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Is Nike+ app a viable solution to growing wearables market?

| May 04, 2016 11:23 PM EDT

Various interfaces of a Nike+ app.

Nike+ is going to be the next step for the multinational shoemaker, overshadowing company's wearable preference. Billed as one-stop Nike plus shop, the new smartphone app will be launched in June 2016.

Nike is developing a new smartphone app to serve as a one-stop shop for android and iPhone users. As indicated by the name, the app will feature activities from other Nike plus apps like Nike+ Run Club, Nike+ Training Club, and the Nike+ SNKRS, Fool reported.

The sportswear and wearables company is enjoying booming sales on its website, but analysts point out that Nike has been investing more in the mobile apps than the salable goods. Wearable market is expected to double its demand in next three years, so it is difficult to understand why Nike is ignoring wearables.

The news site hints that perhaps Nike+ will be used as a channel to attract new customers and provide more valuable services to the previous ones through in-app purchases. Users will be able to get the latest feeds about new sportswear, shoes, accessories, apparels and other wearables and order them on the spot.

Just like other apps, Nike+ will be at the advantage of collecting users data about their choice, thus creating better recommendations for the incoming audience. Furthermore, as a user will search more Nike products, the app would be able to map out his preferences and show personalized selections.

The website further reported that CEO Mark Peter said that the Nike+ app is expected to boost the sales by connecting to the customers on a deeper level. During brand's conference call back in March, he said that Nike plus app will bring customers a more personalized, easy to access experience while accelerating the business end-to-end.

"It's the key to building deep and rich relationships with the athlete in this new era of personalized performance," Fool quoted Peter as saying. Wearable market observed exponential growth in last few years and Nike's new strategy is supposed to cope with the increasing demand of wearables.

When Nike+ was first revealed back in March, analysts thought it was just Nike's strategy to get customer's information, Mac Rumors reported. However, the company poses the new smartphone app as a personalized shopping experience.

The following video explains another Nike app which will soon be associated with Nike+.

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