Earlier this summer, Nike (NYSE:NKE) released a new Converse shoe called the Converse Auckland Modern, a hybrid running shoe with soles similar to many Nike running shoes. This is a major change from the brand's classic Chuck Taylors and shows how Nike is continuing its path to reinventing and growing the Converse brand. Here's a look at how Nike's investment in Converse has already paid off massively, and still has plenty of room to run.
Nike's Converse investment pays off
In 2003, Converse shoe brand's 95th anniversary, Nike bought the company for $305 million. At the time, Converse had annual sales of just over $200 million. Fast forward 13 years to Nike's fiscal year 2016 -- Converse sales have ballooned to nearly $2 billion, or about 19% growth per year on average.