Nike Korea Puts The Kibosh On Resellers

Words by Retail Bum

Nike Korea Puts The Kibosh On Resellers
Nike Korea Puts The Kibosh On Resellers

Nike is attempting to stop the sale of its brand-new products on online resale marketplaces in South Korea, where its exclusive products are often sold for prices several times over.

According to the sportswear giant’s new terms and conditions, the company will hold the right to cancel orders if it sees signs that they are intended for resale.

The company’s decision to implement its new policy comes as its exclusive products are often snapped up by bots for resale on platforms, creating a shortage for Nike’s retail partners.

For example, Nike sold its Air Force 1 series x Louis Vuitton sneakers in July for $2,440. However, the very same sneakers later sold for $9,763 on local resale marketplace KREAM, FashionUnited reported.

The move is also likely aimed at helping the company strengthen its direct-to-consumer business, which has been a newfound focus as Nike has gradually severed its ties with its wholesale partners.

The news comes just five months after the company asked a federal judge to add counterfeiting and false advertising claims to its current trademark-infringement lawsuit against StockX after its investigation revealed that some of the Nike shoes that were verified for authenticity by the marketplace were actually counterfeit products.

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