Category Update
Clothing Makers Find Good Fit With Sponsorship
Clothing brands and retail private labels remain good prospects for wide variety of properties to target.
4/27/09: Properties would be wise to try the apparel category on for size.
Building on a trend that began nearly two years ago, makers of non-sports clothing are continuing to increase their sponsorship spending to create integrated marketing platforms tailored to their individual needs. The end goal: build brands, drive retail traffic and increase sales.
Apparel brands’ interest in sponsorship has been driven by two major factors: The sluggish economy and consolidation in the department store category, both of which have prompted retailers to put more focus on more profitable private label brands.
In some recent cases, it is those retail brands signing new deals. For example, J.C. Penney Co. next month will kick off a multifaceted two-year partnership with country music act Rascal Flatts on behalf of its 14-month-old private-label American Living brand.
New sponsorships from clothing companies include a partnership signed earlier this month between Perry Ellis Int’l, Inc. and American Collegiate Intramural Sports on behalf of PEI’s Original Penguin by Munsingwear line.
In addition, Williamson-Dickie Manufacturing Co.’s Dickies line has expanded its presence in the music space with new ties to this month’s Coachella Valley Music & Arts Festival and the just-concluded ABC Daytime/SOAPnet present Stagecoach: California’s Country Music Festival powered by Toyota. Both events took place at the Empire Polo Field in Indio, Calif.
On top of that, Phillips-Van Heusen Corp.’s Izod brand is leveraging its eight-month-old sponsorship of the Indy Racing League’s IndyCar Series with a new line of co-branded apparel.
Original Penguin Goes From Clubhouse To Frat House
A golf course staple in the middle of the last century, the reincarnated Munsingwear label’s retro cachet has caught on with young adults.
PEI, which re-launched the iconic brand in ’03, views the ACIS sponsorship as a way to capitalize on that trend. With ACIS having agreements with 200 colleges and universities to access intramural events, its sponsors can take products directly to college students through on-site sales rights.
Original Penguin is leveraging the deal by setting up pop-up stores on 20 campuses in April and May. The brand will erect the stores near student unions, concerts and other areas with high traffic; each will be open for several days.
“We had been trying to get on college campuses for two years, and also were tossing around the idea of pop-up stores,” said Jason Gallen, Original Penguin’s vice president of retail and e-commerce.
A college connection between an ACIS rep and a PEI staff member put the sponsorship on the company’s radar screen, while a school scouting trip by a PEI vice president and her daughter helped seal the deal after she noticed a large number of students sporting Original Penguin, Gallen said.
“The high penetration of kids wearing Original Penguin clothing, combined with our desire to influence that community made us feel this would be a good relationship for us.”
To generate a buzz among the target audience and gain additional marketing and sales support, the brand is partnering with a nonprofit in each market.
In exchange for promoting the pop-up stores and providing personnel to help staff them, each nonprofit will retain all funds generated from the sale of T-shirts provided to the organization by Original Penguin. The brand also makes a donation to each charity.
Original Penguin worked with ACIS to identify nonprofits that would resonate with the local student body, said Ian Leopold, ACIS president.
The brand also is activating the tie by giving away branded backpacks and music CDs with purchases at the pop-up stores, as well as distributing coupons for purchases at Original Penguin retail outlets and through OriginalPenguin.com.
The brand chose campuses in relative proximity to its six corporate-owned retail locations. The stores are in Chicago, Dallas, Miami, New York City and Los Angeles and Newport Beach, Calif. Original Penguin also is sold through department stores and other retail channels.
Leveraging also includes a sweepstakes on each campus dangling a gift card and entry into a national sweeps offering a trip for two to Miami Beach, $1,000 cash and a $1,500 shopping spree at the South Beach Original Penguin store.
The company will use the promotion to acquire an opt-in database for follow-up marketing, Gallen said.
PEI also will leverage the tie as an employee recruitment tool. “People attracted to Original Penguin are the best people to work for the brand,” Gallen noted. “They are passionate and want to participate.”
