Monday morning, the NBA sent out a memo to all teams stating that advertisements will be allowed on court for the 2013-2014 season. The only spaces available for advertising next season will be in front of the two benches and on the top edge of each backboard. The ads will be for locally televised games and on the out-of-bounds side of the court only.
Chris Granger, executive vice president of team marketing and business operations for the league, told ESPN.com that he expects the apron advertising to be worth more than the jerseys because the television exposure will be so much more.
Sponsor decals are permitted to be up to 60 square feet. Granger said he doesn’t expect any overly negative fan reaction because the logos are not inside the lines.
The league believes these advertisements will be worth upwards of $100 million annually. The players will get a piece of the new revenue stream as the advertisement money will be factored into the league’s basketball related income, which is accounted for when the salary cap is decided each year.
Serving as deputy commissioner and soon-to-be commish, Adam Silver is the one who devised this plan and many believe this is a start of a new era for the NBA commercially. Silver will be taking over as NBA commissioner when David Stern steps down before next season.
Around this time last year, patches on jerseys were discussed ( Sponsorship Patches are coming to the NBA), but talks about that seemed to have stalled. The On-Court ads looks like a smoother transition and will ease the teams and fans into more changes in the next decade.