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What's gone wrong at Nike? How the world's sportswear giant lost its mojo

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What's gone wrong at Nike? How the world's sportswear giant lost its mojo
Image · BBC World News

What the report says

Nike is facing one of its toughest periods in years, according to BBC World News, as the sportswear giant works through a turnaround after losing sales, customers and market share. The report says the company’s recent problems stem partly from strategic choices that weakened its product focus and let rivals gain ground, even as Nike remained a dominant global brand.

The article says chief executive Elliott Hill, a Nike veteran brought back from retirement, is leading a recovery effort after the company underperformed under former boss John Donahoe. Analysts quoted by BBC World News pointed to decisions such as relying more heavily on direct-to-consumer sales, reducing retailer relationships and diverting attention toward digital operations instead of product innovation. That opened the door for newer brands including On and Hoka to win shelf space and attention.

BBC World News also says Nike’s difficulties were highlighted by the end of football star Kylian Mbappé’s long association with the brand, as he moved to Swiss rival On. Other major athlete ties have also shifted over time, underscoring how important star partnerships remain in sportswear marketing. Nike still has prominent endorsements, but it is no longer the same uniquely dominant draw it once was.

The company reported quarterly revenue of $11bn, with weaker performance in China and lower sales in its Jordan line. Nike also signaled further cost cuts, possible job losses and revenue declines ahead, while Hill said more work remains across key businesses. The piece suggests the turnaround may take time, even if the brand can regain growth.

Read the full report at BBC World News →

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