BrandDunk

Branding the World of Sports

Mutiny in the LPGA?

Posted by ZA on July 9, 2009

I thought ships were the only place where mutiny occurred.  Turns out the golf course and corporate offices of the LPGA are another place where mutiny is still an option.  That is because a group of top LPGA golfers has banded together to other throw their Commissioner, Carolyn Bivens.

Advertising Age has more on the story, but it because appears that these golfers feel Bivens is directly responsible for the loss of sponsors for key LPGA events.  There are more than a dozen female golfers attacking the LPGA Commish include top stars: Paula Creamer, Natalie Gulbis and Lorena Ochoa.  They are asking that Bivens “resign immediately” due to the loss of key sponsors.  Only 10 of 27 tournaments for 2010 have sponsors lined up at this point.

The AdAge article paints a picture of Bivens as someone who has a rocky tenure as Commissioner.  She has had some media missteps and driven a hard line with sponsors, which perhaps has led some of them to jump ship.  It also says that Bivens has not gotten along well with some of the LGPA tour’s biggest stars; presumably the same ladies who are now asking her to step down.  Those three items can be a recipe for disaster if you are running a professional sports league during these troubled economic times.

If this mutiny unfair to Commissioner Bivens?  Is the LPGA leadership being treated unfairly? No, the players have a right to demand top performance from their league executives.  The finances of the golfers are directly tied to the success of the league, more so in golf than in other team sports (e.g.- NFL, NBA).  If the Bivens cannot sell sponsorships, then the LPGA Board of Directors needs to find a leader who can.

Most companies have contracted their marketing budgets over the past 12 months, or at the very least gotten very careful with their spending.  But there are still a large pool of businesses which would be willing to spend money to promote their brand next to the top female golfers in the World.  Grocery chain Hy-Vee was a title sponsor for a televised triathlon this past weekend; they are a $7 billion company that could sponsor an LPGA tournament in the same way that Kroger, Safeway and CVS have done.  There are a variety of Houston-based corporations that could be signed up as title sponsor of the upcoming LPGA Tour Championship at the Houstonian Golf & Country Club.  Or the LPGA could approach large female owned corporations to back the all female golf tour.

In-short there are plenty of deals available to the LPGA, even in these challenging economic times.  They will not be easy to land, but the LPGA is in a position where it can be creative because it has so much open opportunities.  Plus LPGA golfers are willing to do their part to make sponsors happy; mingling with sponsors at events, showing up for parties hosted by them and doing whatever is necessary to keep them on-board.  By comparison can you imagine David Stern asking Rasheed Wallace to show up to an event hosted by an NBA sponsor?  It wouldn’t happen.

To me it just sounds like Carolyn Bivens is not the right person to led the LPGA.  And if that is right, then the golfers asking her to step down have the right idea in-mind.  My best to Bivens family, but perhaps parting ways is best for everyone involved.  She’s lost the backing of her biggest stars, the sponsors are leaving in droves – best for her to get out now (somewhat voluntarily) before things really get ugly.

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

Memo to Orrin Hatch regarding BCS

Posted by ZA on July 8, 2009

The distinguished Senator from Utah (Orrin Hatch) took his case against the BCS to Washington DC this week.  Hatch and his supporters from Utah are claiming the BCS is an unfair monopoly that discriminates against the non-BCS conference schools.  Hatch wants the BCS system struck down and replaced with a playoff that evens the playing field for all college football schools.

It is obvious that Hatch is pursuing this matter because a large number of his constituents are upset that the University of Utah was left out of the BCS National Championship Game even though they were undefeated.  Their rage was furthered when the Utes steamrolled the Alabama Crimson Tide in the Sugar Bowl, capping an undefeated season for Utah.  Hatch has said this matter is worthy of the U.S. Senates time because sports are a big business, and the Sherman Antitrust Law is in-place to protect all businesses.

