Nike's Air Jordans Deal

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Nike signed Jordan to a five-year, $2.5 million deal in the mid-'90s. The payouts were calculated as a 5% royalty on gross revenue from the sales of Air Jordans. Ben: This structure was completely revolutionary and Nike wanted it that way. They thought we need to incentivize Jordan to build the dream here.

Nike — it’s perhaps the most iconic and most prolific brand of the modern era. On any given day, swooshes adorn the feet of more people on earth than any other footwear company — by a long shot.

If you read Shoe Dog or watched Air, you may think you know its history. But Shoe Dog ends in 1980, and Air… well let’s just say it’s an enjoyable piece of fiction. And it turns out (as always) that the real story is filled with far more drama, twists and business lessons than either of those works.

We’ve been wanting to cover Nike for a long time, and thanks to our LPs who voted to choose this episode it’s finally here. So lace up your Vaporflys, Air Maxes, Dunks or Jordans (or your Monarchs, hey we don’t judge), head out for a long run or walk and enjoy!

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