Author Topic: KU Added To FBI Addidas Probe  (Read 14534 times)

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Re: KU Added To FBI Addidas Probe
« Reply #50 on: April 11, 2018, 04:39:10 PM »
Kinda hard to understand due to poor writing, but yes. I'm sure it's both. And there are Excel workbooks out there that crunch the numbers and prove the profit zone. I'd bet mocat's life on it.

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Re: KU Added To FBI Addidas Probe
« Reply #51 on: April 11, 2018, 04:40:40 PM »
The bigger the brand and the prospect that is wearing your clothing, it's going to attract more eyes to it aka marketing/advertising.

It's like advertising/marketing 101 here:

http://www.businessinsider.com/under-armour-jordan-spieth-masters-win-2015-4

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Re: KU Added To FBI Addidas Probe
« Reply #53 on: April 11, 2018, 04:45:20 PM »
Kinda hard to understand due to poor writing, but yes. I'm sure it's both. And there are Excel workbooks out there that crunch the numbers and prove the profit zone. I'd bet mocat's life on it.

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You think there are a significant number of people who want to buy basketball shoes that buy adidas instead of nike because ku wears adidas?  Like enough to justify whatever adidas legally pays ku as well as all of these unofficial payments?

Who has played at ku and gone pro and signed w/adidas because of their ku experience and has gone on to be someone that influences people's shoe-buying choices?


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Re: KU Added To FBI Addidas Probe
« Reply #54 on: April 11, 2018, 04:48:46 PM »
Kinda hard to understand due to poor writing, but yes. I'm sure it's both. And there are Excel workbooks out there that crunch the numbers and prove the profit zone. I'd bet mocat's life on it.

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You think there are a significant number of people who want to buy basketball shoes that buy adidas instead of nike because ku wears adidas?  Like enough to justify whatever adidas legally pays ku as well as all of these unofficial payments?

Who has played at ku and gone pro and signed w/adidas because of their ku experience and has gone on to be someone that influences people's shoe-buying choices?
I don't keep tabs on such things, as I believe we should treat college sports as the semi-professional orgs they are. But reading between the lines, are you implying some sort of money laundering scheme between schools-->apparel cos.-->athletes?

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Re: KU Added To FBI Addidas Probe
« Reply #55 on: April 11, 2018, 04:50:22 PM »
After 20 seconds, I do see it seems Adidas signed Embiid.

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Re: KU Added To FBI Addidas Probe
« Reply #56 on: April 11, 2018, 04:51:22 PM »
And Wiggins. Check out Embiid's quote: https://www.si.com/nba/2014/07/16/joel-embiid-marcus-smart-sign-adidas-endorsement-rookies

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Re: KU Added To FBI Addidas Probe
« Reply #57 on: April 11, 2018, 04:55:38 PM »
I don't keep tabs on such things, as I believe we should treat college sports as the semi-professional orgs they are. But reading between the lines, are you implying some sort of money laundering scheme between schools-->apparel cos.-->athletes?

No.  I'm trying to figure out what motivates non-nike companies, and I suppose nike also to an extent, to invest so much in kids if the endgame is for the kids to pick (not guaranteed) the company when they can get a legal endorsement deal.  I suppose the answer could be that given how much a true superstar (Lebron, Jordan, Kobe) etc. could produce for a company, that spending money on all these kids is like buying lottery tickets.

I thought of Wiggins as being someone who'd have followed adidas' ku path to endorsement, and it looks like that isn't delivering the ROI.

https://www.sbnation.com/2017/8/18/16167498/andrew-wiggins-signature-shoe-adidas-timberwolves-karl-anthony-towns

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Re: KU Added To FBI Addidas Probe
« Reply #58 on: April 11, 2018, 04:57:47 PM »
And Wiggins. Check out Embiid's quote: https://www.si.com/nba/2014/07/16/joel-embiid-marcus-smart-sign-adidas-endorsement-rookies

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Sorry, referenced a different Wiggins thing before I saw this post.  But speaking to my skepticism of investing in college/pre-college kids for the prospect of getting them when they go pro, didn't Smart wear nike through his college career?

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Re: KU Added To FBI Addidas Probe
« Reply #59 on: April 11, 2018, 05:04:33 PM »
And Wiggins. Check out Embiid's quote: https://www.si.com/nba/2014/07/16/joel-embiid-marcus-smart-sign-adidas-endorsement-rookies

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Sorry, referenced a different Wiggins thing before I saw this post.  But speaking to my skepticism of investing in college/pre-college kids for the prospect of getting them when they go pro, didn't Smart wear nike through his college career?
Yes, but it's by no means a "slam dunk" for these investors. $90K isn't that much money. This is a land grab for the big dogs. These players are potential properties. At 90K, you can afford to whiff on dozens of players. It's simple speculation, in my view.