While I share Hatch’s preference for a college football playoff and admire his desire to even the playing field in NCAA sports.  I don’t think he’s got a snowballs chance in hell of making real changes to the BCS.  Perhaps he can be credited with lending a big voice to the playoff movement, but neither his objections nor the entire state of Utah’s are enough to change the BCS.  The BCS is not a system that was created to be equally fair to ever Division I university.  The BCS was created to make money for the power conferences that are the majority money makers in college football.  The major television networks are not lining up to shell out millions of dollars to get games with Utah & New Mexico State.  ESPN, Fox, etc. all want to see the marquee college football schools like Texas, Florida, Ohio State and Alabama in the big games.  Those are the teams that the large corporate sponsors want as well.  And unfortunately for Utah, money is what makes the BCS go round.  So until the television networks & corporate sponsors prefer to see smaller schools in the biggest games, the current system is unlikely to change.

Plus Senator Hatch was making his argument in the wrong place; Washington DC wasn’t the right city for this pitch.  Everyone who knows college football knows that Birmingham, Alabama is the center of the college football world.  Birmingham is, of course, the home of the SEC Conference headquarters.  Everyone knows the SEC is the straw that stirs the drink in college football.  Head on down to Alabama, Senator Hatch, then you’ll be in the right place to try to bring about change.

Posted in College Football | Tagged: , , | Leave a Comment »

Citi Field is gorgeous, but has too many advertisements

Posted by ZA on July 1, 2009

I was in New York City last week for work and took the opportunity to visit the new home of the New York Mets, Citi Field.  I was a guest of our work partners, NBC Sports, so I was treated to fantastic seats in row 1 behind the visitor dugout.  The seats not only afforded a great view of the action on the field, they also provided access to the array of clubs in the stadium.  So I feel like I got a complete look at what Citi Field has to offer, and I came away extremely impressed.

I had heard from friends who have been to both new baseball stadiums in New York, that the aesthetics of Citi Field blow away those of new Yankee Stadium.  And after visiting the new stadium in Queens, I can see why people have been impressed with the Mets new home field.  The architecture is impressive, the views from the seats are all great and the amentities are all first-class.  But there was one thing I didn’t like; Citi Field has too much signage on the outfield walls.

I should start by saying that I’m an advocate of teams & stadiums doing sponsorship deals.  I believe they are an essential ingredient for teams/venues to make money today.  But I also think there is a fine line between effective stadium sponsorship deals and overkill.  The Mets and Citi Field have sold too many sponsor positions on their outfield wall.  It doesn’t detract from the game, but I don’t feel that having that many brands listed is doing their sponsors any favors.  Corporations buy these ad placements to promote their their brand, but few probably enjoy being squeezed in between dozens of other sponsor logos.  The clutter kills a lot of the effectiveness that could have been garnered from the sponsorship deals.  Overselling the space also puts name brand sponsors like Budweiser and Pepsi next to off-beat ads for Spongetech.com, Buy US Gold Coins.com, FreeCreditReports.com and the NYC union represented the construction workers who built Citi Field.  I’m sure execs from Anaheiser-Busch and Pepsico are not thrilled with their placements.

Below are photos of the abundant stadium signage at Citi Field in New York.  During a quick count of the sponsors on the outfield wall I counted over 30 different brands, including; Budweiser, Chevrolet, Dunkin Donuts, FoxBusiness, Geico, Pepsi, Planters, Subway & Verizon.

Citi Field has over 30 sponsors on outfield walls

Citi Field has over 30 sponsors on outfield walls

Too many ads are one of the only drawbacks of Citi Field

Too many ads are one of the only drawbacks of Citi Field

It was a great experience at Citi Field, but Mets executives should consider thinning out the number of sponsors they display so prominently on the outfield walls.

Posted in MLB, Sponsorship Deals, Stadium Signage, Venue Information | Tagged: , | Leave a Comment »

Top 10 Richest Athletes in the World

Posted by ZA on July 1, 2009

The economies of the World may be slumping, but the business of sports is still booming.  The top leagues, teams and athletes will all still be pulling in plenty of money this year.  From rich team contracts, to astronomical earnings, to lucrative endorsement deals.  There will be lots of cash pouring into the bank accounts of the top athletes in sports.   But which athletes are the richest?  Which are the top earning athletes in the World today?  CNNSI has recently released their 2009 list of the Fortunate 50, which is a list of the 50 top earning athletes in the United States.  They also published their list of the top 20 earning International athletes.  Below is a compilation of the two lists, so it is a list of the top 10 earning athletes in the World today.

