Nike Inc. (NYSE:NKE) is experiencing a notable boost in demand thanks to the ongoing Summer Olympics, which has significantly increased visits to its website and driven sales of its new product launches. According to Similarweb, the global sporting event has helped Nike edge out its competition.
During the opening week of the Olympics, from July 26 to August 1, Nike and Puma saw a rise in direct-to-consumer site visits, while Adidas AG (OTC), Hoka, and On Holding AG (NYSE) experienced declines in traffic compared to the previous week. The peak in visits occurred on July 31, reaching 2 million, following U.S. gymnast Simone Biles securing her seventh Olympic gold medal and the U.S. women’s team winning their third gold.
Of the visits to Nike.com, 86,900 resulted in sales, whereas Adidas had 532,500 visits but only 3,600 conversions into product purchases, according to Similarweb data.
Daniel Reid, Senior Insights Analyst at Similarweb, indicated that if Nike-sponsored athletes continue to win, it will likely enhance the brand’s popularity and sustain strong conversion rates throughout the remainder of the Olympics.
Nike, aiming to capitalize on this momentum, reported spending more on the Olympics than any previous Games. CFO Matthew Friend mentioned in June that Nike is reinvesting nearly $1 billion in fiscal 2025 for consumer-facing activities, including new product launches and expanded sports marketing efforts for the Paris Olympics.
As the official sponsor for the U.S. Olympic & Paralympic team, Nike has released several new products, including the Jordan 4 Retro SE shoes and the Olympic Electric Pack, which features 55 shoe designs such as the Alphafly 3 and Pegasus. The Jordan 4 Retro SE Paris Olympics Wet Cement, retailing at $225, has been particularly popular on the resale platform StockX, with over 8,373 trades by the end of July, making it the highest-selling Olympic product on the site.
Despite these gains, Nike’s overall performance this year has been somewhat lackluster compared to competitors like On Holding AG (NYSE), Deckers Outdoor Corp’s (NYSE) Hoka, and Adidas in the running, performance, and casual shoe categories. Nike has faced challenges with innovative design and strategic missteps.
Drew Haines, Merchandising Director at StockX, noted, “Nike is still a struggling brand overall. But the Olympics certainly drive interest in these things… Nike is the one that’s winning there.”
Featured Image: Unsplash
Author Faith Yakubu 
