Nike to drastically scale back retail supply deals

Nike House Of Innovation store

Nike is to end its supply agreements with dozens of independent retailers as it accelerates efforts to sell more of its products direct to consumer.

The sportswear giant has told smaller retailers that access to its products will end in two years – placing the likes of Sports Direct and JD Sports on red alert that it could also scale back its agreements with larger retail customers.

Nike has previously revealed plans to make 50% of its sales through its own stores and ecommerce platform in a bid to take greater control of its distribution and boost margins.

As part of that push, the business has written to independent retailers to inform them that they will no longer receive Nike goods from 2021.

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