Amelia Craig
The Double Benefit of Athletes and Businesses From NIL
The Double Benefit of Athletes and Businesses From NIL
By Parker Matthews, Amelia Craig and Jack George
BLOOMINGTON, Indiana (Nov. 5, 2024) –
Fresh off another Indiana University football win over Michigan State on Saturday and a climb in the polls, the team can only expect national attention to increase. Naturally, this continued success could lead to potential NIL (name, image, and likeness) deals for individual team players. If you’ve ever headed to Mother Bear’s to sample a new menu item that’s been trending on your social media —a dish named after your favorite IU player, Anthony Leal, you’ve seen the advantages of NIL deals for both players and businesses.
Collegiate athletes support NIL (name image, and likeness) rights for their personal benefit, but they’re joined by coaches and businesses who recognize the potential for positive change in the landscape of college sports, highlighting the advantages for both players and the institutions that nurture their talent. In the era of social media, college athletics have undergone a remarkable transformation. Today, college athletes are not just students and elite competitors; they are also brand ambassadors. The introduction of NIL has had a significant impact, benefiting both collegiate athletes, local and global small businesses alike. But as some athletes secure lucrative endorsements, other athletes may be overlooked, raising questions about what sets the successful apart. This evolution, which began on July 1, 2021, has profound implications for both the athletes and the businesses eager to connect with them.
When asked about how NIL deals affect athletic performance Dr. Galen Clavio says, “So there are two different aspects of NIL that we have to keep in mind. There’s the NIL that comes from just being a good athlete and ultimately the idea that you have an intrinsic market value at the college level as an athlete in whatever sport and that value is not equal because you happen to be an athlete and this other person happens to be an athlete.” NIL deals are built upon an athletes performance which creates a certain market value. Clavio also mentioned the second aspect would be an athlete’s popularity and how it can effect an athlete’s market value.
Madeline Greenwell, an IU bookstore employee with familiarity of NIL deals, clarified a common misconception. “Many people believe that brands and businesses initiate contact with athletes for endorsements,” Greenwell said. In reality, it’s the athletes who in many cases take the initiative to reach out to potential partners. Madeline explained, “Athletes usually sign up or contact their desired brands.” This proactive approach allows athletes to pursue partnerships that resonate with their values and appeal to their audience.
Anthony Leal, a senior basketball player here at Indiana University has an NIL deal with the local Mother Bear’s Pizza. He and Mother Bear’s Pizza in Bloomington have partnered on a new menu item named “The Leal Deal” that is available now. By partnering with a local business, he is strengthening his ties to the community. For a less nationally known athlete but more locally known, a local partnership can be an effective way to build his brand. Both Anthony and Mother Bears can benefit from this partnership. Mother Bears will gain exposure to Anthony’s fans, which potentially will increase the amount of consumers who are eager to try the new item dedicated to him. Anthony on the other hand will receive financial support and promote his brand.
Freshman basketball player AJ Levine, who plays for the University of Pennsylvania, opens up about what sets him apart from his junior teammate when it comes to NIL opportunities. “Dylan has a much larger social media presence than I do. His Instagram is verified, and his TikTok following continues to grow every day,” AJ explains. He says that he ultimately hopes to secure an NIL opportunity with a brand, but emphasizes that it starts with having a strong individual season. He also notes that the team’s overall performance will play a key role in attracting the attention and viewership needed for such opportunities. He aims to grow his social media presence by sharing TikToks and Instagram posts that are connected to the university.
The benefit of NIL deals extend beyond the wallets of players and companies. It has been brought to the forefront that many coaches are supporting NIL deals for the positive aspects they can ensure. In a recent interview, the head coach of Georgia football noted to USA Today that “using NIL payments can be a potential way to ensure that players don’t get in trouble off the field.” This perspective underscores how legitimate financial opportunities can alleviate pressures that lead to risky behavior, enabling athletes to focus on their training and academics.
Ultimately, NIL deals enable companies to tap into the loyalty and passion that fans have for their favorite athletes. When an athlete promotes a product or service, it creates a direct connection with fans, making the athlete a relatable figure who can significantly influence purchasing decisions. This strategy is particularly effective with today’s generation, which values authenticity and is more inclined to support brands endorsed by individuals they admire.
Three individuals give their opinion and understanding on NIL deals. They share their knowledge on how a collegiate athlete receives an NIL deal and what they believe to be the most important factors to acquire an NIL deal.
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