Is Nike too big for the little guy?


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Nike officially takes over as the official jersey supplier for the NFL next season. This means all retail stores that carry NFL jerseys will now have to place their orders with Nike instead of Reebok. It can be a minor adjustment for the larger retail stores – most sports retail stores already do plenty of business with Nike (you kinda have to these days).

But for the smaller retail shops – the ones that pull in around $1,000,000 or less in sales per year – they might be out of luck. Nike is sending letters to these smaller stores telling them their stores “do not fit Nike’s overall development plans”. It’s not like these stores are new to the business, they carried NFL jerseys from Reebok.

This is no surprise to me, personally. My stores work with Nike and the jerseys are an annual issue. Nike’s minimums change every year and depending on sales history and Nike’s own algorithm on projected sales, they determine if and when a store is allowed to place a jersey order. One year, I was completely shut out and we had to order knock-off jerseys from another vendor. Those jerseys bombed.

Check out this article fromĀ Eliot Caroom of the New Jersey Star-Ledger. And answer the poll below.

 

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