Contracts between brands and athletes have been a staple in professional athletics as long as there have been stars to promote. Branded footwear truly took off when Michael Jordan came into the picture. A contract between Jordan and Nike signed before Jordan\u2019s rookie season in 1984 began a rich and industry-changing move that defines the market to this day. But that \u201cJordan Brand\u201d collaboration nearly never happened.<\/p>\n
Even though Jordan played in Converse during his University of North Carolina days, being sponsored by Adidas was his goal. All the other big-name NBA players were with Adidas<\/a> \u2013 Magic Johnson, Larry Bird, Dr. J and Mark Aguirre, to name a few. With those contracts already in tow, Adidas could not offer Jordan a special edge like Nike could.<\/p>\n At the time, Nike needed a boost. At the beginning of 1984, the company reported its first-ever quarterly loss<\/a>. The Olympics in Los Angeles did not move the needle enough for Nike, so Jordan was the main target.<\/p>\n Nike was desperate to get Jordan, but Jordan did not have much interest in the brand. He was tired from his college basketball season and the Olympics and did not want to take the flight to Nike headquarters in Oregon. But Jordan\u2019s agent talked the rookie\u2019s parents into going with their son. With Jordan in the room, Nike went all-in, offering him $500,000 per year in cash for five years<\/a>, way over the $100,000 per year Adidas\u2019 stars were getting.<\/p>\n Jordan went back to Adidas to see if they could match, but with the other stars already on contract, they did not have the wiggle room. Another company called Spot-Bilt actually offered Jordan the most money, but Nike showed they were willing to adapt to Jordan\u2019s likes. That is how Jordan settled on Nike.<\/p>\n But there was a catch \u2013 Jordan had to live up to the hype in his professional career to get his full contract. With a Rookie of the Year campaign, Jordan ensured his connection with Nike would be long-lasting.<\/p>\n Jordan wore the first Nike Air Jordan shoe on Oct. 15, 1984<\/a>, but three days later the NBA banned them since they did not match the uniform scheme because they were red and black. The Air Jordan I was the first Jordan shoe to roll out in stores at $65 per pair the following March, and Nike\u2019s revenue spiked \u2013 by the end of the year, the Air Jordan franchise itself garnered more than $100 million in revenue<\/a>.<\/p>\n