National team: The background to the million dollar deal with Nike

National soccer team

The background to the million dollar deal with Nike

As of: 08:29 a.m. | Reading time: 3 minutes

By Tobias Altschäffl, Christian Falk, Berries Boßmann, Heiko Niedderer

“If the offers were really so far apart, the DFB was required to do something new.”

The DFB will change its supplier and will play with Nike instead of Adidas from 2027. The contract with the US sports manufacturer is scheduled to run until 2034. “What I don’t understand is that the DFB is once again unable to present what is actually positive news in a positive way,” says Pierre Littbarski, 1990 soccer world champion, on WELT TV.

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The German national soccer team is changing supplier for the first time. From 2027 it will no longer be equipped by Adidas, but by Nike. Anyone who knows the numbers can hardly be surprised by this decision.

The news triggered a tremor in the DFB. After more than 70 years, the German Football Association will be equipped by Nike and no longer by Adidas from January 1, 2027. The new contract with the US sports giant, which is supposed to pay 100 million euros per year, runs for eight years until December 31, 2034. The shock of the news has now been digested in Herzogenaurach. The most important questions and answers about the deal with the new supplier and Adidas’ plans

Which teams does Adidas want to take over now?

The two top nations France and Brazil are considered big targets, and the Nike contracts for both expire in 2026. Brazil in particular would be an absolute prestige jersey for Adidas. The record world champion has been outfitted by Nike since 1996, the French since 2011.

How many suppliers have applied to the DFB?

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A total of around ten companies are said to have bid, including all common top brands such as Puma. But Nike’s offer was by far the best.

“Adidas and Nike are strong brands. Not even the DFB can destroy it.”

The DFB will change its supplier and will play with Nike instead of Adidas from 2027. The contract with the US sports manufacturer is scheduled to run until 2034. “The DFB has been in the red for a long time on the brand account,” says Christoph Hildebrand, managing director of Busch Markenberatung, on WELT TV.

Source: WELT TV / Nele Würzbach

What did Adidas really offer?

Adidas currently pays around 50 million euros per year. In the new offer, which CEO Bjørn Gulden presented to the DFB in Frankfurt last Wednesday, the amount could have been increased minimally. It is said to have been in the region of 55 million euros per year, but was linked to performance factors. Around ten million per year should be distributed based on success.

How did Nike’s presentation go?

Nike boss John Donahoe flew in from the USA and also presented in person. The CEO impressed the DFB bosses with his enormous knowledge of German football.

When was Adidas informed about the Nike award?

20 minutes before the official press release, which was published last Thursday at 4:24 p.m.

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Who negotiated the deal at the DFB?

DFB President Bernd Neuendorf, Dr. Holger Blask, Chairman of the Management Board, and Treasurer Stephan Grunwald (38) were involved. Blask was in charge, having already been able to increase revenue from rights allocations in the DFB Cup and women’s football.

How bad is the DFB really?

The DFB is financially struggling. The reasons: the expensive campus in Frankfurt (200 million euros in construction costs, 18 million in annual operating costs), the ineffectiveness of the national team with an annual budget deficit of 19.5 million euros. There is also a dispute with the tax office. For 2006, 2014 and 2015, the DFB was deprived of its tax-advantaged non-profit status.

What about the other major sponsors like VW?

Volkswagen is the second largest sponsor of the DFB and advertises with the logo on the training shirts, among other things. According to information from this editorial team, they would like to extend the contract, which expires in the summer. The car group now offers 20 million euros per year instead of the previous 28 million.

Why did the Nike deal fail in the past?

Former DFB manager Oliver Bierhoff (in office from 2004 to 2022) once became a bogeyman because he wanted to bring Nike to the DFB. Bierhoff now says: “In November 2006, Nike asked me to make an offer to the DFB. As an employee of the DFB, I was pleased that the association had received such an offer.” The offer was said to have amounted to 500 million over ten years. At that time, the association was concerned with loyalty to its partner Adidas; there was no tender.

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The text was researched for the Sports Competence Center (WELT, SPORT BILD, BILD) and first published in SPORT BILD.

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