Opinion
Assertions
5/11/09: We have it on good authority that a
major sports property granted one of the
airlines profiled in this issue’s
In Depth a
free sponsorship when faced with the prospect of losing the long-term partner. This news leaves us
conflicted. Elsewhere in this issue we report that sponsor participants in an IEG round table clearly don’t believe properties are being
flexible in helping sponsors adjust to difficult times; and we report on ways for rightsholders to help their partners
reduce cash commitment. So wasn’t the property in this case following the spirit of what we recommend? Perhaps. Our concern is twofold: First, indications are the gratis deal was prompted mostly by the
desire to save face and maintain a full sponsor roster for a property known as a smart seller–
not a justifiable reason in our book. Second, a completely free sponsorship represents
excessive “flexibility” that could impact other properties. Not that we anticipate giving away sponsorship to become the standard expected by sponsors, but having it out there puts
further pressure on properties at a time when they are struggling mightily themselves.
We were very surprised by the Chicago Tribune article regarding
MillerCoors’ deal for a
Miller Lite Party Deck at
Toyota Park, home of the MLS
Chicago Fire. The proprietary area was described as “an
all-you-can-eat-and-drink pavilion,” which as IEG SR senior editor William Chipps said in the article, brings “an inherent amount of
risk.” The description–provided to the newspaper by the property–also took MillerCoors by
surprise. Reps for the brewer, who were
none too happy, tell us that the Party Deck, while providing free beer,
will not be promoted as “
all you can drink”–the same as its similar sections in various stadiums, which have not experienced problems.
When it comes to sponsorship, the
Olympic movement has long been able to do things
no other property would be able to
pull off, from providing
clean venues that eliminate TV-visible sponsor ID to commanding
nine-figure fees for rights that are limited to one country. The latest example comes from
London 2012, which according to the Financial Times is set to sign
McCann Erickson as its official ad agency for a reported fee of
£10 million. Let’s see if we have this straight: Many properties actually
pay agencies to create and place their ads. Some properties are fortunate to have agencies provide ad services
pro bono. The London Games will have an agency that not only will handle all its advertising, but will pay the equivalent of roughly
$15 million for the privilege. The phrase “must be nice” comes to mind.
If
iPhone apps are all the rage, why should sponsorship be immune? The
Chicago 2016 bid committee has just introduced a “
Countdown to Copenhagen” app that marks the days left until the October 2 IOC vote in Denmark to select which candidate city will get the 2016 Summer Games. Each day brings iPhone users
a historic fact about either the Olympics or Chicago along with the days remaining until the vote. Chicago is the
first bid city to take advantage of this technology. The committee also has engaged with
40,000 fans on
Facebook and has more than
2,200 followers on
Twitter. Given the
relatively low cost of developing apps, we expect to see
plenty of other properties offering updates and info through this new platform.
Jim Andrews