Are Sneakerheads Falling Out of Love With Air Jordans?

Losing Air

Since its launch in 1985, Nike’s (NKE) Jordan brand has been one of the most successful sneaker brands on the market. But after nearly four decades, the iconic Jumpman might finally be losing some air.

Not all sneakers are created equal, and while some of them are just shoes, others aren’t far off investments. The resale market for sneakers, especially limited editions, is real. But there is change in the air.

Resale Values

Air Jordans are not fetching the same resale value as they have in years’ past, according to market data. At the same time, demand for newer sneaker brands like On (ONON) and Deckers-owned HOKA (DECK) is climbing.

Historically, Jordans have been highly coveted by collectors, with certain editions routinely fetching resale values in the tens of thousands.

However, the average premium for Nike’s most iconic shoe — the Air Jordan 1 Retro Highs — is just 4% this year, data from the resale platform StockX. In 2020, the same pair of shoes was selling at a premium of 61%. Less popular Jordans are even selling at a discount.

Jordan & Nike

Jordan is one of Nike’s most well-known lines. Back in June, CEO John Donahoe reported that the Jordan brand grew 30% in fiscal 2023 and was on its way to becoming the second-largest footwear brand in North America. Within wholesale, Jordan accounted for roughly 16% of Nike’s revenues in the company’s 2023 fiscal year, a near 30% jump from last year.

These numbers suggest Jumpman is still going strong even if sneakerheads are starting to diversify.

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