Nike is making its return to the Amazon marketplace after abandoning the platform years ago. This move appears to be driven by Nike's desire to reclaim its once-dominant position in the running shoe category. However, the landscape they're re-entering looks dramatically different from the one they left behind.
During Nike's absence from Amazon, smaller, more specialized brands have seized the opportunity to capture significant market share in the running shoe category. Brands such as HOKA, Brooks, and New Balance have not only filled the void left by Nike but have thrived, building loyal customer bases and establishing strong positions in this lucrative market segment.
The Athletic Footwear Battlefield
The athletic footwear market represents a fascinating intersection of technology, fashion, and health. It's an arena characterized by relentless innovation, with companies constantly competing to develop the perfect shoe for various activities and preferences. This combination of functional performance and style makes it one of the most dynamic and competitive product categories in retail.
For serious runners, footwear isn't merely an accessory—it's essential equipment that impacts performance, comfort, and injury prevention. This consumer segment is particularly valuable because of their purchasing habits: dedicated runners typically buy 2-3 pairs of shoes annually, making running shoes essentially a consumable product with reliable repeat purchase patterns.
What's more, runners tend to be brand loyal once they find footwear that works for them. This loyalty factor makes capturing market share in this category especially valuable, as it often translates to long-term customer relationships rather than one-time purchases.
Market Share Shifts: Winners and Losers
Our analysis of the past 12 months reveals dramatic shifts in market share within the running shoe category on Amazon.
HOKA: The standout success story, showing remarkable growth and consumer adoption
New Balance: Steadily gaining ground with their performance-focused offerings
Altra Running: Carving out a dedicated following with their zero-drop, foot-shaped designs
On: The Swiss brand making significant inroads with their distinctive cloud-cushioned technology
Conversely, several established brands have lost ground:
Saucony: Struggling to maintain relevance despite their running heritage
Brooks Running: While still commanding an impressive 26% market share, they've experienced some decline
Under Armour: Failing to translate their strength in other athletic categories to running
Adidas: Losing position despite their global footwear presence
Nike: The former category leader continuing to slide
ASICS: Once a running specialist, now facing significant challenges
The most dramatic losses have been experienced by ASICS and Nike, with Nike's decline particularly notable given their historical dominance in athletic footwear across all retail channels.
The HOKA Phenomenon
HOKA deserves special attention in this analysis. Their meteoric rise represents one of the most impressive growth stories in the category. Known for their distinctive maximalist cushioning and unique aesthetic, HOKA has resonated strongly with Amazon shoppers.
As an avid runner myself, I can attest to the appeal of HOKA's offerings. Their combination of comfort, performance, and distinctive design has created a product that stands out in a crowded marketplace. The brand has successfully crossed over from specialty running stores to mainstream adoption, with Amazon serving as a key channel for this expansion.
The Advertising Investment Gap
One revealing aspect of this market shift is the disparity in advertising investment. Despite holding approximately 8% of the market share, Nike resellers are spending less than 4% of the total advertising dollars in the category. This underinvestment reflects a fundamental challenge of the third-party seller model: resellers rarely have the incentive or resources to invest in brand-building at the same level as the brands themselves.
In stark contrast, Brooks, ASICS, and New Balance collectively account for over 50% of advertising spend in the running shoe category on Amazon. This substantial investment signals their commitment to the platform and likely contributes significantly to their continued success.
Key Takeaways for Brands
Nike's return to Amazon highlights several critical lessons for brands operating in the e-commerce ecosystem:
Channel Investment Matters: Success on Amazon requires consistent, strategic investment. The brands allocating significant resources to the platform are generally the ones seeing the strongest results.
Amazon Is Not "Set and Forget": Effective Amazon strategy requires ongoing attention, optimization, and investment. Brands that treat Amazon as a secondary channel typically underperform.
Third-Party Sellers Have Different Incentives: Relying exclusively on third-party sellers to represent your brand on Amazon often leads to suboptimal outcomes. These sellers rarely have the same long-term brand-building incentives as the brands themselves.
Category Dynamics Can Shift Rapidly: Nike's experience demonstrates how quickly market leadership can erode when attention shifts away from a key retail channel. In today's fragmented retail landscape, brands must maintain presence and investment across all relevant platforms.
The Future of Running Footwear on Amazon
HOKA's extraordinary growth trajectory raises questions about sustainability—can they maintain this momentum, or will they eventually hit a ceiling? For now, it's clear that American consumers have embraced the brand with enthusiasm that few could have predicted.
As for Nike, their return to Amazon represents both an opportunity and a challenge. Can the athletic wear giant leverage their immense brand equity and resources to reclaim leadership in the running category? Will Phil Knight's passion for running once again take center stage in the company's strategy?
The answers to these questions will unfold in the coming months and years, but one thing is certain: the competitive landscape in athletic footwear continues to evolve at a rapid pace, with Amazon serving as a critical battleground for brand supremacy.
