At some point, sneakers, which were only about athletic performance, crossed into fashion.
Before his wedding, my brother actually 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 people would wear them in a situation that called for dress shoes.
Obviously, sneakers have crossed over culturally, with certain models now functioning as luxury items, despite their athletic roots. That shift helps explain why the resale market has grown so quickly and why collectors are willing to pay premium prices.
“What started as a niche culture among sneakerheads has now become part of everyday fashion. Sneakers have evolved into investment pieces, with some models seeing huge value increases,” Vinted Senior Brand Expert Jens Kuhlmann told AIM Group for his report, “Running a $30 billion business: How sneaker resale went global.”
Sneakers have also become an investment.
“The unregulated aftermarket or resale market for sneakers and streetwear is increasing at a rapid growth rate, fueled by lean inventory from major sneaker brands (e.g. Nike), consistent drops of new releases, deep sneaker archives to draw from for future releases, an endless runway, a community of like-minded enthusiasts and an on-demand digital marketplace, and 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.
It only filed for Chapter 11 bankruptcy in March after taking on too much debt and unsustainable rents, according to court documents filed with PacerMonitor.
The sneaker reseller noted in its bankruptcy filing that the move is due to “financial distress” driven in large part by “high-interest, short-term debt used to finance store expansions, which 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 including Asics, Nike, Jordan, and New Balance. In her filing she shared that while each store was initially profitable, the debt repayment burden soon began to take its toll.
“Cash flow constraints forced Soleply to divert substantial income 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.”
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The chain quickly closed four of its six locations, choosing to keep its Cherry Hill, New Jersey, and Plymouth Meeting, Pennsylvania locations open.
In its court filings it only stated that its income in 2024 was $8.8 million, down from $10.4 million in 2023.
Sneaker stores struggled as sneaker resale grew.Shutterstock
March 21, 2025, Chapter 11 Bankruptcy Filed: Soleply LLC voluntarily filed for Chapter 11 bankruptcy protection in the United States Bankruptcy Court for the District of New Jersey (Camden) under the case number 25-12919which lists assets and liabilities between $1 million and $10 million, according to BKalerts.
Late in March 2025, the Closing of Evil Begins: After the filing, Soleply began to close many of its physical stores. Of the six locations he operated across the Northeastern United States, 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 Section 341 meeting (the mandatory meeting of creditors where the company answers questions under oath) was scheduled for April 23, 2025as part of the Chapter 11 process, according to BKalerts.
Purpose of reorganization: Under Chapter 11 Subchapter V, Soleply aimed to restructure its obligations and emerge as a leaner business focused on its top-performing stores, according to Money Digest.
A reorganization plan was confirmed on 14 August 2025. That means the bankruptcy judge has approved a plan outlining how Soleply will restructure its debts and continue (or curtail) operations under court supervision, according to PacerMonitor.
Solply LLC is is still in an active Chapter 11 bankruptcy case in the United States 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 beginning on January 9, 2021, amid the challenges of the pandemic, we have experienced a remarkable trajectory, expanding rapidly to seven locations, with our eight locations on the horizon. 2030,” shared the company on its website.
And, while those plans have been detailed, at least for now.
RunRepeat shared some details about the growing sneaker release market.
By the end of 2023, the entire sneaker resale industry will accumulate $11.5 billion in revenue, equivalent to 15.3% of the primary sneaker market.
The used sneakers market will enjoy a compound annual growth rate of 16.4%, reaching $53.2 billion in total sales by the end of 2032.
The United States will continue to be the leading player in global secondary sneaker sales by ending 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 collection. While many consumers buy sneakers to wear, there is a growing segment of buyers who consider them as investment pieces. The scarcity of certain models and the high demand for limited editions create significant opportunities for professional sellers to succeed in these markets,” said Vendora CEO Robin Schuil to the 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 Preferred Source by clicking here.
