Nike Dumps Amazon; Will Other Brands Follow Suit?

From a poster of two senior citizens sitting on a golf cart to pickle-flavored lip balm or a Nicolas Cage sequin pillow, what CAN’T you find on Amazon? Well, now, one thing you won’t be able to find on Amazon anymore—Nike products. 

According to CNBC, Nike is breaking up with Amazon (Alexa, play “Go Your Own Way” by Fleetwood Mac). 

The sneaker retailer announced it will no longer sell its merchandise through Amazon’s website, in an attempt to focus on its own direct-to-consumer business model, CNBC reports. The halt ends a pilot test launched in 2017 where Nike agreed to sell a limited product assortment to Amazon, in an exchange for stricter policing of counterfeits and restrictions on unsanctioned sales of its products, according to a different article from CNBC. 

“As part of Nike’s focus on elevating consumer experiences through more direct, personal relationships, we have made the decision to complete our current pilot with Amazon Retail,” said a Nike spokeswoman to CNBC. “We will continue to invest in strong, distinctive partnerships for Nike with other retailers and platforms to seamlessly serve our consumers globally.”

It’s probably safe to assume that Amazon could be a little bit shaken up, as retail analysts are predicting that other brands could follow Nike’s lead. “Brands don’t need Amazon. Amazon had a delivery speed advantage, but that advantage has compressed,” said Jefferies Analyst Randy Konik. “With Nike leaving the Amazon platform… it strengthens our view that retailers/brands won’t be displaced by Amazon.”

We’ll see how this plays out, but seeing as Amazon has a ‘can’t stop, won’t stop’ attitude in taking over basically everything, this situation may just be taken with a grain of salt. 

“It’s not you, Amazon, it’s me; I need to take time to focus on myself,” (Nike to Amazon, probably). 

Read both full CNBC article’s here and here.