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    Nike Has Recently Fallen Into A "Quality Problem" Storm.

    2019/2/26 13:48:00 75

    SportswearNikeBasketball Shoes

    Always sit tight

    Sportswear

    Industry leader

    Nike

    Recently, it was caught in a "quality problem" storm.

    Last Thursday, NBA quasi champion Zion Williamson played less than 1 minutes due to Nike PG2.5 on her feet.

    Basketball shoes

    Sudden bursting and falling injury caused consumers to question the quality of Nike products, which prompted the stock price to fall and the market value evaporated 1 billion 300 million US dollars.

    More importantly, the guests who attended the night included Spike Lee and Obama, so the incident was seen as a "great shame" in the history of Nike brand, causing widespread controversy in the industry.

    After the incident, Idestam, a lawyer specializing in sports injury litigation for athletes in New York, said that Nike was responsible for the incident. "This is a typical case of product liability unless there is evidence to prove that shoes are being used unlawfully or passively after leaving the factory."

    American brand expert Natalie believes that Nike should sign a long-term contract with Zion Williamson. Although the "explosion shoes incident" is an occasional case, it has caused consumers to question the Nike brand. Nike's sponsorship and the introduction of better basketball shoes with Zion Williamson may help to reverse the situation.

    However, some analysts pointed out that a single incident is difficult to shake the leading position of Nike in basketball industry. On the contrary, the fall of Nike share price is a good opportunity for investors to buy.

    Bloomberg analyst Gura Zoe Tis said the storm will soon come to an end. "Nike will be under a lot of pressure in the next few days, but I don't think it will directly affect the sales of its shoes," he said.

    According to the world clothing and shoe net, in 2018, Nike group basketball products revenue amounted to 4 billion 350 million US dollars, accounting for 14% of the total revenue, of which two brands of Nike and Jordan accounted for over 90% of the US basketball market.

    Up to now, Nike has not made a formal response to the incident, but the PG 2.5 basketball shoes are currently on sale at Nike's official website. The red money has dropped from 110 US dollars to 92.97 US dollars, and the blue money has dropped to 104.97 US dollars.

    It is noteworthy that PG 2.5 is not the only product that Nike has problems in the near future.

    According to Business Insider, Nike's latest smart shoe Nike Adapt BB, which sells up to $350, has been unable to match Android APP, which affects the function of automatic shoe lace.

    In this regard, Nike said it had started debugging APP, and will fix the problem as soon as possible.

    Earlier, Nike's limited edition of NBA basketball player Kobe, who was released in Beijing in April 2016, was exposed to a pair of Nike basketball shoes when he won the 2008 Olympic Games in Beijing. He was exposed by some Chinese consumers. He said that the shoe did not indicate that the heel had a Nike patent zoom air air cushion and was questioned by consumers as "false propaganda".

    In response, the response given by Nike is just a product description error, which can be refunded in full.

    In 2011, Chinese consumers found that the "Nike Hyperdunk" basketball shoes sold by the Nike in China had a lack of air cushion Nike logo than their counterparts in the US.

    Similar events, the same way of cold treatment, is basically because in the increasingly competitive sports industry and the increasingly saturated market of leisure sports shoes, Nike can not shoulder the negative effects caused by a small mistake, especially in the North American market.

    According to data, in the second quarter of November 30, 2018, Nike Group sales rose 10% to 9 billion 400 million US dollars, far exceeding analysts' expectations of 7%.

    During the period, North America remained the largest consumer market for Nike footwear and footwear, with revenue growth of 8% and sales of footwear and clothing increased by more than 20% over the same period last year.

    Some people have pointed out that basketball shoes have long been jumping off. Only the restrictions on the basketball court wear become a daily matching single product, and even appear in the workplace. There are unlimited business opportunities in the field. But after 60 years of development, the basketball market in the United States has already saturated and entered a recession period, so Nike began to turn to the Chinese market.

    Last August, the Nike Group officially announced the 10 year extension of the Chinese men and women basketball team. The future cooperation between the two sides will cover many important international competitions including the three basketball world cup. It will accelerate the pace of exploring the Chinese basketball market, while inviting foreign coaches to teach more scientific training methods in China, and further deepen the training of young talents.

    In April last year, Nike launched the "Champion Think 16" series of 16 pairs of classic basketball shoes, including 14 pairs of commemorative funds, representing the classic moments of winning 14 NBA players including Kobe, James, Durant, J Ph. D. and Ray Allen, and two pairs of special commemorative sneakers respectively representing the glory of the championship Air Force 270 "Gold Standard".

    To increase the sense of freshness, Nike has also launched a PlayStation theme basketball shoe with Sony Corp.

    Many reports show that consumers are not only the products themselves, but also the trust relationship between brands and consumers. But nowadays, brands often only see the marketing promotion on the surface. Quality is the core element to attract consumers to buy for a long time.

    Some analysts believe that after the "exploding shoes incident", Nike and other brands should reflect that in the past, Jordan's appearance on the field of Jordan basketball shoes was still vivid. Now the Zion Williamson is facing the risk of failing to continue her basketball career because of the quality problems of Nike basketball shoes, which may make Nike lose its home market again.

    As of last Friday, Nike shares had risen by 0.96% on the close of the US stock market, with a market value of about $135 billion 600 million.

    More interesting reports, please pay attention to the world clothing shoes and hats net.

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