For the first quarter Nike revenues rose 7.2 per cent. Gross margins rose to 45.7 per cent. In North America, its biggest market, revenues rose 3.6 per cent while sales in Greater China, its fastest growing market, jumped 22 per cent. The sportswear maker's strategy to sell sneakers and apparel directly to consumers through its own stores and online retailers has powered growth.
The world’s largest footwear maker now sells more products directly to customers through online platforms rather than through wholesalers. Nike has also launched pop-up stores that cater to loyal fans of the brand in several big US cities in an effort to build a strong relationship with its customers and gain market share. The move has helped the company sell more products at full prices.
Nike’s women's category grew double digits in fiscal ’19 accelerating in the back half of the year. The Air Max Dia, a women's sneaker, helped drive double-digit growth in the women's category last quarter. As of now the category makes up less than a quarter of total revenue. The Nike app provides the complete shopping experience on mobile for the brand, and growth has been strong here, too.
