Archive for the ‘Sports’ Category

Don’t Fear Da Beard T-shirt, MLB

Wednesday, November 3rd, 2010

“It was really great until they shut our little operation down.”

That’s what a friend of mine said on Facebook after he and a buddy were told to pack up the t-shirts they made and were selling outside of AT&T Park where the San Francisco Giants were about to start playing in the World Series last week.  He was one of a few dozen people selling unofficial shirts using the team logo. It was a letdown for their business hopes, as well as for the throngs of people who loved their fun, original shirts. And it really didn’t have to happen that way.

For years there have been unofficial merchandise sales around big sports teams and events. I remember camping out for basketball games at Duke in the early 1990s and having guys carrying big bags duck their heads into our tent to ask if we wanted to buy the latest anti-UNC t-shirt that somebody pressed in their dorm room. But today it’s getting much easier to brew your own, thanks to online design and printing businesses such as CafePress and Zazzle.  Come up with an idea and within minutes you can bring it to life, buy it, and create a virtual store where other people can discover and buy it–with a percentage of the sale going to you.

But the times are a changin’ for trademark enforcement, too.  At the Giants game, plainclothes Major League Baseball officials walked around town with federal agents and inspected hawkers’ merchandise. Anyone using the name “San Francisco Giants,” the interlocking “SF,” and even the words “World Series” was told to pack up.  My buddy’s stash of shirts was confiscated and his name was taken down. He was warned that, despite it being a felony to use the team’s logo without permission, “it won’t go on your criminal record this time.”  The MLB warns that it must police its trademarks to maintain them, and protect the official sponsors and vendors who have spent millions of dollars for the right to be the real thing.

I fear that the San Francisco Giants and scores of other professional and college teams are missing an opportunity to build their brands and fan bases by automatically cracking down on such efforts. Fans love shirts like this because they are the product of creative thinking and fast timing. The “official” merchandise is designed months in advance and takes a slow boat from China.  The shirts are boring and generic in order to appeal to the widest fan base and limit unsold inventory.  But clever designers and rapid printing tools allow for much more timely, relevant, and fun shirts than what the official process allows for. Fans love the chance to buy “game day” shirts like this, and it gives them a pleasant memory that a simple “Official World Series” shirt doesn’t always allow for.

I think there may be a solution that keeps everyone happy: Why not create an “official” partnership with an online t-shirt store such as Cafe Press to encourage these shirts, ensure that some taste level is retained, and share the profits? Teams could allow people to create their own shirts, even providing people with team graphics and colors.  There could be a “license fee” of something like $5 per shirt, and there are quick and simple ways to make sure the shirts are not offensive. Designers and entrepreneurs get the chance to see if their idea will take off, and the teams get a flood of original equipment with none of the inventory costs.

A store such as Cafe Press could even encourage the success of such an effort by shipping in bulk directly to stadium parking lots, and even putting a truck-sized printing press on location for last-minute surges.  Teams could even take this idea to the next level by, say, holding a contest for the best fan-created shirt.  The best sellers could be made into shirts that are sold in stadium stores, essentially letting the marketplace decide which shirt designs are best.

Overall, I believe that sports teams continue to lag behind their fans in terms of adapting to new technology and social media.  They fine players for using Twitter and black out home games on local television when a sell-out isn’t reached. While sports often have a special place in our hearts, the competition for fans’ attention is only increasing–and many sports are experiencing falling TV ratings (including this year’s World Series). Sports teams should not leap to fearing new technology and its use by fans to adapt the game to their liking. Instead, sports brands–and all brands for that matter–should leap to cherish any time fans make the brand their own, and find ways to create new win-wins in the marketplace.

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Posted in Events, Sports | 1 Comment »

NASCAR Marketing Dept: Be Careful What You Wish For

Tuesday, March 9th, 2010

rpm_a_keselowski_600

A few months ago I was watching ESPN’s SportsCenter in the morning while getting ready for the day and stopped in my tracks when I heard NASCAR CEO and Chairman Brian France tell a group of reporters at a press conference that the circuit would be changing its rules to allow more “bump drafting” during its races in the year ahead. To quote France directly:

“NASCAR is a contact sport—our history is based on banging fenders.”

In fact, after France’s rule-change announcement another NASCAR executive, Robin Pemberton, NASCAR’s vice president of competition, said, “Boys, have at it….” My first reaction: Uh-oh.

It’s the same reaction I experienced yesterday when tuning into the highlights of Sunday’s race in Atlanta, where star driver Carl Edwards took revenge on fellow racer Brad Keselowski for something the latter did earlier in the race. The Edwards bump caused Keselowski’s car to flip over in midair at nearly 200 miles per hour and sent him to the hospital for observation. The car careened into the “catch fence” that prevents metal from flying into the crowd—but has been known to allow killer debris through in the past. Contact sport indeed—and potentially an example in which the marketing minds behind a violent sport should have kept their mouths shut.

