NBA jersey deal ‘radical for American sports’

April 19, 2016

The NBA will begin putting sponsorship logos on player uniforms in 2017-18, a move that could generate at least $100 million annually and a step that the NFL, Major League Baseball and NHL have yet to take.

The three-year trial was approved Friday by NBA owners and will take effect when the league’s contract with Nike begins. 

Sports marketing expert Nigel Currie writing in our ‘Community” page believes this could see a domino effect in the US.

He said: “This is a radical change for the major sports in the US but it signifies an ever increasing desire for major franchises to become more financially independent.”  

“The ability to negotiate individual agreements is very attractive as it gives the franchises the chance to break away from the uniformity of the current structure which depends primarily on the dividing up of TV and other media rights fees among the teams.”

“It is another sign that the power and worth of the overall rights held by major sports clubs and franchises worldwide have been greatly undervalued and under exploited.”  

“Of course there will be potential clashes between broadcast and media sponsors as well as clashes with agreements held by individual players, but many other major sports leagues around the world have addressed this problem and found workable solutions.”

Earlier in the week NBA commissioner Adam Silver explained why they had come to the decision. 

He said: “Jersey sponsorships provide deeper engagement with partners looking to build a unique association with our teams and the additional investment will help grow the game in exciting new ways,”

“We’re always thinking about innovative ways the NBA can remain competitive in a global marketplace, and we are excited to see the results of this three-year trial.”

To join the conversation on NBA sponsorship click HERE (must be an iSportconnect member).

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