You don’t need to dig too far from home to discover new and immediate opportunities and they may be found in the most unusual places.
For student-athletes, the beginning of the college football, basketball, hockey, tennis, etc., etc., seasons are exciting, but the new NIL (“name, image and likeness”) opportunity has marketers excited, as well.
NCAA college athletes now have the opportunity to benefit from their name, image in all sports. The new NCCA policy provides the following guidance to college athletes, recruits, their families and member schools:
Individuals can engage in NIL activities that are consistent with the law of the state where the school is located. Colleges and universities may be a resource for state law questions.
College athletes who attend a school in a state without an NIL law can engage in this type of activity without violating NCAA rules related to name, image and likeness.
Individuals can use a professional services provider for NIL activities.
Student-athletes should report NIL activities consistent with state law or school and conference requirements to their school.
So, promotional people GET EXCITED.
College athletes have been given the right to monetize their fame thereby providing new opportunities for brands (theirs and sponsoring) to authentically connect with sports fans and find new customers and influencers… even in the smallest of communities and schools.
You have an opportunity, but you need to dig into the rules, regulations, risks, and rewards. You have to understand the opportunity student-athletes provide for brands, in particular in connecting with local markets and niche communities. You need to learn how to identify those student-athletes that best personify brand values. As an example of what student brands are worth:
Bryce Young (Alabama) the highest NIL earner with a valuation of $3.2 million in NIL deals..
C. J. Stroud (Ohio State) has a $2.5 million NIL valuation.
Caleb Williams (USC) at $2.4 million in NIL
Established brands can find new customers and influencers, especially within hard-to-reach local markets as well as mega markets. Athletes can create a bigger brand and simply “cash in”.
As you prepare to approach this market you will realize that it is different from the traditional seller-buyer relationships you have now.
You are dealing with young, student athletes. In many cases their ego is greater than their understanding of brand marketing. Families and counselors will be part of the buy-in for whatever you are selling. You will discover skepticism. To a certain degree, trying to land an athlete is similar to what a coach faces in recruiting. What you are selling, and the financing, will be the key to getting an opportunity without any guarantee of a financial reward.
There is no better market for promotional products, ad specialties, and branded merchandise than the collegiate market. Keep in mind “NIL” is not a license to use a college logo or campus setting. This is the area where you will need a good legal opinion if it is grey.
The objective is to promote, brand and make money. The student-athlete will probably not be your buyer. There are so many avenues to explore, you are bound to find the best that works for you. Perhaps it is a “Jock Store”. With a written agreement from the athlete, you go to market with apparel and useful products for potential buyers. You enter into a financial arrangement to pay a royalty on all sales unless the student athlete can take on the financial risk. Distribution is through the internet, but you can look at local merchants, as well.
Co-branding – looking beyond the obvious partners, you may find the locals a solid market. From a brewpub to a local banking institution, your merchandise can find a home and a second imprint on what you are selling.
The takeaway…
There is an evolving market all across America. It may start with the college you attended. Take the time to evaluate the risks and rewards. Keep in mind one thing... if you have any modicum of success, that can start a wildfire and lead you to many more opportunities. You will have developed an expertise and, like the athlete, a winning record. Everyone loves a winner.
Joel D. Schaffer, MAS is CEO and Founder of Soundline, LLC, the pioneering supplier to the promotional products industry of audio products. Joel has 48 years of promotional product industry experience and proudly heralds “I was a distributor.” He has been on the advisory panel of the business and marketing department of St. John’s University in New York and is a frequent speaker at Rutgers Graduate School of Business. He is an industry Advocate and has appeared before the American Bankers Association, American Marketing Association, National Premium Sales Executives, American Booksellers Association and several other major groups. He has been a management consultant to organizations such as The College Board and helped many suppliers enter this industry. He is a frequent contributor to PPB and Counselor magazines. He has facilitated over 200 classes sharing his industry knowledge nationwide. He is known for his cutting humor and enthusiasm in presenting provocative and motivating programs. He is the only person to have received both the Marvin Spike Industry Lifetime Achievement Award (2002) and PPAI’s Distinguished Service Award (2011). He is a past director of PPAI and has chaired several PPAI committees and task forces. He is a past Chair of the SAAGNY Foundation, Past President of SAAGNY and a SAAGNY Hall of Fame member. He was cited by ASI as one of the 50 most influential people in the industry.