PARIS, April 11 (Reuters) - Nike ( NKE ) is set to

unveil new kits for the Olympic national teams it sponsors

including the U.S. and Kenya, seeking to bolster its credentials

as a performance gear brand for top athletes as well as everyday

consumers.

After a long stretch of lacklustre sales, this summer's

Olympic Games in Paris offer a fresh chance for Nike ( NKE ), official

outfitter of Team USA, to direct the world's attention to its

so-called performance products like running shoes.

The high-end shoes Nike ( NKE ) will spotlight at the Olympics serve

a relatively limited audience of amateur runners willing to

spend $285 for the latest Nike Alphafly 3 model. That compares

to $250 for rival Adidas' equivalent Adizero Adios Pro 3.

Brands like On Running, Hoka, and Lululemon are taking

market share from Nike ( NKE ), while a trend away from chunky

basketball sneakers and towards low-profile "terrace" shoes like

the Adidas Samba is also hurting the sportswear giant.

Nike ( NKE ) warned three weeks ago that its revenue in the first

half of its 2025 financial year would shrink and said it would

cut back on orders of established shoes such as the Air Force 1

as it tries to focus on new, innovative products.

While Nike ( NKE ), with annual revenue of $51.2 billion in the year

to May 31, 2023, is much bigger than Adidas and Lululemon,

analysts at HSBC expect its annual sales growth to lag those

brands in 2024, 2025 and 2026.

"They haven't had a ton of exciting product innovation

recently," said Tom Nikic, analyst at Wedbush in New York.

Seeing Olympians break records in Nike ( NKE ) gear could push more

shoppers to the brand. "It will remain to be seen whether Nike ( NKE )

has the strong product to capitalise on the attention it will

get," said Nikic.

Nike ( NKE ) executives said late last year they would focus more on

running shoes, an area where Nike ( NKE ) has lagged the competition.

Among other things, Nike ( NKE ) aims to sell more entry-level running

shoes, which tend to run between $100 and $150 a pair.