Branding the World of Sports

Archive for January, 2010

Companies advertising in the 2010 Super Bowl

Posted by ZA on January 29, 2010

CBS sold spots for close to $3 million dollars for 30-seconds for the 2010 Super Bowl.  Did the $3 million dollar price tag deter many advertisers?  Some of the old guard, like General Motors and Pepsi dropped out, but there are still plenty of companies who want their chance in-front of the Super Bowl’s huge television audience.  Homeaway and kgb are two lesser known companies that will advertising during the 2010 Superbowl in hopes to build their brand.

Here are the companies that will be airing television commercials during the 2010 Super Bowl on CBS:

Boost Mobile (Sprint)
Denny’s Restaurants
Diamond Foods (Pop-Secret popcorn)
Dodge (Chrysler Group)
Focus on Family (Christian family-help organization)
kgb (directory assistance)
Mars (Snickers)
Papa John’s Pizza
TruTV (Time Warner)
US Census Bureau
Viacom & Paramount Pictures (“Shutter Island”, “Iron Man 2” and “The Last Airbender”)

Posted in CBS, NFL, Sports Television | Tagged: , , | Leave a Comment »

Will Tim Tebow’s beliefs hurt his endorsement potential?

Posted by ZA on January 27, 2010

A good article from AdAge on how Tim Tebow’s appearance in a television commercial for a Christian group might negative affect his long-term potential as endorser.  The communication expert they quote in the article says that appearance will “dramatically shorten the window of opportunity”.  I think it will have little impact on his success as a pitchman.  What will decide whether he is a big endorsement star?  How well he plays in the NFL and what city he winds up playing for.  If Tebow becomes a similar star in the NFL to what he was in college football, then he’ll quickly become one of the top 10 endorsement stars among athletes.  If he is the next coming of Ryan Leaf then he’ll continue to pitch for niche Christian groups and car dealerships in North Florida.  Success on the field will be the deciding factor for Tebow’s NFL endorsement potential.

Posted in NFL | Tagged: , | 1 Comment »

Turkish Airlines signs Man U & Barca

Posted by ZA on January 22, 2010

Someone at Turkish Airlines should be getting a pat on the back this week because they signed two huge sponsorship deals.  The airline from Turkey signed up soccer powerhouses Manchester United and Barcelona in the same week.  Man U is the most recognizable team in the English Premiere League; Turkish Airline will become Man U’s “official carrier” replacing Air Asia.  Barca is the Spanish Premiere League Champions and another of the sports brands on the globe.  Turkish Airlines should greatly increase exposure for their brand in continental Europe and around the globe with these two deals.

Posted in Soccer, Sponsorship Deals, Sports Brands | 1 Comment »

Top sponsors for Summer & Winter Olympics

Posted by ZA on January 19, 2010

The International Olympic Committee (IOC) has a group of “Top” sponsors that commit to support the Olympics for 4 years (one Summer Olympics & one Winter Olympics).  Below are the top IOC sponsors for the 2010 Vancouver Winter Olympics and the 2012 London Summer Olympics:

Current Olympics Top Sponsors (Vancouver 2010 & London 2012):
Atos Origin
General Electric

Each of these companies pay close to $100 million, in cash or in-kind services, to be a Top sponsor for the Olympic Games.  The IOC will pull in close to $1 billion dollars from these sponsors in Vancouver and London.  Many of these companies sponsored the 2006 Winter Olympics and 2008 Beijing Summer Games as well.  Adidas, Manulife Financial and Volkswagen were 2008 sponsors who dropped, while Acer and Atos Origin are new for the 2010 Games.

Here is the list of Top sponsors from the official Olympic site.

Posted in Olympics, Sponsorship Deals, Sports Brands | Tagged: , , , , , | Leave a Comment »

Adidas launches Star Wars themed collection

Posted by ZA on January 18, 2010

Nice opportunity for Adidas to tap into the hardcore Star Wars fan market.  Passionate Star Wars fan are going to buy and wear the gear, which should generate some strong revenue and brand awareness for Adidas.  My only question is will Adidas or Nike be the first to cut the same type of deal with Star Trek, everyone knows those Trekkies have huge buying power.

See the new Adidas Star Wars clothes and shoes.

Posted in Adidas | Tagged: , | Leave a Comment »

Government dollars being spent for Superbowl commercial

Posted by ZA on January 18, 2010

A good article from AdAge on the dilemma faced by America car makers, who were bailed out by the US government, when trying to decide whether to advertise in the Superbowl.  Ford and General Motors are sitting out again, but Chrysler has bought a commercial in the 2010 Superbowl.  That decision by Chrysler has brought some criticism by people who think they are wasting taxpayer money by shelling out $3 million for 30 seconds of air time.

It’s a bold move by Chrysler, and the right move for them to get the attention of their core market for their Dodge Charger.  The ultimate success will be determined by whether they are able to sell cars as a result of the Superbowl commercial.  So there is a lot riding on the creative for this Superbowl spot.  But more importantly, there will be a lot riding on whether Chrysler developed a great car.  The best advertising in the World, to the biggest audience (the Superbowl) won’t matter if the car sucks.

