Interesting story. Without really understanding the full scope of what went on, it sounds like Nike went all out digital, kind of like Amazon. The only problem with this is that most consumers probably don't want to go digital only.

Nike's store in New York City (I'm no sure if it's still open) was (or is) a HUGE draw for tourists and locals alike. It pushed the brand out like no other. Customers may not have bought something right there and then, but they surely remembered that experience and bought Nike products after that.

Nike's generification of their brand cannot last long. Customers move on pretty quickly because they want to buy the story, not only the product.