Protesters on social media are calling for people to burn their Nike sneakers and boycott the sporting goods maker after it chose former San Francisco quarterback Colin Kaepernick to lead its new advertising campaign.
Kaepernick, the first NFL player to kneel during the national anthem as a protest against racism, will be the face of advertisements commemorating its "Just Do It" slogan's 30th anniversary.
Shares in the Beaverton, Oregon-based Nike Inc fell more than 2 percent after Kaepernick posted a black-and-white close-up of himself on Instagram yesterday featuring the Nike logo and "Just do it" slogan, along with the quote: "Believe in something. Even if it means sacrificing everything."
Kaepernick will be one of several faces for the campaign. He has been sponsored by Nike since 2011 but has reportedly negotiated a new deal with the US brand that will include a signature shoe and apparel.
President Donald Trump has been critical of athletes taking a knee during the national anthem and has said he would love to see NFL owners fire football players who disrespect the American flag.
Over 30,000 people were tweeting with the hashtag #NikeBoycott today, making it among the top trending topics on Twitter. Some posted images of themselves burning and ripping their Nike shoes and apparel.
There were a large number of other users who responded positively to Nike taking a stand on social issues.
Athletes including LeBron James, Kevin Durant, Serena Williams and Chris Paul showed support, posting images of Kaepernick's ad on their Instagram profiles.
Nike is just the latest sports brand to face boycott calls, which industry analysts said can alienate some customers, while winning over others, but often blow over quickly.
"Nike is not a stranger for backing sporting personalities who take views and act on them. Politicising sport is likely to result in polarising demographics," said John Guy, an analyst at Mainfirst Bank in London.
"Freedom of speech is one of America's core tenants, so placing this freedom within a sporting context for a brand as big as Nike will always make headlines."
Under Armour faced criticism last year after its chief executive made comments supporting Trump, while Adidas drew calls in May to cut its ties to rapper Kanye West after he described slavery as a choice and praised Trump.
The customers Nike could lose will be more than made up for by attracting new younger consumers who are looking to buy brands that stand behind political topics, said Jessica Ramirez, a retail analyst with Jane Hali & Associates.
Noting the fleeting effect of calls for boycotts of Under Armour and Adidas, she added: "We don't hear much about it today."
Some analysts said the boycott would not have a big impact on Nike, which in June reported a major sales rebound in its North America business and forecast strong growth for 2019.
"The alt-right calls for a Nike boycott will fail just like the boycott of Dick's Sporting Goods failed," said Matt Powell, a senior adviser with market research firm NPD Group. "Old angry white guys are not a core demographic for Nike."
Gun rights supporters called for the boycott of Dick's Sporting Goods earlier this year after the retailer stopped selling assault rifles and high-capacity magazines following a massacre at a Florida high school in February.
Nike, which confirmed on Monday that Kaepernick was part of the campaign and called him "one of the inspirational athletes of his generation", did not immediately respond to requests for comment on Tuesday.
- Reuters