Thursday, 31 July 2008
Columbia's Tour de France sponsorship 'an unqualified success'.
The recent deal by outdoor apparel company Columbia to sponsor the Team High Road cycling team after previous sponsor T-Mobile pulled out due to a doping scandal resulted in Chief Executive Tim Boyle saying "The sponsorship was an unqualified success by any measure."
Despite initial objections from European managers, the deal to promote Columbia's Omni-Shade Ultra-Violet-ray-protection material resulted in results that were pleasing to management.
For one, Boyle said, the sponsorship boosted company morale. More importantly, statistical measures and anecdotal impressions suggest the team and its five stage victories thrust Columbia's name and the yellow-flared trademark of its Omni-Shade fabric into broad exposure in the prized markets of intense Tour de France fandom.
Although Columbia does not actually make cycling apparel, they still wanted to make the link between the fabric and the world famous cycling event. Columbia's sales and marketing team came up with the idea of placing "Omni-Shade" beneath the company's logo on the jerseys.
Columbia would not say how much it paid for the sponsorship, but industry experts say it likely cost more than $3 million -- much less than T-Mobile probably paid.
"No other team had anywhere near as many stage wins, which is what gets the majority of the daily coverage globally, and all the coverage in the rider's home market," Boyle said. "When you add in the coverage we're likely to get with the riders in the Olympics, this is better than a grand slam home run."
Columbia spokeswoman Leslie Constans said more than 11,000 articles in 85 countries mentioned Team Columbia in some fashion this month.
French and Spanish newspapers devoted more pages than ever, both in print and online, to this year's race, with Team Columbia's five stage-victory salutes figuring prominently, said Carlton Reid, owner of Quickrelease.tv, a U.K. cycling news Web site.
"You'd be hard-pushed to sponsor a minor soccer team for a season for the money Columbia would have spent on this team," Reid said.
Reid and others think Columbia's three-year deal will continue to pay dividends.
Wednesday, 30 July 2008
Lawyers still the only participants in Americas Cup.
One wonders how the marketing departments at UBS and BMW feel about being involved in such high-profile non-sporting activity.
A panel of five judges split three to two to overturn a previous decision which had granted Larry Ellison's San Francisco-based BMW Oracle the sole right to challenge the Swiss holder Ernesto Bertarelli's Alinghi.
The Appellate Division of the New York Court ruled that the original, specially organised Spanish challenger, the Club Nautico Espanol de Vela, did indeed fulfill the terms required and threw out judgments made in both March and May this year by Supreme Court Judge Herman Cahn.
In theory the 10-month clock for the next Cup is re-set, but it is expected that, especially as the panel was split three to two, that Ellison's challenging vehicle, the Golden Gate Yacht Club will seek a further appeal.
"We are surprised and disappointed by this ruling," said BMW Oracle spokesman Tom Ehman.
Alinghi has already said that it could not now stage the next America's Cup in Valencia next year. "We are delighted with this result," said Bertarelli. "We can now continue with our vision of a multi-challenge event."
No apologies then to the fans of sailing as a sport, or to the industry who used to be able to point to a competition that was on the brink of rivalling Formula 1 for class, technological innovation and skill. No concept of the gradual destruction of a brand that has existed for over 100 years, just a bunch of guys in suits who used to be sportsmen.
Tuesday, 29 July 2008
Cowes Week Still Without a Sponsor
The annual Cowes Week kicks off this week, but the organisers have not managed to find a title sponsor to replace Skandia, whose long running partnership ends this year.
Skandia's sponsorship of Cowes Week has run for 14 years including this year's event, which takes place at the beginning of August. It was known as long ago as March 2007 that its support would finish this year.
Cowes Week Limited, the company that runs the event, today issued a statement saying that it had not been able to finalise a new partner before this year's event.
Stuart Quarrie, Cowes Week's chief executive, said: "Although discussions are progressing well, we are not in a position to make an announcement before or during the regatta.
"However, we do have every confidence that Cowes Week will have a new partner in place in good time for the 2009 regatta."
Skandia Cowes Week will this year take place over eight days from August 2 on the Isle of Wight. The event, which attracts about 1,000 boats, 8,500 sailors and a full gamut of celebrities, first took place in 1826 and is the world's longest-running sailing regatta.
