Tiger Woods’ former agent, Hughes Norton, has gone ahead and disclosed several details about the 82-time PGA Tour winner’s sponsorship deals with golf brands in 1996.
In his autobiography “Rainmaker,” Norton explained how he employed various statistics to ensure Woods secured the most favorable terms from sponsors.
The agent contemplated pursuing deals with two major sports brands instead of entertaining interest from multiple apparel companies.
Consequently, he opted to negotiate deals with Nike for apparel and Titleist for Woods’ golf equipment.
In his initial meetings with Steve Miller, Nike’s director of sports marketing, Norton quickly realized that the brand had overlooked the golf division, indicating their interest in this sector.
Additionally, Nike needed a star player as they had a track record of collaborating with top athletes from various divisions, including Tennis.
Norton saw this as the best timing to secure a significant deal for Tiger Woods with the brand.
Hughes Norton said (via Golf Digest):
“I put my cards on the table: ‘Here’s a generational talent with charisma and global appeal who will instantly rocket Nike Golf into the big leagues … but it’s going to cost top dollar.”
The super agent initially asked for $50 million and some lucrative bonuses over five years to sign Woods. According to him, this was a fair deal, given that American Tennis player, Andre Agassi, was receiving $5 million a year as part of his sponsorship deal. However, after negotiations, Norton and Steve settled on a counteroffer of $40 million for a five-year commitment to Nike.
In addition to the Nike deal, Titleist also signed Woods, offering $20 million for five years. They assured the 15-time major winner that they would provide him with the best clubs.
While Woods received the alluring deals thanks to Norton’s efforts, there was an attempt made by the founder of Nike to compromise this agreement.
Nike’s Founder Attempted to Deal Directly With Tiger Woods
Norton was successful in closing a $40 million Nike deal for Tiger Woods, but something unexpected happened after the contract was finalized. Phil Knight, the founder of Nike, attempted to sabotage the deal by trying to remove Norton from the negotiations.
Nike even sent an executive to Woods’ residence in California with a proposal to bypass the agent and sign directly with the brand, aiming to save the 20% commission fee. Fortunately, Woods’ father, Earl Woods, declined the offer and promptly informed Norton of the situation.
Earl Woods said:
“I told the guy no. I told him to go back and tell Phil Knight it’s important for me to be able to trust someone, and Hughes Norton is that guy.”
It is important to note that Nike and Woods eventually formed a partnership that lasted nearly 27 years before the golfer decided to end the collaboration earlier this year. It is evident that Hughes Norton helped Tiger Woods acquire some of the most lucrative deals of his career that made the golfer the billionaire that he is today.
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Source: USA Today
