The Philadelphia 76ers have become the first major American sports franchise to sell ad space on a game day jersey, according to reports from Darren Rovell of ESPN.
On Monday morning, the 76ers announced a deal with StubHub that will put the ticket company’s ad on the team’s jerseys beginning with the 2017-18 season. Per the report, the 76ers will receive $5 million a year through 2019.
“We are about being first, being different, being innovative and getting to market at quickly as we can,” 76ers CEO Scott O’Neil said. “We’re thrilled that the NBA has decided to be an innovator among the major sports leagues in this country, we’re happy that we will be the beneficiaries, and we know that being first here will drive value for our partner.”
While the ads are an opportunity for teams in the NBA to bring in more money, it also helps the game as a whole.
“NBA teams will keep half of the money generated by selling sponsorships on jerseys, and that half will be further split in two, with one portion going to the individual team that does the deal and the other going to a revenue-sharing pool. The half that does not go to the teams will be split with the players and will contribute to a rising salary cap,” Rovell wrote.
It is going to be interesting to see what other companies step up to buy ad space on NBA jerseys. As long as it does not have to do with gambling, alcohol or politics, the company is fair game.
*Featured Photo (above) credit to USA TODAY Sports