JB release numbers now reflect the hype for the shoe/colorway...

[kamuekcmo]

Isn't this how it always worked? At least in regards to having reps keep tabs on the web and all the hype following info release...
The production setup is new to me but to be honest Nike, Reebok, Adidas etc...all have people who watch the boards...
At the very least this ensures that at some point we will get regular drops of info on future releases...

You are correct, but this is the first time I have heard a company actually hold pairs back that they have already produced for a 2nd release, based off of the info collected... I guess that was my main focus of the post...

 

[trappedintime]

that's what has happened in the past year atleast at nyc mom and pop stores i dont see no drops in revenue
all i see is people buying more and more and prices from stores that have accounts charging not a small mark up but $100.00 and a lot of time over that
the owners of these shops see what flight club and ebay prices are at and ask for the same
i dont think any of this info is correct
bottom line nike makes money and the stores make money
small shops have cut the reseller out and now a reseller has to get a group of people out to footlocker just just pay retail to charge that same mark up the small mom and pop have been doing for the past 2 years
re sellers like me and many others are just in a hobby that has a Hugh demand and just keeps getting bigger and bigger
so why not cash out
all i sell now is all the shoes i own from over the years
i really dont sell new releases
too much hassle unless you can get before the release date and not get raped too much
waiting on a line for sneakers has become mainstream that casual jordan buyers and as well as people like us have to do just to pay retail in the past year and starting well into this new year

You're short sighted and obviously don't understand marketing and customer loyalty very well if you think small accounts charging big bucks is beneficial to Nike in the long run. It hurts customer loyalty, even if it's not immediate. Why do you think they're flooding the market with more retros from Black Friday to the ASG than they ever have? It's part of a strategy to regain some control over their product. From a business standpoint it's very interesting to me and I'd love to be part of this team that is measuring the impact of social media on demand, as well as what impact flooding the market (yet backing it up with secondary releases months down the road) does for customer loyalty. They are going to sell just as much if not more, but keep their customers happy. Toss in some things like Nike Air or better materials on certain releases, and you're doing a LOT to lock in your customer base for the long term, rather than running them into the ground with pain in the butt releases that cost 2-3x what they should from mom and pop shops. This is a short-term opportunity for the shady little stores preying off ignorance and greed.

 

[kamuekcmo]

Re-sellers don't keep JB in business though, that kind of talk is beyond stupid. If Nike judges the demand better, or current demand, they can better serve us, the consumers by trying to match supply to demand. That doesn't mean resellers are going away, but rather than overselling a particular shoe where much of the stock goes right to the secondary market, limiting the release numbers and then later releasing more helps more consumers get them from JB rather than eBay, CL, etc. especially if consumers hold back on the secondary market banking on a second release/restock. The only reason a $160 shoe resells for $250 is because of the perception by consumers that they can not purchase the shoe in the future for the retail price. Resellers also hurt brand loyalty, and as we all know, one of the biggest complaints on NT is that Nike has failed to meet consumer demand in order to breed hype. I'm sure that some hype is created by this divide between supply and demand, but it also decreases customer loyalty which is bad for Nike in the long run if they can be the ones to come to the rescue of consumers with secondary releases/restocks.
Remember, resellers throw off Nike's measurement of TRUE demand for a shoe, and those measurements are important for gauging production across models, colorways and even time. JB may not care that they sold a shoe to a reseller, or that a reseller swooped up 20 pairs, but if he sits on those 20 pairs and it takes forever for him to move those, that skews the true consumer demand for a release and thus makes it hard to estimate how much to produce of a different CW of the same shoe or a similarly desired release of another model or colorway. Metrics and understanding true demand from your customers (resellers are not true customers when looked at by a business) is highly important in creating and executing marketing strategy.
As was mentioned, this is about the bottom line by being more efficient with production that matches demand, but at least they're creating the flexibility to produce more and/or do a second release for many of these shoes. The Olives are a great example. There was little hype (perhaps due to the timing of that shoe with what dropped before and after near the end of the year), but in retrospect there were many of us, myself included, who wanted a pair that didn't get them.
This would also explain why some releases like the Olives were FCFS at Nike stores while most are RSVP, and it also explains last week's White/Red-Black release that was all kinds of FUBAR with regard to release details from Nike. Different releases - based on hype and thus production numbers - are being handled differently in stores. Perhaps part of the foot traffic or feedback from staff on how much demand there was for a sold out FCFS release paves the way for secondary releases. I wouldn't be surprised if this team's measurement and monitoring through various channels (including NT and obviously social media) is leading them to make decisions or categorize releases and how they will be handled.
Remember, at the end of the day Nike is a MARKETING COMPANY. Their success hasn't been tied to the quality of their product, it has been tied to their advertising, marketing, and ability to understand their target market.

