The footwear giant says it’s making a lot of progress on mobile. Nike now offers a single sign-on to its three main apps and continuously refreshes them with new features.

Nike Inc. remains on course to achieving its goal of becoming a $7 billion online retailer by 2020, as the footwear brand reported web sales increased 49% year-over-year during its fiscal first quarter of 2017, which ended August 31.

The merchant did not break out e-commerce sales in dollars but says the 49% jump contributed to big gains in its direct-to-consumer business—a 22% increase over the same period last year—which includes and the company’s branded physical stores.

“One of our greatest competitive advantages is our ability to connect physical and digital shopping experiences for our consumers,” CEO Mike Parker told analysts on a conference call Tuesday transcribed by SeekingAlpha. “In more places than ever, Nike consumers can now shop in-store and through mobile at the same time in a single transaction. And it’s clear our investments are paying off.”

In August, Nike relaunched its much-touted Nike+ mobile app with new features like personalized product recommendations, 30-day product trials, chatting with Nike employees and access to Nike events, such as Nike Group workouts. Additionally during the quarter, Nike rolled out a single sign-on capability onto its other running, sneakers and trainings apps so that users can log in with their Nike+ loyalty program credentials on all three at the same time using a single login.

The relaunch and regular tweaks to Nike’s mobile apps are part of an ambitious plan announced in 2015 in which Nike said it wants to grow its e-commerce business to $7 billion by 2020.


The company reported a 51% year-over-year gain in online sales in its latest fiscal year ended May 31, which suggests that Nike did roughly $1.51 billion in online sales last year—4.7% of its total sales, up from 3.3% in the prior year.

For Nike to meet that $7 billion goal, it would have to grow, on average, 46.7% per year for the next four years. So the 49% growth in Q1 is good sign for Nike, though keeping up those rates will only get harder as the company grows.

For the first quarter of Nike’s fiscal 2017, Nike, No. 47 in the Internet Retailer 2016 Top 500 Guide, also reported:

  • Total sales of $9.06 billion, up 7.7% compared with $8.41 billion in the first fiscal quarter of last year.
  • Net income of $1.25 billion, up 5.9% from $1.18 billion.