Originally recorded by Tayib Salami of Housakicks during a Google Hangout
Tayib has been working on the idea for a series of interviews about the sneaker industry. I helped Tayib develop his website: http://www.housakicks.com after he had paid several developers and gotten no where. He knew I had been involved in sneakers for a long time and thought who better to ask these questions.
In this video we hit on the Nike Effect.
Nike’s push to increase revenue for their shareholders is leaving a lot of stores in a bind, but their push for DTC is amazing to watch.
What’s going on with Nike and stores closing down? 1:00
Nike is squeezing small vendors. 3:00
Memphis and North Mississippi store closkings – 7:30
Memphis is a microcosm – 10:20
Nike, Jordan Brand and Futures – 12:30
Jordan Retro to Jordan Brand ratios – 13:38
“All I need is a Nike Account” 16:00
Nike Direct to Consumer Push – 17:00
Nike is cutting out the middle man. 20:00
Nike’s cost on shoes and wholesale breakdown – 22:20
Wholesale cost to stores and the breakdown of 10,000 pair – 27:10
Why Nike is keeping shoes – 29:30
Resellers, RTV and Nike Outlets – 34:35
The tragedy of Nike “Stans and Fanboys” 37:35