• Loading stock data...
Tuesday, September 9, 2025
Fox Analyst and Media Entrepreneur Greg Olsen to Speak at Tuned In Get your ticket now!

Nike Has Lost Some Mojo. But Not Its Market Share

  • Nike’s global market share (for sneakers and apparel) dropped to 16.4% in 2024 from 17.1% in 2022.
  • The brand still “has no parallel” in size and scope.
Nike
Nike

Judging by its fiscal fourth-quarter and first-quarter results, the biggest sports brand in the world has much to fix. Shares are down 25% year to date. It’s lacking in compelling new products, too busy whittling down its glut of unsold Air Force 1s and Air Jordans. 

“Nike sucks right now,” WearTesters told their 880,000 YouTube subscribers. Nike “ran off course,” Business of Fashion wrote. The Drum pinpointed Nike’s “dwindling cultural equity.” 

To read these headlines, you’d think the once-iconic brand is headed to the grave.

Hardly.

Nike is bruised, but still owns an undeniably dominant slice of the sportswear market globally, as well as in most of the key individual markets, says David Swartz, retail analyst at Morningstar. The brand, he says, is “going through a tough period now, but I anticipate that it will come back strong. It still has all the advantages in terms of exposure, awareness, marketing, product development, and distribution.” 

Certainly some challenger sportswear and sneaker brands—Hoka, On—have caught fire and seen rapid success recently. But the industry is big enough for multiple successful companies, Swartz says. The sportswear market is not winner takes all. And Nike isn’t going anywhere. 

The company’s recent litany of problems has been well documented but bears repeating. 

First, during the COVID-19 pandemic Nike decided to pull back on its new product pipeline. That meant it leaned hard on perennial top sellers, essentially flooding the marketplace with the Dunk, Air Jordan 1, and Air Force 1 models. After a couple of years, those weren’t selling out as quickly as they had. 

Second, in another pandemic overcorrection, Nike took its products out of many of its trusty brick-and-mortar retailers and “naively believed they would recapture all that business on Nike.com,” says Matt Powell, senior advisor with BCE Consulting. The company sold fewer products, which “forced them to be more promotional on their website,” Powell says, adding that discounting isn’t healthy for a brand known to be aspirational. 

When customers constantly see a brand’s products marked down, it cheapens the image.

Third, Nike went through multiple aggressive staff reductions this year under previous CEO John Donahoe and lost many years of institutional knowledge. That has landed “some inexperienced people in positions of power who are not necessarily making the right decisions,” says Powell.

In June the Beaverton, Ore., sportswear giant reported a 1.7% decline in revenue for its fiscal fourth-quarter 2024, said its full-year outlook would miss expectations, and warned of a 10% sales decline for its first quarter; on Oct. 1 it reported the anticipated 10% drop for the quarter that encompassed July through September and withdrew its guidance entirely for the year. 

With all those problems, Nike’s global market share (for sneakers and apparel) has dropped less than one percentage point, from 17.1% in 2022 to 16.4% in 2024, according to Euromonitor data. Its closest competitor, Adidas, holds a 9% market share (down from 9.5% in 2022, but up slightly from 2023). 

After that, it’s Chinese sportswear brand Anta with a 3.7% market share, and Puma with 3%. 

chart visualization

Nike’s size and budget are key to its long-term competitive advantage. “The brand has no parallel in history when it comes to North America size/scope,” BMO Capital Markets analysts wrote in an Oct. 7 note. “With a leading ad budget fueling industry-leading dollar growth, we expect ongoing gains.” The investment bank rates Nike an Outperform. (Wall Street analysts are, for the most part, neutral to positive on the stock.)

“I don’t think Nike gives up the No. 1 spot, but it wouldn’t surprise me if they have a smaller share in the U.S.,” Powell says. “They already have a smaller share than they had five years ago.” The distance between Nike and its competitors is still vast enough for now that it can stand to lose a percentage point of market share.

The ‘Cool Factor’ 

Many Nike onlookers have blamed Donahoe, shown the door last month, for letting the retailer lose some of the cultural relevance it once had in spades. Regardless of how much of that can be put on one executive, “cool factor” is an elusive badge that can be hard to win back once it fades.

“Nike isn’t going anywhere, but when you compare Nike to how it was from around 2000 to 2010, that was a really innovative period for the brand,” says Mike D. Sykes, who writes “The Kicks You Wear,” a sneaker newsletter. “The basketball shoe was booming, it was the start of LeBron James’s career, the end of Michael Jordan’s.” 

Kirby Lee-Imagn Images

Part of the problem for Nike now, Sykes says, is that it has strayed from putting athletes at the center of the brand’s story. From around 2015 until today, the brand has partnered mostly with so-called “macro influencers” like rapper Travis Scott and fashion designer Virgil Abloh. Around the same time, Adidas went big on its partnership with Ye (formerly Kanye West). 

“I think that stuff still works; it still has a place,” says Sykes. “But I think it’s important for Nike as a brand to rediscover its identity in athletic gear—its core identity.”

