Nike began quietly releasing new products from its All Conditions Gear (ACG) sub-brand last fall. This month, the company made it official with a formal relaunch of ACG, which originally debuted in 1989, meant to appeal to outdoor enthusiasts.
In a Feb. 2 release, Nike said “ACG is being reintroduced with the same mission it’s carried since inception: delivering inspiration, motivation and high-quality gear for athletes who push their limits in all conditions — on the trail, in the mountains and anywhere in between.”
Nike is showcasing the new ACG line at the Milan Cortina Winter Olympics, launching a special collection for Team USA, including the Therma-FIT Air Milano Jacket and ACG Ultrafly trail shoe.
Team USA athletes at the Olympics can be seen in gear with the ACG logo (note there is no swoosh).
Jefferies analyst Randall Konik called the ACG relaunch “a smart, potentially material move,” given the heady growth in outdoor sportswear. Konik cited Euromonitor, which forecasts outdoor sportswear to outgrow the broader sportswear market through 2030.
Outdoor sportswear (which includes apparel and outdoor) is expected to grow from $59.3 billion in revenue globally in 2024 to $83.5 billion by 2030—a 5.9% compound annual growth rate—compared to total sportswear, which is forecast to rise from $404.6 billion to $527.3 billion, a growth rate of 4.5%, according to Jefferies.
Nike also announced ACG will open its first dedicated standalone store in Beijing. Targeting China is deliberate: outdoor sports are huge in China. The promotion of outdoor sports is a key part of the country’s current five-year plan, with the government committed to developing the industry, including encouraging financial institutions to boost credit for outdoor sports businesses.
Nike has been in turnaround mode for more than a year as it tries to fight off increasing competition from smaller brands, including On and Hoka. Its shares are down more than 15% over the past year. CEO Elliott Hill has highlighted the company’s focus on performance and noted the challenges in China, where it reported sizable declines in revenue in footwear, apparel, and accessories in the latest quarter.
Hill mentioned the ACG line in Nike’s September earnings call: “As more people stay active outdoors, we will invest in NIKE ACG to address the opportunity.”
ACG marks a real commitment to the outdoor segment, but from a revenue perspective it’s likely small, says Cristina Fernandez, retail analyst at Telsey Advisory Group. Still, it “allows Nike to showcase its innovation, build credibility in the segment, and acquire new consumers.”
Outdoor Sports Surging
Nike no doubt sees the surge of trail running in the U.S.
Since the sport’s pandemic boom, it has grown and professionalized, with more international races and sponsored runners. There are 14.8 million trial runners in the U.S., according to one report. On, for instance, sponsors a handful of trail and mountain runners, as does Adidas. And Nike’s All Conditions Racing Department has its own endorsed athletes.
“It’s a growing market, and the success of Hoka and The North Face shows that an outdoor/trail brand can break out,” says Morningstar retail analyst David Swartz. (The company recently released the ACG Ultrafly trail running shoe and Radical Air shirt.)
In one sense, Nike is playing catch-up in this category to explosive brands like Salomon and Arc’teryx, both owned by Amer Sports. Salomon, whose footwear lines first reached $1 billion in sales in 2024, is the hero of the Helsinki-based conglomerate. Amer’s third-quarter 2025 revenue increased 30% to $1.75 billion. The outdoor performance category—which includes Salomon and Arc’teryx—rose 36% to $724 million, with the earnings release noting “continued excellent momentum in Salomon footwear and a strong performance from winter sports equipment.”
“ACG is not a big sub-brand for Nike now. It’s hard for Nike to launch anything that will be big enough to make a big difference,” says Swartz. But “Nike must expand, which is why it’s investing in ACG, NikeSkims, and other new ventures.”
