His brand has not sold as well as many thought and I've read the small market is to blame.

People have speculated about clauses that jack up his endorsment $$$ if he moves. This is bigger... means he can negotiate outright. I think this is pretty big stuff

Last week in Akron, when LeBron James unveiled the Air Zoom LeBron VII, he expressed his happiness with his decision to sign with Nike [ Loading... () ]in May 2003.

“I looked at it like I was going to be in a position with a great company, where I can help hopefully business with them and they can help me," James said. And now, seven years later, it’s been everything I’ve expected.”

The question is, as James' Nike contract comes to an end after this season, was it all that Nike expected when they signed him 2,273 days ago.

The answer is no.

When Nike signed James they agreed to guarantee him some $13 million a year, which would have only been worth it if he turned into the next Michael Jordan.

But while James has somehow lived up to the hype on the court, he hasn’t really done so off the court.

Much of it is not his fault. It’s just that it’s LeBron himself who has proven that there is no next Michael Jordan.

In LeBron, we finally had the perfect test case. The most glorified high school basketball player of all time who somehow lived up to all expectations. And yet, even he couldn’t sell gear or shoes like MJ did.

Actually, make that does. Air Jordans are still the best selling basketball shoes in the country by a monopolistic margin.

“I'm a huge fan of LeBron and he's a great endorser for the Nike brand,” said David Falk, who represented Jordan. “They absolutely have to have him. At the same time, he’s so associated with them right now it would be hard to switch.”

So the question is how much does Nike pay LeBron for his next deal? Some might suggest James has some leverage in that he could sign his next deal with the Knicks, which would literally put him on Madison Avenue. But, trust me, location doesn't sell as much as championships do.

Falk said James’ next contract with Nike could have less upfront guaranteed money and focus more on royalties. That, Falk said, would also free up more money to fuel Nike’s giant advertising engine.

Source: http://www.cnbc.com/id/32376185

djsunyc wrote:

are you kidding? this article proves that lebron needs us more than we need him. he's gonna have to sign here at a discount or he can go broke in cleveland!

djsunyc wrote:lebron will be a knick...

but these articles are meant for all knicks fans that have been doing this for the past 2 years:

omg isn't that the blob with the sunglasses on his head?!?

Is there a more international city than NY? at least in the US I dont think there is. Doesnt take a rocket scientist to know LBJ will get a whole lotta coin to come here, well beyond what he could make staying in Cle

Moonangie wrote:

fishmike wrote:Cle metro area: population 2.25 million
NY metro area: population 19 million

Is there a more international city than NY? at least in the US I dont think there is. Doesnt take a rocket scientist to know LBJ will get a whole lotta coin to come here, well beyond what he could make staying in Cle

NY metro area: more like 30 million. Keep in mind the tri-state area are ALL potential Knicks fans. Not to mention, global sales of Lebron gear would radically increase if it was Knicks colors, as the big market rep would escalate his brand awareness.

Whatever Cle can offer him in a 6th year or bigger raised cant compare to the Nike/endorsment factor. It just cant

djsunyc wrote:no offense guys, but what exactly are you discussing? the marketability in ny vs. cle? is that really what you're trying to break down?

it's going to play a role in his decision. not sure if it will be the deciding factor, but it's going to play a role.

nixluva wrote:Steph wasn't that popular around the country but just from sales in NY Metro area he was a top seller. Lebron would be even bigger here. There are also tons of NY'ers around the country like me and we'd be that equation too. Not to mention the extra games I'd go to down here. Atlanta, Charlotte and Orlando are real close to me and I'd be more motivated to go as I'm sure others transplanted Knick fans would. Sales should go up a but everywhere if he's a Knick.

it's really good for the league overall.

and i think i big factor is going to be: there is a definite lockout coming. the league might want a strong team in NY on the other side of the lockout to stoke interest in the league again. even after a lockout, lebron in NY is a story that people will care about and tune in to see. if there is not a healthy team in NY, the league could be in more trouble after a lockout.

crzymdups wrote:

djsunyc wrote:no offense guys, but what exactly are you discussing? the marketability in ny vs. cle? is that really what you're trying to break down?

it's going to play a role in his decision. not sure if it will be the deciding factor, but it's going to play a role.

will he get more money in ny? yes.
will he get more shine in ny? yes.
will he have more power in ny? yes.

there's no argument which is why pointing out stuff like this about his nike contract is somewhat pointless.

ultimately, he may want to stay home. everyone will find out in july.