The Chicago Bulls explore the potential of securing a sponsorship deal with fantasy sports companies after the NBA lifted its ban last month on teams selling sponsorships to these companies. If the Bulls push through with this plan, they become the second NBA team after the Orlando Magic to tap into the exploding daily fantasy sports segment.
The team issued a statement through Bulls spokeswoman, who said that Bulls brass is “actively exploring (the fantasy sports) opportunity and anticipate having conversations with various companies.” No timetable has been set on whether ad deal will be consummated.
Last month, NBA commissioner dropped the ban on selling sponsorships to fantasy sports operators after realizing the massive potential of the segment to create more buzz and excitement for fans of the NBA. “We are always looking for opportunities to explore new categories to generate additional revenue and increase connectivity to fans,” NBA Exec VP/Team Marketing & Business Operations Amy Brooks said. “It was a category we were keeping an eye on as it emerged. The landscape of fantasy sports has changed over the past few years. It’s a popular and legal way for fans to connect with their sports.”
The NBA throw in a couple of caveats to any team securing a sponsorship deal with a fantasy sports operator. Deals for the upcoming season are limited to just one-year arrangements and should not include team and league logo rights in connection with specific games.
As soon as the ban was lifted, the Magic signed a sponsorship deal with FanDuel.com for a reported amount of $2 million a year. As part of the deal, FanDuel’s company signage will receive a plush real estate on the floor of the Amway Center, specifically on the floor apron along the court sidelines. Looking at the mock ups of the Amway Center floor, the logos will be just in front of benches of both the Magic and the visiting team.
FanDuel and DraftKings are widely considered as the two biggest players in the exploding daily fantasy format. Both companies made headlines recently for securing financing deals with venture capitalist firms worth $70 million and $41 million, respectively.
Now the Chicago Bulls are being tipped to join in on the burgeoning sponsorship opportunity.