NBA teams' revenue soaring to $293.83 million via jersey patch partnerships / News - Basketnews.com
NBA franchises are cashing in an ever-increasing amount of money every season. Apart from the lucrative TV rights deal, patch partnerships have managed to raise teams' earnings by up to $30 million.
Credit: Noah Graham/NBAE via Getty Images Credit Noah Graham/NBAE via Getty ImagesOver the past decade, the NBA has managed to make multi-billion deals that have guaranteed both the league's and the clubs' prosperity.
The media rights agreement worth $2.67 billion was a good start, but teams are set to make much more money in the current season. According to GlobalData, a leading data and analytics company, franchises could generate $293.83 million during the 2023-24 season, with the LA Lakers and LeBron James maintaining their popularity.
Back in 2017, the NBA became the first American-based sports league to allow teams to add partner logos to its uniforms. Before this, these extra type of main sponsorship deals were more commonly seen and associated with European sport. Since then, teams are permitted to wear partner logo’s on the corner of their jerseys, 2.5 x 2.5 inches in size.
As GlobalData’s latest report reveals, patch partnership deals in the league have been shown to increase by nine new deals this season.
Jake Kemp, Sport Analyst at GlobalData, says that all but three NBA teams currently boast an active patch partner – the Los Angeles Clippers, Memphis Grizzlies and Portland Trail Blazers. Patch partners are typically worth more than a standard partnership in the NBA because of the added exposure to fans at each game.
This means that the average value of such a partnership across the remaining 27 teams in the league stands at $10.88 million this season.
This money is also well spread across the league, thanks to the popularity of the league and value of all franchises involved. Hence, the two New York-based teams, the Knicks and the Nets, are earning the most from these deals, at $30 million each respectively.
The more modest patch partnerships in the 2023-24 season are worth $5 million a year, a value assigned to the Utah Jazz and Orlando Magic.
Kemp also notes that the only other major type of deal permitted by the NBA for teams to sign surrounds branding on practice and warm up gear.
Like what we are doing? You can express your gratitude here.Link to this article:https://www.brazilv.com/post/4372.html