Sports merchandise powerhouse Fanatics announced a long-term, multifaceted partnership on Monday, July 25, with The University of Alabama. Of note, the comprehensive partnership will allow the university to capitalize on Fanatics merchandising platforms to create, promote and distribute Alabama merchandise featuring the name, image and likeness (NIL) of current Crimson Tide student-athletes.

“Fanatics has been one of Alabama Athletics’ top partners for more than a decade, and this new deal elevates our relationship to new heights,” said Greg Byrne, Alabama’s director of athletics.

Fanatics plans to open The Authentic later this year, a store within the University of Alabama’s Bryant-Denny Stadium featuring an assortment of student-athlete NIL merch, among other products.

Fanatics’ new partnership with The University of Alabama spans multiple categories, including primary licensee rights for fan apparel and headwear, e-commerce, stadium retail, physical and digital trading cards and collectible rights. The merch retailer was already operating the official e-commerce destination for the Alabama Athletics Department and has consistently ranked as a top-selling licensee for Crimson Tide merch.

With Monday’s deal, Fanatics expands significantly into the burgeoning NIL space – made possible after the NCAA last year reversed a longstanding, controversial policy against student-athletes receiving compensation following a Supreme Court decision.

As a cornerstone of the fresh partnership with Alabama, Fanatics will launch The Authentic, the first-ever retail team store to be opened inside Bryant-Denny Stadium at the university. The store is expected to launch during the upcoming 2022 college football season and will feature an assortment of officially licensed team apparel and student-athlete NIL merch, including customized Nike player jerseys, customized name and number T-shirts, headwear, official game-used memorabilia and on-demand trading cards from Topps.

The retail space will also create engagement opportunities for student-athletes to provide autographed memorabilia, conduct fan meet-and-greets and do social media marketing to support sales of their merch.

“Fanatics’ comprehensive service offering across multiple product categories was key to delivering on the university’s expectations for an elevated fan and commercial experience,” said Derek Eiler, executive vice president of Fanatics College. “The University of Alabama has high expectations for fan experience and engagement, so by creating a one-stop shop to address all the university’s needs, we were able to align on a transformative partnership to make a profound impact on Alabama Athletics.”

Under the new arrangement, Fanatics will also obtain exclusive rights to become Alabama’s primary apparel and headwear licensee across several retail distribution channels. The company’s in-house apparel division will design, manufacture and distribute an expanded selection of licensed apparel and headwear for fans. Together with the university and licensing agency CLC, Fanatics will support an assortment of additional authorized direct licensees across multiple product categories. However, the university will retain the right to manage licensing via CLC for the campus and local market in Tuscaloosa, AL, which is currently serviced by several in-state licensees and retailers.

The NCAA’s policy reversal allowing NIL profits offers potential opportunity for promotional products distributors and apparel decorators with experience in the collegiate market. Earlier this year, for example, Campus Ink, an Urbana, IL-based apparel decorator, got an investment from billionaire Mark Cuban to boost its nascent NIL division. At the time, Campus Ink had already helped University of Illinois student-athletes earn tens of thousands of dollars in merch sales through its NIL Locker Room launched last September. The decorator planned to share its model with athletes and universities around the country.