Nike ends distributor deals in China, moves to own stores

Nike is embarking on a major strategic overhaul in China, terminating online sales agreements with hundreds of distributors and consolidating its digital presence into official brand storefronts. The move, announced this week, aims to address years of declining sales and brand erosion in one of the company's most critical markets.

Beginning in January 2027, key retail partners, including major distributors Topsports International Holdings and Pou Sheng International Holdings, will cease online sales of Nike products in mainland China. Instead, the sportswear giant will sell almost exclusively through its own official digital flagships on major Chinese e-commerce platforms like Tmall, JD.com, and Douyin, as well as through Nike.com.cn and the Nike app. The company stated that while there are currently more than 1,000 digital storefronts for its products in China, this proliferation has created an overly complex and fragmented consumer experience.

Cathy Sparks, Nike's vice president and general manager for Greater China, described the action as creating a "focused and reimagined marketplace." She emphasized that the goal is not to reduce consumer access but to strengthen the brand...