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Re: KU Added To FBI Addidas Probe
« Reply #60 on: April 11, 2018, 05:19:49 PM »
Yes, but it's by no means a "slam dunk" for these investors. $90K isn't that much money. This is a land grab for the big dogs. These players are potential properties. At 90K, you can afford to whiff on dozens of players. It's simple speculation, in my view.

Yeah, that's the lottery ticket theory.  But I'd almost think there'd be more value in buying $90K of actual lottery tickets than giving it to some of these kids who clearly will never sell a thing.  I had to look up now whether de sousa was even on ku or if he was just someone they were recruiting.

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Re: KU Added To FBI Addidas Probe
« Reply #61 on: April 11, 2018, 05:21:55 PM »
So, what's your theory, if not simple biz economics?

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Re: KU Added To FBI Addidas Probe
« Reply #62 on: April 11, 2018, 05:28:31 PM »
Adidas probably recoups most, if not all of that 90k before the kid ever leaves college. I mean if Adidas is funneling talent to Adidas schools, that probably goes a long way in securing future contracts/merchandising with those schools. Plus, since they are sending higher talent to those schools it stands to reason that that schools would see an uptick in successful sports, which would lead to a larger fan base and more tee-shirts sold.

So Adidas most likely got all of that investment back whether or not the kid makes it to the association. And if he does, then I'm sure Adidas probably got the kid or the kids handler to agree to future considerations should they someday be in the market for a shoe contract.

Seems like a no brainer, I dunno

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Re: KU Added To FBI Addidas Probe
« Reply #63 on: April 11, 2018, 05:44:11 PM »
So, what's your theory, if not simple biz economics?

That it must be worth giving up to $100k each to dozens (hundreds) of kids to route them to certain schools in order to have some perceived advantage in signing them as an eventual pro multiplied by the long shot chance they become a Lebron/KD type of market force. It doesn’t seem to me that math works, but it must unless i’m missing something.

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Re: KU Added To FBI Addidas Probe
« Reply #64 on: April 11, 2018, 05:47:23 PM »
Adidas probably recoups most, if not all of that 90k before the kid ever leaves college. I mean if Adidas is funneling talent to Adidas schools, that probably goes a long way in securing future contracts/merchandising with those schools. Plus, since they are sending higher talent to those schools it stands to reason that that schools would see an uptick in successful sports, which would lead to a larger fan base and more tee-shirts sold.

So Adidas most likely got all of that investment back whether or not the kid makes it to the association. And if he does, then I'm sure Adidas probably got the kid or the kids handler to agree to future considerations should they someday be in the market for a shoe contract.

Seems like a no brainer, I dunno

I’m skeptical that college sports, especially basketball, drives consumers’ decisions enough. When KSU was wearing Reebok and LA Gear, were regular EMAWs rocking those brands because of their love for the cats?

On that last part about agreements for future considerations, is the premise that the player/handler will be ethical on THAT deal?

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Re: KU Added To FBI Addidas Probe
« Reply #65 on: April 11, 2018, 05:47:38 PM »
So, what's your theory, if not simple biz economics?

That it must be worth giving up to $100k each to dozens (hundreds) of kids to route them to certain schools in order to have some perceived advantage in signing them as an eventual pro multiplied by the long shot chance they become a Lebron/KD type of market force. It doesn’t seem to me that math works, but it must unless i’m missing something.
Yeah, well, you don't have access to their books. If it didn't make financial sense, I gotta believe they wouldn't be doing this. These aren't mom-and-pop shops. They hire the best folks. Probs even a few from the Wharton School!

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Re: KU Added To FBI Addidas Probe
« Reply #66 on: April 11, 2018, 05:53:27 PM »
So, what's your theory, if not simple biz economics?

That it must be worth giving up to $100k each to dozens (hundreds) of kids to route them to certain schools in order to have some perceived advantage in signing them as an eventual pro multiplied by the long shot chance they become a Lebron/KD type of market force. It doesn’t seem to me that math works, but it must unless i’m missing something.

Yeah, well, you don't have access to their books. If it didn't make financial sense, I gotta believe they wouldn't be doing this. These aren't mom-and-pop shops. They hire the best folks. Probs even a few from the Wharton School!

Ok, rather than continued bbs speculation, I’ll work on getting the books and confirm it myself.

