The NHL has "signed new partnerships with Fanatics and Outerstuff that include equity stakes in both companies," according to Ian Thomas of SPORTSBUSINESS JOURNAL. Sources said that the deals, which also include the seven-year jersey and apparel deal with adidas announced last week, "provide the NHL with more than" $80M in guarantees each year beginning with the '17-18 season, "tripling the terms of the previous deals." The NHL "declined to comment on the deals." The Fanatics and Outerstuff deals were presented to the NHL BOG "during their annual meeting in July but were just verified by sources last week." The three deals "represent a significant strategy shift for the NHL as it looks to move away from a model locked in brick-and-mortar distribution to one that is more nimble and focused around e-commerce." It also "shifts how the NHL will approach licensing." The league "recently underwent a McKinsey Consulting study of its licensing practices, which found that decreasing its number of licensees could result in a better yield for the league." Following the results, the NHL "began raising questions regarding the effectiveness of having numerous licensees in the same category and if it was yielding too much leverage to retailers." The result likely will be a "reduction in overall licensees," with adidas "acting as the official supplier of licensed apparel and headwear, and having sporting goods store exclusivity." Fanatics will sell adidas and Outerstuff products "through its portals, and has the rights to products that the other two deals don’t cover." The NHL’s deal with Outerstuff "follows one signed between the company and the NFL earlier this year" (SPORTSBUSINESS JOURNAL, 9/21 issue).