TRUE +1 rep!

 

[vegetaray123]

You are correct, but this is the first time I have heard a company actually hold pairs back that they have already produced for a 2nd release, based off of the info collected... I guess that was my main focus of the post...

Yeah that whole thing about changing a release plan is new...But I think it's good simply due to the fact that Nike is taking a more invested interest into the sneaker community...With any luck that will lead to some better things for the future...The "NIKE" branded III's are a great example since sneaker heads have been complaining about that for the longest...

Now if they could just up their quality on retro models in particular...I'd pay a higher price...Let this tracking group track that input

 

[mjmoney23]

Thanks a bunch for the info. Is this why the Kilroy pack restocked around Christmas time?

 

[squatchnt]

yes, that is true... I think they are more concerned that they can make double and triple what JB can make.... I know if I had some type of company and I paid to have something produced, paid for a factory, materials, marketing, shipping, and whatever else... and someone took what I put all my hard work into and flipped it for double or triple what I got only a few hours after they got it from my company..... I would be pissed....

I would be pissed that I didn't make/have more pairs for sale. There was a time when Jordan releases would sit on shelves and go on sale. JB most likey decreased production based on that. Now with re-sale market what it is they are essentially leaving money on the table, that re-sellers are picking up.

 

[kamuekcmo]

Thanks a bunch for the info. Is this why the Kilroy pack restocked around Christmas time?

I forgot all about those, my source didnt say anything about them, but it sounds like the same exact thing.... I will ask him tomm...

 

[semf]

i wonder how Jordan Brand measures "hype"? focus groups? social media? surveys?

 

[kamuekcmo]

i wonder how Jordan Brand measures "hype"? focus groups? social media? surveys?

Lol, that was my first question, but my source didnt have that info....... I would like to know tho...

 

[squatchnt]

Yeah that whole thing about changing a release plan is new...But I think it's good simply due to the fact that Nike is taking a more invested interest into the sneaker community...With any luck that will lead to some better things for the future...The "NIKE" branded III's are a great example since sneaker heads have been complaining about that for the longest...
Now if they could just up their quality on retro models in particular...I'd pay a higher price...Let this tracking group track that input

I don't think it's about the sneaker community because a lot of people remeber the 'good ol days'. It's now that the general population is catching on and and helping them sell out on release day. They likely see NA as a way to make money as opposed to pleasing the sneaker  community. A lot of people have said 'why now after years of complaints' and it's because money talks.

 

[squatchnt]

i wonder how Jordan Brand measures "hype"? focus groups? social media? surveys?

I think social media plays a part. It's almost like an un paid focus group when they see what's trending.

 

[growingupny]

Remember, resellers throw off Nike's measurement of TRUE demand for a shoe, and those measurements are important for gauging production across models, colorways and even time. JB may not care that they sold a shoe to a reseller, or that a reseller swooped up 20 pairs, but if he sits on those 20 pairs and it takes forever for him to move those, that skews the true consumer demand for a release and thus makes it hard to estimate how much to produce of a different CW of the same shoe or a similarly desired release of another model or colorway. Metrics and understanding true demand from your customers (resellers are not true customers when looked at by a business) is highly important in creating and executing marketing strategy.

I think that you're assessment on how Nike gauges "Hype" is based too much on a sales & numbers POV.

True Marketing(which I agree with you, Nike is awesome at) involves more than just sales and numbers. There are variables that don't relate directly to that alone. Twitter, FB, IG and whatever other social media markets are out there, are serious money maker and info gatherers. Technology plays a huge part in how Nike is able to determine the TRUE demand based on not just sales but also how often and where their product is featured or even mentioned.

So for example, the reseller could cop those 20 pairs, and not sell them for a year. Around release dates, the kicks will still sell out of course but Nike is able to determine where and how much to send to what retailer markets. Which is why they leak photo's and other marketing material to get a buzz generated and then see the feedback rise.

 

[djyoung08]

Very interesting.

Seems quite logical as well.

Perhaps getting shoes will become easier this year.

 

[trappedintime]

i wonder how Jordan Brand measures "hype"? focus groups? social media? surveys?

There are a number of metrics and tools for online engagement and social media interaction on keywords, phrases, etc. Nike is working with enterprise-level marketing tools at their disposal and know way more than any of us about how much buzz each release (or potential release) is generating, where it's being generated, how they compare to each other, etc.

