Liverpool FC has officially commenced its highly anticipated new kit partnership with Adidas, a deal poised to significantly boost the club’s already impressive financial standing. This landmark agreement marks the third collaboration between the historic Premier League club and the global sportswear giant, signaling a new era for Liverpool’s commercial endeavors and merchandising revenue.
The Reds’ history with Adidas dates back to two prior periods: an initial eleven-year partnership from 1985 to 1996, followed by a six-year return between 2006 and 2012. More recently, Liverpool had a five-year agreement with Nike, an arrangement that, while substantial, is now being eclipsed by the potential earnings from their latest Adidas kit deal.
Under the previous Nike contract, which ran from 2020 to 2025, Liverpool secured a base deal worth £30 million annually. However, the true profitability for the club far exceeded this figure, largely due to a lucrative clause allowing them to retain 20% of royalties from merchandise sales. This model proved incredibly successful, with Liverpool earning an astounding £122.8 million from the Nike partnership in the 2023–24 season alone.
Initial reports circulating within the football finance world had suggested that Liverpool’s new decade-long agreement with Adidas could potentially double the value of their previous Nike contract, hinting at figures around £60 million per year. Such projections ignited considerable excitement among fans and financial analysts alike regarding the club’s future financial trajectory.
However, while the exact financial details of the new Adidas kit agreement remain confidential, insiders indicate that the Reds are set to earn substantially more than the widely reported £60 million. The ultimate sums are intrinsically linked to various performance metrics, including team success on the pitch and the overall global sales of Liverpool FC merchandise, introducing dynamic variables to the partnership’s value.
Ben Latty, Liverpool’s chief commercial officer, shed light on the complexities of such deals, emphasizing the club’s unique merchandising strategy. Unlike many competitors who outsource these operations, Liverpool manages its merchandising business entirely in-house. This autonomy, as Latty explained, allows for greater flexibility and control, contributing significantly to their record kit sales year on year with Nike.
Latty further elaborated that the competitive landscape for kit suppliers was intense, but Adidas emerged as the preferred partner due to their flexible approach. Adidas’s willingness to allow Liverpool to maintain its successful in-house merchandising model, provided it doesn’t adversely impact their business, was a key factor in securing the new kit agreement, ensuring the club could continue its growth strategy.
The transition to the new Adidas kit agreement wasn’t entirely seamless, as Liverpool was compelled to utilize last season’s home and away shirts during their initial four pre-season friendlies. Nevertheless, with the official commencement of the Adidas partnership and the unveiling of the eagerly awaited new kits, the Reds are now set to proudly don their new home jersey in upcoming high-profile matches, marking a tangible beginning to this lucrative partnership.
