IEG SPONSORSHIP REPORT THE LATEST ON SPORTS, ARTS, CAUSE AND ENTERTAINMENT MARKETING

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1 IEG SPONSORSHIP REPORT THE LATEST ON SPORTS, ARTS, CAUSE AND ENTERTAINMENT MARKETING JUNE 3, SEEKING DEALS RISING FROM THE ASHES: AIG TO EXPAND SPONSORSHIP PORTFOLIO Properties that offer local touch points and global exposure should put AIG on their prospect list. Demonstrating that the U.S. financial crisis is well in the past, American International Group, Inc. has returned to the global sponsorship scene. The multinational insurance company perhaps best known for its $182 billion federal bailout in 2008 last year launched an international rugby platform that includes multiyear deals with USA Rugby and the New Zealand Rugby Union. AIG also will serve as the official global insurance partner of the June Rugby World Cup Sevens 2013 in Moscow. And it doesn t end there. The insurance giant is exploring additional ties in sports and culture to engage employees and customers that may not be interested in rugby. We acknowledge there is no one-size-fits-all sponsorship. My goal is to build a program that will address the needs of each market and ideally has some international exposure, said Daniel Glantz, AIG s global head of sponsorship. As an example, Glantz points to NBA teams, cultural events and Broadway shows that offer local touch points and global visibility. The NBA is the most watched international sport other than soccer, and many teams are touring internationally, said Glantz, an attorney who previously worked in the league s legal department prior to joining AIG in Glantz served as assistant general counsel at AIG before taking his current position in January. Uses Sponsorship To Support New Brand Promise AIG is using rugby to promote its return as a global insurance brand. The insurance company partnered with NZRU and USA Rugby to promote a new brand logo and its return to profitability. AIG launched the new logo after repaying bailout funds plus a profit of more than $22 billion to the Federal Reserve and U.S. Department of Treasury IEG, LLC. ALL RIGHTS RESERVED. 1

2 We re making a statement to the world that we are back, said Glantz. The deals afford exposure and on-the-ground engagement opportunities across the 90-plus countries where AIG has offices. A cornerstone of each partnership: front-of-jersey branding. For example, AIG receives exposure on the jerseys of six NZRU teams: the All Blacks, Maori All Blacks, All Blacks Sevens and New Zealand Under 20 men s teams; and the New Zealand Women s Sevens and New Zealand Black Ferns women s teams. The USA Rugby tie affords exposure on jerseys worn by the men s and women s Junior and Collegiate All-American teams. The deal does not afford branding with the U.S. men s and women s national teams, an asset owned by Emirates Airlines. AIG was drawn to rugby for five primary reasons: The sport s affluent, diverse fan base The growing popularity of rugby in key markets, including the U.S. The All Blacks on-field record Global consumer engagement opportunities The inclusion of rugby in the 2016 Olympic Games Rugby s global footprint was a major draw, said Glantz, pointing to the distinction between the sport and AIG s previous sponsorship of Manchester United. The company opted out of kit partnership in 2009 following the financial crisis. When we sponsored Manchester United, they were primarily holed up in the United Kingdom, he said, noting that the team has since embarked on more international tours and matches. AIG is activating the NZRU tie with consumer engagement programs for employees and customers across the company s global footprint. They include the opportunity to meet players and coaches and participate in other unique experiences. For example, AIG in March introduced new employees to All Blacks players around the Tokyo Sevens Men s Tournament in Japan. AIG also is activating the tie through its Facebook page, Youtube channel and It also is running a sketch competition on AllBlacks.com and the team s Facebook page that allows fans to show their support of the team in exchange for the chance to win an autographed jersey and have the sketch signed by select All Blacks players. On June 18th, the company will launch the AIG Rugby Innovation Challenge, a contest that that will give app developers the chance to win $85,000 and access to live international rugby data for two years. AIG created the program with Opta, a sports data company. Contestants can enter the contest at IEG, LLC. ALL RIGHTS RESERVED. 2

