Nike is giving up on golf gear to sell more shoes and clothes

The announcement leaves deals with high-profile players like Rory McIlroy in limbo.

By Associated Foreign Press

NIKE IS GETTING out of the golf-equipment business, a surprising announcement that will send Rory McIlroy, Tiger Woods and other high-profile players on the hunt for alternative clubs and balls next season.

The apparel giant said it would stop making clubs, golf balls and golf bags, instead devoting its resources to shoes and apparel, long its strength in the golf marketplace.

“We’re committed to being the undisputed leader in golf footwear and apparel,” said Trevor Edwards, president of Nike Brand.

“We will achieve this by investing in performance innovation for athletes and delivering sustainable profitable growth for Nike Golf.”

The Oregon-based company signed Rory McIlroy in a splashy announcement in Abu Dhabi to start the 2013 season, while Woods has been with Nike since he turned pro in 1996.

While the former world number one has gone more than a year without playing because of back surgeries, his agent said he would remain “the iconic ambassador” for Nike Golf, just with a smaller group of products.

“He’s been the most loyal ambassador and longest standing for Nike Golf. That doesn’t change,” Mark Steinberg said.

“It just means he’ll likely have some different equipment in the bag, whether that’s tomorrow, next month or a year from now. Tiger and I have been talking about this the last couple of days. We have a very sophisticated, legitimate plan in place and we’re going to see it through.”

Golf - The Open Championship 2010 - Round Two - St Andrews Old Course
Source: Stephen Pond/EMPICS Sport

‘Inferior’ clubs

Woods began promoting the shoes and apparel when he turned pro, and he made a switch to the Nike golf ball – which Bridgestone manufactured – in 2000 in Germany, winning the US Open by 15 shots a month later.

He changed to the Nike irons at the American Express Championship in Ireland in 2002, one week before the Ryder Cup, and then gradually added the fairway metal, the driver and, finally, the putter in 2010.

During those changes, Phil Mickelson caused a stir when he said in a Golf Magazine interview that Woods had “inferior” clubs and then tried to pay Woods a compliment by saying he was the only player good enough to “overcome the equipment he’s stuck with.”

Through it all, Nike never took command of any aspect of the golf market, succeeding mainly in shoes and clothing.

Nike
Source: AP Photo/Chris O'Meara

Daric Ashford, president of Nike Golf, said in the brief announcement that Woods, McIlroy and Korean-American golfer Michelle Wie ”drive tremendous energy for the game and inspire consumers worldwide,” and then he went on to mention various apparel and footwear that have “connected strongly with golfers”.

“We’ll continue to ignite excitement with our athletes and deliver the best of Nike for the game,” he said.

Nike did not say how the move would affect its golf equipment staff, either the representatives on tour or at its factory in Fort Worth, Texas, where the clubs were made.

Steinberg said the news was too fresh to get an idea how this would affect golfers when it comes to their contracts.

“We have a long-term contract with Nike, and that likely will not change,” Steinberg said. “I’m sure we’ll have a conversation into what exactly the future looks like with less product.”