Nike is near a deal to replace Adidas as the uniform provider for the
NBA, according to a report in The SportsBusiness Journal. In early
March, Adidas said it would not extend its deal as the official apparel
sponsor of the NBA after the 2016-17 season, when it's 10-year contract expires…
SportsBusiness
Journal quoted sources saying the “framework” for the deal with Nike is
done and an “agreement in principle” is in place. One source also said Nike and Jordan logos could appear on NBA jerseys for the first time as part of the deal.
Currently, Adidas's logo is only on NBA warmups.
Both Nike and Under Armour have reportedly expressed interest in becoming the next official apparel sponsor.
At
the time Adidas indicated it was not renewing its contract, a source
told the Portland Business Journal that the NBA is concerned about
Adidas losing ground in the global athletic and apparel industry and
leadership instability amid investors calls for the exit of Adidas CEO
Herbert Hainer. For Adidas’ part, Chris Grancio, Adidas' global
basketball general manager, told the Portland Business Journal at the
time that the sponsorship hasn't been as lucrative as hoped.
“We
haven't been able to elevate our brand for the basketball consumer that
we're targeting,” Grancio said. “We ultimately decided that we would
change our investment strategy and invest more in players on the court.”
Some
questioned whether Nike needed the contract since it already has
contracts with the wide majority of NBA players, including stars such as
Kobe Bryant, LeBron James, Kevin Durant, Carmelo Anthony, Russell
Westbrook and Kyrie Irving. Nike reportedly controls more than 90
percent of the U.S. basketball market with Nike and Jordan Brand with
over 75 percent of NBA players wearing either Nike or Jordan shoes.
