The NBA is reaching new heights. And no, we don’t just mean the stature of the athletes.
Team sponsorship revenue across the league has almost doubled over the past five seasons, fueled by record number of deals for a rookie, new jersey-patch sponsors, and an influx of hundreds of new brands this season, according to a report from SponsorUnited based on an analysis of more than 1,700 brands, 2,600 deals, and almost 42,000 social posts.
Welcoming committee: The NBA brought in $1.62 billion in team sponsorship revenue this season, an 8% increase from last season and a 91% increase compared to five seasons ago, per the report. That’s still less team sponsorship revenue than the NFL, Formula 1, and MLB, but more than the NHL and MLS.
Tech, auto, and healthcare brands contributed to the NBA’s boost over the past few years:
- The LA Clippers signed big naming-rights deals with Intuit and Kaiser Permanente;
- The Houston Rockets and Memorial Hermann broadened their partnership;
- And the Sacramento Kings recently signed auto tech company Reviver up as their jersey-patch sponsor, one of 11 new jersey deals for the 2024–25 season.
This season alone, the NBA welcomed almost 450 new sponsors (the report defines “new” as brands that did not have a “prior team relationship” in the 2023–24 season), according to SponsorUnited. The largest shares of those brands came from the construction, alcoholic beverage, and tech sectors. But the brands spending the most money on team deals, including Rakuten, JPMorganChase, and AB InBev, aren’t new to the league
Get marketing news you’ll actually want to read
Marketing Brew informs marketing pros of the latest on brand strategy, social media, and ad tech via our weekday newsletter, virtual events, marketing conferences, and digital guides.
Teamwork: Though they didn’t make it out of the first round of the playoffs, the Golden State Warriors did achieve a different feat this season, leading the league in branded social engagement and becoming one of a few teams in the country (along with the Dallas Cowboys and Los Angeles Dodgers) on track to reach a sponsorship business worth more than $200 million.
The Washington Wizards, however, maintained their position as the NBA team with the largest number of sponsors. They were followed by the Indiana Pacers, who are currently facing the Oklahoma City Thunder in the NBA Finals.
Rookie revolution: In terms of individual athlete deals, Jared McCain of the Philadelphia 76ers leads the league. The rookie Gen Zer, who has 4.7 million followers on TikTok and often goes viral for videos showing off his personality and style, has 30 deals with brands including Amazon, Sally Hansen, and Jordan Brand, a record number for an NBA player in one season that serves as an indication “that brands value personality as much as performance,” SponsorUnited wrote in the report. McCain was out with an injury for the majority of the season.
McCain is trailed by three of the New York Knicks: Karl-Anthony Towns (23 deals), Josh Hart (19 deals), and Jalen Brunson (18 deals). Golden State Warriors star Stephen Curry tied Brunson at No. 4 with 18 deals of his own.
Read the full article here
