top of page
Search

The Business of Athleisure

  • lquick16
  • Nov 17, 2025
  • 4 min read

As part of my Sports Marketing coursework at Bentley University, I recently completed an in-depth analysis focused on the athleisure and athletic footwear industry, with a spotlight on Nike. This post presents my full analysis, including market trends, strategic insights, and a SWOT breakdown of Nike’s positioning in today’s highly competitive sportswear space.

Sports Topic Analysis: Athleisure & Athletic Footwear
Sports Topic Analysis: Athleisure & Athletic Footwear

Introduction/Background to Topic

The athleisure and athletic footwear industry has evolved over the past decade, from a niche sportswear category into global fashion and lifestyle markets. Athleisure is seen as the mix of athletic functionality with everyday style, appealing to consumers who value versatility, wellness, and performance-driven design. On the other hand, athletic footwear now holds cultural relevance in celebrity culture and fashion trends. 

This industry is vast, and includes companies like Nike, Adidas, Lululemon, New Balance, and Under Armour. Nike stands as the market leader, known for its product innovation and market dominance, as it has more than $51 billion in annual revenue (Nike 2023 Annual Report), and maintains the largest market share in athletic footwear globally, making Nike an ideal brand to analyze within the broader athleisure movement.

Purpose of Analysis

The purpose of this analysis is to evaluate Nike’s position within the athleisure and athletic footwear markets, exploring Nike’s advantages, challenges, market opportunities, and competitive threats. Through this evaluation, we can assess how well-positioned Nike is to maintain leadership in the shifting consumer landscape.

Research (with sources cited)

The global athletic footwear and athleisure markets have seen much growth over the past decade. According to Statista (2024), the global athletic footwear market reached revenues of over $120 billion and is projected to continue expanding. Consumers are increasingly prioritizing comfort and performance in their daily wardrobe choices, leading to the adoption of athleisure.

Nike, the industry leader, reported $51.2 billion in revenue in Nike, Inc. Annual Report 2023, driven by strong performance in footwear and digital sales. The company continues to invest in innovation, which strengthens its position. The report also illustrates Nike’s direct-to-consumer strategy, with digital channels becoming increasingly significant in driving growth and customer loyalty.

The Business of Fashion (2023) explains in an article that athleisure is no longer a trend but now a consumer behavior; Consumers demand multifunctional clothing that can transition from gym to streetwear, blurring the lines between sportswear and everyday fashion and promoting brands to create capsule collections. Nike has embraced this with partnerships such as Jacquemus, contributing to its cultural credibility and global relevance.

The NPD Group (2024) demonstrates various key trends within the footwear industry, including a consumer shift toward comfort-focused designs, sustainability, and personalized experiences. Because of this, Nike has created “Move to Zero” initiative and environmentally-conscious product lines. 

Analysis Details: SWOT on Nike 

Nike has many strengths, such as holding a dominant market share across footwear categories. Its swoosh logo and Just Do It slogan are globally recognized symbols. Another strength is that Nike continues to lead in product innovation, such as Air Max’s and digitally connected Nike Training apps. These innovations differentiate Nike in both performance and lifestyle markets. They also are very strategic with their partnerships with athletes (such as LeBron James or Serena Williams), entertainers, designers (such as Off-White), and cultural figures, making them a cultural powerhouse and elevating them beyond traditional sportswear.

Nike also has some weaknesses, such as their products being at high price points that are more expensive than their competitors. This makes them less accessible during inflation or economic downturns. Additionally, Nike relies on international manufacturing, making them more sensitive to factory shutdowns and tariffs. Although Nike is strong in apparel, one of their weaknesses is their overdependence on footwear being in their brand identity and revenue. This is a weakness because it limits diversification compared to competitors like Lululemon. Lately, Nike struggles in the recurring criticism over sustainability impacts and labor practices, increasing consumer demand for transparency and growth. 

Although they have weaknesses, there are many opportunities presented for Nike. One of them is the opportunity for Nike to lead with sustainable innovation, recycling programs, and biodegradable materials, as sustainability and circular fashion has become one of the top consumer interests. Nike also has the opportunity to tap into female lifestyle apparel, currently dominated by Lululemon and Alo Yoga, like yoga, pilates, and wellness.

And of course, there are some threats to consider with Nike. One of which is the rising competition in premium athleisure, such as Adidas, Lululemon, Alo Yoga, Vuori, KITH Sport, Tory Sport by Tory Burch, Atheta, Moncler Grenoble, and more. The shift in consumer trends is yet another threat to Nike, as trend-driven footwear can change quickly. The current economic uncertainty of inflation and reduced spending can impact Nike negatively as well. 

Conclusion

Nike’s leadership in the athleisure and athletic footwear markets reflects its brand equity, innovation, and cultural influence. Its high price points, sustainability scrutiny, and competitive pressures, however, require strategic response. Nike is well positioned to capitalize on major opportunities, like sustainable innovation and emerging consumer markets. By strengthening its DTC engagement and continuing to innovate in performance and lifestyle categories, Nike can maintain its dominance within a rapidly evolving industry. Athleisure’s continued growth shows that performance and lifestyle will remain intertwined in global fashion, and as long as Nike continues blending sport, culture, and technology, it will remain one of the most influential brands in the athletic footwear and apparel industry.


Works Cited 


Comments

bottom of page