Jordan Brand is expanding its reach with the introduction of a new suite of training equipment, signaling a shift from its well-known footwear roots into the wider fitness industry.
Jordan Strength line launches with home and gym-focused gear
The brand’s latest announcement came on Tuesday, as Jordan Brand revealed its new “Jordan Strength” collection, a range of gym equipment inspired by Michael Jordan’s legacy. According to a press release from the company, the new lineup includes barbells, dumbbells, kettlebells, a soft plyometric box, an adjustable bench, and a half-rack that offers storage solutions.
Consumers will be able to order items from the Jordan Strength collection, starting October 13, via NikeStrength.com and selected Dick’s Sporting Goods outlets. The products are aimed at both individuals setting up home gyms and professionals looking for high-quality gear for commercial gym spaces.
Nike seeks growth avenues as footwear dominance wanes
This expansion into training equipment comes at a time when Nike, the parent company, is looking to refresh its business strategy. Its past success has largely been driven by popular sneaker models like the Air Force 1, Air Jordan, and Dunk collections. Nike CEO Elliott Hill pointed out last year that the company was working to broaden its product mix, reacting to observations that Nike’s assortment was too heavily weighed in established footwear lines.
Referencing the most recent earnings call, Hill admitted that Nike’s performance has not been optimal, especially in categories like Nike Sportswear and Jordan Streetwear, where inventory turnover was problematic. These struggles have led to greater discounting and a reduction in future orders by retail partners. Nike projected ongoing weakness for Jordan Streetwear through the fiscal year, but said there could be improvements later on.
Financial results reflect challenges and adaptation
Reporting its latest results, Nike’s fourth-quarter revenue slipped by 1% compared to the previous year, finishing at $11 billion. Annual revenue showed no growth, remaining at $46 billion. The company also revised its outlook for the first half of the coming year, forecasting a drop in revenue between the low and mid-single digit percent range.
The company’s financial and market shifts have come into further focus as, starting Monday, Nike will exit the S&P 100 index, although it will still be included in the S&P 500. Neil Saunders, managing director at GlobalData, noted that this development “underlines the company’s broader problems and its loss of value as it tries to get the business back on track.” (more details)
In parallel, Nike is in the process of shuttering several of its neighborhood stores across the U.S. The closures are part of a strategy, explained by a Nike spokesperson, to help “create Nike’s future marketplace.”
Nike’s investment in the fitness space
By rolling out Jordan Strength, Nike is signaling its commitment to investing in the premium training equipment market, with the goal of appealing to a broad segment of fitness consumers, not just sneaker fans. This move is a response to financial challenges and points to an ongoing strategy of diversifying Nike’s business in alignment with evolving market needs.