Nike, JD Sports expand connected loyalty program to the US

Dive Brief:

• As Nike leans back into wholesale, the retailer is broadening the reach of its connected loyalty program. JD Sports will be the first global retailer partner for Nike’s connected loyalty program, with the expansion of their partnership to the U.S., per a company press release.
• JD Sports and Nike first connected their loyalty programs in Europe in September 2022, and brought the dual membership program to the U.S. this month. Nike also connected its membership program to Hibbett in October last year, a retailer which is now owned by JD Sports.
• The joint loyalty program, which requires customers to connect their JD Status and Nike Membership accounts, offers customers access to members-only Nike footwear and apparel, early access to certain Nike member products, exclusive experiences and other benefits through the JD app and website.

Dive Insight:

Nike has been deepening its ties with key wholesale partners in recent years, including by integrating its loyalty program with that of other retailers. Nike first connected its loyalty program to Dick’s Sporting Goods in 2021 and has since expanded that slate of partners.

Outside of loyalty, Nike has been more broadly leaning back into wholesale this year after acknowledging its DTC strategy has introduced challenges to the business. CEO John Donahoe in March said the brand was “not performing at our potential” and vowed to invest in product innovation and wholesale partnerships again.

The expansion of JD Sports’ connected program to the U.S. signals a closer relationship between the two, and also underscores U.K.-based JD Sports’ growth ambitions in North America. JD said in its press release that North America, which it notes is the largest sportswear market in the world, is a “key strategic growth territory” for the company — as further evidenced by its recent acquisition of Hibbett.

“Becoming Nike’s first global Connected Member partner strengthens our long-standing, strategic relationship with the brand,” JD Sports CEO Régis Schultz said in a statement. “We want to redefine how brands and retailers work together to set a global standard for customer experience in our stores and across our digital channels – and this means making sure we find new ways to reward loyalty.”

JD Sports’ own loyalty program has seen success in the U.S., the company said, noting the program now has 5.1 million active members in the country. Loyalty members with the retailer shop twice as frequently as nonloyalty members. 

In the retailer’s most recent annual report, the company said it now has over 1,200 stores in North America. The region saw revenue grow 8.4% in 2023 to 3.4 billion pounds ($4.38 billion as of press time).