Business

Tiger’s $110m ad tale

Like his wife, Tiger Woods’ sponsors have a reason to kick him to the curb, but so far they’re standing by their man.

Woods has given marketers a wedge to get out of their endorsement contracts after admitting yesterday to “transgressions” and personal behavior that “let his family down.” Woods has been caught up in a media maelstrom since a bizarre car accident led to accusations of marital infidelity.

Although the world’s highest-paid athlete may demand more latitude, marketers said most contracts have a “morality clause” that allows brands to terminate endorsement deals with sports stars and celebrities who go astray.

“It’s at the brand’s discretion whether to activate that morality clause,” said Kevin Adler, president of Engage Marketing, a sports-marketing firm. “If there is material damage to the athlete as a brand and therefore collateral damage to the brand partner, the company has the option to terminate the contract.”

Sports promotional pros said for some marketers there is simply too much at stake to immediately bounce Woods.

Nike, for instance, has built most of its golf business on Woods’ endorsement and pays him more than $30 million a year.

“Nike supports Tiger and his family,” the company said in a statement. “Our relationship remains unchanged.”

Marketing experts said they expect it to stay that way unless new allegations emerge or the story takes a more damaging turn.

No doubt Woods’ agent is making the rounds of his endorsement partners to reassure them that another shoe isn’t about to drop.

So far, Woods’ marketing partners, who collectively pay him more than $110 million a year to tout their products and services, are sticking with him. Most sponsors, including Gatorade and Gillette, have issued statements declaring their support.

Marketing pros expect his brand partners to play down their relationship with him until the scandal blows over.

“I don’t think they will be running as many TV spots of Woods,” said Jarrod Moses, chief executive of United Entertainment Group, a branded entertainment firm that also pairs companies and celebrities. “At the same time, they are not going to invest the time in kicking him off signs or taking his products off shelves.”

Sponsors dumped NBA star Kobe Bryant, NFL quarterback Michael Vick and swimming champ Michael Phelps after they were accused or caught committing an illegal act. Woods’ alleged infidelity, however, falls into a gray area for marketers.

Marketers said it is Woods’ performance on the golf course — not his squeaky clean personal image over the past three decades — that has driven most of his success as a celebrity endorser.

“If this incident impacts his ability to focus on the game, he may suffer from longer-term endorsement issues, but if he plays well, this will hopefully be a short-term bump in the road,” said Ann Green, a senior vice president at marketing research firm Millward Brown. holly.sanders@nypost.com