3 AIG primarily uses its partnership with USA Rugby to promote rugby in the U.S. market. In addition to jersey exposure on select teams, AIG is supporting the National Governing Body s Rugby in a Box youth development program. The company also helped facilitate the Nov. 8th match-up between the Maori All Blacks and the U.S. National Team in Philadelphia. The Maori All Blacks will take on the Canadian National Team on Nov. 3rd in Toronto. We re focused on developing the game and bringing the sport to key markets, said Glantz. Builds Out Sponsorship Department AIG is building out its sponsorship department to manage its expanding portfolio, said Glantz, noting that the company never had a global head of sponsorship until this year. The sponsorship executive who is in the process of hiring a second staffer works with regional communication and marketing execs to activate ties. When we activate in Moscow, I ll interact with the CMO and head of communications for Russia. They re not dedicated to sponsorship, but one of their roles is to support sponsorship. Octagon assists with hospitality programs in Europe, he said. The sponsorship department also serves as a shared service by helping local business units evaluate and negotiate ties. For example, Glantz helped a local office negotiate title of the inaugural Thermal $1 Million Grand Prix outside Palm Springs. Calif. The equestrian event produced by HITS took place March 17th. We provide feedback on the assets they should receive, best practices and branding at the event. That s how we built our group, and that s how AIG operates. Source American International Group, Inc., Tel: 212/ IEG, LLC. ALL RIGHTS RESERVED. 3

4 IEG SPONSORSHIP REPORT THE LATEST ON SPORTS, ARTS, CAUSE AND ENTERTAINMENT MARKETING JUNE 3, SPONSOR PROFILE INSIDE BAREFOOT WINE S SPONSORSHIP STRATEGY Barefoot uses sponsorship to engage consumers and drive sales. As the best-selling wine in the U.S., Barefoot Wine & Bubbly attributes its longtime support of community events and nonprofits to establishing a dialogue with consumers and ultimately driving sales. The E. & J. Gallo Winery brand which sponsors roughly 3,000 events each year continues to build on that success with new partnerships and programs ranging from community festivals and LGBT events to local and national nonprofits. For example, Barefoot this year rolled out Soles of the Year, a program designed to build awareness of seven upand-coming nonprofits and encourage participation in the local community. The program follows the 2012 rollout of the Walk for a Cause fundraising initiative. OFF-PREMISE SALES FOR U.S. WINERIES In what is perhaps the brand s oldest sponsorship, Barefoot has sponsored the Surfrider Foundation for more than 20 years. Barefoot activates the tie with the Barefoot Wine Beach Rescue Project, a series of beach cleanups in the U.S. and Europe. IEG SR spoke with Brie Baltzell, Barefoot Wine & Bubby marketing manager, about the company s approach to sponsorship, the Sole of the Year program and other topics. Below are edited excerpts from the conversation IEG, LLC. All rights reserved. Sources: IRI, Wines & Vines On Barefoot s long history of supporting nonprofits We have long roots in the nonprofit partnership space. We have partnered with local and national nonprofits for more than 20 years it s an important part of who the Barefoot brand is and why it was created. Word of mouth marketing has been a key strategy since the brand was founded in IEG, LLC. ALL RIGHTS RESERVED. 4

