Investing.com – Dick’s Sporting stock (NYSE:DKS) climbed more than 8% Wednesday as the sporting goods retailer strengthened its ties with Nike (NYSE:NKE) to share their physical and digital properties.
Nike rose more than 2%.
Dick’s Sporting and Nike will integrate their loyalty programs to enable linking Nike’s loyalty program to Dick’s membership offering. This will allow customers to shop for exclusive Nike shoes and apparel on Dick’s website and through its mobile app.
The deepening of ties comes at a time when manufacturers of apparel, shoes and accessories are beginning to shun wholesale partners or at least reduce their reliance on them. Many are reaching consumers directly through digital sales. This also allows manufacturers to build closer relationships with consumers, understand their behavior and needs and accordingly tailor their offerings.
In the financial year 2021, Nike Direct grew 30%, driven by 60% growth in digital. Wholesale revenue rose 10% while total revenue was up 10%.