Race to Sponsor German National Team Rumbles On for Adidas and Nike

The Adidas vs Nike sponsorship row took a new turn this week as German football boot maker Adidas, the current official supplier to the German national soccer team, referred the dispute to an arbitration court. Nike has been trying to take over the contract for the sponsorship of the national team since we first reported the story last year (Read more here) and it looks like the final lines have been drawn for battle.

On one side is Nike, is the all-powerful American based conglomerate with billions of dollars of sales and a seemingly endless supply of cash to splash. Nike has reportedly offered a $660 million eight year deal plus $132 million in added benefits, taking the total to almost $800 million dollars, a staggering $100 million a year!

Across the frontline is Adidas, who have the home team advantage plus a current contract until 2011. Adidas has had to double its original offer to $29 million, which over the eight years would equate to a payout of $232 million.

$232 million - an amount that would tempt even our Football Boot Kings of Bling, but this would be an incredible $600 million less than the Nike offer. Which would you choose if you were the German team’s head honcho? It seems a no-brainer to us, but admittedly we do not know how much influence Adidas really has over its compatriots and how much patriotism will come into the decision.

The global power of Nike is sure to win this battle so expect to see the swoosh not the stripe adorning the German football kit from 2011.

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