NBA Exceeds $1billion Sponsorship Revenue
The NBA has reported a 31% rise in sponsorship spending on the league and its 30 teams, collecting a record-breaking $1.12billion in the 2017-18 season.
The introduction of new revenue streams including jersey patch agreements have seen the NBA bring in unprecedented sums of money this season. Outgrowing the projected 4.5% increase in overall 2018 North American sponsorship spending and the 4.9% projected increase in overall sports spending, nobody expected the first season with sponsor ID allowed on team jerseys to prove such a success.
21 of the league’s 30 teams have now closed deals for jersey sponsorships, with this alone marking a 16% increase in overall NBA sponsorship revenue.
Other deals which have shaped the NBA’s success this season include a partnership with YouTube TV; selling presenting sponsorship of the NBA finals for the first time, as well as signing league partners Rakuten, Headspace and Heroic Sport.
Insurance is the most active category of NBA sponsorship, being more than five times more likely to be a sponsor in the league than the average of all categories.
The sky is the limit for the NBA, growing sponsorship by more than $440million over the last five seasons, and with growing commercial interest and brand awareness, it looks set to continue to rise.