NIL Deals: A Game-Changer for Collegiate Athletes

On June 30, 2021, governing bodies in all three divisions of the NCAA adopted a uniform interim policy suspending name, image, and likeness (NIL) rules for all incoming and current college athletes. 

Student-athletes may now pursue financial opportunities relating to the commercial use of their name, image, and likeness without the risk of losing their collegiate careers and scholarship eligibility.

Under past NCAA rules, college athletes could not endorse products or services, even if unpaid, and they could not receive payments through similar opportunities capitalizing on their fame. 

Now more than three years into allowable NIL activity, a lot is still unclear on the long-term impact for the athletes, the sports, and the NCAA. 

Numerous universities across the country have established Name, Image, and Likeness collectives to assist athletes in securing endorsement and employment opportunities. Here are a few ways college student-athletes can leverage their popularity: 

  • Endorsement Deals: These deals can include social media promotions, public appearances, and traditional advertising. While they often focus on products related to the athlete’s sport, they are not limited to these areas.

  • Social Media and Online Content: Collegiate athletes can leverage their substantial social media followings to monetize their presence. By promoting brands, creating sponsored content, partnering with other influencers, and earning advertising revenue from platforms like YouTube, Instagram, and TikTok, athletes can generate significant income. 

Note: an athlete’s NIL value depends on the extent of his or her popularity and the size of the market in which they live. And that the amount of money from NIL activities is not enough to put the vast majority of college athletes on track to become millionaires.

  • Autographs and Personal Appearances: Athletes can now be compensated for signing autographs and making public appearances at events. They can also charge for training sessions, camps, and clinics, or be compensated for their time when coaching at such events on behalf of the organizers.

  • Merchandise Sales: Previously, collegiate athletes were restricted from selling merchandise. Now, they can create and sell their own branded items, such as clothing lines, using their name, image, and likeness, significantly enhancing the potential value of these ventures.

Athlete Examples

High-profile athletes like LSU gymnast Livvy Dunne and Georgia quarterback Carson Beck are securing significant NIL deals, highlighting the financial opportunities available to college athletes. 

For a local example, the Creighton University NIL Store, powered by Campus Ink, provides officially licensed merchandising opportunities for every Creighton University student-athlete. The store features a variety of products, including personalized names and numbers for applicable athletes. 

What’s Next 

The NCAA’s changes have opened numerous doors for collegiate athletes to explore various opportunities. However, athletes must remain mindful of each NCAA member institution’s NIL policies, which may include restrictions on certain endorsements. Additionally, states are enacting their own NIL laws, which can vary in terms of what is allowed and how it is regulated.

Collegiate athletes now have to be knowledgeable about both state laws and institutional policies. While athletes can be compensated for coaching and teaching, they cannot receive payment specifically for athletic performance or enrollment at a particular institution. NIL compensation must be tied to legitimate business activities. With careful and prudent approaches, these activities can help athletes develop business and marketing skills, build their personal brand, establish professional connections, and earn money along the way. 

The business of NIL deals continues to alter college sports, with top recruits like Bryce Underwood flipping commitments to Michigan based on lucrative NIL offers.

As the landscape continues to evolve, institutions, athletes, and their families will need to stay informed and adaptable to maximize these new opportunities.

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