Sneaker and sport apparel manufacturer, Nike (NYSE: NKE), grew its direct-to-consumer (DTC) channel eight times faster than its wholesale business last year. While this channel only generated $9.1 billion of revenue, or 28% of Nike brand sales for the company in fiscal 2017, it accounted for 70% of the growth.
Investors should understand how Nike’s company-owned stores, digital commerce platform, and international locations are all playing a part in this exciting, and increasingly important, part of the company.