Memphis inks new sponsorship deal with FedEx to place ads in end zones

In April 2024, FedEx committed $25 million in NIL dollars to the University of Memphis over five years. Wednesday, the two sides announced a new sponsorship deal.

Memphis and FedEx agreed to “transition” toward a new agreement that will also place the FedEx logo in the end zones at Simmons Bank Liberty Stadium, starting with the season opener between the Tigers and Chattanooga. Learfield facilitated the deal through Tiger Sports Properties. Financial details were not disclosed.

SUBSCRIBE to the On3 NIL and Sports Business Newsletter

In addition, the sidelines will also feature the FedEx and leaping Tiger logos. That signage will also include the phrase, “Moving Memphis Athletics Forward. Together.”

“The University of Memphis has a deep appreciation for FedEx and its longstanding commitment to our institution and community,” said Memphis president Bill Hardgrave in a statement. “FedEx continues to further establish itself as a leading brand in the future of collegiate athletics. We look forward to seeing one of the world’s most iconic logos in our end zones this fall.”

Memphis and FedEx have a longstanding relationship. The company is based in Memphis and is one of the largest employers in the state of Tennessee, and founder Fred Smith was a longtime donor. He donated $50 million in 2023 to renovate Memphis’ football stadium.

“FedEx continues to be foundational to the success of Memphis Athletics,” said Tigers athletics director Ed Scott in a statement. “This forward-thinking partnership with one of the world’s most respected and recognizable companies enhances opportunities for our student-athletes, strengthens our athletics program and benefits the entire City of Memphis. This strategic shift positions Tiger Nation for long-term success in the ever-changing college athletics landscape.”

What Memphis, FedEx deal means in rev-share era

Memphis and FedEx are transitioning their deal while the revenue-sharing era in college athletics gets underway. Following House settlement approval, schools can now directly share up to $20.5 million with athletes, and many schools opted to move their NIL efforts in-house. As a result, universities have had to find new revenue streams to help offset costs.

By transforming its NIL arrangement and making it a sponsorship deal, Memphis will now have more resources to help with rev-share dollars. Revenue-sharing payments are also not subject to the NIL Go clearinghouse set up under the House settlement, which vets third-party deals worth more than $600.

Memphis is believed to be one of the first football programs to put ads in its end zones. The NCAA paved the way for on-field sponsorship in June 2024 in anticipation of the House settlement.