While Under Armour has been on a hot streak in terms of rising sales numbers, its biggest athletes on the other hand are having a hard time capturing the glory of the big games and tournaments, as pointed out by the financial media site, TheStreet.
Last night, one of UA’s most high-profile names at the moment, Stephen Curry lost to LeBron James and the Cleveland Cavaliers in the final game of the NBA Championship. Not only did the current MVP underperform in the series, but he and the rest of the Warriors also allowed the Cavs to become the first team ever to overcome a 3-1 deficit to win an NBA title. Going down UA’s roster, New England Patriots’ star quarterback, Tom Brady took an ‘L’ in the AFC game earlier this year against the Denver Broncos and an aging Peyton Manning. Cam Newton also lost to the Broncos in Super Bowl 50. He has a five-year deal with the Baltimore-based brand. On the greens, Under Armour golf athlete, Jordan Spieth placed 39th at the most recent U.S. Open and was unable to capture a repeat championship win in this year’s Masters tournament. Finally, Washington Nationals’ star player Bryce Harper, who just signed a contract extension with UA, isn’t performing as well in the current 2016 season compared to last year’s MVP season.
Sports business analyst Matt Powell of the NPD Group says, “Brands need athletes performing at a high level in their products to give them authenticity and credibility — I think Under Armour has achieved that.” However, in the recent streak of losses dealt to the company’s most recognizable athletes, there’s a chance consumers might lose interest in the brand. With LeBron James now in the limelight for winning his first championship at Cleveland, Nike’s performance basketball products should see a boost in sales and could have a negative impact on Under Armour’s figures, especially in the off-season. Sound off in the comments below if you think the Under Armour curse exists.
