A Sneaker Sellout

A+Sneaker+Sellout

Justin Pierce

Gabriela Carvajal, Social Media Assistant

  As conditions start to peak in this coronavirus pandemic normalcy is still a question. Before this virus spiraled out of proportion, the future was looking bright for the sneaker culture as prices were soaring astronomically. But, given these new circumstances prices have dropped significantly. 

  With the focus shifting to the virus and its impact around the world, the sneaker world has been left high and dry when it comes to receiving any thought during times like these. Due to this new reality sneaker prices have declined drastically. For example, the Jordan 5 Retro Off-White Black has had a roller-coaster ride in price. On February 20 they were valued at $780, had a MAX price of $830 (during this time period), but took a heavy dip in price March 21 for a value of $664. (StockX) That equates to a depreciation of $160 in a course of one month! But, that is not the only sneaker that has experienced similar decline in value. The highly anticipated Jordan 1 Retro High Court Purple White was first valued to be $450 on March 8, then around April 3 it valued $281; now it is valued to be $232, equating to a depreciation of $218. (StockX) In fact, there is more than $100 drop off for most sneakers, including old models and non-popular colorways. Unfortunate as that may seem this has become the new reality for many resellers and for those who are making bank at a time like this they are ‘panic selling’.  But, for Gabriel Diaz he is looking at this differently as he is a sneaker reseller himself: “because of COVID the shoes I have in stock that have suffered price drops I’m holding because eventually when all this is over the prices will [eventually] go back up again.” For this reason maybe it would be best for resellers to hold their stock as it may work better to their favor and may earn a little bit more in profit compared to what you can get now. 

  But, the situation extends not only from resellers but to the bigger brands. “Nike reportedly lost $17 billion in market valuation as China is the most profitable and fastest growing area for Nike.” (Forbes) Even Adidas and Puma are experiencing similar situations as Adidas lost $1 billion in Chinese sales. What doesn’t help their cause is the fact that many retailers had to stop their foot-traffic all together to keep their customers and staff safe. Instead what many are doing now is transferring their marketing strategies towards social media in order to promote traffic online. Even sneaker reveals are being shifted virtually, just as a Kentucky based reseller Oneness had to do. They used the Frenzy App to allow their customers to cop the release of the Nike Dunk Low “Kentucky.” 

  Even in the broad-band of the sneaker world things have been looking grim as “in the week March 21, athletic footwear sales were down by 65% compared to the same week last year.” (NPD) Thinking that as more people are running outdoors one would expect to see an increase in sales, sadly this isn’t the case. What’s even worse is the fact that certain Jordan releases were left to be postponed, naming the Air Jordan 1 x Dior, the Cactus Jack Air Max 270, etc. 

  Hopefully as things start to lighten up the sneaker market would be able to pick up from where it left off, being one of the most highly anticipated markets in the retail industry.