Top Earning Athletes in World:
1. Tiger Woods ($99MM)
2. Phil Mickelson ($52MM)
3. David Beckham ($45MM)
4. Lebron James ($42MM)
5. Kimi Raikkonen ($40.1MM)
6. Manny Pacquiao ($40MM)
7. Lionel Messi ($39.9MM)
8. Alex Rodriguez ($39MM)
9. Fernando Alonso ($35MM)
9. Valentino Rossi ($35MM)
9. Shaquille O’Neal ($35MM)
10. Kevin Garnett ($34.7MM)

Money_small

Posted in Athletes, Endorsement Deals, Golf, Money, NBA, Soccer | Tagged: , , , | 1 Comment »

What sports should be in the Olympics?

Posted by ZA on June 20, 2009

There are currently 7 sports vying to be included in the Summer Olympics.  These sports are competing for two available spots that would begin to compete at the 2016 Olympic Games.  The sports under consideration to be added are: baseball, golf, karate, rollersports, rugby, softball & squash.  In order to be voted into the Summer Olympics, these sports will have to receive at least two-thirds majority vote of IOC (International Olympic Committee) members at a vote this Fall.

The IOC wants to add new sports that will appeal to young people and give a shot in the arm to their current lineup. I think the IOC needs to add sports that have potential to attract new sponsors to the games.  The Olympics was already being forced to compete for sponsorship dollars against a growing number of global sporting events; then their job got tougher to land new sponsors (or keep existing sponsors) when the World economy tanked.  So the IOC membership has to consider the sports they are looking to vote in as potential conduits to new sponsorship opportunities.

If they are taking that approach to this voting process than I think it immediately eliminates karate, rollersports and squash.  Those three sports are not big enough in the United States, where the largest pool of potential corporate sponsors are located, to attract much interest.  They also are not huge sports internationally, so they are out of consideration. You could probably also include softball, but I think that might buck the trend.

That leaves baseball, golf, rugby & softball.  As I said I think softball could be a sentimental favorite (like karate), but not a huge money maker by way of landing more sponsorship dollars.  Baseball, golf & rugby all have huge appeal around the globe.  Golf is probably most universally recognized, so I think golf will be the #1 most likely sport to get voted into the Summer Olympics.  The appeal of the sport globally, combined with the huge opportunity to bring marquee names to the Olympics like; Tiger Woods, Phil Mickelson, Ernie Els and Sergio Garcia, will be too much to pass up.  So golf gets in to the 2016 Summer Olympics.

Deciding between baseball and rugby is probably a coin flip.  Rugby is not hugely popular in the United States, but is intensely popular throughout parts of Europe, the South Pacific (Australia, New Zealand particularly), Africa and even South America.  There would be plenty of new sponsor opportunities for the Olympics by adding rugby.  Baseball is “America’s national pastime” and opens up huge opportunities with the sponsors of Major League Baseball.  It is also a sport that has huge popularity in Central America and the Far East, where Japan & Korea would open doors to more large corporations that could become sponsors.  Baseball (and softball) also were sports that were recently included in the Olympics before being removed, so they might be more familiar to IOC members.

So my final assessment is that golf will get voted into the Olympic Games.  I think that either baseball or rugby will probably get the second spot available in Olympics for new sports.  If you made me choose then I’d probably pick baseball over rugby, but I’m probably a little biased as an American that is not a rugby fan.  Regardless it should be interesting to see how the IOC votes on this in the Fall; if they select any of the sports besides those three (or softball) I will be very surprised.