I’m sure most people would at least agree that this was a poor choice of words by NASCAR’s most-senior management, but is a rule change to allow faster, more aggressive racing “Marketing with Meaning”?

Since its inception, NASCAR fans and outsiders alike have claimed that people watch the sport just to see the wrecks, and by encouraging its drivers to “bang fenders” an incident like this was only a matter of time in coming. It’s the easy knee-jerk reaction by the leaders of a sport who are experiencing their first business decline in several years. Television ratings are down, seats are increasingly empty, and many sponsors and teams have called it quits due to economic pressure.

But I believe that this knee-jerk reaction by NASCAR officials is a poor decision and one that might even worsen ratings and fan engagement if and when this “contact sport” next claims a driver’s life. I’ve seen my fair share of NASCAR races and I actually enjoy and follow the sport. I first got into it back when I worked on the Tide brand at P&G and we had a car. I had the chance to see our drivers race in Indianapolis, Phoenix, Charlotte, and Daytona. I sat in the stands, hung out in the pits, and even got to know our driver, Ricky Craven’s, family. I came to see NASCAR as a sport with fierce competition and passionate people. They fight hard for the checkered flag every Sunday, but they also live together on the road for much of the year, and drivers’ families say prayers at the start of each race that their loved ones make it back alive.

NASCAR rose to greater ratings because it found a spot as a family sport in many American homes. In fact, it was female fans who first started the ratings to rise about a decade ago. In 2004, 42% of NASCAR viewers were female—up from 35% in 1995—and there were more female viewers of these races than for the NFL. That was a big reason why brands such as Tide, Clorox, and M&Ms got into car-sponsorship deals. So any effort to make the sport more violent will likely risk alienating mothers and children from embracing the sport as before.

What can NASCAR do to add meaning to its marketing? Well, for starters, I would find ways to make the sport more interesting and exciting for fans to watch with a cell phone or laptop in the living room. One of the exciting differentiators of NASCAR is that the action is constantly intense and data about everything from speed to tire pressure is created continuously. Fans love the information, but NASCAR has frequently chosen to exact extra fees for access to additional information. I would start by making the in-car audio feeds and track data that it currently charges $30 to $80 a year for free to all. This is something that other sports cannot offer, and I doubt there are many takers of this pricey service.

NASCAR should do something immediately to show its drivers and fans that it is not hoping to encourage more danger in an already intense event—and look for ways to add value for the entire family.

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Olympics a Meaningful Marketing Windfall for NHL

Tuesday, March 2nd, 2010

Vancouver Olympics Ice Hockey

One of the interesting industries to cover from a marketing perspective is that of major sports leagues. The product (games) and brands (teams) receive tremendous attention and attract rabid, lifelong fans. But most of the marketing of these leagues gets little attention. We see constant SportsCenter coverage, hear that rules changes are made to the game, and might see 30-second ads to hype the leagues’ stars, but overall the marketing staff sits far down on the bench. As these leagues fight for fans in a fragmenting media market, good marketing is more important than ever. League commissioners and team owners had better wake up to this reality and invest in giving fans what they want. The National Hockey League’s (NHL) tenuous participation in the Winter Olympics is one example of where a new mentality is needed.

The NHL first took an official two-week break during the Olympics so that their stars could play for their home countries in 1998, which was 10 years after professionals were first allowed into the games. But every four years since then the NHL has warned that it might not continue this way in the future. This year, for example, NHL commissioner Gary Bettman was unenthusiastic about this year’s games in Vancouver—and he casts doubt on whether he will allow players to attend the 2014 games in Sochi, Russia. He claims that the break slows down momentum of the sport, and interest in games at odd hours in Russia won’t get much interest anyway.

But what Bettman completely misses is the reality that the NHL is not as popular as it has been (or could be) and the Olympics are perhaps the league’s greatest marketing asset. The Olympics bring the attention of the world, and hockey is one of the marquee events that gets the highest buzz. This translates to ratings that are significantly higher than even the NHL Finals.

For example, the USA versus Canada matchup in the preliminary round brought 8.2 million views to MSNBC. That’s the most viewers for MSNBC since the presidential election night, and the most people in the U.S. to watch a hockey game since the 1973 Stanley Cup!  And for the Gold Medal rematch game, half of all Canadians tuned in along with 27 million Americans.  That’s more U.S. viewers than any World Series game since 2004 and more than any NCAA basketball Final Four since 1998.

Olympic hockey is a great example of Marketing with Meaning. It exposes the world to the sport, showcases the best players and personalities (who play in the NHL), and wraps it up in the flag of national pride and Olympic glory. It is the equivalent of the annual All-Star break, but means so much more for those looking on.

