Get ready for your favorite NBA players to look more like NASCAR automobiles because their jerseys will soon have ads plastered on them.
On Friday, the NBA announced that the board of governors had approved a three-year pilot program to allow teams to sell a corporate logo on their jerseys. Companies will be allowed to advertise on a small 2.5-by-2.5-inch patch on the left shoulder of NBA uniforms starting in the 2017-2018 season. The retail versions of the jersey will not have any advertising, but teams will have the option of putting the sponsorship logos on the retail jerseys at their own team stores.
The NBA becomes the first of the four major U.S. sports leagues to allow ads on regular game-day jerseys. Previously, the NBA allowed advertising logos on practice jerseys.
Sources told ESPN that teams hopes to make between $4-6 million per year from the mini billboards, which would equal $120-180 million per year in new revenue. Bloomberg Sports states the ads will generate $150 million for the league. The money will be categorized as basketball-related income and split with the players.
The Association experimented with advertisements on uniforms at the 2016 NBA All-Star Game, where a KIA logo appeared on the left shoulder.
Last month, NBA Commissioner Adam Silver told ESPN his thoughts on the ads:
“It’s manifest destiny. So let’s begin by saying this isn’t going to affect the competition. What we’re talking about is a patch on the jersey. And one of the reasons we want to do it is that it creates an additional investment in those companies in the league … the amplification we get from those sponsors, those marketing partners of the league, who want to attach to our teams and our players. But once they put their name on the jerseys, they’ll then use their media to promote the NBA extensively. That’s probably the greatest reason for us to do it.”
The 2017-18 season is also the first season that Nike will make jerseys for the NBA, taking over from Adidas. The Nike jerseys will feature a Nike swoosh on every jersey as part of their agreement.
Jersey ads are commonplace in other professional sports leagues, especially overseas with soccer, but major American sports have not embraced the advertising until now.
In an era where seemingly everything is sponsored: stadiums, the call to the bullpen, time-outs; it makes sense for the NBA franchises to grab this free money.
Twitter of course had jokes.
NBA owners approve advertising on uniforms starting in the 2017-2018 season. Here is the Knicks in a couple years: pic.twitter.com/iitE2Qqyk8
— Basketball (@BballProblemz) April 15, 2016
They won't look like this, but logos on @NBA uniforms are a big #sportsbiz development. https://t.co/LVZiIBVSmK? pic.twitter.com/kI7Xfgq6IA
— Tom Richardson (@ConvergenceTR) April 15, 2016
https://pbs.twimg.com/media/CgGQSWjUEAA0vCl.jpg