Caesars Entertainment Inks Landmark 15-Year Deal with Raiders

J. Burroughs
November 01, 2018 - 3:43 pm

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The first domino has fallen in what should be a landslide of new revenue and influence for the future Las Vegas Raiders, as they sign the massive Caesars Entertainment as the team and stadium’s first founding partner, the company and the team announced this morning.

The lucrative partnership includes a branded stadium entrance and drop off zone, digital signage, media, radio and print assets in addition to alumni, player and cheerleader appearances at Caesars properties and events. It is not associated with stadium naming rights which are still in the works, sources say.

“The Raiders are proud to welcome Caesars Entertainment as a founding partner of Las Vegas Stadium,” said Marc Badain, President of the Raiders in a press release announcing the deal. “We are honored to align with a company that shares the Raiders’ values of improving the local community and delivering exceptional customer service in creating this transformative project.”

The agreement is also historic in that it involves a deal between the NFL team and a gaming company – the first of its kind for both entities. It will provide perks for Caesars Entertainment customers and Total Rewards loyalty club customers with exclusive game experiences and access for some to the team’s 50-yard line luxury suite. The release also said it would include VIP dinners on the field of the $1.8 billion stadium, exclusive training facility access, stadium tours, a fantasy camp experience, and tickets to games.

“Sports have long been a core part of the Caesars experience,” said Chris Holdren, Chief Marketing Officer for Caesars Entertainment. “With this deep partnership, Caesars will become an essential part of the game time ritual for Raiders fans everywhere. From activations to exclusive experiences, fans of the silver and black will see Caesars as their home on game day.”

The Raiders are expected to reap a windfall in new revenue streams as a result of the team’s new stadium just off the Las Vegas Strip. The team has struggled over the decades in a decaying stadium in Oakland that lacks the luxury boxes and club areas that are lucrative for NFL teams with newer, more modern stadiums. In addition to the founding partner’s revenue, the team could also reel in over $300 million for the naming rights to their new stadium. Those deals, although spread out over usually a 20 to 30 year period, also provide new revenue to the team. The Atlanta Falcons recently signed a $324 million deal with Mercedes-Benz for the naming rights of their new stadium.

The ability of the Raiders to create these new revenue streams has already increased the value of the franchise two years removed from their actual relocation to Nevada. According to Forbes, the team is the 19th most valuable franchise having risen 13-percent in just one year since securing the financing of the new stadium. The Raiders, who had the lowest operating income in the NFL last season, are expected to rise even more as they approach the opening of the stadium in 2020.

Be sure to check out Silver and Black Today every Sunday at 8 a.m. on CBS Sports Radio 1140.