At some point, sneakers, which used to be all about athletic performance, became fashionable.
Before his wedding, my brother even told me that he had to tell his friends that they couldn’t wear Jordans with their Hugo Boss tuxedos. Being a bit older than the rest of the wedding party, it never occurred to me that sneakers had become so fashionable that some would wear them to an occasion that called for dress shoes.
Clearly, sneakers have crossed over culturally, with certain styles now functioning as luxury items despite their athletic roots. This shift helps explain why the resale market has grown so rapidly and why collectors are willing to pay premium prices.
“What started as a niche culture among sneakers has now become part of everyday fashion. Sneakers have turned into investment pieces, with some models seeing huge increases in value,” said Jens Kuhlmann, senior brand expert at Vinted, for his report for AIM Group, “The $30 billion business gone wrong: how shoe resale went global.”
Sneakers have also become an investment.
“The unregulated aftermarket or resale market for sneakers and streetwear is expanding at a rapid growth rate, fueled by lean inventory from major sneaker brands (e.g. Nike), consistent new release drops, deep sneaker archives to tap into for future releases, an endless aisle, a community of like-minded enthusiasts, offering digital marketplaces and ease of use.” Cowen’s sneakers as an alternative asset class.
This created a market and launched a number of retailers specializing in the sale and resale of sneakers. One of those chains, Soleply, filed for Chapter 11 bankruptcy earlier this year and has since closed four of its six stores.
In March, it filed for Chapter 11 bankruptcy after taking on too much debt and unsustainable leases, according to court documents filed with PacerMonitor.
The sneaker retailer noted in its bankruptcy filing that the move is due to “financial difficulty,” largely driven by “short-term, high-interest debt used to finance store expansions that created a cycle of inventory shortages and cash flow instability that ultimately proved unsustainable,” WWD.com reported.
The retail chain sells streetwear and sneakers from brands such as Asics, Nike, Jordan and New Balance. She shared in her filing that while each store was initially profitable, the debt repayment burden soon began to take its toll.
“Cash flow constraints forced Soleply to redirect substantial revenue toward loan payments, leaving insufficient capital to maintain adequate inventory levels,” the filing said. “As a result, some stores struggled to maintain the same level of sales and the company faced increasing financial challenges.”
More retail:
The chain quickly closed four of its six locations, choosing to keep its Cherry Hill, New Jersey and Plymouth Meeting, Pennsylvania locations open.
Solply said in its court filings that its revenue in 2024 was $8.8 million, down from $10.4 million in 2023.
Sneaker stores struggled as sneaker resales soared.Shutterstock
March 21, 2025 Chapter 11 Bankruptcy Filed: Soleply LLC voluntarily submitted Chapter 11 bankruptcy protection in US Bankruptcy Court for the District of New Jersey (Camden) under the case number 25-12919listing assets and liabilities between $1 million and $10 million, according to BKalerts.
At the end of March 2025, store closures begin: Following the filing, Soleply began closing most of its brick-and-mortar stores. Of the six locations it operated in the northeastern US, four were closed as part of efforts to cut costs and consolidate operations, Money Digest reported.
April 23, 2025, 341 Meeting of Creditors held:A Article 341 meeting (mandatory meeting of creditors at which the company answers questions under oath) has been scheduled April 23, 2025as part of the Chapter 11 process, according to BKalerts.
The purpose of the reorganization: Under Chapter 11 Subchapter V, Soleply has proposed to restructure its obligations and become a leaner business focused on its best-performing stores, according to Money Digest.
A reorganization plan it was confirmed on August 14, 2025. That means the bankruptcy judge has approved a plan outlining how Soleply will restructure its debt and continue (or cease) operations under court supervision, according to PacerMonitor.
Soleply LLC is still in an active Chapter 11 bankruptcy case in US Bankruptcy Court for the District of New Jersey (Case No. 1:25-bk-12919), Inforuptcy reported.
While Soleply is fighting for survival, the company once had very big plans.
“Since our inception on January 9, 2021, amid the challenges of the pandemic, we have experienced a remarkable trajectory, rapidly expanding to seven locations, with an eighth location on the horizon. This impressive growth is undoubtedly attributed to our unwavering commitment to mastering the fundamentals and using hard data for real-time location. 2030,” the company said on its website.
And while those plans have been detailed, at least for now.
RunRepeat shared some details about the growing shoe launch market.
By the end of 2023, the entire sneaker resale industry will accumulate $11.5 billion in revenue, equivalent to 15.3% of the mainstream sneaker market.
The used sneaker market will enjoy a CAGR of 16.4%, reaching $53.2 billion in total sales by 2032.
The United States will continue to be the major player in the global sales of athletic shoes by the end of 2023, with a total revenue of $2 billion.
Air Jordan and Nike dominate the sneaker resale market with a combined market share of 71.3% in 2020.
“Sneakers occupy a unique space between fashion and collectibles. While many consumers buy sneakers to wear, there is a growing segment of buyers who view them as investment pieces. The scarcity of certain models and the high demand for limited editions create significant opportunities for professional sellers to thrive in these markets,” Vendora CEO Robin Schuil told AIM Group.
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This story was originally published by TheStreet on December 28, 2025, where it first appeared in the Retail section. Add TheStreet as a favorite source by clicking here.
