Adidas maintains sponsorship agreements with various prominent European clubs, including Manchester United. Their enduring partnership with Real Madrid, which dates back to 1998, has recently been confirmed to extend until 2028.
Such collaborations bring substantial financial advantages to the affiliated club, and Real Madrid is no exception. The ongoing deal with Adidas is poised to be the most lucrative kit sponsorship in the club’s history.
How much do Real Madrid get from Adidas?
Real Madrid and Adidas are on the verge of finalizing a sponsorship agreement worth a minimum of €1.1 billion over the next 10 years. As reported by Marca’s Carlos Carpio, the proposed deal involves Adidas paying Los Blancos €110 million annually, which is more than double the current terms of €52 million per year.
Adidas and the Spanish club have had a longstanding partnership since 1998, and on Wednesday, Adidas officially confirmed the existence of a new deal. However, the sportswear giant did not disclose specific financial details pertaining to the agreement.
However, it is understood that in total, about €1.1b is set to be picked up by Real Madrid, making this contract the most lucrative kit deal in football history.
With merchandise considerations included, Real Madrid stands to gain as much as €152 million per year from their reported sponsorship deal with Adidas. This represents a substantial increase compared to their current deal of €52 million.
The company’s Chief Executive, Kasper Rorsted, speaking on the deal, explained that “this agreement will help us achieve our mission to be the best sports company in the world. It also underpins Adidas’ leadership in the football category.”
Real Madrid star caught in Adidas, Nike crossfire
Endrick Felipe, a rising star from Brazil who is set to join Real Madrid, has made an interesting choice by opting for a sponsorship with New Balance. This is unconventional considering that his club is officially sponsored by Adidas, and Nike is the more popular and widely recognized brand.
The 17-year-old sensation from Palmeiras, who recently made his debut for Brazil and has already achieved stardom in his home country, is poised for a move to Real Madrid next summer. The deal is reported to be worth €40 million, with an additional €20 million in variables.
Endrick chose New Balance over other well-known brands like Adidas, Nike, Puma, Under Armour, Sketchers, and many others for a sponsorship deal starting in February.
According to Diario AS, the agreement between New Balance and Endrick is being described as a ‘Michael Jordan-style’ deal. This means that New Balance intends to enhance Endrick’s brand by not only implementing extensive marketing campaigns but also by developing his own line of products. This strategy aims to establish a strong connection between the player and the brand. The duration of this partnership is planned to extend until 2028.
