Nike planning to sell off Hurley surfwear brand
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Nike is considering the sale of its Hurley surfwear brand, according to a Reuters report.
A general downturn in the sector has pushed other industry players within the space into significant difficulties, including rival brand Quiksilver – which filed for bankruptcy in 2015. Nike’s potential sale of its Hurley brand is reportedly likely to be a reaction to the same trends and an indication that the surfwear segment is not showing signs of recovery.
“The surf/skate market has been soft,” said NPD Group VP and senior industry adviser of sports Matt Powell. “Hurley has not been a growth story for some time.”
Nike’s potential sales price for the brand has not been disclosed.
Questions & Answers
Q.What is Nike's main reason for considering selling the Hurley brand?
What is Nike's main reason for considering selling the Hurley brand?
Nike's potential sale of Hurley is likely a reaction to a general downturn in the surfwear sector. This trend has caused significant difficulties for other companies in the space and suggests the segment is not recovering.
Q.How has the surfwear market performed recently according to industry experts?
How has the surfwear market performed recently according to industry experts?
Matt Powell, VP and senior industry adviser of sports at NPD Group, stated that the surf/skate market has been "soft." He also noted that Hurley itself "has not been a growth story for some time."
Q.Have other companies in the surfwear industry experienced similar difficulties?
Have other companies in the surfwear industry experienced similar difficulties?
Yes, the article mentions that a general downturn in the sector has pushed other industry players into significant difficulties. Rival brand Quiksilver, for example, filed for bankruptcy in 2015 due to these trends.