GE will pay more than $7M a year under an agreement with the Celtics to "put the company’s iconic round logo on the basketball team’s uniforms" beginning with the '17-18 season, according to a source cited by Clough & Soshnick of BLOOMBERG NEWS (1/25). In Boston, Greg Ryan noted both the Celtics and GE "refused to discuss the financial aspects of the deal" yesterday when it was formally unveiled. Other NBA franchises "appear reluctant to be first movers with the jersey sponsorship deals, seemingly afraid to accept a deal only to see their competitors find more favorable terms." Celtics President Rich Gotham said, "It obviously helps when there are data points in the market, to help create the guardrails, but once we started talking to GE, that sort of thinking went away. We weren’t concerned at all." The Celtics join the 76ers and Kings as teams with jersey sponsors for next season; those two teams' deals are reported to be around $5M each per season (BIZJOURNALS.com,1/25).
MUTUALLY BENEFICIAL: In Boston, Vaccaro & Chesto note Celtics co-Owner Steve Pagliuca knew GE Chair & CEO Jeff Immelt "wanted to use the company's move to Boston as a way to help change its image and to boost its global profile as a digital industrial giant." Pagliuca approached Immelt almost "immediately after GE arrived in August" about a partnership, and Immelt was "intrigued and passed the concept along to a couple of his top lieutenants." The partnership "underscores GE's increased emphasis on digital technology and data analysis." GE will work with the Celtics to "analyze data across the organization, such as on-court strategies and business programs." Gotham said that he is "interested in ways GE can crunch health-related data to better prevent injuries." Vaccaro & Chesto note GE will play a role in "shaping the Celtics' upcoming practice facility," which is expected to open in '18. GE technology, such as "energy-efficient lighting and medical equipment, will be integrated into the facility." Gotham said that the deal "provides more money for payroll and equipment." More importantly, he said that the players now have "GE’s brainpower on their side" (BOSTON GLOBE, 1/26).
BREAKING TRADITION? In Boston, Jason Mastrodonato notes Celtics coach Brad Stevens "seemed ambivalent" about putting a GE logo on the team's jerseys. When asked if the logo would take away from the team's traditional uniforms, Stevens joked, "I mean, we wore grey with sleeves (Tuesday). So I don’t know. It seems like they change every week. I can’t keep up with them" (BOSTON HERALD, 1/26).
WHO'S NEXT? In Dallas, Brad Townsend reports more teams around the NBA are getting close to a jersey patch deal. A source said that the Pistons are "closing in" on a deal with an automaker. Meanwhile, Mavericks Owner Mark Cuban said, "We're discussing it with a lot of potential customers." The Mavericks have "met with several companies Cuban declines to name." Cuban: "When the price is right. We've just got to get the right one" (DALLAS MORNING NEWS, 1/26).
