Glasses on the run Newsletter #46
Hi,
I hope you are all well and will enjoy this week's short selection of stories from the business of running.
What was interesting in the business of running
A really informative interview with the incoming Brooks Running CEO Dan Sheridan. Brooks has been the leading brand on the US running shoe market and in April Sheridan is replacing Jim Weber who has been in the CEO role for the last 23 years. Sheridan talks about worrying about what he (and Brooks) can control and expanding both the Brooks product lines (into apparel, gym, and walking) as well as geographically over the next three to five years. (The Seattle Times)
Nike reported its Q3 2024 results. Its revenues grew marginally as compared to the same period last year, but the tone continued to be subdued, as set previously by the announcements of the planned $2 billion cuts and of the subsequent layoffs. I would highlight two key points. 1) Nike has acknowledged that its Nike Direct program is not driving the business to the extent it expected it, and in the words of CEO John Donahoe: "...while NIKE Direct will continue to play a critical role, we must lean in with our wholesale partners to elevate our brand and grow the total marketplace." 2) There was a lot of talk about running and the efforts Nike is putting in to connect with everyday runners. It plans on being where runners are (local races and marathons) and plans on launching new shoes (e.g. incorporating Nike Air) that would bring the top performance to everyday runners. (Reuters, Nike Call Transcript, Nike Key Financial Metrics)
Coros has signed 1,500m Tokyo Olympic champion Jakob Ingebrigtsen. The Norwegian has been a leading runner in the 1,500m to 5,000m distances, holding two world titles and four European ones. He will be using Coros Pace 3 watch along with the company's Heart Rate Monitor. (FloTrack)
Finally, not strictly running, but interesting nonetheless - the German Football Association has decided to replace Adidas with Nike as the provider of the national football team's kit. Adidas - an iconic German brand - has been the provider for the last 70 years, since 1954. The decision goes into effect from 2027 and has caused a big stir in Germany. (BBC) Here is also why while it is a marketing win for Nike, it may be a smart business move by Adidas as well. (The Economist)
As always, thank you for reading,
Momchil
