Nike - Winning Big With Small Format Stores

In light of the effect the pandemic has had on physical retail storefronts, many retailers are looking at permanent models that can accommodate social distancing and sanitization. Nike, a brand that has always been at the forefront of embracing an innovative mindset, has announced that it plans to open between 150 – 200 small-format, digitally enabled stores over the next few years.

The first iteration of the digitally-driven concept store, Nike by Melrose, is fueled using the data from consumers, to inform a curated two-week merchandise rotation, directed by favourites of customers in the area to create an exclusive and targeted shopping and fitness experience. The digital capabilities of the pop-up inspired concept has allowed Nike to be at the forefront of going touchless in a retail storefront – by effectively removing many pain points and angling towards a frictionless shopping journey.

The concept store features the ability to scan a barcode with your own smartphone via the Nike+ app, learn more about the product, see what options are in stock, request products be sent to a fitting room, and reserve an item to be picked up from a dedicated locker for purchase. The fascinating fact is that Nike didn’t develop these services for socially distanced shopping. It created them to provide a better experience to customers. It just so happens that the approach applies in both “normal” times and during the “new normal” – just another way embracing the future has put Nike ahead of the curve.