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Volume 26 No. 223
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Nike Launches Subscription Service For Childrens' Shoes

Customers can get new kids shoes on a monthly, bimonthly, or quarterly basis
Photo: NIKE
Customers can get new kids shoes on a monthly, bimonthly, or quarterly basis
Photo: NIKE
Customers can get new kids shoes on a monthly, bimonthly, or quarterly basis
Photo: NIKE

Nike is "joining the club" of children's apparel subscription services, as it is launching the Nike Adventure Club, which will "send a pair of Nike or Converse kicks at regular intervals," according to Elizabeth Segran of FAST COMPANY. Customers can get new kids shoes on a "monthly, bimonthly, or quarterly basis." Each pair of shoes "works out to between $50 and $60 a pair." Nike Adventure Club subscribers can "choose what style they want, from performance shoes for sport to casual everyday sneakers, and they can also skip months and easily swap sneakers if they don't fit or their kid doesn't like them." Nike Adventure Club GM Dave Cobban said that the company has been "building this subscription service for the past two years" (FASTCOMPANY.com, 8/12). CNN.com's Nathaniel Meyersohn noted the service is for kids ages 2-10, and Nike is "targeting time-strapped parents in the suburbs and rural areas who don't live near a shoe store." The Nike Adventure Club is a "key initiative for the company," with 40 staffers "working on the concept." Meyersohn: "Perhaps more importantly for Nike, its kids' sneaker club allows the company to test out the subscription market and potentially apply it to its adult shoppers" (CNN.com, 8/12).

BOLD MOVE: CNBC.com’s Lauren Thomas said Nike "clearly wants to take advantage of the market for kids’ footwear in the U.S." by entering the marketplace, as companies "left and right now are rolling out subscription services." CNBC’s Kelly Evans said a running shoe subscription service "makes a ton of sense." Evans said customers "often find the shoe that works for you" and she would be "happy" to have them delivered (“The Exchange,” CNBC, 8/12). CNBC contributor Joe Terranova said the effort is "very smart on the part of Nike." The company is "focusing on the brand" and "getting the parents involved" (“Fast Money Halftime Report,” CNBC, 8/12).