The controversy will die quickly if they hit their mark with the spot and sell a lot of cars as a result of it.  The lesson here: don’t count on other people to bail you out and then you never have to worry about asking them for permission.

Posted in NFL | Tagged: , , | Leave a Comment »

NBC will lose money on 2010 Vancouver Olympics

Posted by ZA on January 12, 2010

According to NBC Sports president, Dick Ebersol, the peacock is going to lose money to broadcast the Olympics for the first time in their history showing the Games.  AdAge article quoted Ebersol as saying, “…we will, for the first time in all my years at NBC, lose money on an Olympics”.  Ebersol blamed the cost to secure the broadcast rights for the Olympics and a slumping economy which hurt early ad sales.

NBC Sports paid over $800 million dollars to broadcast the 2010 Winter Olympics in Vancouver, Canada.  That amount was just below the near $900 million they paid for the 2008 Beijing Olympics.  But the Summer Olympics generate a ton more ad sales revenue than their winter counterpart.  That is why the IOC sells the broadcast rights commitment as a block of two that includes the upcoming Summer and Winter Games; you cannot buy rights to the Summer Games without taking the Winter Olympics as well.

In addition to the broadcast rights, NBC also has to spend heavily on production costs for the Olympics.  They have a staff of hundreds that broadcast from a remote location for the 2 weeks of the Olympics; some of those people have been in Vancouver for more than a year getting setup for these games.  So NBC has big costs to recoup on their Olympics production.  One key to doing so will be to build up campaigns around Winter Games athletes that get US television viewers to tune in during the Olympics.  If NBC can create interest in the athletes and sports of the Winter Games, then they will make more money on their broadcast rights.

Posted in NBC, Olympics, Sports Television | Tagged: , | 3 Comments »

Nestle turns to YouTube to promote Olympic athletes

Posted by ZA on January 5, 2010

Nestle is promoting its new product by releasing videos featuring Olympic athletes, Shawn Johnson and Apolo Anton Ohno on YouTube.  Johnson and Ohno are shown performing stunts in the videos to earn points for their Nestle team (Team Crispies or Team Chocolate).  The videos have drawn over 1 million views on YouTube.

The Shawn Johnson video shows her doing a backflip over a bobsled as it races down the track.  The video is similar to the Nike video that shows Kobe Bryant jumping over a speeding car.

Shawn Johnson doing backflip over a bobsled

Kobe Bryant leaps over a speeding car

[Assist: Brandweek]

Posted in Olympics, Sports Brands, Sports Marketing | Tagged: , | Leave a Comment »

Evaluating my 2009 Sports Marketing predictions

Posted by ZA on January 3, 2010

Time to take a look back and evaluate how I did on my 2009 predictions for the world of Sports Marketing. I posted my “bold predictions” on January 2, 2009 as a wide ranging look at some of the big moves I thought would happen in the industry.  I made seven predictions and wind up getting almost half of them correct.

Prediction: Tiger Woods will sign with Mercedes or BMW.

Result: This one did not happen, but who could have predicted the implosion that would happen to Tiger Woods the endorsement star in 2009.  Tiger is currently losing endorsements by the week, but I still think this prediction will eventually come true.  Companies will stay away from Woods for awhile, but when they do come back I expect Tiger to pickup a luxury car endorsement deal.

Prediction: Wrigley Field gets a new name.

Result: This one didn’t happen, although the Cubs were finally sold at the end of the year so it could be on-tap for 2010.

Prediction: AIG will end uniform sponsorship with Manchester United.
Result: I got this one right.  Shortly after writing these predictions word came out that AIG would discontinue their deal with Man U.  AIG actually just chose not to renew their deal, but close enough I got this one right.

Prediction: NASCAR will cut races.

Result: It was a tough year for Nascar with a tough economy and huge losses in the auto industry both hurting the sport.  The end result was that some races were not return to the schedule (e.g.- Milwaukee Mile in 2010).

Prediction: Reebok will be folded by Adidas.

Result: This did not happen, and with parent company, Adidas’ stock up 20% in 2009, the Reebok brand might be safe for awhile.  That said, I still think we’re still headed towards an Adidas versus Nike world, so at some point Adidas is going to put Reebok down.

Prediction: Under Armour will be acquired by Nike.

Result: This did not happen, but I still feel it’s one that could happen soon.  Under Armour’s stock is only up slightly since beginning of ’09 and UA stock took a pounding in October when they missed the mark with their expansion into running shoes.  Nike is still flying high and has a $30 billion market cap, so I think they eventually make this acquisition to eliminate a big competitor.

Prediction: David Beckham goes back to Europe.
Result: Nailed this prediction.  Becks came, he played a little bit and created a sensation.  Then David high tailed it back to the Spanish Premiere League.  I think Beckham likes the idea of playing in America, but isn’t really interested in doing it just yet.

Posted in Adidas, Apparel & Shoes, Golf, Nascar, Nike, Sports Brands, Sports Marketing, Under Armour, Venue Naming Rights | Tagged: , , , , , , , | 1 Comment »