The Effect of the Economy on Sports Sponsorships and Endorsements

Land_shark_6pkWhat effect has the economy had on sponsorships and endorsements in the business of sports? 

A panel at the Sports Lawyers Conference discussed this issue, and here are some of my notes from the perspective of counsel for a Stadium/Arena owner, counsel for a sneaker company, and counsel for an athlete:


Stadium/Arena Owner:

Sneaker Company:

  • The volume of sponsorships and endorsements have remained steady, but the dollars are different
  • Performance-based incentives have not been affected; sponsors will still pay for the attention created by remarkable performances


  • Sponsors appear to be using the economy as an excuse to pay athletes less
  • Cash – more specifically upfront cash – is the key to the deal, more now than ever


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