NBA strikes major multi-year PepsiCo deal

14 April 2015 | Posted in Sponsorship, Basketball, North America, | By David Cushnan

NBA strikes major multi-year PepsiCo deal

The National Basketball Association (NBA) has confirmed a major multi-year deal with PepsiCo, ending the league's 28-year relationship with Coca-Cola.

PepsiCo will become an official marketing partner of the NBA, the Women's NBA, the NBA D-League and USA Basketball. The deal will kick in next season.

"Uniting the passionate fans of the NBA with the power of PepsiCo's food and beverage brands is a slam dunk for the league and for our company," said PepsiCo chairman and chief executive Indra Nooyi, who said that the company's 22 brands would be promoted through the partnership.

The NBA has had a relationship with PepsiCo brand Gatorade stretching back over 30 years, but this is a significant expansion on previous agreements. No financial details were made available.

"The NBA has established itself as one of the most exciting and innovative sports leagues in the world," Nooyi added. "We look forward to working together to redefine the meaning of sports marketing partnership by taking the fan experience to new heights."

In the USA, Mountain Dew will be the lead brand, with a series of community and fan initiatives planned, notably an expansion of the NBA's three-on-three basketball programme. Aquafina, PepsiCo's water brand, will support programmes around youth, health and wellness.

In China, meanwhile, PepsiCo partner Tingyi, China's largest soft drink manufacturer, has acquired the rights to promote its Master Kong brand.

"We're honoured to partner with PepsiCo - a company with a terrific global vision and a reputation for engaging with premium sports and entertainment programming," said NBA commissioner Adam Silver. 

"For the NBA, a comprehensive food and beverage company like PepsiCo offers endless opportunities for collaboration. We can't wait to get started."

Coca-Cola, which confirmed its new multi-year sponsorship of Major League Soccer (MLS) on Monday, said in a statement that it will 'continue to have a strong presence within basketball culture through our relationships with iconic players'. LeBron James is amongst the marquee names Coke counts amongst its endorsers.

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