There was a time when Michael Jordan was trying to establish himself as a force to be reckoned with in the 80s. Similarly, Vince McMahon was trying to do the same with the wrestling business and established WWF. Jordan’s legacy and his Bulls dynasty run came to light thanks to the Netflix documentary. And for pro wrestling fans, the latest documentary ‘Mr. McMahon’ tried to showcase the record-breaking highs and crushing lows under the mogul’s controversial reign.
With the ongoing federal investigations, Vince McMahon’s net worth took a massive hit in the Forbes list. Previously, he had to resign from his CEO’s position and also forfeit his certain shares. Hence, when the Forbes list came out earlier this year, the reason for Michael Jordan’s ascension and claiming the number 1 spot was mainly because of the sale of the majority shares.
MJ sold his stake in Charlotte Hornets, and the deal valued the franchise at $3 Billion. Not to forget the royalty cheques from Nike, continue to increase. The Jordan brand in 2024 was successful in breaking the $7 Billion in revenue. And Michael Jordan is estimated to earn 5% in royalty from his deal with the athleisure brand which he signed in 1984.
His Airness’ first contract was only worth 500,000 per year, plus royalties. At the time, it was an unprecedented deal, not only in terms of value for a rookie, but also because of the structure of the deal. Even though Nike wasn’t Michael Jordan’s first choice, the match was supposed to happen, and it did. Setting a blueprint not only for the NBA athletes but for any person across the globe about how to make the most of the sponsorship deal.
Polls of the day
Who do you think has had a bigger impact on sports entertainment?
Who do you think had the most impactful moment in the game?
Do you think Jeanie Buss should have handled the Dan Hurley situation differently?
Yes, she should have been more transparent
No, she did the right thing
Not sure, but it’s a mess
Which Central Division team has the best chance to dominate this season?
Deep Dive into Michael Jordan and Nike contract
Before Nike, MJ had his eyes set on becoming a Converse star. But they already had Larry Bird and Magic Johnson as their poster boys. So for the company taking a risk on Michael Jordan felt unnecessary. Plus, offering the rookie more money or any preferential treatment over the legends would set a wrong precedent.
Similarly, Adidas was unwilling to spend more than Nike on the 6x NBA Champion. Gary Stokan, the man who nearly signed Michael Jordan to Adidas, wrote a marketing plan and even upped the offer to 2.6 million. However, the senior executives didn’t feel viable to enter the US market, and they continued their focus on the European market.
Ultimately, it was Michael Jordan’s mom who convinced him to at least hear the pitch from Nike. And from there on they have achieved success as Nike stands on top over Adidas and Converse. Interestingly, in 2003, Nike bought Converse for approximately $300 million. And as per the latest reports, the global revenue of Converse (Nike’s affiliate brand) amounted to about $2 billion. Which is less than Michael Jordan’s net worth.
“Stay tuned for more such updates and join us for the exciting second episode of the “Dual Threat Show” as our host BG12 sits down with Georgia Bulldogs star and Mountain West All-Freshman Team Selection, Asia Avinger.”
