How Much Does It Really Cost To Make An Air Jordan 1 Retro Sneaker?

November 25, 2013 | 17

Air-Jordan-1-Retro-Profit-CostsRead more to find out the cost of making an AJ1.

We all know that Nike reigns supreme in the footwear industry. With so many shoes sold, how much profit do you think Nike makes?

Let’s just break it down with the Air Jordan 1 shall we? It’s said that the total cost to make an Air Jordan 1 sneaker is $16.25!!

It costs $10.75 for materials, $2.43 for labor, overhead is $2.10, and factory profit is at $0.97. Today’s retail price for the Air Jordan 1 is around $125-$140, so that leaves a profit margin around $108.75 to $123.75!

After looking at these numbers, does it change your perspective on buying expensive sneakers? Feel free to leave your thoughts in the comment section below.

via hk-kicks

 

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Comments (17)

  1. sneakerguy69

    it doesn’t matter because people keep buying these shoes at these ridic prices so who can blame them

  2. Nikeinda(well, u know)

    Not news to me and actually I think those ‘cost’ numbers are inflated lol Same can be said for most other retail products though…we buy breakfast cereal at a 300% retail markup.

  3. chubby

    Things I learned once I started designing for a major shoe company… Might have bought Jordans at retail twice in the last two years. It really makes you consider what you putting money towards.

  4. Mike Wizzkowski

    Ain’t nothing new. I would hope people always had an idea of actual costs for sneakers. Your paying for a name/brand with any product. Although from the outside looking in we all look like fools lol.

  5. 23edge

    doesn’t matter to me because I steal my sneakers…

  6. Executive aka Kic Flair

    And people pay thousands for some kicks, lol. Nothing better than retail cause when you start talking 3,4,5,8, $900 for sneakers you ain’t even speaking English anymore. Dudes think they doing major things just cause they spend that kind of money on kicks.

  7. omar najeeb

    Of course we all knew it barely costs anything to make jordans. Not a surprise. I mean…frankly, a business shouldn’t spend anywhere near what they hope to make back. No biggie. Suks for the laborers tho. Def’ly that!

  8. jOHN

    They Retail for $125-$140 however that not Nikes profit. Footlocker and stores are buying them for anywhere from $65-$80.(manufacturer price) its the stores that are doubling and tripling there profit.

  9. Executive aka Kic Flair

    Where are all those clowns who always talk about there’s so much value in sneakers?

  10. Not news to me, I still love em tho. IMO as long as you have your priorities on order, do what you want with your money! Everything you buy is a markup (almost). Now those people who spend $120-$250 on shoes on the regular and don’t have they finances together, or rent apartments, or have more bills to pay than $ in their saving accounts; those people need to stop! Again……IMO

  11. im wearing flip flops from now on

  12. FRED PARKER (@FREDP_82)

    the same go for ipads the cost 18.00 to 30 and look how much we pay for them? and Yeah I been know about how much shoes cost over there in china taiwan and indoneisa etc i have factory names emails and address but have no serious cash to get over there and do business find me on facebook i got more info for you. fredparker3760

  13. Jahwan

    Wow that is Crazy!!!!!!!!!!!

  14. Nicolas Brody

    It doesnt matter how much anything costs, because at the end of the day its just dudes trying to impress other dudes on the internet. #winning

  15. Nicolas Brody

    It doesnt matter how much anything costs, because at the end of the day its just dudes trying to impress other dudes on the internet. #winning

  16. Great Info, I didn’t think the margins were that big on the jordan 1. I agree that many people keep buying them, and raising the prices to higher levels. This weekend Foamposites were just released for $250 dollars, that price is insane.

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