The sports currently included in the Summer Games:
Archery
Athletics (aka: Track & Field)
Badminton
Basketball
Boxing
Canoeing
Cycling
Diving
Equestrian
Fencing
Field Hockey
Gymnastics
Handball
Judo
Modern Pentathlon
Rowing
Sailing
Shooting
Soccer (aka: Football)
Swimming
Synchronized Swimming
Table Tennis
Taekwondo
Tennis
Triathlon
Volleyball
Water Polo
Weightlifting
Wrestling

If I were asked to modernize the Olympic games and had to select the best sports to include, here are the sports that I would include in the Olympics:

Future Summer Olympic sports:
Archery
Athletics (aka: Track & Field)
Auto Racing – One of most popular sports in World would replace Equestrian
Badminton
Baseball – Would bring huge sponsor opportunities in USA & Japan.
Basketball
Boxing
Canoeing – Removed.
Cycling
Diving
Equestrian – Removed.
Fencing – Removed.
Field Hockey – Removed.
Golf – Adding one of most popular sports in the World.
Gymnastics
Handball – Removed.
Judo – Would be combined into Mixed Martial Arts category.
Lacrosse – A sport growing in popularity that would offset loss of Field Hockey.
Modern Pentathlon
MMA – Combines all fighting disciplines under one roof.  Sports are still separated out.
Rowing
Rugby – Popular sport in many parts of World.
Sailing – Removed.
Shooting – Removed.
Soccer (aka: Football)
Softball – Bringing this one back.
Swimming
Synchronized Swimming – Removed.
Table Tennis
Taekwondo – Would be combined into Mixed Martial Arts category.
Tennis
Triathlon
Volleyball
Water Polo
Weightlifting
Wrestling – Would be combined into Mixed Martial Arts category.

What sports do you think should be part of the Summer Olympics? Which would you add & which would you subtract?

Seven sports pitch for Olympic inclusion

The seven sports vying for addition to the 2016 Olympic programme presented their case to the International Olympic Committee yesterday.

A maximum of two out of baseball, golf, karate, rollersports, rugby, softball and squash will be shortlisted by the IOC this August, with a final vote on their inclusion taking place two months later. The IOC is considering the new entrants as part of a broader goal of attracting younger audiences and refreshing the Olympic programme.

Posted in Olympics | Leave a Comment »

Historic Rosenblatt gives way to TD Ameritrade

Posted by ZA on June 16, 2009

Right now one of the best, and least heralded, sporting events in the World is occurring at a stadium in the heartland of America.  The 2009 College World Series is being played at historic Rosenblatt Stadium in Omaha, Nebraska.  The College World Series, or CWS as it is commonly called, is the postseason tournament to decide the NCAA Division I Champion from men’s college baseball.  The tournament brings together 8 of the best teams to compete in a double elimination tournament.  What makes it so great is the emotion these teams and their fans display; the emotions that come out when you have reached your goal (Omaha) and have the championship in sight.

Every division I college baseball player, fan and coach starts the season with one goal in-mind.  That goal is to get to Omaha for the College World Series.  Teams typically play a 40+ game regular season schedule and then a dozen postseason games just to try to earn a spot in the CWS field.  So naturally those fortunate few that make the trip to historic Rosenblatt Stadium are excited to be there.  That excitement comes through as a tangle buzz of emotion that surrounds each game.  And Rosenblatt Stadium is the grand, old ballpark that plays host to that excitement.
For over 50 years the CWS has been played at Rosenblatt Stadium on the outskirts of Omaha.  Rosenblatt is full of stories about great teams, players or moments that occurred on that field.  It is one of those stadiums that you say ‘if these walls could talk’ because you know it would tell a ton of great stories.

But very soon, that is all going to end.  No, not the College World Series.  That will continue on in Omaha through at least 2035, thanks to a new deal with the NCAA.  But the games will no longer be played at historic Rosenblatt Stadium.

The City of Omaha is currently building a new $128 million dollar stadium that will become the new home of the CWS in 2011.  The new stadium will be located in downtown Omaha and will more closely resemble a modern professional baseball stadium.  That means the stadium will have higher priced club seating and luxury suites, which bring in more revenue.  Following another tradition common with professional stadiums; the new stadium will have a corporate sponsor paying for the naming rights to the stadium.  TD Ameritrade announced on June 10th that they would be to be the title sponsor of the new ballpark, paying approximately $20 million over the next 20 years.  That means the new home of the College World Series in Omaha will be named TD Ameritrade Park, not Rosenblatt Stadium.

