The Arena Football League has signed a three-year licensing deal with Haddad Apparel Group, the first-ever children’s clothing agreement for the indoor league as it looks to develop its consumer-products business.
The deal with Haddad comes a month after the AFL secured a three-year apparel deal with Nike. Haddad’s agreement begins in spring 2005, as does the Nike deal, and gives the New York-based company exclusive rights to market children’s apparel, headwear, sleepwear and accessories for the 2005 season. Because Haddad is a Nike licensee, there is no conflict between the companies, AFL officials said.
“The deal dovetails nicely because there is already a relationship between Nike and Haddad,” said Glenn Horine, executive vice president of AFL Properties. “For us, it is a key category component in launching our consumer-products business.”
The deal was expected to be announced this week.
No financial terms were disclosed, but Horine said there are licensing guarantees included in the deal as well as an option for Haddad to extend the agreement after three years. Like the Nike deal, Haddad is not required to buy media under terms of the agreement.
Haddad is expected to begin selling AFL children’s apparel in seven league markets in the spring, with other markets scheduled to be added later. Those initial seven markets have not been determined.
“It’s a three-year build, and the deal fills a void that we have in marketing to kids,” Horine said.
According to recent ESPN Sports Poll data, about 20 percent of the U.S. sports fans who identify themselves as fans of the AFL are between ages 12 and 17.
Jack Haddad, president of Haddad Apparel Group, was unavailable for comment. The company already has licensing deals with the NBA, NHL, NFL and Major League Baseball.
The Haddad deal is the third major licensing deal for the AFL in the last three months. In addition to Nike, the AFL has signed a licensing deal with Upper Deck for next year.
“It takes time to develop brand relevance, and it helps to get credibility at the retail level,” Horine said. “We don’t have a hundred licensees, but we are establishing a good stable of licensees that are industry leaders.”
