Back From Retirement: Nike Brings Back Tom Peddie to Lead Marketplace Charge

Fashnopsis:

• Nike rehires retired exec Tom Peddie to oversee retail partnerships.
• Move comes after strained relations with retailers like Foot Locker.
• Peddie’s return aims to improve Nike’s wholesale business.
• His experience expected to accelerate Nike’s marketplace strategy.
• Re-hire signals potential course correction for Nike’s retail approach.

Nike Brings Back Retired Executive to Mend Frayed Retail Ties

Nike is calling on a familiar face to help patch up its relationship with retailers. The sportswear giant has rehired Tom Peddie, a veteran executive who retired in 2020 after three decades with the company. Peddie will serve as vice president of marketplace partners, according to an internal memo obtained by Bloomberg.

Why the Reunion?

Nike’s decision to bring Peddie back stems from a self-inflicted wound. The company’s focus on direct sales through its own stores and online channels has strained ties with traditional retail partners like Foot Locker. This shift in strategy, implemented under CEO John Donahoe, has coincided with a decline in sales and a 33% drop in Nike’s stock price so far in 2024.

Peddie’s Return: A Sign of Course Correction?

Nike is hoping Peddie’s experience can help rebuild bridges with its retail network. During his long tenure, Peddie held several senior leadership positions, including vice president and general manager of North America. In his new role, Peddie is expected to leverage his expertise to “accelerate the Marketplace strategy,” according to a memo from Craig Williams, Nike’s president of geographies and marketplace.

Neither Peddie nor Nike spokespeople have commented on the re-hiring. However, Peddie’s return is a clear signal that Nike is acknowledging the need for a course correction in its retail strategy.

Image Source: Nike