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Nike exits the S&P 100 after 18 years and a $200B market-cap wipeout

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251–260 of 418 posts

Re: Nike exits the S&P 100 after 18 years and a $200B market-cap wipeout

#251
I intellectually understand the retailpocalypse replaced by online shopping, but I will always want to try on clothes before buying them, and that goes double for shoes. After trying out New Balance for a year or two in adulthood I ended up going back to Nike running shoes (I still remember my pair of Air Icarus from high school, so light), just seemed to fit my feet better.

But now I wear Hokas. Nike’s loss.

Re: Nike exits the S&P 100 after 18 years and a $200B market-cap wipeout

#252
post #249

Nike's destruction over the past 5 years was really surprised and until I read up about the whole "direct to consumer" fiasco it really helped me understand another trend I was a bit confused about. About 2-3 years, it felt like, out of nowhere everyone was wearing Hoka and On brand sneakers. In my entire life it felt like the Nike/Adidas duopoly was unbreakable, and then it felt suddenly that Hoka was everywhere. Wh…

Allbirds were just dreadfully uncool. Basically shoes manufactured for tech bros? Even with another 5 years, I'm not sure they would have taken the market Hoka and On did.

yea but so comfortable :(

no other shoe could carry my feet for miles with no outwardly visible branding

Re: Nike exits the S&P 100 after 18 years and a $200B market-cap wipeout

#253

The marketing campaign they launched in April 2023 also deteriorated their brand position. It earned them woke coins, but the NPV of all those future woke coins flows was negative.

People on HN are, of course, going to pretend that moving from Michael Jordan to Dylan Mulvaney and whoever that overweight "Own The Floor" lady aren't a huge downgrade. Wearing Nike became kind of embarrassing.

Honestly, I suspect most people will have no idea about these ads. I know I don’t.

Re: Nike exits the S&P 100 after 18 years and a $200B market-cap wipeout

#255
post #224

There is a great article [0] that has some interesting points about this: - Nike used to be very "male coded" e.g. "Be like Mike" - So much so that they were one of the only companies where men bought more clothes than women - The powers that be wanted to go after the "Adjacent Whale" (explained in the article) that was the female consumer - They ended up alienating their core customer base while competing poorly wit…

> Nike used to be very "male coded" e.g. "Be like Mike" There are very-few male-coded places left. I think any Mall is like 80% for women and 20% food court. Beside that, there are jewelry stores, nail salons, spas, hair salons. Drive around the 'burbs and the only male-coded place is probably hardware stores and Pizza Hut

To visit the mens clothing section of brands like Zara or H&M at a mall you often have to walk through the women’s section on the first floor, then go up an escalator, then walk through the top floor’s second women's section to find the men’s section hidden away on the other half.

Re: Nike exits the S&P 100 after 18 years and a $200B market-cap wipeout

#256
post #224

There is a great article [0] that has some interesting points about this: - Nike used to be very "male coded" e.g. "Be like Mike" - So much so that they were one of the only companies where men bought more clothes than women - The powers that be wanted to go after the "Adjacent Whale" (explained in the article) that was the female consumer - They ended up alienating their core customer base while competing poorly wit…

> Nike used to be very "male coded" e.g. "Be like Mike" There are very-few male-coded places left. I think any Mall is like 80% for women and 20% food court. Beside that, there are jewelry stores, nail salons, spas, hair salons. Drive around the 'burbs and the only male-coded place is probably hardware stores and Pizza Hut

When was this different? The 'traditional masculine' man doesn't shop - his wife shops for him.

Re: Nike exits the S&P 100 after 18 years and a $200B market-cap wipeout

#257

Earlier quoted context omitted.

Same, I associate Hoka & Salomon with running, never would have thought someone would wear them as everyday sneakers.

I wear (and know loads of people - e.g: doctors, nurses, teachers, etc. who wear) Hoka and On as everyday shoes. They are comfortable for many hours on your feet.

+1. I started wearing Hoka a few years ago based on recommendation from my podiatrist. Would highly recommend them as everyday shoes.

Re: Nike exits the S&P 100 after 18 years and a $200B market-cap wipeout

#258
post #59

Earlier quoted context omitted.

Can’t speak for worldwide, but in the US Nike decided to aim for exclusivity and basically pulled their shoes from a ton of retailers. It went… not how they hoped.

It would be great and funny to have access to the internal presentation about why they needed to pursue that and all the benefits. That kind of business decks are always so plastered with wishful thinking that really makes me wonder how business people can keep deceiving themselves like that in every single company they work.

They are a public company and the strategy was very VERY public. You can listen to the earnings calls. It's not like they wanted to hide it. It actually went EXTREMLY well for a year or so. I agree that it was a bad decision, but the logic wasn't stupid. Just a misunderstanding of what made the company valuable.

I always wonder why the monday morning quarterbacks who think these are such obvious choices in the moment aren't millionaires though. If it was that easy to see it was not good at the time, just buy some puts or short the stock or buy the stock of a competitor. Free money for 15 minutes of reading an article!

Re: Nike exits the S&P 100 after 18 years and a $200B market-cap wipeout

#259
post #255
post #224

Earlier quoted context omitted.

> Nike used to be very "male coded" e.g. "Be like Mike" There are very-few male-coded places left. I think any Mall is like 80% for women and 20% food court. Beside that, there are jewelry stores, nail salons, spas, hair salons. Drive around the 'burbs and the only male-coded place is probably hardware stores and Pizza Hut

To visit the mens clothing section of brands like Zara or H&M at a mall you often have to walk through the women’s section on the first floor, then go up an escalator, then walk through the top floor’s second women's section to find the men’s section hidden away on the other half.

I once failed to find men section in H&M, even when it was listed as there :)

Re: Nike exits the S&P 100 after 18 years and a $200B market-cap wipeout

#260

Earlier quoted context omitted.

> The human body really was never supposed to go over 50 As I get older I'm beginning to align with this. When you're younger you think everything is going to be great until you die from a short illness at the average age of 79. Wrong. In my cohort of friends, notable age-related degradation started appearing in our late-30s/early 40s, even in the fit ones who stayed active.

I’m in my mid 40s, and I constantly thinking about https://xkcd.com/605/ and trying to extrapolate what shape I’ll be in when I get ”old” based on the decline of the last ten years. The projections are not looking good…

I'm in the same boat. Looking around here, the older guys in the best shape that I know of are in the local triathlon club. Pushing 50s, 60s, and even 70s, and they are still very fit and can also party harder than I can.

I love cycling, and a run can be refreshing, but I don't really have any desire to swim - much less an open water swim. But triathlons seem to be a pretty effective path to longevity, so it may be something I need to force myself to take up. That and weight training.

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