Nike has named company veteran Elliott Hill as its new CEO, signaling a shift in strategy to restore relationships with retailers and revitalize sales. The appointment comes after the company struggled under outgoing CEO John Donahoe’s focus on direct-to-consumer (DTC) sales through Nike’s own stores and website.
Investors reacted positively, with shares surging 8% on Friday. Nike’s stock had lost 25% of its value this year due to competition and strategic missteps, particularly in the running category.
Hill’s leadership is expected to balance DTC sales with stronger retail partnerships, a key move after Nike admitted its DTC strategy wasn’t driving the expected growth. Nike hopes to regain market share through performance products like the Alphafly 3 racer and by introducing budget-friendly sneakers under $100.
A clearer strategy from Hill is expected at Nike’s investor day in November.