Tiger Woods during the pro-am as a preview for the Hero World Challenge at Albany Golf Course in Nassau on November 29, 2023.
David Cannon | Getty Images
Tiger Woods’ 27-year partnership with Win reached its end. The golf superstar announced the news in a statement Monday on social media platform X.
“Phil Knight’s passion and vision brought this Nike and Nike Golf partnership together and I want to thank him personally, along with the Nike employees and the incredible athletes I’ve had the pleasure of working with along the way.” Woods wrote.
Mark Steinberg, Woods’ longtime agent, told CNBC that the golfer made a business decision not to renew with Nike.
The announcement came after months of speculation that the two would split. Nike confirmed the news Instagram with a photo of Woods in his iconic red polo, saying: “It was hell.”
In a statement, the company said: “For over 27 years, we have had the honor of working with Tiger Woods, one of the greatest athletes the world has ever seen. Throughout our partnership, we have witnessed along with the rest of the world, how Tiger not only redefined the sport of golf, but broke barriers for the entire sport. We’ve watched him break records, challenge conventional thinking and inspire generations of people around the world. We are grateful to have been a part of him and wish him the best in the future.”
There is no word yet on Woods’ plans for a future endorsement deal. But he said on social media: “There will definitely be another chapter.”
Some recent speculation about Woods’ next chapter points to On Running, the Swiss brand that tennis great Roger Federer joined in 2019 after leaving Nike.
Marc Maurer, co-CEO of On Running, addressed the speculation Monday at the ICR Retail Conference in Orlando. “We’ve also heard the rumours, so it’s always interesting what’s out there, hopefully Tiger will find a great new mate and it won’t be us,” he said.
Golf equipment maker TaylorMade, with which Woods, 48, has been associated since 2017, could be another potential landing spot for the 15-time major winner.
Analysts do not expect much impact with the news as rumors of Woods’ departure have been circulating for months.
“We continue to believe that the company has endorsements with some of the greatest athletes in the world, and we would expect that trend to continue for the foreseeable future,” said Brian Yarbrough, Nike analyst for Edward Jones.
Nike has been quietly active in golf for years as it hasn’t been a huge money maker for the brand. In 2016, the Oregon sportswear manufacturer announced it would stop making golf equipment altogether.
However, Woods brought significant exposure to the Nike brand. And, over the course of his career, Woods earned $500 million from “the swoosh.”
Eric Smallwood, founder of Apex Marketing, estimates that when Woods makes four rounds, he gives Nike $2 million to $4 million in exposure.
Likewise, when Woods traded his Nike shoes for FootJoy shoes at the 2023 Masters, he gave the brand $3.2 million in exposure.
Woods provides even more exposure to Nike than a LeBron James because of the pace of play in golf compared to basketball, he said. “Golfers have a longer lifespan,” Smallwood said.
– by CNBC Gabriel Fonrose contributed to this report.
This is a developing story. Check back for updates.