The move announced this week ended a relationship between Mbappé and Nike that began when the Frenchman was just a child and spanned some 20 years. Now, the Real Madrid forward becomes the great figure of On’s arrival in football, a bet that includes the launch of its first boots for this sport in 2027.
And there is a fundamental difference compared to a conventional sponsorship: Mbappé will also have a shareholding in On.
The financial details of the agreement were not officially revealed. Reuters confirmed that the contract combines cash and stock components, while sources later cited by specialized media indicated that Nike would have put on the table a base remuneration similar to that of On. Participation in the company would have been the differentiating element of the Swiss proposal.
That is, On did not want to limit himself to paying Mbappé to use his boots. The company offered him the possibility of earning from the growth of the brand itself.
The Federer model that now comes to football
The strategy is not completely new for On. In 2018, Roger Federer ended his 24-year relationship with Nike and, a year later, became a shareholder in On. The former tennis player also participated in product development and ended up creating his own line, THE ROGER.
The result made Federer a figure much more linked to the company than a simple ambassador. His shareholding grew alongside On’s expansion and helped establish a model that the company now intends to transfer to football.
With Mbappé, the bet is even more ambitious.
On wants the Frenchman to participate in the development and testing of its products, contribute his experience as a footballer and help define the identity of a division that is practically starting from scratch. The company has also appointed Thierry Henry as director of football and is working on developing its first boots, using technologies such as LightSpray.
The idea is that Mbappé is not only the face of On Football, but one of the faces of the construction of that business.
From Federer to Mbappé: On’s formula
The comparison with Federer is important because it explains what the Swiss company is trying to do.
Instead of competing solely with sports giants through big advertising contracts, On is trying to incorporate its top athletes into brand development. It currently has around 300 agreements with athletes, including Iga Swiatek, Ben Shelton and other prominent names in athletics and tennis.
The arrival of Mbappé takes that strategy to another level.
Football is a much larger and more competitive market than On’s original niche. Nike and Adidas historically dominate the category, while Puma also has an established presence. Reuters points out that On intends to launch its first boots in 2027 and use Mbappé as a central figure in that expansion.
For a company known primarily for its running shoes, landing the captain of France and one of the biggest stars in world football before even launching its first boots is a statement of intent.
The stock market reacted to the signing of Mbappé
The impact did not remain in the sporting field.
After the agreement was announced, On Holding shares rose around 5% in pre-opening operations in the US market, although the movement subsequently moderated. The company, however, still accumulated a drop of more than 40% in the year, amid the difficulties that the sporting goods sector is going through.
Analysts interpreted the move as a bid to find new avenues for growth. Citi, for example, noted that Mbappé’s arrival could expand On’s potential market beyond running, while Evercore ISI described the foray into soccer as a direct challenge to Nike and Adidas.
On comes to football at a time when it needs to find new areas of expansion. The company has managed to grow strongly in running and has subsequently entered disciplines such as tennis, but football represents an opportunity on a completely different scale.
Nike loses one of its great figures
For Nike, Mbappé’s departure has a considerable symbolic dimension.
The Frenchman began his relationship with the company when he was around nine years old and ended up becoming one of the main faces of Nike Football. For almost two decades he starred in campaigns, used the brand’s boots and built a good part of his international image alongside the American giant.
The American company has also recently suffered other significant losses in the soccer market. Lamine Yamal left Nike to become one of the figures of Adidas, while Nike maintains contracts with other big stars such as Erling Haaland and Vinícius Júnior.
Mbappé’s departure, therefore, does not mean that Nike stops being a football giant. But it does represent the loss of one of its most recognizable names just as a much smaller brand tries to enter its territory.
The real deal for Mbappé
The difference is in what can happen if On manages to replicate in football some of the success achieved in running and tennis.
With a traditional contract, Mbappé would have received a fixed amount in exchange for representing Nike or any other company. With a shareholding, your relationship with On is linked to the future value of the company.
It’s a formula reminiscent of the path followed by Federer and, on a much larger historical scale, the model that turned Michael Jordan’s partnership with Nike into a true brand within the company.
The comparison with Jordan should be taken as a business model reference, not as an economic equivalence: the terms of Mbappé’s agreement with On have not been made public.
What is clear is that On did not sign Mbappé solely to sell boots. He signed him to enter football with a world star, give him participation in the project and make him part of the construction of a new brand.
Nike had Mbappé since he was a child. On wants to have him as a partner while he builds his future in football with him.
And that difference may be the most important part of this signing.
