Doing Business With NIKE, Inc. We believe diversity and inclusion drives innovation. And if done effectively, managing diversity and working together can lead to a competitive advantage. Nike requires a broad base of suppliers that actively and significantly support our business requirements, and positively reflect the world in which we live and work. Nike’s Global Procurement team manages the procurement process, including selecting and contracting with the right suppliers for the right goods and services. Through our strategic sourcing initiatives, we have also begun to reduce Nike's footprint and lessen our impact. We’re committed to increasing the purchase of sustainable products. Read more about Nike's commitment to sustainability. SUPPLIER MANAGEMENT AND INVOICING Nike uses two primary invoice processing methods to pay suppliers for indirect (non-product) goods and services. Nike has partnered with Tradeshift, a web-based business network for supplier management and eInvoicing.

For those not yet transitioned to or ineligible for Tradeshift eInvoicing, Nike uses standard mail and email to receive invoices. Invoices over $5,000 USD must be submitted with the 10-digit Purchase Order number provided by your Nike contact. Invoices under $5,000 USD must be submitted with the first and last name of the Nike contact or the 10-digit Purchase Order number provided by your Nike contact. Not fulfilling these minimum requirements could result in a rejected invoice and delayed payment. Maintaining good supplier relationships and paying your invoice in a timely manner is important to us. Certain requirements must be fulfilled for invoices to be paid: EINVOICING: TRADESHIFT REGISTRATION AND INVOICING Ask your Nike contact to send an invite via email to register as a new supplier on Tradeshift. In Tradeshift you will have to fill out a supplier application. Upon approval of your application, vendors will invoice Nike through Tradeshift and have visibility to transaction status.

Account management activities (i.e. address change) should be sent to NA. Changes to banking information details are made using the Banking Information Change Form. For eInvoicing suppliers paper or email invoices will no longer be accepted. Suppliers servicing WHQ and the U.S.  deemed ineligible for eInvoicing through Tradeshift should send invoices to either of the following locations: Nike NA Supplier Invoices El Paso, TX  79998-2166 Suppliers should get in touch with their Nike contact and request a New Supplier Invitation through Tradeshift. New International/Canada Supplier Set-Up The Nike P2P Service Center can be contacted by email or phone at: Our greatest responsibility as a global company is to play a role in bringing about positive, systemic change for workers within our supply chain and in the industry. See Nike's Code of Conduct. SPORTS MARKETING FORMS FOR ATHLETES U.S. SM Set-Up/W9  (SM USE ONLY) SM International Set-Up/W8   (SM USE ONLY)

Sports Marketing Address Change  (SM USE ONLY) Sport Marketing Banking Updates (SM USE ONLY)Come on, how much does it really cost to make a sneaker? Nike must be making big bucks on those flashy sneakers. Why does it cost $100.00 to buy a shoe? What’s the actual cost of a sneaker?nike training shoes sale Here is how shoe pricing really works.buy gucci shoes uk Starting with a basic sneaker: US retail price $70.00.new nike shoes basketball 2013 The retail store buys the shoe from the shoe brand in bulk at the wholesale price, which is about $35. womens nike shoes purple and black

If this is a big retailer they may get a 3-5% discount or free freight.The retail store takes 50% of the price right away.
  But, they have to pay the employees, keep the lights on, advertise and pay the rent. The store may also have to put the last few pairs on sale. If the shoe is a slow seller, many of them may go on sale. adidas sports shoes price listWhen you see a “40% off sale” that means the store is not making any money, in fact after covering the overhead, it is a loss for the store.nike leather shoes 2014 Okay, what share does a shoe brand like Nike get?  Remember, the shoe brand does not actually own the shoe factory. Of all the major sneaker brands only New Balance has their own shoe factory.  So what did the brand pay for that $70.00 shoe? The real cost  to make a $70.00 shoe is about $15.00.

Once the brand buys the shoe from the factory, the shoe needs to be shipped. Most shoes are shipped by ocean freight. Ocean freight from China to the USA is about $.50 per pair. A 40 foot shipping container, the size of a semi truck trailer, holds about 5000 pairs of shoes. 5000 X $.50 = $2500.00 That price will get a shipping container from China to California. Once the shoe arrives in the USA it must be legally imported. In the case of a leather sneaker, the US government requires an import duty of 8.5% of the F.O.B. price. So, add $1.32 to the cost. Also add another $.32 for customs and insurance. Now the shoe is in the warehouse: 
 $15.00 + $.50 + $1.32 + .32 = $17.10 Next, it’s time to sell it to the stores: $35.00 wholesale price – $17.10 = profit of $17.90 Actually, the price is less than $17.10. The salesman gets a commission based on the wholesale price, usually about 7%. That’s about $2.45 on a $35.00 dollar shoe. Now the profit is down to only $15.45 per pair.

