SOURCE: B&T Magazine
Nike’s attempts to pay in the streetwear space as much as it does in the sporting one appears to have proven a shrewd move after it was named the hottest fashion brand in the world by the influential the Lyst Index.
Nike climbed two places on Lyst’s list to become the hottest brand on the planet, and marking the first time since The Lyst Index began in 2017 that a luxury fashion brand has not taken the number one spot.
Nike was propelled by a 106 per cent increase in demand for loungewear and activewear, as consumers sought comfortable clothes to wear at home, as well as attire for exercise and outdoor activities.
According to Lyst, 2020’s lockdown has proven a boon for Nike as people sort out casual comfort over high-end luxury.
Lyst noted that part of Nike’s success is owed to its investments in building its digital business and having the right product for a consumer base stuck at home.
An anomaly in pandemic retail, Nike saw digital sales revenue climb 75 per cent and achieved a 2023 goal to reach 30 per cent digital sales three years early.
“Nike was propelled by a 106 per cent increase in demand for loungewear and activewear, as consumers sought comfortable clothes to wear at home, as well as attire for exercise and outdoor activities,” Lyst noted when compiling its numbers.
Nike also earned high marks for a video with the anti-racism message ‘Don’t Do It’ – that garnered five million Instragam likes – and for pledging $US40 million to organisations that supported the Black Lives Matter movement and social justice.
However, 2020 hasn’t been all smooth sailing for the world’s biggest sports brand. Its Lyst success contradicts reports that suggested Nike could see a 34 per cent decline and drop more than $7.7 billion in revenue as a result of store closures, issues with supply and this year’s NBA season suspension bought about by CV-19
Nike’s success follows on from reports on B&T during the week that the brand is making serious efforts to move into the outdoor space – predicted to be worth $A27.2 billion by 2026 – where the likes of Patagonia, The North Face and Kathmandu currently hold sway. Nike bosses realising that a lot of these brands are increasingly being worn in city high streets and office towers and not for climbing mountains as they were intended.
When it came to Lyst’s list, Nike knocked over some serious fashion pedigree to claim the number one spot. This was Lyst’s top 10.
- Saint Laurent
- Fendi a
- Bottega Veneta
To compile its results, Lyst analyses the online shopping behaviour of more than nine million shoppers a month who are searching, browsing and buying garments across 12,000 designers and stores online.
The formula behind The Lyst Index takes into account global Lyst and Google search data, conversion rates and sales, as well as brand and product social media mentions and engagement statistics worldwide over a three month period.
Lyst also noted that the cancellation of events such as the Met Gala and men’s fashion week in the US is likely to have had an impact on the performance of luxury brands, with some brands struggling to generate as much social media attention as they would have normally.