The Golden State Warriors are reportedly seeking at least $15 million per year for the rights to sponsor their jerseys, beginning with the 2017-18 season.
The NBA announced in April that its board of governors approved a three-year pilot program to test sponsorship patches on jerseys starting with the 2017-18 season. The logo (2.5 inches by 2.5 inches) will be placed in the upper left corner on the front of uniforms.
NBA Commissioner Adam Silver released a statement as part of the announcement explaining the marquee ad space, a rarity for mainstream sports in the United States, but common internationally:
Of course, since it's a new idea still in the testing phase, there wasn't a direct baseline for what teams can demand. Rovell reported the Philadelphia 76ers were the first franchise to reach an official agreement and are going to receive $5 million per year from StubHub.
Now, the question is whether the Warriors are worth up to four times that amount annually. The answer could be yes based on the amount of success they are likely to achieve both next season and during the three-year test run for sponsorship patches.
Although Durant only signed a two-year contract that features an opt-out clause after the first season, he's not planning a quick exit. "I plan on being here. I don't want to go through that again," he said, per Sam Amick of USA Today.
It's become common for high-profile players to sign short-term agreements to maximize their earning potential in future seasons. With Durant, Stephen Curry, Klay Thompson and Draymond Green, the Warriors are set up to enjoy massive success in the years ahead.
In turn, they are likely to receive plenty of nationally televised games during the regular season and should enjoy deep playoff runs, giving further exposure to the advertiser. It could even turn a $15 million sponsorship deal into a bargain.
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