LeBron James signed a third and final endorsement deal with Nike on Monday, an agreement that signifies a life-long relationship between the Cleveland Cavaliers’ superstar and the athletic apparel giant.
Sports business reporter for Fortune, Daniel Roberts, joined the Jeff Blair Show on Sportsnet 590 The Fan on Tuesday to discuss the deal that will continue long after James retires from pro basketball.
But it’s possible Nike’s long-term commitment to James might not have materialized had he not returned to Cleveland as a free agent.
“You could make the case that if he hadn’t gone back home to Cleveland something like this deal wouldn’t have come together,” Roberts said. “Because absolutely he became the villain.
“I mean he had the villain thing going when he went to Miami and he was still able to make business deals, he was still getting a lot of attention, but then for him to go back home to Cleveland, I think it was as much of wanting to make himself a likeable brand as it was of actually wanting to go home and bringing a ring to Cleveland.”
The lifetime relationship represents a level of trust with James from a company who endorsed Tiger Woods during his public scandal that drew a lot of negative attention.
Roberts believes that Nike is hoping to build a brand that can replicate the long-lasting relationship they have with Michael Jordan.
“It’s also a bet that he’s going to be their next Jordan in terms of off the court, lasting brand power,” said Roberts.
“This isn’t just about how he’s doing at basketball today, this is a bet that kids are going to want to wear ‘LeBrons’ for years to come, even when he’s not playing anymore.”