Ironically, the NHL has had some success in recent years by bending its rules and embracing change. In my book I share the example of how the NHL began a new traditional called The Winter Classic, in which a regular-season game is played between two teams in an outdoor stadium on New Year’s Day. The first game in 2008 drew more than 70,000 paying fans and outstanding TV ratings.

So why would Gary Bettman downplay the Olympics when they are renewing passion about the sport and likely boosting ratings for the second half of the season? At least one sports analyst claims that it comes down to money. Bettman and his owners don’t like their stadiums shut down and their players boosting the Olympics’ business for two weeks. But that’s incredibly shortsided. It reminds me of how the NFL penalizes cities that cannot afford to fill their stadiums by blacking out games from regular fans.

I believe that sports owners and league commissioners hurt themselves and their fans repeatedly because of a combination of hubris and a lack of marketing understanding. The hubris comes from owners’ typically large bank accounts and the fact that cities identify with their teams so closely. As evidence of the latter point, Forbes created a list of “America’s 20 Most Miserable Cities,” and frequently cited poor sports team performance as a key misery maker.

But it is ignorance of marketing fundamentals that truly hurts these franchises and the fans. Here’s hoping that the NHL and other sports leagues remember that they exist for the enjoyment of the fans, not short-term maximums in ticket sales and other fees. If you take care of fans over the long term, they will take care of you. It’s a lesson for those in the sports business, and in any business for that matter.

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Posted in Entertainment, Sports | 1 Comment »

P&G, Olympics: A Meaningful Sports Partnership

Thursday, February 25th, 2010


Early this week I got a random email from a publication that was looking for me to weigh in on sports sponsorships and whether they are declining or changing due to economic pressure. Luckily, I just happened to have walked out of an all-company meeting in which our P&G team here at Bridge Worldwide shared their contribution to the Procter & Gamble Olympic Winter Games partnership—a tribute to Moms that brilliantly ties together multiple brands in a meaningful way.

In the past I have been fairly unkind to sports tie-ins in this blog. For example, a while back I criticized the practice using the example of State Farm’s naming sponsorship of the Major League Baseball Home Run Derby during All Star weekend. At best, most sponsorships are just the 3,001st meaningless ad impression that a consumer might see on a given day. At worst, and as Seth Godin suggests, they are a way for marketers to get a free trip to a game.

However I genuinely love the work that P&G has done on a corporate basis around this year’s Olympic Winter Games. If you’ve been watching the games, you have certainly seen a number of TV commercials for P&G products such as Bounty, Tide, and Olay. While it’s true that I’m not a fan of this kind of advertising, I have to admit that pooling together multiple brands for a single media buy is a smart approach to making the medium work harder.

But what is really special is how the company decided to make its partnership and mass media buy meaningful by embracing Moms. As part of its Olympics effort, the company is specifically directing funds toward the mothers of Team USA athletes in a program titled “Thank You Mom.” This “cause” within an Olympics partnership recognizes that the economy has made it tougher for families to afford to travel to see their kids’ special moments. It is also a perfect tie to the company and its brands—most of which target mothers and are used by mothers for years in raising their children.

To bring deliver on the promise and address mothers’ needs. P&G is providing funds earmarked toward helping athletes’ families travel to the games in the form of debit cards that have gone to more than 200 individuals. The company also set up a special home in Vancouver near the games that provides a place for families to gather before and after events. (It’s a little-known issue that families can’t come into the Olympic Village where athletes stay.) And to honor these special mothers—and build a connection to mothers everywhere—P&G is using some of its media time for a series of truly tear-jerking videos. More than 130,000 people have chosen to view the video above so far on YouTube.  Kudos to Wieden+Kennedy for the nice work.

Online, our team helped activate the partnership with additional meaningful elements. There is the opportunity to download a $100 coupon book, which will help directly link the program to sales results. And we added content that cannot be found elsewhere—including video interviews with Olympic Winter Games athletes’ moms, and blog recaps and live Twitter reports from the games. If you are touched by the content and tribute, you can even send a thank-you note to your own mother with this tool.

There are plenty of big companies such as Visa and McDonalds that are back at the Olympics again, and they have also purchased a lot of commercial time with game-themed ads. But I haven’t seen anyone who has worked to do something special, memorable, or meaningful with their large commitment. The bonus for P&G, should it choose to continue sponsoring in years to come, is that it can “own” this idea around embracing the unsung mothers and make future events bigger and better. And we hope to help continue this new tradition!

