Last July, Nike had a plan to tackle Amazon, announcing a direct relationship with the retailer. Fast-forward to today, where they’re making moves to focus on selling directly to their customers, including purchasing Zodiac, a major data analytics brand. So… what happened with Amazon?
Nike CEO Mark Parker was specific about what he hoped to accomplish by selling directly to Amazon. “We are looking to improve the Nike consumer experience on Amazon by elevating the way the brand is presented and increasing the quality of product storytelling.” But, at the time of writing this article, a search on Amazon for Nike is littered with 3rd party sellers, inconsistent pricing, and low-quality seller-generated content. The first organic search result for “Nike,” for example, is sold by a handful of 3rd party sellers, has a wide range of price points, and has only one (relatively low quality) product photo.
With their Amazon presence being what it is, paired with the brand’s aggressive push for direct-to-consumer sales, it’s safe to say Nike hasn’t accomplished what they were initially looking for. Nike chose a 1P approach (selling directly to Amazon) when they really needed a different strategy. To increase the quality of storytelling and customer experience, brands need teams that do two things:
- Make Amazon a part of their greater strategy
- Make critical adjustments and decisions based on Amazon data points
Many companies are realizing an increasing need to control what’s happening to their brand. This can be accomplished through a direct conversation with their consumers on the Amazon marketplace, achievable by controlling both the creative content side of things, as well as supply chain and logistics.
For more insight on Amazon and apparel, read How Apparel Brands Can Succeed on Amazon.