Among the schools hosting pop-up stores are California State University, Long Beach; Cornell University; and Hofstra University.
JCPenney Goes Country To Promote American Living
The mass-market retailer has aligned with the Rascal Flatts American Living Unstoppable Tour presented by JCPenney to tout the year-old clothing and housewares line developed in conjunction with Polo Ralph Lauren Corp.’s Global Brand Concepts unit.
“Representing true Americana, Rascal Flatts’ music transcends genres and resonates strongly with our customers,” said Mike Boylson, JCPenney’s chief marketing officer, in a statement. “With Rascal Flatts’ significant crossover appeal and passion for the brand, our fully integrated sponsorship is a perfect canvas to highlight American Living and its true American values.”
The retailer will use the partnership as the cornerstone of American Living’s brand campaign. The sponsorship kicks off June 5 when the band begins the 60-stop U.S. tour.
JCPenney is activating the tie on multiple levels. On the media front, it will feature Rascal Flatts’ specially penned song “American Living” in a national TV spot slated to run from May 17 to June 6.
To drive store traffic, the retailer will serve as the exclusive sales channel for a special version of the band’s Unstoppable CD that includes “American Living.” The company will donate net proceeds from the sale of the CD to the JCPenney Afterschool Fund.
The retailer also will leverage the sponsorship at each tour stop by showing the American Living commercial on two large screens adjacent to the stage. The ads will be packaged with behind-the-scenes footage from the making of the commercial.
In addition, JCPenney is touting the sponsorship on JCPenney.com and a dedicated microsite–JCPAmericanLivingTour.com. Consumers can visit the microsite to enter a ticket sweepstakes, receive tour updates and see American Living product testimonials from band members.
Izod Leverages Indy Racing With New Clothing Line
The Phillips-Van Heusen-owned brand is leveraging its eight-month-old tie to IRL properties with an apparel line that commemorates the centennial of the Indianapolis Motor Speedway this year and of the Indianapolis 500 race in ’11.
Izod this month rolled out the line–which includes T-shirts, polo shirts and other apparel featuring Indy racing imagery and artwork from the past 100 years–at Macy’s, Inc. stores.
The brand is touting the line through an ad campaign on all nationally televised ABC and Versus IndyCar Series race broadcasts, as well as pre-feature spots in movie theaters. It also has purchased ads in Sports Illustrated and ESPN The Magazine, as well as billboards in Toronto and New York City’s Times Square.
The ads feature IndyCar Series driver and ’07 rookie of the year Ryan Hunter-Reay, with whom Izod has a multiyear endorsement deal.
On the promotional front, Izod is conducting a Web-based national sweepstakes offering an all-inclusive trip for four to next month’s Indy 500. The sweeps–which runs from April 4 to May 8–includes a police escort to and from the track, pace car rides and access to the pre-race drivers meeting. Consumers can enter on Izod.com and Macys.com.
To create buzz and drive traffic, Macy’s locations are hosting in-store events comprised of meet-and-greets with former and current IndyCar Series drivers, show car appearances and an IndyCar Series Fan Zone. The retailer held the first event earlier this month around the Honda Grand Prix of St. Petersburg and will host additional happenings in Chicago, Los Angeles, Miami and other markets.
“This partnership provides a platform to distribute and market differentiated merchandise on a national basis, while catering to a growing Indy fan base at a local level,” said Marc Mastronardi, Macy’s group vice president of men’s sportswear, in a statement.
As part of the IRL sponsorship, Izod receives official apparel status of the IndyCar Series, Firestone Indy Lights series and Indianapolis Motor Speedway. The company also provides apparel to pit officials, track flagmen, IRL execs and on-air broadcasters.
Other Izod sponsorships include title of East Rutherford, N.J.’s Izod Center and the NBA New Jersey Nets.
Sources
Macy’s, Inc., Tel: 513/579-7000
J.C. Penney Co., Tel: 972/431-1000
Perry Ellis Int’l, Inc., New York City, Tel: 212/780-4500
American Collegiate Intramural Sports, Tel: 212/946-2711