What is NIL and Why Should Your Business Care?
If you have heard the term NIL thrown around over the past few years but were
not quite sure what it meant or whether it applied to your business, you are not
alone. Name, Image and Likeness (NIL) is the major factor in arguably the most
significant shift in college athletics history. It also creates a unique opportunity for
local businesses in Chattanooga.
What Exactly Is NIL?
NIL stands for Name, Image and Likeness. Since July 2021, the NCAA has allowed
college athletes to be compensated by businesses and brands for the use of their
name, image and likeness. In plain terms, a college athlete can now get paid to
promote your business, make an appearance at your store, post about your
product on social media, or represent your brand in an advertisement.
Before 2021, this was not allowed. Today it is not only allowed, it happens at
universities across the country, including right here at the University of Tennessee
at Chattanooga, where more than 300 Chattanooga Mocs across 17 sports are
ready and eager to partner with local businesses.
Why Local Businesses Consider NIL
Think of it as a hyper-local marketing tool, and one that outperforms traditional
influencer marketing by a wide margin. According to data from Opendorse, one of
the leading NIL platforms, college athletes average a 5.6 percent engagement rate
on social media compared to just 1.9 percent for traditional influencers. That is
nearly three times the engagement for the same investment.
The trust factor is just as compelling. 80 percent of fans say they are more likely to
trust recommendations from their favorite athletes compared to traditional
advertising or influencer content. Athletes are seen as authentic, trustworthy,
inspirational and relevant, qualities that are hard to manufacture and even harder
to buy through a standard ad campaign.
When a UTC athlete posts about your business, they are not reaching a national
audience of strangers. They are reaching their teammates, their classmates, the
students sitting next to them in class, and the fans who watch them compete right
here in Chattanooga. That is the difference between a billboard on the highway
and a personal recommendation from someone your customers already know and
trust.
What Do Typical NIL Deals Look Like for Businesses?
– Athletes promoting your business, product or service on social media
– Having an athlete appear at a grand opening or customer event
– An athlete becoming an ambassador of your business
– Using an athlete’s image in your advertising or marketing materials
The format is flexible and can be built around almost any budget, typically starting
around a few hundred dollars. Compensation does not have to be cash either,
goods and services are accepted forms of NIL compensation as well. You do not
need to be a large corporation to participate. Some of the most effective NIL
partnerships have been between college athletes and small local businesses: a
restaurant, a fitness studio, a car dealership, a barbershop.
There is also a community angle worth considering. Partnering with a UTC
student-athlete means investing in a young person who lives, trains and spends
time in Chattanooga. These are students who are part of the fabric of this city, and
businesses that support them build genuine goodwill with the broader UTC
community
How Does a Business Get Started?
The process is simpler than most people expect, and you do not have to figure it
out alone. The best first step is to reach out directly to UTC Athletics NIL Manager
Jalen Washington at [email protected] or (423) 425-2381. From there,
we will talk through what your business is looking for, what kind of partnership
might make sense, and which UTC athletes could be the right fit for your brand.
Once we have aligned on the basics, businesses are connected to Opendorse, the
NIL platform UTC Athletics uses to facilitate deals. Opendorse handles the
logistical side, including deal structure, documentation and payment, so there is
no guesswork on your end.
The process is accessible for businesses of any size. You just need to know what
you are trying to accomplish, and we will help you get there.
The Bottom Line
NIL has opened a door that did not exist before 2021. Local Chattanooga
businesses now have direct access to motivated, community-connected college
athletes eager to build their personal brands and support the businesses that
support them.
If you are a Chattanooga business curious about what an NIL partnership with a
UTC student-athlete could look like, reach out today. The conversation is free and
there is no obligation, just an opportunity to explore what is possible.
Jalen Washington NIL Manager, Chattanooga Athletics jalen-
[email protected] | (423) 425-2381
