Nike’s deal with Manchester United ends after 2014-15 season

Adidas, Warrior, Puma could be on deck

Nike will end its sponsorship deal with Manchester United after the 2014-15 season.

The Oregon-based sports apparel and shoe maker confirmed the end of the 13-year equipment supply contract in an email.

“Any partnership with a club or federation has to be mutually beneficial, and the terms that were on offer for a renewed contract did not represent good value for Nike’s shareholders,” the company said. “We look forward to a successful final season with the club.”

The club’s deal with Nike was worth a minimum 303 million pounds, nearly $519 million at today’s exchange rate.

Manchester United recently unveiled its red Nike home jerseys for the coming season, which feature a gold Chevrolet logo – reflecting the American automaker’s seven-year jersey sponsorship deal with the team worth $559 million.

The English Premier League side has been negotiating since January with several companies for a new equipment supply contract. Adidas, Warrior and Puma were among the companies interested in taking over as supplier.

Adidas, based in Germany, did not respond to email seeking comment. Puma unveiled its new uniforms for rival EPL club Arsenal on Thursday.

Manchester United has one of the most lucrative brands in sports and is the biggest money-maker in English football, generating $602 million in 2012-13. The club, purchased by the Glazer family in 2005, is listed on the New York Stock Exchange.

In April, United sold the naming rights to its training ground as part of a sponsorship deal with London-based insurance firm Aon estimated to be worth $230 million. The eight-year agreement, which starts this month, includes the Aon name on training jerseys.

Aon previously sponsored United’s match uniforms until the deal with Chevrolet.

Brands Articles

Time for marketers to abandon the safety of the high ground (Book excerpt)

Engagement in the age of tribes means engaging face to face – and pissing the right people off on purpose

Subway Canada gets crafty with new ad campaign

The quick service restaurant touts the art of crafting the perfect sandwich

Crafting small market identity with big market marketing

Shock Top captures a little craft beer identity in a bottle

How to break blind brand loyalty

A new study unveils how brands can disrupt tech habits and win new consumers

Campbell Company of Canada names new president

SC Johnson vet Ana Dominguez takes the helm, replacing Philip Donne

Watch This: Canadian Tire talks to parents about back to school

Moms and dads share a few thoughts (and a few tears) on their kids' first day of school

Ottawa Senators make headlines with new CMO hire

Longtime newspaper executive Peter O’Leary starts his new position Sept. 22

Scotiabank’s Tangerine brand gets a PHD in media

Tangerine CMO Andrew Zimakas on why PHD won the account