The NBA is slated to begin allowing teams to sell on-court advertising beginning next season, Sports Business Daily reported Monday.
Starting next new season, league officials have approved teams selling high-profile space in front of each team’s bench as well as the camera-friendly areas on top of both backboards. While no value estimations have been given for the new revenue streams, league officials told Sports Daily they expect multiyear, multimillion dollars deals to emerge as a result of them. Until now, the league had mandated that these areas be limited to team branding.
No further restrictions are expected to be placed on the deals, meaning teams are free to negotiate pacts with either local companies or corporate brands. The floor advertisements are expected to be via decals similar to the rotational signage now visible at the scorer’s table.
Teams will be free to use the first year as a trail period, before inking longer more lucrative pacts in the seasons to come, according to Sports Daily. The league will also be empowered to make any changes it deems prudent following the first year.
“This will be a tremendous opportunity for our teams,” Alex Martins, chief executive officer of the Orlando Magic, told Sports Daily. “This platform to grow inventory of camera-visible signage will allow us all to continue to grow our business for our teams and players. I applaud the league for opening up this opportunity for our teams and our clients.”
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