How much does it cost to have naming rights to a stadium?

How much does it cost to have naming rights to a stadium?

Stadium Name Sponsor Avg. $/Year
Alltel Stadium Alltel Corp. $620,000
American Airlines Arena American Airlines $2.1 million
American Airlines Center American Airlines $6.5 million
America West Arena America West $866,667

What are stadium naming rights?

But as sports professionals know, stadium naming rights are more than just the physical act of putting a brand on the side of the arena. These names can shape communities, and they can be huge revenue drivers for the sponsored brands.

Why do companies pay to name stadiums?

A big advantage of sponsoring a stadium is being able to have countless opportunities to promote the company. When a professional sporting team hosts a playoff competition in a stadium named after a corporation, it leads to increased recognition of the company name.

How long are naming rights deals?

About ninety-five percent of all sports facilities constructed since 1990 have a naming rights deal.” The price ranges from $4 million to over $200 million, with terms of the agreements ranging from five to thirty-one years.

What is the highest amount paid for naming rights for a stadium?

The iconic Staples Center will be renamed arena in December. The crypto exchange is paying $700 million for the naming rights. That’s nearly double the $375 million that it cost to build the arena in 1999. These crypto companies aren’t messing around.

How much does SoFi pay for naming rights?

SoFi Stadium naming-rights deal to total $625M by end of contract.

What is an example of naming rights?

Naming Rights In fact, 26 of the 32 stadiums for the NFL are branded. Some examples would be: Naming a college library, collection of books or art, swimming pool or dining hall. Naming a ward or treatment center in a hospital.

How much did Mercedes Benz pay for naming rights?

$324 million
Having agreed to a 27-year, $324 million deal for the naming rights at the Atlanta Falcons’ new stadium that went live in 2016, Mercedes opted against extending its contract for the Superdome and allowed it to expire on 15th July.

What are the benefits of stadium naming rights?

Globally, naming rights contracts have substantially increased in popularity since the 1980s. As many stadiums or arenas now host multi-sport competitions and often serve as a stage for concerts, venue-naming rights can present an excellent opportunity to expose brand names to a diverse customer base.

Why do companies pay for naming rights?

Benefits of Naming Rights The biggest benefit to purchasing the naming rights to an arena or event is the increase in visibility. Whenever the named property gains any media attention, the company’s name is automatically attached to that property.

How much does Staples pay for naming rights?

AEG Sells Staples Center Naming Rights to for $700M.

How much did AT pay to sponsor Cowboys stadium?

ESPN’s Darren Rovell tweeted on Thursday that AT will, according to sources, pay as much as $19 million annually to put its name on the Cowboys’ stadium. The billion-dollar venue will be rebranded AT Stadium.

What are stadium naming rights deals?

A Brief History & Explanation A stadium naming rights deal is “‘a transaction in which money or consideration changes hands in order to secure the right to name a sports facility.’”

What was the first corporate naming rights deal in college athletics?

The first corporate naming rights deal in college athletics was in 1980, where Syracuse University partnered with Carrier to name the university’s new football and basketball facility the “Carrier Dome.”

What happened to San Jose State University’s corporate stadium naming rights?

San Jose State University also reached a stadium naming rights deal in 2016 by partnering with Citizens Equity First Credit Union on a 15-year, $8.7 million total agreement to name the university’s football stadium “CEFCU Stadium.” [103] As far as corporate stadium naming rights transactions are concerned, 2017 proved to be an active year.

Why do college athletic departments partner with corporate entities for stadium naming?

However, college athletic departments have opened towards partnering with corporate entities on stadium naming rights agreements to generate additional revenue instead of exclusively donors. [6] The purpose of this article is to shed some light on the relatively new phenomenon of corporate naming rights for college athletic facilities.