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

Canada’s Hottest Ads:
Year-end cheer dominates

... and that beer fridge turns up everywhere (with Denise Rossetto and Todd Mackie)

PR Move of the Week:
Sears Canada

Retailer’s offer to Target's soon-to-be-ex-employees hits the mark

Ipsos and ICA reveal this year’s most influential brands

Netflix, Twitter and LG are 'on fire,' but who leads the list?

Bell readies Let’s Talk Day
for 2015

Major PR push helps mental health
stay in the spotlight

PR Accounts On The Move

A recap of recent account wins on the PR front

A new design for Umbra’s flagship store

Canada's design champion seeks stronger community ties

Hall of Legends 2015:
Chris Armstrong

The birth of the big comfy chair, and building TD Canada Trust

4 values at the heart of good customer experience design

Schulich's Charlene Precious Tcheong explains the emotion-over-logic marketing approach