Kansas Athletics announced today that they are renewing their partnership with adidas through the 2019 season. The deal extends their current eight year deal an additional six years. The Jayhawks got $26 million from adidas back in 2005 when Lew Perkins was the Athletic Director.
At the time, it was a controversial deal because of their previous partnership (Nike). However, it turned out to be a great deal as they got more money than they would have gotten from Nike and all sports were outfitted with adidas gear, saving the athletic department a lot of money.
The Nike vs. adidas debate is primarily centered around some athletes preferring Nike over any other brand. Some recruits have publicly stated that they chose a school based on the brand of athletic wear. Archie Goodwin is probably the best and most recent example. Goodwin said he didn’t choose Baylor because of adidas. Baylor’s men’s team wears adidas but their women’s team wears Nike.
Kansas’ 2013 decision to renew with adidas comes down to one thing: money.
Rustin Dodd of the KC Star reported that a KU official said, “We were looking for the best deal, and adidas gave us the best deal.”
Deal = $.
That deal? $10 million in cash and $16+ million in product over the next six years. The previous deal was $12 million in cash and $13+ million in product over eight years.
Simply enough: adidas pays more.
Historically, this is very true.
When you think celebrity endorsement, you think of Tiger Woods and Lebron James making a ton of money from endorsements. Well… David Beckham and Derrick Rose make way more from adidas.
Personally, I like Kansas’ deal with adidas. They’re in great financial position for the next six years and they’re able to continually reevaluate their brand value. If Bill Self continues at his current pace, the Jayhawk brand will be worth more in 2019.
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