Nike Grows Direct-to-Consumer Sales

Nike Inc. (Beaverton, Ore.) is growing its direct-to-consumer sales strategy faster than its wholesale division. The company projects this division will make up a third of the company’s revenue, an increase from the approximately 20 percent it produces today.

The Wall Street Journal reports the most recent quarterly report shows consumers are pleased with the company’s efforts. Nike.com sales grew by 50 percent for the quarter ending on November 30, and total direct sales rose by 26 percent.

To prepare for operational changes that will follow the implementation of the strategy, Nike is reducing inventories and opened a new distribution center in Memphis, Tenn., in June.