Adidas tipped to score record United deal

GERMAN sportswear group Adidas is favourite to replace arch rival Nike as kit sponsor to Manchester United, but will have to pay a world record fee for the privilege.

Adidas, which already sponsors Champions League winners Real Madrid and other Bayern Munich and Chelsea, will pay upwards of £650m over the next decade to work with United, which claims to be the world’s best supported club with an estimated 659 million followers.

It emerged last week that Nike is calling time on its relationship with United after 13 years after deciding not to exercise an option to extend its £24m deal with the club. United’s players will wear the Nike kit this coming season, but will change to the new supplier for the 2015-16 season.

Nike said in a statement:  “Any partnership with a club or federation has to be mutually beneficial and the terms that were on offer for a renewed contract did not represent good value for Nike’s shareholders.”

It would appear though that Adidas  which has its UK base in Stockport and its distribution hub on Trafford Park, is willing to meet United’s asking price and take one of football’s most premium sponsorship opportunities.

Adidas  is celebrating a successful World Cup – it supplied the Brazuka ball used during the tournament and also kit to both finalists Argentina and winners Germany.

Dr Leah Donlan, sports sponsorship expert at Manchester Business School, believes Adidas will see Manchester United as an opportunity too good to miss.

“Adidas has always had a strong football heritage – Nike was a relative newcomer to the market – and I think they see Manchester United as reinforcing this strength and giving it a significant competitive advantage over Nike.

“We’ve seen at the World Cup that Adidas has got some of the biggest teams, and it is also really strong in Europe with Real Madrid and Bayern Munich. By adding Manchester United – which sells more than one million shirts every year –  to that portfolio of teams and clubs really sends a strong message.

“Although Manchester United didn’t have a good season, it is still one of, if not the most prestigious English football clubs. The global reach of the brand will also be important to Adidas as it runs global marketing campaigns.”