Athlete endorsements have become a crucial marketing strategy, allowing brands to create genuine connections with their audience and increase engagement. With the NCAA now allowing college athletes to profit from their name, image, and likeness (NIL), endorsement opportunities are growing for both elite professionals and up-and-coming stars. Endorsement contracts should include clauses that protect the brand and support a sustainable career for an athlete. These clauses typically cover a variety of topics, including exclusivity and NIL usage, compensation, termination, and indemnification. Additionally, they must account for varying regulations in various industries, such as child labor laws when working with minors and NIL licensing rules in collegiate sports.
NIL rights in a sponsorship agreement allow a brand to use an athlete’s image and name in marketing campaigns, products, and media. These agreements can be structured as licensing or endorsements, with either a fixed fee or a performance bonus. Licensing deals tend to be less risky for athletes, as they may earn royalties based on product sales. Athletes can also retain some control over how their NIL is used in marketing campaigns through approval rights and creative collaborations with a brand.
As more and more athletes engage in influencer marketing, it’s important to focus on measurement to understand the true impact of an endorsement campaign. Metrics such as conversion rates, sales uplift, and brand sentiment analysis can help brands determine the value of an endorsement campaign. In addition, social listening can reveal key insights into public perception. For example, when celebrity medical doctor and media personality Ciara Kelly partnered with Filorga Ireland to promote their anti-ageing skincare range, her professional expertise helped add credibility to the campaign.