For any consumer-facing brand to be considered cool, it has to own the teenage demographic. And here, too, the dynamic reflects how the larger market looks despite Nike’s recent fumbles. According to investment bank Piper Sandler’s semiannual teen survey, which asks teenagers about their consumption habits, Nike remains the No. 1 brand for all teens in both apparel (34% share) and footwear (59% share).

Nike’s “mindshare” with teens fell year over year, but to illustrate the gap between Nike and others, consider that Adidas is the No. 2 footwear brand with just a 7% share.

Nike and Adidas have been the No. 1 and No. 2 for years, but don’t look now: The footwear brand that gained the most mindshare with teens in this year’s survey was 114-year-old Boston brand New Balance.

Linkedin
Whatsapp
Copy Link
Link Copied
Link Copied

What to Read

Connecticut Sun

Connecticut Senators Rip WNBA Handling of Sun Sale

The Senators are urging the league to stay out of the negotiations.
Indiana Fever guard Caitlin Clark (22), Indiana Fever guard Lexie Hull (10), Indiana Fever assistant coach Karima Christmas-Kelly and Indiana Fever assistant coach Briann January celebrate Friday, Sept. 5, 2025, during a game between the Indiana Fever and the Chicago Sky at Gainbridge Fieldhouse in Indianapolis. The Indiana Fever defeated the Chicago Sky, 97-77.

Indiana Fever Clinch Playoff Berth Even Without Caitlin Clark

The Fever will host at least one playoff game.
Unrivaled

Unrivaled Hits $340M Valuation, Doubles Revenue Projections

The startup women’s basketball league is rapidly growing after one season.

17.3M Watch Chiefs-Chargers on YouTube—Below Lofty Hopes

The NFL’s Brazil game fails to match streaming results from last Christmas.

Featured Today

Aug 23, 2025; Tampa, Florida, USA; Buffalo Bills quarterback Josh Allen (17) leads the team onto the field for warm ups before a game against the Tampa Bay Buccaneers at Raymond James Stadium.

Slow Burn: The NFL’s Private-Equity Era So Far

Three deals have been struck to date. But the league is bullish.
Tennis
September 5, 2025

The US Open Is Groaning Under the Weight of Its Own Success

New York’s tennis major is more popular than ever.
Dec 21, 2024; Kansas City, Missouri, USA; Kansas City Chiefs quarterback Patrick Mahomes (15) gets ready to take the field prior to a game against the Houston Texans at GEHA Field at Arrowhead Stadium.
September 5, 2025

How Brazil Game Fits Into NFL’s Plans for World Domination

Friday night’s Chiefs-Chargers game in São Paulo is big by design.
Oct 13, 2024; Philadelphia, Pennsylvania, USA; Philadelphia Eagles quarterback Jalen Hurts (1) and wide receiver A.J. Brown (11) celebrate their touchdown pass during the second quarter against the Cleveland Browns at Lincoln Financial Field.
September 2, 2025

TV Ratings Just Changed Again. The NFL Will Be the Big Winner

Nielsen’s new viewership system will have a big impact on sports.

‘We Have Pricing Power’: On Smashes Earnings Expectations

U.S. tariffs haven’t cooled demand for On’s high-priced sneakers and apparel.
Happy Gilmore 2 hockey stick putter
July 21, 2025

Callaway’s $500 ‘Happy Gilmore’ Putter Booming on Resale Market

Callaway released a limited-edition Odyssey-branded hockey stick putter.
Limited Hype
July 27, 2025

Sneaker Reselling Was Once Easy Money. Success Is Now Complicated

Vendors need to evolve what they’re selling and how they do it.
Sponsored

Trailblazer Cal Calamia Is Racing for ‘Advocacy, Storytelling, and Performance’

The marathoner wants excellence—not just inclusion—to be the goal for non-binary athletes.
A Lululemon store at Freehold Raceway Mall in Freehold Township, New Jersey on Nov. 30, 2023
July 2, 2025

Sportswear Stocks Rise as Trump Touts Vietnam Trade Deal

Tariffs on Vietnam imports will be 20%, down from a prior threat of 46%.
From vintage to unique collaborations, various Nike and Jordan shoes are displayed on a wall at Saved Soles inside West Ridge Mall.
June 26, 2025

Nike Stumbles Less Than Expected, Giving Wall Street Hope

The sports apparel and footwear giant beats Wall Street expectations.
Jun 20, 2024; Eugene, OR, USA; Detailed view of Nike Alphafly 3 racing flat at the Nike by Eugene store.
June 25, 2025

Investors Hunt for Signs Nike Has Regained Its Footing

Nike’s fundamentals are “still challenged.”
Jun 15, 2025; Oakmont, Pennsylvania, USA; JJ Spaun putts on the 18th green to win during the final round of the U.S. Open golf tournament.
June 16, 2025

‘Pandemonium’: Putter Maker Sees Sales Surge After JJ Spaun’s U.S. Open Win

The company behind Spaun’s putter is already in talks with his people.