 

[growingupny]

i wonder how Jordan Brand measures "hype"? focus groups? social media? surveys?

Any major "Goods" company in which they rely on demand of the public has a lot of these. Although I'm sure if they do have focus groups anymore, they're extremely limited and disguised if presented to the average Joe. They most likely rely more so on Social Media and "Hype" these days.

 

[160jordansdeep]

You're short sighted and obviously don't understand marketing and customer loyalty very well if you think small accounts charging big bucks is beneficial to Nike in the long run. It hurts customer loyalty, even if it's not immediate. Why do you think they're flooding the market with more retros from Black Friday to the ASG than they ever have? It's part of a strategy to regain some control over their product. From a business standpoint it's very interesting to me and I'd love to be part of this team that is measuring the impact of social media on demand, as well as what impact flooding the market (yet backing it up with secondary releases months down the road) does for customer loyalty. They are going to sell just as much if not more, but keep their customers happy. Toss in some things like Nike Air or better materials on certain releases, and you're doing a LOT to lock in your customer base for the long term, rather than running them into the ground with pain in the butt releases that cost 2-3x what they should from mom and pop shops. This is a short-term opportunity for the shady little stores preying off ignorance and greed.

i never said it was beneficial to small shops to charge more in-fact as me as a customer who has no patience to wait on a line with teenages to pay retail
now i feel the opposite if owned a small shop

but i do understand why small stores do this when jordans foams and a few and i mean few other nike's are what sells out at high mark up
you know i'm sure nike makes account holders take a lot of garbage just to sell jordans and foams

like jordan brand non retro sneakers and jordan clothing

since you know alot about marketing there is really no marketing for a small mom and pop account or a local small chain store

its the same marketing that nike and your nickel and dime resller who just made a site on big cartel or godaddy.com use now in 2013

facebook and twitter

the internet has pushed sneakers to where we are today

but i agree with everything you said 100%

 

[robpzee612]

HEY JB

 

[futuredhughes]

Very interesting.

Seems quite logical as well.

Perhaps getting shoes will become easier this year.

Came here to say this.

Guess we'll have to wait and see what happens during Feb. 16th, when 3 major JB releases come out the same day.

 

[160jordansdeep]

Came here to say this.
Guess we'll have to wait and see what happens during Feb. 16th, when 3 major JB releases come out the same day.

what are the 3 shoes releasing on the 16th ?

 

[futuredhughes]

Came here to say this.
Guess we'll have to wait and see what happens during Feb. 16th, when 3 major JB releases come out the same day.

what are the 3 shoes releasing on the 16th ?

Royal 1s, "Joke(r)" 3s and possibly the NA 88' WC 3s.

 

[160jordansdeep]

My source has given me some interesting info... JB has a new way of marketing or deciding how many pairs of a certain shoe will drop... This is how it works... JB starts production on a shoe, then once info drops, they have put together a team to watch and measure the hype for a shoe, depending on the hype of the shoe they will then change the release date to produce more or only ship out half of the amount that was produced and do a re release, or change something on the shoe to make it a different shoe...

Raptor 7's dropped and instead of having pairs sit on shelves and take away from other releases, they only sent half of them out, and saved the other half for a second release...

Olive 9's were supposed to be a limited GR (no kids) but after judging hype they only sent out half of the produced amount, my source says he has seen them sitting in a warehouse... (so expect more of them soon)

Thunder 4's - The thunder 4's had a great hype measurement, more than what JB expected, so they changed the release date to buy a few weeks to produce more and to insure they would sell they made them a holiday shoe....

Bred 13's are supposed to be a GR and they are only sending out half of the produced amount, so most stores wont have as many as you think..

88 Retro 3's - now I don't know what to think about this.... My source confirmed that this shoe was the first shoe that the (hype measure team) was assigned to when it came out no to long ago.... My source didn't say this (his exact words were don't trust them Nike Air 3's) but by them coming out so fast, I am willing to bet this is the same exact shoe with a logo change, which falls under change something on a shoe to make it better and sell for more profit.......

My source says that release date changes and second drop dates are going to be way more common in 2013..

now that i read this twice

it make sense

 

[toughmoney]

I need restocks of doernbecher 9s

 

[prelude2elude]

The question is, how do I work for this hype research group that JB has.

 

[robpzee612]

The question is, how do I work for this hype research group that JB has.

THIS

 

[160jordansdeep]

The question is, how do I work for this hype research group that JB has.

i would guess anyone on here would want that job