Deshaun Watson # 4 of the Houston Texans runs the ball while Justin Houston # 50 of the Indianapolis Colts attempts to attack during the game at Lucas Oil Stadium on December 20, 2020 in Indianapolis, Indiana.
Michael Hickey | Getty Images
Nike has suspended its endorsement of Houston Texans quarterback Deshaun Watson, the company told CNBC on Wednesday.
“We are deeply concerned about the disturbing allegations and have suspended Deshaun Watson. We will continue to monitor the situation closely,” Nike said in a statement.
The first woman to accuse Watson of sexual misconduct while receiving private massages spoke publicly on Tuesday. Ashley Solis said she suffers from “panic attacks, anxiety and depression” due to Watson’s alleged sexual assault in March 2020. She requested that Watson be held accountable for his alleged behavior.
Watson and attorney Rusty Hardin have denied the allegations, saying the allegations stem from a failed blackmail attempt. The National Football League quarterback has been charged with sexual misconduct in lawsuits filed by 22 women, all represented by attorney Tony Buzbee.
The Houston police department tweeted Friday that it opened a criminal investigation after filing a complaint against Watson.
With Watson’s off-field problems, his other sponsors like Apple’s Beats by Dre brand should soon respond.
“Brands are in a difficult situation right now,” said Scott Rosner, academic director of Columbia University’s sports management program. “Clearly there will be public pressure, as there usually is in such cases to formally disassociate with the athlete. And it is likely that some will. Others will make a statement expressing concern but reiterating their belief. in the legal process “.
A Beats by Dre representative did not immediately return any requests for comment.
Will the race play a factor?
Rosner, an expert on branding strategies, agreed in comparing Watson’s problems with former NFL star Michael Vick and Pittsburgh Steelers star Ben Roethlisberger.
Those top-level NFL quarterbacks were at their best, but they suffered legal issues off the field. The brands reacted differently.
In Vick’s case, he pleaded guilty to dogfighting and the endorsers dropped him. But Roethlisberger was twice charged with sexual misconduct in 2009 and 2010. He was never charged in either case and settled with the victim who accused him of rape.
Pittsburgh Steelers quarterback Ben Roethlisberger # 7 passes the ball in the first quarter of the game against the Indianapolis Colts at Heinz Field on December 27, 2020 in Pittsburgh, Pennsylvania.
Joe Sargent | Getty Images
But brands, including Nike, remained with Roethlisberger despite the allegations. Roethlisberger was suspended four games for violating the NFL’s personal conduct policy, which Watson could also face even if he avoids criminal charges.
“It’s a proper and fair question to ask,” Rosner said of the career that plays a factor in determining Watson’s situation with the brands. Roethlisberger is white and Watson is black.
“It’s hard to know the impact of race in this particular case or in the case of Roethlisberger,” Rosner added. “But overall, I think we can say that race is usually a conscious or unconsciously considered factor. It’s an obvious difference between the two cases. We’ll see if it entails a different treatment.”
Is marketing damaged?
Watson, 25, is expected to earn $ 10 million for next season. He signed a four-year extension worth $ 156 million ($ 73 million guaranteed), starting in 2022, raising his salary to $ 35 million that season. He is represented by the agency Athletes First.
But whether he will be in Houston is the question. Watson requested the negotiation before beginning his legal problems. Rosner said brands should take that into account as well.
Like Roethlisberger, if Watson overcomes bad publicity and shifts to a larger, more attractive market club, moving away brands could open doors to competition.
“The difficulty of falling: you get points immediately in the public opinion court, but if the allegations are proven to be false or if they are not justified, it is likely that a competitor will approach and sign the athlete with an agreement that Therefore , there is a certain risk, “Rosner said.
But Watson’s marketing has been a success. And in a social media climate, Rosner said brands that want to maintain endorsements with Watson should worry about moving forward.
“I would have, as a brand, a certain fear of continuing the relationship,” Rosner said. “But at the very least, suspend any kind of relationship and come out with a strongly worded comment, at the very least.”
Correction: This story has been updated to reflect that Solis led to Watson’s sexual assault in March 2020.