At the 1996 US Amateur, a relatively unknown 19-year-old called Steve Scott was giving Tiger Woods the match of his life. 2UP through 33 holes, Scott holed a ten-footer for par on Pumpkin Ridge’s 16th, but in order to do so, he’d needed Woods, who had a six-footer for birdie, to move his ball marker.
After retrieving his ball from the hole, Scott began to walk in the opposite direction, but it dawned on him to look back. Woods was about to place his ball in front of the marker, without moving it back to its original spot. Putting from here would incur a two-shot penalty and a loss of the hole, meaning Scott would be crowned US Amateur champion, denying Woods a historic three-in-a-row to go with his three successive US Junior Championships.
But that wasn’t Scott’s style. He called out the now immortal words: “Hey Tiger, you need to move your marker back.” And the rest is history. Back went the marker and in went Woods’ birdie putt. He’d roll in another from 35 feet to tie the match on the next, and eventually take victory on the second playoff hole.
Wearing a ‘US Amateur’ emblazoned hat, an IZOD polo-shirt and non-descript khaki trousers, it would be the last time in 27 years that Woods would be seen on a golf course without a Nike logo – even in Ryder and Presidents Cup appearances, he’d wear Nike footwear.
The following day, Woods turned professional, signing a $40 million, five-year contract with Nike, instantly becoming one of the wealthiest golfers on the planet. Scott wouldn’t turn pro until he graduated in 1999, by which time Woods was a Masters winner, about to win his second Major at the PGA Championship, was the number one ranked golfer in the world, and one of the most recognisable athletes on the planet.
And that’s why Nike were willing to break the bank to make Woods their highest paid golfer and, in subsequent renewals, extend the endorsement value to well beyond what Michael Jordan had ever received in outright value.
His contract extension in late 2000 was for $100 million over five years, the next took us through 2012 at an even higher rate-per-annum, and his latest deal, which began in 2013, was worth $200 million for 10 years.
It’s hard to picture Woods without the ‘swoosh’ logo, and it’s been a partnership that has served both sides well. Tiger’s iconic chip-in at the 2005 Masters was the kind of marketing that can’t be bought, as his Nike golf ball came to a virtual standstill at the edge of the cup, swoosh logo facing the camera, before eventually dropping in.
“In your life, have you seen anything like that?!” #MastersRewind pic.twitter.com/UAYNd1Vv1F
— The Masters (@TheMasters) April 11, 2020
At the 2019 Masters, with Woods contending for and ultimately winning his 15th Major Championship, the TV cameras were trained on him for hours on end, images of him with eyes closed and arms raised were on the back pages of just about every newspaper – and many front pages – and footage was aired on just about every news feed all over the world. The brand exposure that Nike received on that day alone was estimated to value $22 million, and it will continue to pay dividends for years to come.
And in addition to the vast sums of money Nike paid Tiger, they were one of the few sponsors that stuck with Tiger when his extra-marital affairs became public knowledge in late 2009 and stood by him again when he was arrested for driving under the influence in 2017.
But Nike withdrew from the equipment side of the business in late 2016, allowing Woods, Rory McIlroy, Brooks Koepka, and several other high-profile players to become free agents with their club and ball deals once again, though remained contracted to wear Nike apparel. Woods signed with TaylorMade in a 13-club deal and opted to go with Bridgestone’s ball.
But with his contract due to expire at the end of the year, the rumour mill has been in overdrive that Woods and Nike are going to part ways. When asked about it during the recent PNC Championship, Woods twice gave non-answers, saying he was “still wearing their product,” and refusing to be drawn further into what the future may hold.
The drip feed along the grapevine seems to think that Greyson may be the frontrunners. Formerly the Senior Vice President at Ralph Lauren, Charlie Schaefer left to set up his own company and Justin Thomas was the first high-profle player to begin sporting Greyson apparel. This followed Thomas being axed by Ralph Lauren itself following a hot-mic incident that saw him draw flak for making a homophobic slur.
Further to that, Tiger’s son Charlie was sporting Greyson clothing at the PNC Championship and though he’s not listed as a Greyson ambassador on the brand’s website, the company did post several pictures of him on their social channels.
Thomas took an equity stake in the company as part of his contract and, should Woods opt to join his friend at the company, it’s highly likely that he’ll also take equity in the company.
If you’re wondering why, then look no further than Roger Federer, who was once a Nike stablemate of Woods’. Federer moved to Uniqlo for clothing in 2018 in a $300 million deal, tripling his Nike endorsement revenue without having a ‘no retirement’ clause included, and also took a 3% equity stake in On Running, for his footwear. A couple of years later, partly due to the increased exposure Federer provided, On Running went public and was valued at $10 billion, meaning Federer’s share is worth $300 million.
So, leaving Nike, who were reportedly willing to pay him $7 million a year, has seen Federer boost his net worth by approximately $600 million.
Ending their partnership with their longest serving golfing ambassador could also signal Nike’s intent to move away from golfing apparel altogether, or it may be because Woods has decided to follow Federer’s lead and capitalise on his own marketing and brand-pushing value.
Either way, having been synonymous with the brand for more than a quarter of a century, seeing Woods without the accompanying ‘swoosh’ logo would take some getting used to.
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