FOOTBALL SPONSORSHIP 1 COMMERCE

Transcription

1 FOOTBALL SPONSORSHIP 1 COMMERCE An Analysis of Sponsorship and Commercial Opportunities in Football Louella Miles Simon Rines A management report published and distributed by International Marketing Reports Ltd 7 Greville Road London NW6 5HY Tel: +44 (0) Fax: +44 (0) info@im-reports.com Copyright 2004 International Marketing Reports Ltd All rights reserved. No part of this publication may be reproduced, stored in a retrieval system or transmitted in any form or by any means, electronic, photocopying or otherwise, without the prior permission of the publisher and copyright owner. While every effort has been made to ensure the accuracy of the information, advice and comment in this publication, the publisher cannot accept responsibility for any errors. The views expressed in this report are not necessarily those of the publisher.

2 Table of contents EXECUTIVE SUMMARY 3 SECTION 1: MARKET ANALYSIS CHAPTER 1: WHY DO SPONSORS GET INVOLVED? Universal objectives Commercial history Think global, play local Longevity Star qualities CHAPTER 2: WHAT'S HAPPENING IN EUROPE Introduction Italy Spain England Germany France ^ CHAPTER 3: SHIRT AND KIT SPONSORS, PROFITABILITY AND TV INCOME Television and turnover Which is the world's richest club? CHAPTER 4: INTERNATIONAL RIGHTS AND TOURNAMENTS Introduction FIFA World Cup Coverage Sponsorship European Championships Coverage Sponsorship UEFA Champions League Coverage Sponsorship CHAPTER 5: THE VALUE OF TOURNAMENTS TO SPONSORS Broadcasting Sponsorship Endorsements Ambush marketing JV FOOTBALL SPONSORSHIP S COMMERCE

3 Case study: Hyundai World Cup 2002 Euro 2004 and World Cup 2006 Case study: Yahoo! CHAPTER 6: THE COST OF COMPETING IN EUROPE Financial investment What does it take? CHAPTER 7: CHAMPIONS LEAGUE REVENUE GROWTH Payment splits Impact on TV rights fees Television coverage Attendances Federation sponsors CHAPTER 8: THE MEDIA SCENE Italy France England Germany Spain The Netherlands Switzerland CHAPTER 9: BRANDING ISSUES The 1 essence of an identity Brand creation The golden rules of branding Economic perspective CHAPTER 10: PORTRAIT OF A FAN Football trumps other sports Club popularity Media habits Reactions to sponsorship Categories of interest Fans' attitudes survey Survey conclusion Fans in the Far East * FOOTBALL SPONSORSHIP 6 COMMERCE

4 Latin America Marketing and the elusive fan CHAPTER 11: INDIVIDUAL RIGHTS Registration of a trademark Passing off David Beckham Team versus individual Control of image rights Impact of adverse publicity Case study: Has adverse publicity affected Beckham's sponsorship potential? CHAPTER 12: OUTSOURCING Outsourcing and SportFive Hertha BSC Hamburger SV SportFive portfolio The outsourcing relationship Regional variations Tickets and ticketing CHAPTER 13: OVERSEAS MARKETING STRATEGIES FOR CLUBS Planning Market knowledge Real Madrid's Chinese experience Successful tactics Keijan's sponsorship of Everton Future prospects in China REFERENCES VJ FOOTBALL SPONSORSHIP COMMERCE

5 SECTION II: BUSINESS OPPORTUNITIES 97 CHAPTER 14: MARKETING A CLUB'S WARES Case study: NEC Nijmegen Business strategy Marketing for potential sponsors How to work with sponsors Balancing costs Unique selling points Achievements Case study: Charlton Athletic Sponsorship marketing The sell CHAPTER 15: HOW STADIA CAN BE EXPLOITED Naming rights Rethinking stadium usage Case study: Juventus Stadium project Young World Project Arsenal-Emirates naming rights deal Benefits of new stadia Points for the future Stadium costs Multi-faceted venues Stadium pariahs Revenue boosters Stadium capacity Revamp or new-build? Future trends Conference facilities Case study: Leicester City Walkers Stadium Finance Why build? Conference facilities Marketing Occupancy FOOTBALL SPONSORSHIP S COMMERCE vii

