John Kim 
Footwear brand rankings and relevancy continue to shuffle as we approach 2018 and business strategies of the past are exactly that – in the past. Jordan Brand has felt the brunt of this industry shift as they’ve dropped their #2 spot in U.S. market share to the fast-growing adidas, a brand whose newfound relevancy in the American sportswear market has driven its Western success. While the Jumpman brand has reported strong revenue numbers in the billions over the last four quarters, it wasn’t enough to maintain their position as the core demographic of sneakerheads and casual/lifestyle consumers have focused on other brands.
During a #Stumptowntalks event on Wednesday night, Jordan Brand president Larry Miller spoke candidly about the brand’s recent struggles, pointing out some key factors that have contributed to this slide. Miller states that their biggest challenge is to “stay connected with young consumers as well consumers that have been with the brand for a while” and “the further Michael gets away from the basketball court, the more challenging that is.”
The truth of the matter is that today’s young generation of basketball fans have too many current and active idols to look up to, and Jordan’s legacy only lives on through YouTube clips and re-runs of Space Jam. It’s up to the brand to communicate these stories to the younger consumer in the digital mediums they understand best. Miller notes that a Jordan membership program, similar to what Nike is doing with their consumers, is in the works.
Most importantly, Miller acknowledges that there is simply too much product out on the market, noting that the re-sale market for Air Jordans isn’t as strong as it once was. In terms of the “general release” re-sale market, it’s almost non-existent as several Retro releases in 2017 hit the clearance shelves hard.
Do people still want the shoes? Of course. Last year’s Space Jam release was Nike’s most successful sneaker release of all-time, and there are plenty of limited editions that drop throughout the year that harken back to the old days of hunting for kicks, although the arena is much different and certainly more crowded. It all depends on messaging of the brand, and in today’s realm of social media, cheap headlines, and memes, this might be Michael Jordan’s greatest challenge to date.
Source: bizjournals
Photo: nike
