E-commerce behemoth Amazon has revealed plans to begin stocking new items from Nike directly. Placing the information in circulation by releasing a “client note” statement, Goldmach Sachs helped Nike Inc. stock jump by about two percent. At the present time, Nike stands to earn about half a billion USD from its forthcoming Amazon partnership.
“Taking this step would give Nike direct economic exposure to a large and fast growing distribution channel, while improving the brand presentation and expanding access to millennia,” Goldman Sachs’ Drucker Mann tells BoF. “We expect pressures on bricks and mortar retail for the foreseeable future to result in pockets of inventory excess.”
Amazon has already had a ridiculous one week run with its announcement and plans of acquiring Whole Foods for $13.7 billion USD in cash and the introduction of Amazon Prime Wardrobe.