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 A three-year trial beginning with the 2017-18 season was approved
by NBA owners on Friday that allows the league's 30 teams to add a
small patch on the front left of game jerseys.
"Jersey sponsorships provide deeper engagement with partners looking
to build a unique association with our teams and the additional
investment will help grow the game in exciting new ways,” NBA
Commissioner Adam Silver said in a statement.
"We’re always thinking about innovative ways the NBA can remain
competitive in a global marketplace, and we are excited to see the
results of this three-year trial."
 NBA teams are responsible for selling their own sponsorships and the
patches will be about 2.5 inches by 2.5 inches, much smaller
compared to European soccer jerseys, where corporate logos are the
largest and most prominent part of the kit.
According to the NBA, the sponsor patch will not appear on the
retail versions of the player jerseys but teams can sell the jerseys
with sponsor patches in their own retail outlets.
"The patches are a little small for people to see from the second
deck of an arena," Marc Ganis, president of Chicago-based consulting
firm Sports Corp, told Reuters.
"This is more related to broadcast media, highlight shows,
photographs, posters and other kinds of merchandise with players in
uniform."
Financial terms of the pilot program were not disclosed but sports
industry analysts say teams will likely make $4 million to $6
million per year from new partnerships, which would equal a combined
$120 million to $180 million per year in new revenue.
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The National Football League, Major League Baseball and National
Hockey League did not immediately respond when asked by Reuters if
they had any similar plans to add sponsorship patches to their
uniforms.
But Robert Boland, director of the MBA and master's sports
administration program at Ohio University, feels other leagues will
likely follow suit at some point.
"The NBA has always been keenest of the (North American) leagues to
get to this point," said Boland. "I suspect that this will begin to
open the doors to this (concept) in North America."
(Reporting by Frank Pingue in Toronto; Editing by Andrew Both)
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