We are beginning to see brands make more extensive investments in college athletes, initiated by their ability to enter into name, image, and likeness (NIL) deals as a way to spur economic inclusion. Now that these young athletes are more in control, there are projections for the NIL market to reach $1.14 billion. Brandon Wimbush and Ayden Syal, co-founders of MOGL, which is an NIL-compliant marketplace for athletes and brands, unpacked on investing platform Public just how powerful this diversity will be for investing in athlete monetization.
The Breakdown You Need To Know:
With individual assets, the general sports partnership and sponsorship landscape has already manifested in promising ways for the NIL sector. Opendorse estimated the top 100 college athletes in the U.S. could collectively earn up to $1 billion per year from NIL deals.
There are several reasons why NIL diversity is essential because it can help to ensure that all college athletes, regardless of their race, gender, sexual orientation, or other personal characteristics, have equal opportunities to benefit from their name, image, and likeness. Also, NIL can help to break down stereotypes and reduce discrimination by celebrating individuality and diverse excellence in athletics.
MOGL shared one prime example of this with CultureBanx during a Public Live session. “We’re proud of a recent deal between Monet Davis and Toyota and Hampton University, because the company is prioritizing HBCUs,” said MOGL Co-Founder Brandon Wimbush.
Young, Athletic & Black:
Black athletes are an important part of the conversation around NIL rights in college sports. The ability for the sports stars to monetize their name, image, and likeness can be a significant step towards greater equity and economic empowerment in college sports.
On3 has created the On3 NIL 100 list, which ranks the top 25 most valuable high school and college students. They have come up with a base valuation for these athletes taking into account “the number of followers on each social media platform an athlete has” and “marketing dollars that brands and advertisers typically spend on each.”
Black sports stars are dominating the NIL market with 9 out of the top 10 athletes on the latest list from this demographic. Bronny James, LeBron James’ son, sits atop the list at $5.1 million, followed by Mikey Williams and Bryce Young at $2.6 million and $1.8 million respectively.
What’s Next:
Overall, NIL diversity is crucial for creating a more equitable and inclusive college sports landscape, where all athletes can feel valued and empowered to express their unique identities and experiences. The NIL market is still in its early stages, and much will depend on how universities, athletic conferences, and governing bodies choose to regulate the space.
Source: https://www.forbes.com/sites/korihale/2023/03/10/how-nil-diversity-is-driving-the-market-up-to-11-billion/