Nike acquire AI predictive analytics firm

09 Aug 2019

By: Sport Industry Group

Nike has purchased Boston start-up Celect in a bid to help the sportswear brand predict products that consumers will want ahead of time.

An AI and predictive analytics firm, Celect was founded by former MIT professors and will use retail data to give insights into how the brand should best optimise its inventory on a hyperlocal basis by predicting the demand for a certain product in specific locations.

Celect will be integrated into the brand’s global operations team and will aim to help Nike to maximise the products it can sell at full price, cutting the number of markdowns and discounts it has to offer on products coming to the end of the cycle.

Both Nike and adidas have been looking at ways to engage with their customers in a more personalised way and at hyperlocal level and this appears to be a move to help Nike understand its customers in an even more granular level, ultimately boosting direct to consumer sales.