As sad as I am to see Rosenblatt Stadium put out to pasture, I understand this is how sports work today.  Sports are a revenue generating venture, so it is necessary for Omaha (and the NCAA) to upgrade the facility to make more money on the CWS.  Part of that money will be made from the aforementioned venue naming rights.  Although it would be great to still have games played at a stadium named for Johnny Rosenblatt, there is a great opportunity with TD Ameritrade.  TD Ameritrade stepped up to the plate to support this venue and thereby the event that will be played there each June.  They should be commended for their investment, and I believe their $1 million per year will be well worth it in the exposure they receive.  Their name is now linked to one of the best events in college sports and will be on the lips of media around the country.  So it’s easy to see how they will recoup their annual investment in the CWS.

But it will be sad to longer see games after 2010 CWS at Rosenblatt.  Since I was a kid I have memories of games there.  And there are thousands of fans who have great memories of games at Rosenblatt, that will have to remain memories…because the reality is that after next season there will be no more CWS games played at Rosenblatt.  A great legend of sports will be leaving us, but hopefully it will be adequately replaced by the new venue.

New home of College World Series

New home of College World Series (photo from Wikipedia)

Posted in College Sports, Stadium Construction, Venue Information, Venue Naming Rights | Tagged: , , , | Leave a Comment »

Does anyone have more sponsors than Real Salt Lake?

Posted by ZA on June 12, 2009

Sponsorship deals are a way for professional sports teams to collect additional revenue, beyond ticket sales and concessions.  Large professional teams can bring in millions of dollars per year from these type of sponsorships.  But not every sponsorship deal is a revenue generator, many today are in-kind deals where a team trades sponsorship rights for services.  For example, a team might receive free, or reduced rate, airline travel by providing a sponsorship package to an airline.

These in-kind sponsorship deals are valuable for teams and the sponsors who receive them, but they are probably not going to get the same level of exposure that cash paying sponsors will receive.  But teams have plenty of sponsorship opportunities to sell, from naming rights deals on their stadium all the way down to logo inclusion in a game program.  With this plethora of opportunities to wheel and deal on trading services for sponsorships, many teams are cutting down on expenses by lining up a multitude of in-kind sponsors to cover many of their team needs (i.e.- expenses).

One professional team that is having success signing these in-kind sponsorships is Real Salt Lake.  Real is an MLS team that has deals with over 20 sponsors, with more than half of those being new for 2009.  Real Salt Lake has divided their sponsors into three categories based on dollars contributed (or traded) for their deal.  Real has landed a few sponsor partnerships which are offsetting costs associated with running a team or stadium.  Waste Management, Xinsurance, Cricket Wireless, Allied Sign and JetBlue are all sponsors of Real Salt Lake who can also provide a valuable service (in-kind) to the club.  By signing sponsors who can do that, the team can reduce their expenses.

These type of exchange of services sponsorship deals are nothing new.  In-fact I’ve traded tickets for sponsorships at events for well over a decade.  But with budgets tight in the current economy it makes a lot of sense for both teams and vendors to look into arrangements like this.

Real Salt Lake sponsorships:
Allied Sign
American First Credit Union
Anheuser-Busch
Burger King
Colonial Flag
Cricket Wireless
Fiji Water
Hoopes Vision
JetBlue
KFC
Les Olson Co
Mountain American Credit Union
Pepsi
Rocky Mountain Voice
Salt Lake Regional Medical Center
SCA paper
Siegfried & Jensen
Sony
Waste Management Inc
Workers Compensation Fund
Xinsurance
Zions Bank
[Assist: Sports Business Daily]

Posted in Soccer, Sponsorship Deals, Sports Marketing, Stadium Pouring Rights, Stadium Signage, Venue Naming Rights | Tagged: , , , | Leave a Comment »

Golfsmith backing Mickelson & Mediate at 2009 US Open

Posted by ZA on June 10, 2009

Golfsmith is at it again…for the second time this year they are offering a free driver to their customers IF a certain golfer wins a golf tournament.  Back in April the golf superstore offered a free TaylorMade driver if Sergio Garcia won the 2009.  The catch?  You had to purchase the driver prior to completion of the final round of The Masters.  After shooting a 67 in the 2nd round, Sergio eventually faded to finish tied for 38th.  So there were no free TaylorMade drivers.