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Re: KU Added To FBI Addidas Probe
« Reply #67 on: April 11, 2018, 06:08:01 PM »
Adidas probably recoups most, if not all of that 90k before the kid ever leaves college. I mean if Adidas is funneling talent to Adidas schools, that probably goes a long way in securing future contracts/merchandising with those schools. Plus, since they are sending higher talent to those schools it stands to reason that that schools would see an uptick in successful sports, which would lead to a larger fan base and more tee-shirts sold.

So Adidas most likely got all of that investment back whether or not the kid makes it to the association. And if he does, then I'm sure Adidas probably got the kid or the kids handler to agree to future considerations should they someday be in the market for a shoe contract.

Seems like a no brainer, I dunno

I’m skeptical that college sports, especially basketball, drives consumers’ decisions enough. When KSU was wearing Reebok and LA Gear, were regular EMAWs rocking those brands because of their love for the cats?

On that last part about agreements for future considerations, is the premise that the player/handler will be ethical on THAT deal?

I doubt consumers are buying a shoe bc their favorite college basketball team wears it, but they'll buy the tee shirts. As for the future considerations... I'm sure they find a way to get some leverage...I don't know anything about it but if it were me I would probably frame it as the money is given as a loan with some completely ridiculous interest rate with the condition that the loan would be forgiven so long as the kids agrees to never sign an endorsement with any of their competitors

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Re: KU Added To FBI Addidas Probe
« Reply #68 on: April 11, 2018, 06:15:50 PM »
As for the future considerations... I'm sure they find a way to get some leverage...I don't know anything about it but if it were me I would probably frame it as the money is given as a loan with some completely ridiculous interest rate with the condition that the loan would be forgiven so long as the kids agrees to never sign an endorsement with any of their competitors

And the kid could tell the company to eff off should he want to sign with a competitor, as the company can’t  enforce the so-called loan agreement. It’s entirely is based on some trust factor between the two.

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Re: KU Added To FBI Addidas Probe
« Reply #69 on: April 11, 2018, 06:17:16 PM »
KU/Adidas make their nut on literal T-Shirt fans. It's a business partnership. I don't know how this is so hard to figure out.

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Re: KU Added To FBI Addidas Probe
« Reply #70 on: April 11, 2018, 06:21:32 PM »
As for the future considerations... I'm sure they find a way to get some leverage...I don't know anything about it but if it were me I would probably frame it as the money is given as a loan with some completely ridiculous interest rate with the condition that the loan would be forgiven so long as the kids agrees to never sign an endorsement with any of their competitors

And the kid could tell the company to eff off should he want to sign with a competitor, as the company can’t  enforce the so-called loan agreement. It’s entirely is based on some trust factor between the two.

Why couldn't they enforce it? If they issue a loan, even if the terms are absurd, if the kid or the kids legal guardian signs it then what is to keep Adidas from calling in the agreed upon loan?

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Re: KU Added To FBI Addidas Probe
« Reply #71 on: April 11, 2018, 06:28:30 PM »
As for the future considerations... I'm sure they find a way to get some leverage...I don't know anything about it but if it were me I would probably frame it as the money is given as a loan with some completely ridiculous interest rate with the condition that the loan would be forgiven so long as the kids agrees to never sign an endorsement with any of their competitors

And the kid could tell the company to eff off should he want to sign with a competitor, as the company can’t  enforce the so-called loan agreement. It’s entirely is based on some trust factor between the two.

Why couldn't they enforce it? If they issue a loan, even if the terms are absurd, if the kid or the kids legal guardian signs it then what is to keep Adidas from calling in the agreed upon loan?

The laws that the FBI are enforcing now.

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Re: KU Added To FBI Addidas Probe
« Reply #72 on: April 11, 2018, 06:35:24 PM »
Really a little disturbing to see how some of our TSC friends are reacting to this.

Particularly towards Keitzman.

Really takes the luster off of  :tsc:


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Re: KU Added To FBI Addidas Probe
« Reply #73 on: April 11, 2018, 06:38:38 PM »
They had to try and find an advantage somewhere to keep up with us.  Their inferiority complex really got the best of them. :frown:

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Re: KU Added To FBI Addidas Probe
« Reply #74 on: April 11, 2018, 06:40:07 PM »
Huh. So an amateur athlete is good at basketball... And in a completely unrelated incident the kids parents decide to purchase some merchandise from Adidas and opt to use in-house financing to finance the purchase, so Mom and Dad bought a $90k "one of a kind collectors item" and then if Adidas financial services LLC requires the terms of loan be repaid then the FBI can say sorry Adidas it is illegal of you to require them to pay this back?