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Nike (NKE+6.06%) had a really rough 2024: sales fell around the world, shares dropped 60% from a 2021 high point, and the company’s relationship with major retailers was damaged. Now, as it’s trying to stage a rebound, Nike is working with Kim Kardashian on a new brand of athletic wear.
The new brand, NikeSkims, combines Nike’s “advanced innovation, sport science” and knowledge with Skims’ “obsession for the female form” and inclusive solutions, the companies said in a press release. The companies plan to launch a line of training apparel, footwear, and accessories through the brand, accessible to all women.
The first collection is expected to debut in the U.S. at some brick-and-mortar locations and on Nike’s website in the spring. A global expansion is planned for next year.
“Nike and SKIMS share a deep commitment to innovation, inclusivity and pushing boundaries, driven by an unwavering belief in the power of women,” Kardashian said in a statement. “This partnership is the culmination of that shared vision, delivering product that is meticulously designed to sculpt and perform for every body.”
Nike shares rose by more than 3% in trading on Tuesday morning, reversing a year-to-date decline for the stock. Over the last 12 months, shares have fallen by almost 27%.
Nike has made it clear that it wants to drive growth in its women’s apparel division. The company recorded more than $8.5 billion in revenue generated from female apparel in its fiscal year 2024, less than half the $20.8 billion it made off of male apparel.
The company bought its first Super Bowl ad in 27 years this month, broadcasting the 60-second “So Win” commercial geared toward encouraging female athletes. During a recent earnings call, Nike CEO Elliot Hall said the company is running a “gender offense” by launching a women’s basketball program.
Nike and Skims have been working on the brand since October 2023, according to The New York Times. It marks the first time that Nike has ever joined with an existing, outside firm to launch a brand.
Kardashian founded Skims in 2019 along with Jens and Emma Grede; by July 2023, it had reached a roughly $4 billion valuation and its clothing has repeatedly gone viral on social media. Along with opening up Nike to Skims’ existing consumer base, the partnership gives them access to Kardashian’s more than 358 million Instagram followers.
“This partnership brings together the best of both brands and unlocks an incredible opportunity to disrupt the industry with our shared passion and commitment to innovation,” Heidi O’Neill, Nike’s head of consumer products and brands, said in a statement. “We will invite even more athletes into sport and movement with product that makes them feel strong and sexy.”