5 We have brand ambassadors called Barefooters all over the country and the world. The Barefooters partner with nonprofits in each city to support events and create partnerships. Those partnerships get us in front of new groups of people and engage them in a conversation about our product. The thinking behind the Soles of the Year program We launched the program this year by aligning with the founders of seven nonprofits that are in the build-up phase of their organizational cycle. We identified seven people that made an impression on us, and we re helping them tell their stories. We re putting their stories on the back of a new product called Impression Red Blend. We re telling their stories not only on our Web site and through social media, but on product packaging. The nonprofits include Daffy s Pet Soup Kitchen in Atlanta, Urban Releaf in Oakland, Calif. and Ride Ataxia cycling events across the country. We reached out to our own connections to identify potential nonprofits. Those included Barefooters in each city, Gallo employees and our friends and family. It was a very grassroots process and a very rewarding and interesting process to identify those organizations and how we can help make a difference. We like to say Barefoot doesn t just write a check. We show up. We want to bring people in and take action. On Walk for a Cause Walk for the Cause gives Barefooters the opportunity to identify causes that are important in their community, or that they are passionate about, with an emphasis on fundraising walks. For example, the Cystic Fibrosis Foundation has an event called Great Strides. Barefooters located in cities where those events take place can sponsor walks in their markets. That is one of many examples of local events that Barefoot sponsors. We like to say Barefoot puts the fun in fundraising. A wine brand sponsoring a fundraising walk is something unexpected for many attendees. It invites questions and gives Barefoot a chance to tell its story. We not only over-deliver at our price point. We want to give people a reason beyond price to buy our product and be loyal to our brand. Source Barefoot Wine, Tel: 800/ IEG, LLC. ALL RIGHTS RESERVED. 5

6 IEG SPONSORSHIP REPORT THE LATEST ON SPORTS, ARTS, CAUSE AND ENTERTAINMENT MARKETING JUNE 3, NEW SPONSOR A GOOD PAIRING: THORNY ROSE PARTNERS WITH MUSIC Wine marketer uses music to promote new brand and engage young adults. Constellation Brands, Inc. is using music to promote its new Thorny Rose wine. Thorny Rose will sponsor the Lollapalooza music festival in Chicago and is negotiating a tie-in with eight concerts by an up-and-coming indie rock band. The deals follow a partnership in late 2012 with country musician Stoney LaRue. Constellation aligned with music to promote Thorny Rose s approachable positioning and tap into a key interest of Millennials, said Paige Guzman, Thorny Rose marketing manager. The company launched the wine brand in the fall of Our goal is to develop opportunities for Millennials to discover Thorny Rose via their passion points, most notably music. SPONSORSHIP ACTIVITY BY WINE BRANDS As the official wine of Lollapalooza, Thorny Rose gains exclusive pouring rights at the festival s 22 bars. It also will sample in the event s Uncorked Wine Lounge. Our consumers are non-traditional, creative and adventurous very much like the thousands who attend Lollapalooza each year. This partnership allows concertgoers to discover, adopt and share Thorny Rose with their friends while listening to their favorite bands IEG, LLC. All rights reserved. Constellation in 2012 presented the wine lounge on behalf of Pass the Bottle, a digital marketing program designed to introduce Millennials to a handful of imported and domestic Constellation wine brands IEG, LLC. ALL RIGHTS RESERVED. 6

7 Off-site, Thorny Rose will activate the sponsorship across multiple consumer and trade touch points including in-store displays, trade incentives, a national sweepstakes and digital and social media integration. The brand may also sponsor other music events, said Guzman. We are always looking for relevant opportunities that connect our brand with consumers and allow access to the full Thorny Rose experience. Source Constellation Brands, Inc., Tel: 585/ IEG, LLC. ALL RIGHTS RESERVED. 7

8 ABOUT IEG IEG leads the way in sponsorship solutions. With over 30 years providing insights, evaluation, and guidance, our teams bring unparalleled perspective and proven methodology to every challenge. We partner with top brands and properties to create fresh strategies, evaluate opportunities and maximize results. Our clients redefine what s possible, exceed expectations and achieve lasting impact. A unit of WPP s GroupM, IEG is connected to specialty sibling communications companies in media, digital and activation. GroupM is the leading global media investment management operation that also serves as parent company to WPP media agencies including Maxus, MEC, MediaCom, and Mindshare. INSIGHTS EVALUATION GUIDANCE IEG LEADS THE WAY IN SPONSORSHIP ANALYSIS, INSIGHT, VALUATION & MEASUREMENT For more information about IEG and the sponsorship industry, please visit or call 800/ (outside the U.S. and Canada, 312/ ). WWW. SPONSORSHIP.COM 2013 IEG, LLC. ALL RIGHTS RESERVED. 8

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