After the start of the 2017-18 NBA season, advertisements on official jerseys will quickly become the new normal. Although the new rule allowing a 2½-inch by 2½-inch sponsorship patch on jerseys does not kick in for another season, teams are already posturing for potential sponsorship deals.
The Philadelphia 76ers set the market price for these patches at $5 million when they partnered with StubHub back in May. So far, they are the only team to reach such an agreement, but the rest of the league is not far behind, according to a report from ESPN. The Golden State Warriors are actively exploring the sponsorship market as well.
However, if a company wants its logo on the jerseys of the NBA’s premier team, then they will need to pony up some serious cash to do so. The Warriors are seeking a deal worth in the range of $15 to $20 million, or somewhere between three and four times as much money as the 76ers got.
Golden State is obviously hoping the power of its own brand will be enough to warrant such a drastic increase in price, and they have a solid case. Philadelphia has been the laughingstock of the league for the last three seasons, and companies are likely to pay a premium on hitching their brand to a that of a winner’s. Companies are undoubtedly sensitive to the risk of their brand being tied into the concept of continual futility. Getting on board with a prestigious franchise could likewise elevate the perception of the sponsor.
There is also the exposure factor as well. Good teams tend to play more national-televised games, thus increasing the amount of eyeballs that will see the patches. The Warriors already played in a league-high 25 of these games last regular season, and now that Kevin Durant is on board, the number only figures to increase.
While the NBA will not sell jerseys with logo patches at retail, teams will still be allowed to sell jerseys with patches at their team stores should they choose. Fans are much more likely to buy the jerseys and gear of a winner, so the Warriors’ advantage only grows.
There’s no word on who exactly is interested in sponsoring the Warriors, but they better have deep pockets.
[ESPN]