In a league, like the NBA, where there is a salary cap, it may not mean much in terms of adding more quality players onto the team, but it gives the organization more money to renovate practice facilities, a front office building, or even add to building a new stadium. In 2013, XBOX signed a four-year $20 million deal with the Seattle Sounders of the MLS. Because Major League Soccer is not as popular of a league as the NBA, one can believe that a deal to be the official uniform sponsor of the New York Knicks would be in the range of $10 million per year (twice that of XBOX with Seattle) or more; it is all based off the franchise.
Currently, the WNBA has six teams with jersey sponsorship deals (Stars, Mercury, Lynx, Fever, Shock, and Mystics). The teams are the first in American basketball to sign sponsorship deals for their jerseys. However, they are not the first, as many basketball uniforms for teams all over Europe contain sponsors. This culture comes from professional soccer where virtually every team has a uniform sponsor. Real Madrid has Fly Eremites, Barcelona has Qatar Airlines, and Bayern Munich uses Deutche Telekom. For more on those deals, click here.
With deals ranging in the $20 million plus range for major soccer clubs for a company to sponsor their uniforms, it would make perfect sense for NBA teams to begin following the trend. Each team's goal is to generate as much revenue as possible for their organization. By sealing the deal for a uniform sponsor, an organization will have more money to make modifications to any aspect of their franchise.
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