Nike is easily the biggest name in the world of sneakers. Ranked as the number one apparel brand globally with a value of around $33 billion, it currently has almost 80,000 employees. This makes it one of the most powerful brands in the industry. With this incredible influence, the Beaverton-based company has been able to purchase competitors like Converse. They have even created their own sub-brands that are iconic in their own right, including the legendary Jordan Brand.
Made in partnership with Michael Jordan, Air Jordans that have proven immensely popular since they were first introduced in 1985. However, many people still aren’t sure whether Jumpman was a company that existed before Nike, or whether it was new. If you’ve found yourself pondering this very question, then we have all of the answers that you need down below!
Simply put, Jordan Brand did not exist as its own company before it was created by Nike. In fact, it’s a sub-brand established by the Swoosh in collaboration with MJ. This means that Nike did not buy Jordan, and actually made created it from scratch.
However, it’s important to note that, while Nike do have exclusive rights to the Jordan name, every time they use it they must pay His Airness royalties. This deal, which was struck up in 1984, was the most expensive deal at the time at $2.5 million. When Air Jordans first released, the American sportswear giant’s goal was to make $3 million within the first three years. However, within just one year, they managed to rake in $126 million!
Considering Nike only planned to work with the Black Cat for five years, many people still wonder if this contract has been extended. The answer is yes. And when you consider just how much money he has managed to make through the deal, this shouldn’t come as much of a surprise.
As a result of his enduring contract with Nike, MJ has been able to bring in more than $1 billion, and these profits are not likely to slow down any time soon. Jordan Brand trainers are still immensely hyped, and even almost 40 years later, they continue to sell out within seconds of release.
The Jumpman logo, which was first introduced all the way back in 1988, is owned by Nike. This iconic graphic came a bit later into the deal, and has since become just as recognisable as the Swoosh.
People are surprised to learn that the logo isn’t owned by Mike, especially considering it’s a direct representation of him. It’s also interesting to note that he was actually wearing a pair of New Balances when dunking, and not the Air Jordan 1 that you’d expect.
One of the main reasons why Jordan Brand has proven so profitable is simply because of their inherent celebrity endorsement. When the sneakers first released, their association with Michael Jordan was massive, because he was total superstar at the time.
They also perfectly balance form and function. Not only are they fashionable and aesthetically-pleasing, they’re also some of the best basketball shoes that you can buy today.
Even after almost four decades, Nike’s Jordan Brand is still stronger than ever. Though the original contract, signed in 1984, was only supposed to last for around five years, it has proven to be astronomically successful and profitable, and continues to bring in millions every single year.
At this point, it’s unlikely that Michael Jordan will ever part ways with the Swoosh, so make sure you keep it locked at Captain Creps for all of the latest drops, and follow us over on Twitter to catch all of the hottest restocks!
