Why long-term NIL strategies are a must for female college athletes

When the United States Supreme Court unanimously sided with former college players in American Athletic Conference et al. v. Alston et al., in 2021, it put a stop to a decades-long precedent of preventing players from receiving payments for their name, image and likeness (NIL).

Furthermore, interim policies set by the NCAA helped bolster women’s sports and formed a landscape in which college athletes have more autonomy and unlimited earning potential. NIL prestige remains highest while in college for women, as there can be a huge falloff once a player graduates or pursues a professional career.

Let’s review the data and trends driving this phenomenon and discuss why and how female athletes can make important strategic decisions that can protect their post-college plans.

Women’s college sports are breaking records

Women’s collegiate sports are more popular than ever. An August 2023 volleyball match’s attendance broke a world record for international women’s sports, when 92,003 fans filled Nebraska’s Memorial Stadium to see the five-time NCAA champion Corn Huskers shut out Omaha 3-0. The prior record-holder for attendance was a UEFA Women’s Champions League soccer match in April 2022, witnessed by 91,648 fans.

More and more positive momentum is occurring off the field for women, as well. In 2022, NIL technology company and marketplace Opendorse reported that though football generated half of all NIL compensation, more women’s sports comprise the overall top 10. At number three, women’s basketball was the highest-ranked of its kind.

The prestige is also reflected on an individual level. A 2020 study conducted by AthleticDirectorU.com and the marketing firm Navigate Research found that 13 of the 25 college athletes with the greatest endorsement potential were women. Further, they earned annual endorsements as high as $466,000.

The terms of these deals and others are not always disclosed, but the message is clear that liberalized NIL laws are beginning to level the college playing field among men and women.

In April 2024, On3.com, which tracks NIL developments, ranked LSU gymnast Olivia “Livvy” Dunne as the highest-compensated female in college athletics, with a NIL valuation of $3.7 million and a combined social media following of 13.2 million; this marks respective increases of $500,000 and 1.2 million followers since October 2023. The All-American gymnast is valued as the third-highest NIL-valued college athlete in the U.S., behind USC basketball phenom Bronny James and Colorado University football star Shedeur Sanders. The pinnacle of Dunne’s NIL endorsements has been featured in Sports Illustrated’s 2024 Swimsuit edition and memorable TV campaigns for American Eagle and Vuori performance joggers.

What’s noteworthy, however, is that Dunne is the most followed female in college athletics with a social media following five times that of Sanders, and 43 times as many as the next-highest valued player.

Dunne’s LSU peer in basketball followed in the top rankings, with Flau’jae Johnson valued at $1.2 million and 3.3 million followers.

All players should be able to earn what they are worth, but women – and especially those in team sports – should forge strategic relationships with agents, lawyers and brands while in college, since they may have a much tougher time than men in maintaining the financial momentum after they enter the professional arena.

The costs of maintaining the momentum in post-college play

Making the leap from college to professional athlete is incredibly difficult in itself. While all athletes face challenges of tougher competition and mindset changes, unique hurdles emerge for female athletes in post-college play in the form of business dynamics.

On the business side, women’s professional sports leagues and teams today do not have the same brand visibility as college teams. The numbers historically do not support the talent, since professional women’s teams are still developing their own brands and franchises.

The most recent example occurred on April 1, 2024, during the Elite Eight showdown between the Iowa Hawkeyes and Angel Reese’s LSU Tigers. The game set the all-time ratings record for women’s college basketball, according to ESPN, with more than 12 million people tuning in to watch the much-hyped rematch of 2023’s national championship game. This marked a boost of more than 2 million from 2023. ESPN boasted this year’s audience of 12.3 million as its “most-watched college basketball game.”

The ratings are quite impressive, especially when compared to its professional counterpart. The Iowa/LSU rematch’s television audience was 13 times greater than the most-watched WNBA Game 4 Final on record – the 2023 WNBA Finals between the Las Vegas Aces and N.Y. Liberty, which attracted 889,000 viewers.

This macro-perspective influences the other numbers that tell the rest of the story.

According to Clutchpoints, the highest salary in WNBA history is $242,000 annually. It is also certainly worth noting that the minimum NBA salary is $1.1 million. As mentioned above, many collegiate players are already faring as well thanks to NIL endorsements, and in some cases, better than their professional counterparts. Unfortunately, without the familiar University logo on their jersey, and with partially filled stands, they have a tougher time justifying their prior NIL rates once they join professional teams. Caitlin Clark became the number one overall pick of the Indiana Fever and will make $76,535 in her first season of the WNBA. Doing some quick math, the number one pick in the NBA will get $10 million. The highest-paid WNBA player checks in at a squeak under $250,000, while the NBA’s highest-paid player makes more than $50 million. Sports lawyers can work with college athletes to help secure maximum compensation for their talent and protect their long-term interests with endorsement and brand deals to add to their salaries.

The leagues and brands are trying to build franchises now, in contrast to NCAA teams with legacies and generations of homegrown and dedicated fans. This is not to suggest the WNBA cannot achieve greatness, but this uphill battle in the grab for fans and ratings is indicative of what many professional women’s sports teams and athletes will encounter.

When other instincts kick in

Furthermore, women pursuing a career in sports must contend with the timeless challenge of balancing personal and family lives with the demands of their profession. Some athletes might want to start a family and become mothers, which could mark the final appearance for some, or simply a long pause.

For example, a pregnancy will bench any WNBA player for at least one season (which runs from May to September), and regaining the strength and conditioning needed for the next season might take a backseat to family and motherhood.

Unlike many desk-bound workers, athletes cannot simply compete via Zoom calls while raising a family in the next room. With the right help and creative collaborations, they could segue their NIL interests into other markets, such as family, maternity and lifestyle. Their agents and lawyers should facilitate these dialogues and negotiate favorable terms while the NIL momentum is surging.

Charting a new path with NIL

This new era of licensing in sports is already providing women with earning potential unlike any other time in sports history, and it is about time. Similar to entertainers, more female athletes may be able to emulate Dunne and improve their NIL value due to potential fashion deals, modeling opportunities, and spokesperson opportunities.

Athletes should seek legal guidance in order to successfully navigate this critical intersection of education, sports and media law. By arming our athletes – and particularly our young women – with our knowledge on contracts and strategic planning, they can shift the paradigm toward a more equitable sports and financial landscape.