OREGON, United States – Nike’s Chief Executive Officer, John Donahoe, will step down from his role next month, making way for longtime company veteran Elliott Hill to take the reins.
The transition comes as the world’s largest sportswear brand navigates challenges in the global retail market.
In a statement released on Thursday, Nike confirmed that Donahoe will retire on October 13, though he will remain in an advisory capacity until early 2024 to “ensure a smooth transition.”
Donahoe, who joined Nike’s board in 2014 and took over as CEO in 2020, has faced significant headwinds, including shifting retail dynamics during the pandemic and rising inflation in recent years.
Despite efforts to boost Nike’s direct-to-consumer sales and enhance its digital presence, the company has struggled with declining demand in key international markets like China, contributing to a dip in its stock price.
However, news of Hill’s return lifted investor confidence, with Nike shares rising more than 9% in after-hours trading following the announcement.
During his tenure, Donahoe was instrumental in driving Nike’s e-commerce strategy, reducing its reliance on third-party retailers and focusing on building a direct relationship with consumers.
Despite these advancements, Nike has faced stiff competition from newer, more trend-focused brands like On and Hoka, which analysts say have captured significant market share.
In a candid statement, Donahoe acknowledged that the decision to step down was mutual, noting, “It became clear now was the time to make a leadership change.”
He expressed confidence in Hill’s ability to steer the company forward, calling him “the right person for the job.”
Elliott Hill, who retired from Nike in 2019 after holding various senior leadership positions in both Europe and the U.S., expressed enthusiasm about returning to the company.
“I’m eager to reconnect with the talented teams I’ve worked with before,” Hill said. “Together, we’ll continue to deliver bold, innovative products that set us apart in the marketplace and captivate consumers for years to come.”
Nike had been hoping to recapture consumer interest with new product launches and a high-profile marketing campaign centered around the upcoming Paris Olympics.
As Hill steps in, he will face the task of reinvigorating the brand’s global appeal in a highly competitive environment.
The transition comes as the world’s largest sportswear brand navigates challenges in the global retail market.
In a statement released on Thursday, Nike confirmed that Donahoe will retire on October 13, though he will remain in an advisory capacity until early 2024 to “ensure a smooth transition.”
Donahoe, who joined Nike’s board in 2014 and took over as CEO in 2020, has faced significant headwinds, including shifting retail dynamics during the pandemic and rising inflation in recent years.
Despite efforts to boost Nike’s direct-to-consumer sales and enhance its digital presence, the company has struggled with declining demand in key international markets like China, contributing to a dip in its stock price.
However, news of Hill’s return lifted investor confidence, with Nike shares rising more than 9% in after-hours trading following the announcement.
During his tenure, Donahoe was instrumental in driving Nike’s e-commerce strategy, reducing its reliance on third-party retailers and focusing on building a direct relationship with consumers.
Despite these advancements, Nike has faced stiff competition from newer, more trend-focused brands like On and Hoka, which analysts say have captured significant market share.
In a candid statement, Donahoe acknowledged that the decision to step down was mutual, noting, “It became clear now was the time to make a leadership change.”
He expressed confidence in Hill’s ability to steer the company forward, calling him “the right person for the job.”
Elliott Hill, who retired from Nike in 2019 after holding various senior leadership positions in both Europe and the U.S., expressed enthusiasm about returning to the company.
“I’m eager to reconnect with the talented teams I’ve worked with before,” Hill said. “Together, we’ll continue to deliver bold, innovative products that set us apart in the marketplace and captivate consumers for years to come.”
Nike had been hoping to recapture consumer interest with new product launches and a high-profile marketing campaign centered around the upcoming Paris Olympics.
As Hill steps in, he will face the task of reinvigorating the brand’s global appeal in a highly competitive environment.
