Sign in Subscribe
Football teams

The Sideline Camera: A Potent Form of Advertising for Athletic Wear Companies

Strategic Insights

— 2 min read

In a deal that benefits both athlete and advertiser, several athletic-wear companies have partnered with top NFL players to showcase their products on the sidelines of football games. Companies such as Logo Athletic, Starter, and others have signed contracts with a total of 66 players, including stars like Dan Marino, Emmitt Smith, and John Elway, to wear their sportswear during games and post-game interviews.

The practice, which has become increasingly popular in the athletic wear market, allows companies to gain exposure for their products in a unique and authentic way. "It's better than billboards, television or print ads because it's authentic and it's real," said Tom Shine, president and chief executive of Logo Athletic. Additionally, the licensed NFL apparel market has seen significant growth, with revenues of $13 billion last year, and apparel accounting for over $7 billion of that.

Key Takeaways:

  • The NFL has implemented a new rule allowing only five companies to sign up a total of 66 players who will wear their sportswear on the sidelines of games.
  • Companies pay as much as $3 million to the NFL to be licensees and an additional 9% of all sales back to the league.
  • The licensed NFL apparel market has seen significant growth, with revenues of $13 billion last year, and apparel accounting for over $7 billion of that.
  • Only a handful of companies are permitted the Pro Line designation, which means that they sell the same merchandise that the players wear.
  • The top stars in the NFL can earn six-figure contracts for athletic-wear deals, though most are in the $10,000 to $20,000 range.
  • The sideline contracts put a premium on the athletes' agility in whipping off their helmets and putting on their licensed headwear, jackets and other accouterments.
  • The NFL prohibits advertising signage along the perimeter of the field, making it "the last bastion of cleanliness on the field," according to Mark Holtzman, vice president of club and retail marketing for NFL Properties.

Statistics:

  • The licensed NFL apparel market had revenues of $13 billion last year, with apparel accounting for over $7 billion of that.
  • Companies pay as much as $3 million to the NFL to be licensees.
  • The NFL collects 9% of all sales from licensed products back to the league.
  • There are only a handful of companies with the Pro Line designation, which allows them to sell the same merchandise that the players wear.
  • The top stars in the NFL can earn six-figure contracts for athletic-wear deals.
  • $10,000 to $20,000 is the average contract range for most NFL players for athletic-wear deals.

Sources:

  • "It's better than billboards, television or print ads because it's authentic and it's real," said Tom Shine, president and chief executive of Logo Athletic.
  • Licensed sports merchandise had revenues of $13 billion last year, and apparel amounts to more than $7 billion of that, said Greg Pesky, managing editor of Sporting Goods Business.
  • Companies pay as much as $3 million to the NFL to be licensees, and in addition, pay 9 percent of all sales back to the league.
  • Starter had $350 million in sales last year.
  • Logo Athletic has $250 million in annual revenues, spends an additional $10 million a year in television and print advertising to support its products in local markets.

Read more