But wait, what if this is a big retailer that negotiated a 5% discount? Take off another $1.75 to make the total profit about $13.70. Of course, from that $13.70 the shoe brand has to pay the designers, product managers, developers, sales managers, marketing managers, advertisers, athletes etc… So, what makes a shoe cost $15.00?
 You need to know the anatomy of the shoe. Here is a rough break down of the cost to make a sneaker. Shoe Upper 34%: All the upper parts, hardware and foam, logo printings, tongue, laces etc… Leather 16%: The leather outer of the shoe LOP 27%: Labor, Overhead and Profit Outsole 14%: The shoe bottom unit Packing 6%: Shoe box, case box and hang tags Mold Amortization 3%: If there is new tooling it can be paid per pair instead of buying the new molds all at once. Once the shoe design is confirmed, the factory will take the spec. sheets and detail the cost of each line item. This is the costing sheet. The costing sheet will include every part of the shoe, including the packing box, stuffing paper, the silica gel pack, hang tags etc.

Everything in the shoe box must be listed. Each item will be listed with the cost per unit and the usage to make that part. The waste percentage will also be added. The waste percentage, or cutting loss, is the amount of scrap material left over once the parts are cut.You have to pay for the scrap that is thrown away. For mesh fabric the loss is very small, less than 5%. But in the case of fine leather for an expensive shoe, the factory can’t use any leather with cuts or scars from the animal. The cutting loss can be up to 20%! After listing the usage and waste percentage you will finally see the total cost per part. With each part listed, the costing technicians can check the material price for each part and measure the material usage. This is time-consuming work but if the production run is 500,000 pairs, pennies can add up fast.  A diligent costing technician can save many thousands of dollars more than their entire salary. The shoe parts are listed on the left with a brief note of the material spec.

To the right side is the factory costing calculations per pair. In this case, the first component is the toe cap. It’s made of suede at a price of $1.25 per square foot. The shoe requires .950 sq. foot to make the pair. When the leather is cut, 10% is lost to waste. The total for the pair of suede toe caps is $.8177 The costing sheet is a critical tool for the shoe developer and designer if they are designing a shoe to meet a price. Do you want to learn how big brands make shoes?  will show you how modern shoes come to life! More than just a tour through a sneaker factory and more than your average shoe making book!  From drawing shoe designs to sample development and footwear manufacturing, you will learn how it is all done. Written by veteran shoemaking pros,  will give you a look inside the REAL world of shoe design, development, and mass production. 220 pages with over 400 color photos and drawings. 26 chapters explaining shoe design, footwear making, sample development, footwear materials selection, upper stitching, outsole and tooling design, shoe lasts, shoe costing, quality inspections, starting you own shoe brand, and much more!  

A must read for young shoe designers, sneaker heads, or any footwear fanatic! The Design Process, Shoe Development, Shoe Patterns, Shoe Specifications, Outsole Tooling, Development Process, Pre-Production, Material Preparation, Stitching Operations, Rubber Pressing,  Forming, The Assembly Line, The Shoe Last, Footwear Costing, Importing Shoes, Shoe Logo Design, Leather for Shoes, Textiles for Shoes ,Synthetics for Shoes,  Foam for Shoes, Know Your Footbeds, Material Suppliers, Shoe Designers Tools, Jobs in the Shoe Trade ,Quality Control, Starting a Shoe Company, Life at a Shoe Factory, Shoe Making Dictionary How to make a shoe pattern Start Your Own Shoe Company E-Book edition 170 pages. PC and Mac compatible PDF file. How Shoes are Made Download E-Book edition 220 pages. Sneaker Factory Double Download Now enjoy the double download of two Sneaker Factory books. Print Edition, 220 pages with over 400 color photos and drawings.

How Shoes are Made Softcover Print Edition, 250 Pages with over 400 color photos and drawings. Shoe Company Start-Up Pro-Pack A must have for anyone serious about launching a new footwear company! Shoe Start-Up Pack DownloadProfit margin and Size run calculators. Shoe Designers Pack Download Download Edition + Paper Pattern + Blue Prints and Spec sheets Shoe Company Start-Up Download Start-up Pack is all you need to get your own shoe business started. Shoe Designers Pro-Pack + Book Print Edition + Paper Pattern + Blue Prints and Spec sheets Shoe Specification Pack Download A complete technical specification, drawings, blueprint, pattern and spec. Shoe Pattern & Outsole Blue Print Computer cut shoe pattern for a classic jogger.  Factory Blue Print included. Graded Pattern 7 to 13 Download Entire pattern size run for the Arris classic trainer, Men’s US 7-13 (Euro 39-47) Shoe Last Measuring Step