6 CHAPTER 16: FOOTBALL AND ONLINE E-commerce Licensing and syndication Advertising and sponsorship Betting Case study: Premium TV PTV expertise Football club joint ventures E-commerce Facts and figures Future prospects CHAPTER 17: MATCHDAY OPPORTUNITIES Case study: St Pauli Marketing offer CHAPTER 18: LEVERAGING BRANDS Case study: Olympiakos CFP <? Marketing background Licensing CHAPTER 19: COMMUNITY SPONSORSHIPS Case study: Watford Football Club Corporate benefits Case study: London Leisure College Educational offers LCC philosophy The vision The academy Club impact Case study: Avon Insurance Sponsorship objectives Contractual terms VIII FOOTBALL SPONSORSHIP 8 COMMERCE

7 Budgets Programme execution Sources of funding CHAPTER 20: SECONDARY SPONSORSHIPS Case study: Northampton Town Sponsorship gains Case study: Norwich City Commercial objectives Broader commercial offerings CHAPTER 21: FOOTBALL AND FINANCE Traditional football business model The nature of a fan Performance impact on revenue Future prospects for the football business Case study: Aberdeen Financial objectives Commercial objectives Marketing tactics New membership drive New revenue streams * CHAPTER 22: TECHNOLOGY PARTNERS Case study: Arsenal and 02 The competition Target audiences Further plans Benefits Support The future FOOTBALL SPONSORSHIP S COMMERCE JX

8 CHAPTER 23: DATABASE MARKETING Direct marketing Data recording Case study: Plymouth Argyle Executive summary Five-year plan Draft strategic plan for discussion Supporter satisfaction survey Method Analysis Summary of recommendations for action Season ticket initiatives Contact and direct marketing Building a base for the future Impact of success Marketing moves Going up Pre-season activity The future ^ CHAPTER 24: VIRTUAL/PERIMETER ADVERTISING LED perimeter advertising Virtual advertising FIFA regulations for the use of virtual advertising CHAPTER 25: THE ROLE OF RESEARCH Pre-sponsorship research Essential information for sponsors Measurement methods Communications research Research effectiveness Modus operandi Football specific research Sponsorship's benefits CHAPTER 26: LEGAL ISSUES Collective selling of broadcasting rights Licensing of media coverage by clubs Salary caps Player transfers New transfer rules Player image rights Legal issues for French clubs FOOTBALL SPONSORSHIP & COMMERCE

9 SECTION III: SPONSORSHIP IMPLEMENTATION 207 CHAPTER 27: FIFA WORLD CUP SPONSORSHIP Case study.- Nationwide Aims and objectives World Cup predecessors Marketing and the World Cup Nationwide - the brand Marketing activity Case study: Avaya Business partners Sponsorship objectives Marketing issues Marketing tactics Update Case study: Carlsberg ** CHAPTER 28: MERCHANDISING Fans' attitudes Merchandising strengths and weaknesses Opportunities CHAPTER 29: PUBLIC RELATIONS Crafting the message CHAPTER 30: CORPORATE HOSPITALITY Building attractive packages Staff Facilities Presentations Catering Case study: MasterCard Marketing support Hospitality FOOTBALL SPONSORSHIP S COMMERCE XI

10 SECTION IV: THE FUTURE CHAPTER 31: PROVIDING PLAYERS FOR THE FUTURE Case study: Nantes-Atlantique FCNA training school Financial considerations Academy pros and cons CHAPTER 32: AGENT FEES FIFA transfer regulations CHAPTER 33: ITALY BUILDS FOR THE FUTURE Option 1: Re-develop existing stadium Option 2-. Re-locate to a new stadium Areas for improvement CHAPTER 34: TICKET PRICES Future pricing Pricing history Growing audiences Supply and demand Corporate hospitality impact on pricing CHAPTER 35: PLAYER WAGES CHAPTER 36: TV RIGHTS TV rights and the European Union Overseas TV rights ^ XJi FOOTBALL SPONSORSHIP a COMMERCE