Madison Reed bets on women’s sports with UConn basketball partnership

The latest women’s college sports deal comes with a splash — of color.

The University of Connecticut has struck a deal with beauty brand Madison Reed in a wide-ranging partnership that includes court-naming rights; name, image and likeness deals; and career development opportunities.

Exact terms of the deal were not disclosed, but the partnership is in the multimillion-dollar range, according to Madison Reed.

As part of the deal, Madison Reed will sponsor UConn’s Gampel Pavilion and XL Center with court-naming rights for the next three years. The school’s men’s and women’s basketball teams play in these venues.

The company has also signed NIL deals with four UConn women’s basketball players: Paige Bueckers, Azzi Fudd, Ice Brady and Morgan Cheli. As part of their arrangement, the players will act as brand ambassadors and have agreed to wear Madison Reed color in their hair throughout the span of the deal.

Madison Reed, founded in 2013, makes in-home and salon hair color. Its products are sold nationwide at Amazon, Ulta Beauty, Target and Walmart.

Madison Reed founder and CEO Amy Errett, who attended the University of Connecticut and now sits on the board of the UConn Foundation, said the deal is extra meaningful for her. The sponsorship marks the first female and grad-founded brand to gain court-naming rights at UConn.

Errett said it’s important to shine a light on women athletes and help create opportunities for them both on and off the court.

“I have a thesis that male athletes kind of get set up — they have car dealerships, they have all sorts of things that happen. That doesn’t happen for female athletes, so we wanted to be the first company that gave them an opportunity,” Errett told CNBC.

But she also sees it as good business as Madison Reed looks to capture the market of women 18 to 44 — 78% of whom color their hair, the company says — by appealing to fans of women’s sports.

UConn’s men’s and women’s basketball team have a combined 17 national championships. The women’s team is led by star guard Bueckers, who’s playing in her senior season and is expected to be the top draft pick in next year’s WNBA draft.

“We’re going to get a lot of eyeballs on the court,” Errett said.

As part of the NIL deal, Madison Reed will also provide the athletes with mentorship opportunities, internships for class credit at UConn and opportunities to franchise a Madison Reed Hair Color Bar in the future.

The four players named in the deal will also receive cash and equity in Madison Reed.

“For us, it’s holistic,” Errett said. “We’re trying to set them up to run businesses later on if they choose to and we’re saying our success at Madison Reed translates through your equity being worth more money.”

Hall of Fame coach Geno Auriemma, who is entering his 40th season as head coach for the UConn women’s basketball team, said he’s a big supporter of the deal for the attention it brings to his program.

“Partnerships like this with Madison Reed are so important as they propel awareness for women’s sports on a larger scale, while elevating the teams and the athletes who are getting the recognition they rightfully deserve,” Auriemma told CNBC in an email.

While each NIL deal differs with the athletes, the most high profile one will be with Bueckers, who kicked off the partnership by going from blond to sparkling rose using Madison Reed ColorWonder dye.

The UConn senior has been known for her long, blond locks, but she said she’s actually not a natural blonde.

“I’ve been a proud wearer of hair color since I was in eighth grade,” Bueckers tells CNBC.

Bueckers said she’s all about trying new things and finds it fun to experiment with different hair colors. She noted that her favorite color is purple, so she might give that a shot.

She said she’s excited to promote the brand and keep fans guessing about her hair color — and she may even offer fans the chance to vote on colors.

Bueckers also said she’s not against convincing Auriemma to give it a shot.

“I just hope it inspires kids and inspires other people to just not be afraid, to be yourself, express yourself in different ways,” she added.