Nike Closes More Than a Dozen Neighbourhood Stores Across US

Nike has abruptly closed more than a dozen of its small, neighbourhood-focused stores across the United States, marking another shift in the sportswear giant’s physical retail strategy.

The company launched Nike Live, its neighbourhood-store concept, in Los Angeles in 2018. The original store in Melrose used digital data from customers living in the area to determine which products to stock based on local shoppers’ preferences.

The stores were also integrated with Nike’s app and membership programme, allowing customers to reserve products for in-store trials and collect purchases.

The Los Angeles location and at least 14 other Nike Live stores have since permanently closed, including outlets in California, Colorado, Georgia, Illinois, New Jersey, New York, Florida, Kentucky, Maryland, Missouri, North Carolina and Texas, Retail Dive reported Wednesday.

"Like all retailers, we regularly evaluate our fleet and make adjustments across our marketplace to better align to our strategy for growth, including elevating stores and streamlining our physical retail footprint," a Nike spokesperson told Retail Dive in a statement. "This is part of our work to create Nike's future marketplace."

Nike had previously outlined ambitious plans for the concept. In 2020, after testing Nike Live, the company said it could open as many as 200 locations across North America, Europe, the Middle East and Africa.

The Nike Live locations were rebranded as Nike Well Collective stores in 2023, broadening the concept to incorporate wellness and fitness alongside retail.

Nike did not say whether it plans to continue the neighbourhood-store concept or whether the reported closures represent the full extent of the shutdowns, Retail Dive reported.

During a summer earnings call, Nike CEO Elliott Hill said the company was making changes to its Nike Direct business, including improving the in-store experience and reducing its reliance on online discounts.

"We've elevated more than 150 stores with sport-led experiences," Hill said, according to Retail Dive. "Over time, we will continue to rezone and elevate our fleet and close the doors that are no longer aligned to our strategy."

Nike Live stores were originally introduced as part of the company's direct-to-consumer strategy. The approach initially gained traction, but its momentum later faded under former CEO John Donahoe, according to Retail Dive.