Tuesday, 22 July 2008
Think of a sport. Now think of an Airline.
As well as title sponsorship of the state of the art stadium for Arsenal football Club in north London, Emirates have added title sponsorship of a roundabout to their list of properties.
More interesting to me than the fact that the Concord Roundabout will now be the Emirates Roundabout is that sponsorship makes up 50 percent of the £150m Emirates spends on marketing, including advertising and public relations. This is up from a spilt of 90% to 10% in favour of advertising.
While the company gives an indication that they are looking for a 6-7 times return on investment, they admit that it is an 'exposure' model of sponsorship, counting logos and then comparing it with how much it would have cost if you had bought that space on television or in the newspapers.
Even for a big player in the sponsorship game, they admit "It's not too scientific, it's a finger in the air type of measurement. But when you sponsor quite a lot as we do, you get more than a gut feeling of whether the sponsorship is doing well or not."
Surely the digital age can bring more clarity than that!
Friday, 11 July 2008
Measurement becomes Mainstream?
Most companies don't actually use this data. They make users fill out registration forms, collecting information about gender and age and postal code, with an implicit undertaking to provide a more customised experience, but in reality this data is rarely used.
There have been notable exceptions. You probably don't want to know the level of detail about your habits resides in the Google databases. Bolt.com, one of the early Social Networks employed a team of statisticians to analyse teenage behaviour that was then sold to blue chip marketing brands.
Now the big-boys are waking up, perhaps. NBC have announced that they will use next month's broadcast of the Olympics to research how their audience consume media across several platforms including mobile (cell phones).
The 'billion dollar research lab' may go towards producing what NBC calls a "TAMI" -- Total Audience Measurement Index, which takes into account TV, online, video on demand and mobile phone usage. It may eventually be used to negotiate deals with advertisers across several platforms at once.
2008. The technology is available. The knowledge is available. And yet, words like 'eventually' and 'may be' are still used. Perhaps content providers don't want to know that nobody is watching or that the advertising is not relevant.
Tuesday, 8 July 2008
Digest - Nascar, Premier League, LG and the NEC
Office Depot to Sponsor Stewart.
The two-time Cup champion Tony Stewart, has reached an agreement that would make Office Depot a primary sponsor on his car if he finalizes a deal with Haas CNC Racing. Office Depot will be the primary sponsor for a potential NASCAR team part-owned by driver Tony Stewart, above. An announcement could be made as early as the weekend of the July 27 race at Indianapolis Motor Speedway. More...US Army will continue to sponsor Earnhardt.
Dale Earnhardt, Inc. President Max Siegel expects to retain the U.S. Army sponsorship for his team's No. 8 Chevrolets next season. More...
Chevrolet reduces NASCAR sponsorship.
A US newspaper has reported that Chevrolet will reduce its sponsorship in NASCAR stock racing. The American Charlotte Observer newspaper says that the manufacturer is looking to reduce its sponsorship of race events, pace car deals and trackside advertising and is not planning to renew any track sponsorship that expire at the end of this season or in the future. More...
UK Football
Thomas Cook renew with Manchester City.
Thomas Cook has announced that it will extend its shirt sponsorship agreement with the Manchester City Football Club. This will mark the sixth season the travel operator has sponsored the Manchester City club. Thomas Cook’s chief executive officer, Manny Fontenla-Novoa, said: “We are delighted to continue our relationship with Manchester City as it builds on our position as one of the UK's best known brands. More...
OTHER
LG to Sponsor Birmingham Arena.
LG has announced an eight-year sponsorship deal with Birmingham’s NEC Arena that will see the venue renamed as 'LG Arena’. As part of the deal, the manufacturer will contribute to a £28M revamp of the site. New hospitality suites, bars, restaurants and improved backstage areas will all be installed, and the re-brand is expected to be active from autumn.
LG said that the agreement will allow it to engage with an additional one million consumers per year as it bids to increase its brand visibility.
According to UK marketing director, Andrew Warner, the deal shows the shift in the manufacturer’s focus from being a product-driven organisation to a marketing-driven one. He said: ‘Consumer alignment to a brand is no longer simply about preference for that brand’s products. It’s about how the brand makes a consumer feel. More...