Nike and Adidas Betting On An Apparel Deal

Sports merchandise tycoons go head to head to get University of Michigan apparel deal.

Nike and Adidas the previous week placed their bids for the clothing contract for the University of Michigan- one of the most renowned names in college sports.

According to a spokesman at Adidas who has confirmed about the bidding also mentioned about a banner that welcomes representatives of the university’s North American head office in Portland. On the other hand, Nike has also painted a field at the middle of Washington County campus that bears a striking resemblance with the football field in Michigan. Michigan has a Go Blue slogan which an also hung on the recreation center.

A spokesperson from Nike has confirmed about hosting the institution "as we do many athletes, teams and leagues on a regular basis."

Nike and Adidas are not the only one bidding but Under Armour is also trying its luck. According to a photograph seen on social media, that shows a large Michigan banner most likely placed in their Baltimore head office.

The previous month the student newspaper of Michigan University’s athletic department stated that they were welcoming bids from sports brands like Under Armour, Nike and Adidas. the university signed a deal with Adidas earlier that is said to be ending on July 31, 2016.

With the severity of the deal, it is expected that all three companies are likely to bid very high since it is an extremely important venture and none of them would wish to let go of it.

According to the university’s previous track record, the education hub has the most number of wins in terms of football. Along with that, they also have a massive alumni base. So if Adidas gets hands on this deal once again then they will become the number one brand on Adidas’s portfolio for schools and colleges.

Nike (NKE) since a fairly long time has been only targeting nig universities to be a part of its portfolio. However, the company at this point is not targeting small magnitude projects. Thus if they succeed in getting Michigan on board then it will be a great achievement for them.

Michigan University will take almost three months to pass its verdict. The company will inform Adidas if it wishes to extend the deal for another five years but if it does not do so then either Nike or Under Armour will enjoy the chance to have Michigan on board for almost five years.

All the sports merchandise companies are waiting for the final verdict regarding who will become the uncrowned king of the industry.