy Kaepernick merch.
Nike made almost $10 billion last quarter. They could give two shits about Mr. Rich a few posts above.
https://news.nike.com/news/nike-inc-reports-fiscal-2018-fourth-quarter-and-full-year-resultsMy source have their number closer to $4B
I think revenue is the key metric here my Never Nude friend. All else equal, analysts would want to see how this campaign impacts their top line (revenue) number as there are many factors that can contribute to profitability (e.g. input costs).Revenue is not profit. I think they made 4 on 10b in sales
Plus, what better way to cement your standing with the tens of millions of kids from 5-20 years old, who will buy your products for years and have kids who will also buy your products, etc. Not only is your brand 'cool' (it already was), but now it - at least in the sense a commercial brand for products like shoes can 'matter' - matters.I tend to agree with those who think that Nike has this figured out the right way and the NFL is stupid, all of the evidence points to both of those things being true. But Nike doesn’t just sell a pair of socks to someone and then sit back and count their money. They need the people who bought the pair of socks to buy a bunch more the next time he or she needs socks. So, yeah, tearing up the socks doesn’t hurt Nike in the moment, but if the person tearing up the socks also doesn’t buy Nike socks the next time he needs socks that’s a problem for Nike.
The same thing was true for the whole Keurig thing, and actually more acutely true since they make their money on the pods not the machines, so smashing the machines actually does hurt them if the person smashing the machine is no longer buying pods.
Now having said all of that I think Keurig is fine and I think Nike will be fine, but not because they already banked the money from these idiots, but because ultimately I think the MAGAs are are in the minority and also not very disciplined about this kind of thing, and there are a tremendous number of people who support what Kaepernick is doing and will flock to Nike as a result.
This is where I'm at, though I forgot about Spike Lee calling Larry Bird overrated. I don't really need any Nike stuff, but my daughter does.I haven’t purchased any Nike product for myself or worn anything Nike in over thirty years (since Spike Lee said Larry Bird was overrated) but maybe I’ll rethink that now.
You got that right, no such thing as an ex Marine; once a Marine, always a Marine, any of them will storm a pillbox on Iwo Jima to prove it.Are you not supposed to say former marine or ex marine or either?
Swooshees vs the BansheesI have a feeling the people cutting the swoosh off their joke stuff will be outnumbered by those who buy Kaepernick merch.
Another business factor is if the decision makes athletes (many of who seem pro-Kaep) more likely to sign with NikeI feel like the number of people who are burning their Nike stuff is going to be evened out by the people enthusiastically purchasing the Kaepernick gear. The large majority of people probably don't feel strongly either way.
Those are his new Nike wristbands.Is he going to wear the socks now, without the elastic?
Depends. Nike makes (either directly or using a contract manufacturer) and sells some products for its own account, and has license deals for others where it earns a royalty on net sales and someone else owns the P/L. It wouldn’t surprise me if this controversy helps the core sneaker business but hurts demand for, say, athletic socks (which is almost certainly a licensed product). So I think you’d have to look deeper than top-line sales to evaluate how this move affects Nike’s business.I think revenue is the key metric here my Never Nude friend. All else equal, analysts would want to see how this campaign impacts their top line (revenue) number as there are many factors that can contribute to profitability (e.g. input costs).
Jemele Hill pointed it out, but this isn't Nike's first rodeo. Jordans we're banned from the NBA, and Nike went with black pitch men when doing so was seen as risky and bad for business. Buck is way off. They're not playing some short term, "Omg our stock dipped," nonsense. This is a long term play that will pay off big since it is a stance against fucking shit heads, and taking a stand for equality and decency.Personally I think it’s fantastic. As a business move, we’ll see how it works out for them. I can see how this would attract more athletes, particularly athletes of color, to Nike as a choice sponsor, which as we know drives kids to want their sneakers/attire/etc. But they are basically making the exact opposite calculation that the NFL has made in terms of which way the sports-consuming public will lean on this issue.
Nike is a global brand. Some of the world's top football/soccer teams are sponsored by Nike and wear the logo on their kits: Atletico de Madrid, Chelsea, Tottenham, Paris Saint Germain, Barcelona, and Manchester City. That a small portion of MAGA yahoos are going to boycott the brand is a drop in Nike's multi-billion-dollar bucket.Keep your eyes on the stock price.
This will ultimately determine how happy the shareholders / markets are with this campaign.
Down 3%, hopefully it tanks 10+%. Will make a great buying opportunity.Keep your eyes on the stock price.
This will ultimately determine how happy the shareholders / markets are with this campaign.
Right. JR286 is (I believe) Nike's biggest licensing partner for socks & equipment. They're privately held though, so it will be difficult to see how this affects them. I think it will be pretty minimal either way though.Depends. Nike makes (either directly or using a contract manufacturer) and sells some products for its own account, and has license deals for others where it earns a royalty on net sales and someone else owns the P/L. It wouldn’t surprise me if this controversy helps the core sneaker business but hurts demand for, say, athletic socks (which is almost certainly a licensed product). So I think you’d have to look deeper than top-line sales to evaluate how this move affects Nike’s business.
Adidas is down 2% today (as I type this), so I wouldn’t assume today’s downward movement in Nike’s stock price is Kaepernick-related.Down 3%, hopefully it tanks 10+%. Will make a great buying opportunity.
I relate Nike's stock to that of Target when the gender issue of their restrooms hit the headlines. The initial hit is a given as the markets hate controversy and uncertainty. Once that dies down in a day or two, Ale Xander hits nail on the head with his post above. This is a millennials market and the large majority are supportive of this cause.Keep your eyes on the stock price.
This will ultimately determine how happy the shareholders / markets are with this campaign.
Unfortunately, the consensus is that Target suffered for its decision to take a stand on bathroom access for trans people. But I think the analogy to Nike is flawed in a number of ways. In particular, Target seemed to be caught off-guard by the vehemence of the backlash; Nike assuredly won’t be similarly surprised.I relate Nike's stock to that of Target when the gender issue of their restrooms hit the headlines. The initial hit is a given as the markets hate controversy and uncertainty. Once that dies down in a day or two, Ale Xander hits nail on the head with his post above. This is a millennials market and the large majority are supportive of this cause.
Consensus based on what? Conservative financial analysts who disagreed with the policy?Unfortunately, the consensus is that Target suffered for its decision to take a stand on bathroom access for trans people. But I think the analogy to Nike is flawed in a number of ways. In particular, Target seemed to be caught off-guard by the vehemence of the backlash; Nike assuredly won’t be similarly surprised.