This time Golfsmith is backing two huge fan favorites, Phil Mickelson and Rocco Mediate.  Mickelson captured the hearts of the New York crowds at the 2002 US Open when he battled Tiger Woods down to the wire, eventually finishing 2nd.  Rocco achieved a similar feat in the 2008 US Open, by taking eventually winner Tiger Woods to an extra 18 holes of golf to determine the winner.  Both will have a tremendous amount of crowd support at Bethpage Black…and now on TV from golf fans around the country who want to win a free Callaway driver.  Golfsmith will offer a free Callaway if Phil or Rocco wins at Bethpage.

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

New Nets arena in Brooklyn already drawing criticism

Posted by ZA on June 8, 2009

The Nets have yet to even set foot in Brooklyn.  Jay Z has not yet played one of his tunes over the PA system.  The uniforms still New Jersey on the front, not Brooklyn.  And the arena has not even been built yet, but that’s not stopping people from lobbing criticism at the future home of the Nets.

A writer for the New York Times says the Nets developer has “betrayed” Brooklyn by dropping the design of Frank Gehry in favor of less expensive plan by another architecture firm.  He refers to the new design as a “colossal, spiritless box” and says it won’t help bring the community together the way Gehry’s design would have done.  He says the decision to drop Gehry’s decision puts making a profit above the “public good”.

I think the writer is right that Gehry’s design would have been more inspiring for the community.  Great architecture can become a boon to a city and much of New York City is full of great styles.  But I think he’s too quick to sweep the economics of the decision under the carpet.  The city, the developer and the organization have to make different decisions in the current economy than they might have a few years ago.  They need to balance form and function, making sure they are equally weighted.  So downsizing the Gehry plan in-favor of something more affordable, that fits their needs, is a responsible choice.  It will not kill the community.  In-fact the author overlooks the fact that the team will become a rallying point for the community once they start playing in the building.  So I think it would have been nice to have the more inspired design, but think the Nets, their fans and City of Brooklyn will all be well served by the current design.

Posted in NBA, Venue Information | Leave a Comment »

Will Dwight Howard be next big sports pitchman?

Posted by ZA on June 4, 2009

AdAge article on Orlando Magic center Dwight Howard says he is already a “dominant force” in the sports endorsement world.  One of the experts interviewed feels Howard’s endorsement appeal ranks just behind of LeBron James and Dwyane Wade.  They cite his youth, charisma and good character as positive attributes that make him attractive to companies looking for someone to endorse their product.

I agree that Howard brings a lot to the table; his personality definitely stands out in the T-mobile commercials he is doing with Wade and Charles Barkley.  But I think some of the opinions in the article that Howard is the next big NBA endorsement star are a bit premature.  Howard needs to win a championship and become the undisputed star on his own team before I’m willing to put him in the top 3 endorsers in the league.

The NBA is full of young stars that are full of charisma (e.g.- Kevin Durant, Derrick Rose), so Howard is not unique in possessing those traits.  At one point experts were saying that Greg Oden would be the next big star endorser in the NBA, and that has not panned out.  So I’m going to take a wait and see approach with Dwight Howard.  If he steps up during the NBA Finals he has a chance to prove himself the main star on his own team and get a ring.  Both of those things happen and I’m comfortable saying that a (endorsement) star is born.  If Kobe Bryant and his Lakers take down Howard, or Howard is not the focal point of his own team’s efforts, then I think he’s not quite ready for the praise heaped on him by some in the AdAge article.

Dwight Howard endorsement deals:
* Adidas
* DC Comics
* McDonald’s
* Milk Processor Board (”Got Milk” campaign)
* T-Mobile
* Vitaminwater (Glaceau)
* Warner Brothers
* Wrigley

Posted in Athletes, Endorsement Deals, Endorsement Profile, NBA | Tagged: , , , , | 2 Comments »