“Sport is now the only potential discipline where you can engage very high numbers of people. It still provides one of the few moments that is broadcast live where having a replay doesn’t make sense. When it comes to sport, Netflix has zero value.” Jean-Pierre Diernaz, marketing boss, Nissan Europe
Lebron Rules :
In our 24/7 world, where we’re always plugged in, constantly moving from platform to platform and accessing content on demand, sport retains the power to cohere marketing messages on a global level, uniting audiences through their universal passions.
It’s because of this that the sports market is estimated to be worth $700bn and is growing more rapidly than global GDP. So it’s important to talk about the ambassador of sports marketing : Lebron James. LeBron is the most dominating figure in the sport.
After years of fumbling around with the rebuilding of a franchise in Northeast Ohio, it is now official. LeBron James will be heading to Los Angeles this summer in a four year, $154 million-contract, declining to exercise his $35.6 million player option with the Clevland Cavaliers.
Everywhere he goes, James, along with his billion-dollar body, carries an economic windfall that is parallel to no other athlete. Shortly after James announced his return to Cleveland in 2014, Cavaliers’ ticket sales spiked by more than 100 times, jumping from $25 to a staggering $386. Season tickets sold out within hours, and according to a Cleveland.com report, his return to Ohio resulted in a nine-figure economic boost for downtown Cleveland.
James’ dominance carries over off the court as the NBA’s top shoe seller in 2017 with his Nike signature sneakers.
James and Nike have been joined at the hip since he signed a seven-year, $90 million deal with the Swoosh in 2003, a month ahead of being drafted No. 1 overall out of high school by the Cavaliers. The partnership was extended in 2010 at roughly $30 million annually, with a “lifetime” deal signed in 2015 that could be worth more than $1 billion.
Nike has paid James more than $300 million during his career (he’s earned $234 million in playing salary), but it has been money well spent for the $35 billion-in-revenue sports giant. Nike’s market share of the $1 billion performance basketball market was 73.5% in 2017, according to NPD. The Nike-owned Jordan Brand added another 7.8% share.
Using the same methodology that measured James’ impact on the area around Cleveland’s Quicken Loans Arena, and cross-referencing that with similar establishments near the Lakers’ Staples Center, it’s estimated that James will bring in 2,989 new jobs and have a five-year local economic impact amounting to $396,985,680.
Those are numbers befitting a king.
Alec Brank, 11/07/2018 : The Lebron James effect : An economy build on one man. Available from : economichttps://www.highsnobiety.com/p/lebron-james-effect-econony/
Julien Mauplat, 21/07/2018 : L’impact de LeBron James : l’économie de Los Angeles va exploser. Available from : https://www.insidebasket.com/actu/limpact-de-lebron-james-sur-leconomie-a-los-angeles.html
Darrren Rovell, 13/06/2018 : Lebron James is worth hundreds of milions to the Cavs and Cleveland. Available from : http://www.espn.com/nba/story/_/id/23769496/lebron-james-worth-millions-economy-cleveland
Sarah Gray, 03/07/2018 : Why Lebron James move to Los Angeles could boost the city’s economy. Available from : http://fortune.com/2018/07/03/lebron-james-los-angeles-economy/
Daniel Chaitin, 17/02/2018 : Lebron James : I Mean too much. Available from : https://www.washingtonexaminer.com/lebron-james-i-mean-too-much-to-society-youth-to-shut-up-and-dribble