Nike Inc. started clearing up its stats sheet last week and for the first time, the Cheap Nike Shoes From China Free Shipping declined to report “future orders,” a crucial measure of wholesale demand from the galaxy of retailers who sell the famous kicks. Nike, No. 9 in the B2B E-Commerce 300, says the metric doesn’t matter much anymore, because now it’s focused on working directly with consumers and cutting out the middleman.

Nike sells to retailers through a combination of EDI and e-commerce. While Nike reported its slowest quarterly sales growth since 2010, its performance being a retailer-as opposed to a wholesaler-was actually a relative highlight. Sales on Nike’s own online store were up 19% inside the recent quarter, while its retail locations notched a 5% grow in same-store sales. 28% of all sales are direct this coming year, in comparison with 4% five years ago. CEO Mark Parker said the organization is obsessed right now with making shopping more personal. “Retailers who don’t embrace distinction is going to be left behind,” he warned over a conference call Tuesday.

Still, that wasn’t enough to thrill investors-at the very least, not. The overlooked beauty of bricks-and-mortar retail is how well retail chains lend themselves from what economists call price segmentation. Shoemakers like Nike can simply target customers by sending the best shoes off to the right type of store (think: first-class vs. coach, iPhone X vs. iPhone 8, Banana Republic vs. Old Navy). In Nike’s case, it ships expensive, limited edition sneakers to high-end boutiques, routes its stock Jordans to chains like Foot Locker Retail Inc., and dumps its low-end product and off-key colorways such places as DSW Inc.

If done properly, all this socioeconomic slotting moves as much merchandise as possible with minimal fuss, whilst not tarnishing the greater brand. To make no mistake: Nike will it correctly. On its face, the Swoosh is really a design shop supercharged by the kind of storytelling its TV commercials, billboards and magazine ads are famous for. But Nike’s real genius isn’t marketing, it’s merchandising: knowing exactly what to ship where. For each and every sneaker sketching savant in Beaverton, Ore., there’s a mid-level manager with a giant spreadsheet, making certain “Momofuku” Dunks aren’t too easy to find, ordering up an exclusive design for China, distributing its best-sellers to all the correct D.ick’s Sporting Goods Inc. outlets and dumping lots of Chuck Taylors at outlet malls.

Nike has become upsetting its very own well-oiled applecart. In giving traditional retail the stiff arm, which Nike made official in June, the Oregon empire is tearing up that playbook and attempting to make an end run around the essential economics of price segmentation. The strategy-a bold move, due to the historical manufacturer-to-retail model being discarded-requires an abundance of swagger. But Wholesale Nike Shoes numbers demonstrate that the bet appears to be working, primarily because Nike has become sharpening its digital game.

Sought-after sneakers now ship out via Nike’s own ecosystem of apps, including SNKRS, which it launched early a year ago. The center of its lineup, meanwhile, sells on Nike.com and in their own big box stores. With regards to cheaper, less-popular kicks, they quietly trickle to the company’s “factory” stores (read: outlet) and onto Amazon.com. Nike even includes a studio in New York which makes customized shoes on-site within an hour.

In a nutshell, the company is deemphasizing its ready-made network of retailers to create a much more precise targeting mechanism. Tuesday Parker said the final goal is to get ahead of the consumer and provide “the most personal, digitally connected experiences” in the industry. “While switching your approach is rarely easy, Nike has proven before that when perform, it’s always kpelqt another phase of growth for your company,” he explained.

Theoretically, Nike can know virtually any customer better-and his or her willingness to pay for-by utilizing their own venues and platforms, particularly on its digital properties. The task is going to be building the mechanism to sort each of the data, and in doing so, the shoppers. In real life, they sort themselves: The top-end boutique isn’t right next to the cut-rate discount outlet. Within the virtual world, it’s not too easy.

For your record, Under Armour Inc. is slightly before Nike Inc., with 31% of the sales coming directly from consumers; Cheap Jordans From China is slightly behind, with 23% of revenue from retail. At its current pace, Nike will quickly be collecting one in three of their sales dollars right from consumers. Its challenge will be ensuring that none get too good a deal.