Multiple teams' jerseys are selling out, and Nike's inventory shortage is causing them to miss out on the opportunity of the World Cup business.
Nike just happened to have a shortage of inventory at the crucial time when the men's World Cup jerseys were in high demand in the United States. Although they have now restocked, they have already missed the sales window brought by the team's journey in this World Cup. Before the start of the group stage, the US men's team won consecutive victories over Paraguay and Australia in just two weeks, and several US team jerseys were sold out, which indicates that Nike, as the team's sponsor, severely underestimated the market demand for these jerseys. Nike urgently rushed to stock up and replenish products to offline stores, but the replenishment arrived too late. It was not until more than a week after the US team unexpectedly lost to Belgium and was eliminated from the World Cup that Nike finally put up the restocked jerseys, initially offering a 17% discount; however, by Thursday, Nike had already removed this offer from its official website. The shortage issue is not only limited to the US team jerseys. Nike sponsors a total of 16 national teams, and at least 4 of them have completely sold out their jerseys. Part of Brazil's jerseys were sold out during the group stage, and the authentic player version jerseys of the French team were out of stock even before the knockout stage began. Simeon Siegel, a retail industry analyst at Guggenheim Securities, believes that the shortage of jerseys is just a microcosm of Nike's overall operational situation. The root of the problem, where hot-selling items that should have brought in full revenue missed the sales window, lies in the fact that various business lines within the company are still dealing with various operational defects and passively remedying issues.
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