Nike is close to finalizing an extension of its sponsorship with the U.S. Olympic Committee, guaranteeing it will be outfitting Team USA athletes on the podium through at least 2016.
The renewal, which sources said has been agreed to by both parties and is being reviewed by legal departments, extends Nike’s position as the official outfitter of Team USA. Nike will provide the podium uniforms worn during medal ceremonies at the Sochi and Rio Olympics, and will have access to U.S. Olympic marks and graphics for use in advertising and marketing and for display on its other brands such as Converse.
The deal extends Nike’s licensing partnership with the USOC. The company has made Team USA-branded hats, shirts and jackets for every Olympics since the 2006 Torino Games.
| 
GETTY IMAGES
U.S. skiier Bode Miller sported Nike on the medal stand at Vancouver last year. |
Terms of the deal were not available, but sources described it as a modest increase. The previous deal was valued at close to $15 million over four years and was a mix of cash and product.
The USOC declined to comment.
The renewal is the first the USOC has completed for the 2013-16 quadrennial. It gives the organization some early momentum as it looks to extend partnerships with more than a half-dozen key partners before the London Games. USOC chief marketer Lisa Baird said late last year that the organization would focus on renewals in 2011. Agreements with AT&T, Anheuser-Busch, British Petroleum, 24 Hour Fitness, Allstate, Hilton, United Airlines and others are set to expire after the 2012 London Games. Those deals collectively account for more than $50 million of the USOC’s quadrennial budget.
“The fact that Nike’s renewing and renewing early is a huge positive,” said Jim Scherr, CEO of 776 Original Marketing, who had no knowledge of the renewal. “Nike backs so many governing bodies and elite athletes that [partnering with them] creates a seamless platform for the USOC on the marketing side.”
Nike also sponsors 10 U.S. national governing bodies, including USA Basketball, USA Hockey, U.S. Soccer and USA Track & Field.
Nike and the USOC first partnered in 2005. The deal was revolutionary at the time because the Olympic movement viewed Nike negatively due to some ambush marketing efforts during the 1996 Atlanta Games and a controversial ad campaign that featured the tag line, “You don’t win silver, you lose gold.”
The 2005 deal signaled an end to that era for Nike. The company became a strong partner of the USOC by using its technological prowess to develop sophisticated footwear for all 28 sports in the Summer Games.