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NFL Commits Marketing Fumble by Blacking Out Fans

Wednesday, September 2nd, 2009

sad NFL fan

In the past few months there have been many examples of businesses that realize the economy is tough and react by doing the right thing for sales and human decency. Hyundai created its Assurance Guarantee to protect car buyers who feared losing their jobs. JetBlue, Walgreens, and Virgin Mobile have provided similar coverage. Even sports teams are offering more protection and value for their fans. Last summer the minor-league baseball Birmingham Barons sold tickets for the price of a gallon of gas, the NHL’s St. Louis Blues offered a promotion that would pay your mortgage for a month, and the NBA’s New Jersey Nets offered free tickets for unemployed fans. But one sports business is able to ignore the pleas of financially ravaged fans: The NFL is moving forward on its plans to black out TV coverage of games in cities that fail to sell out their stadiums. It’s a brazen move for these times, which I strongly believe will put the country’s most popular spectator sport on a slippery slope downhill.

Yesterday the sports talk shows were abuzz about the news that as many as 12 NFL teams might not be able to sell out their home games within 72 hours, meaning that the league will choose to black out the games’ local television coverage. It goes without saying that the economy is the main reason for the lack of sellouts. The Jacksonville Jaguars and San Diego Chargers have been particularly hard hit, and both are suffering greatly from the housing bubble. My own Cincinnati Bengals say it is “too early to tell” if games will be blacked out after 44 straight sellouts.  Only 3 teams suffered any blackouts in all of last season.

While unsold tickets are an economic reality, the decision to prevent local fans from cheering their team on TV is entirely the NFL’s fault, and it is just plain poor marketing. Look, there is a clear difference between the audience for game attendance and TV viewership. Let’s start with the price. It costs more than $100 per person to attend an NFL game, including tickets, parking, and snacks, which compares to $0 for sitting at home in front of the television. Fans who can’t see the game at home are not going to rush off in their cars to the game Sunday afternoon. Some will spend $100-plus for NFL Sunday Ticket, the pay-per-view TV option, but those are actually the people with higher incomes who are more likely to go to a game in person.

Offering “free” viewership at minimum should be considered the most meaningful marketing investment by the league, as it feeds fan frenzy and loyalty. You could even consider it a free sample that helps excite people enough to eventually buy a ticket, and maybe even season tickets when their incomes rise over time. This “free sample” also leads to huge advertising revenues and sales of sports merchandise at huge margins. Why cut off the fans who feed you?  Why cut off the most powerful form of marketing you have when you need it the most?

It’s not only bad for business, but it is a dishonorable way to treat its customers. People grow up in these cities and entire families rally around the home team. Fathers and sons sit on the couch and cheer for the local hero in a rite of passage, maybe hoping to attend one game per year. This freezes out the poor and middle-class households, who, quite frankly, could use a little entertainment. What’s worse, many of these cities have put up hundreds of millions of taxpayers’ dollars for brand-new stadiums that sit idle for all but eight days of the year (only $500 million for the stadium across from our office in downtown Cincinnati). Now the tax bill can’t even get you a free picture on the local TV network.

For years now the NFL has been called the “No Fun League” for its many rules that seem to make the game less interesting for fans and players alike. It has banned hard hits and end-zone celebrations. Most recently it banned players from Twittering during games. The league even banned cheerleaders from stretching near opposing benches. And tailgating has been banned at the Super Bowl. This time it might be facing a “perfect storm”: Consumers are angrier at businesses than ever, and they dislike seeing high ticket prices and highly paid athletes behaving badly. They also have many more media options to keep them busy, and college football is just as exciting with the added plus of being a little more pure and innocent. And before the beginning of the 2011 season, the NFL and Players Association will have to come up with a new collective bargaining agreement. Many say a lockout or strike is a strong possibility. Together these negatives could add up to strip away decades of fan passion, and revenues and more blackouts will surely follow. Just ask Major League Baseball how it feels.

The lesson here is that businesses must recognize that they exist for more than short-term revenue maximization, especially when they are extremely successful and powerful like the NFL is today. Because the customers whom you take advantage of when you are strong won’t be around when times inevitably get tougher. I’ll be switching to the NCAA on Saturdays. What about you?

UPDATE: the NFL has caved a wee bit by putting up delayed broadcasts of its games up on NFL.com.  Still, it’s far from the experience that their customers want, and it frankly doesn’t make sense to the masses.  If anything, it looks like the NFL is using this build up an online audience at the expensive of TV networks and their local affiliates (and advertisers).

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Posted in Entertainment, Marketing Without Meaning, Sports | 6 Comments »

500 Miles in Nike+ and the T-shirt to Prove It

Monday, March 9th, 2009

Nike+ continues to be an incredible personal case study in the world of Marketing with Meaning. Back in August 2008, I first wrote about my experience with the system, and soon after bragged about receiving a printable award for hitting 100 miles. But last weekend I hit an even bigger milestone: the 500-mile mark.

I continue to be convinced that Nike+ is directly responsible for my physical-fitness turnaround. I am now regularly running at least five days a week and logging 20 miles per week. I have lost about 15 pounds without changing my diet at all. I’m playing full-court basketball without getting winded at all. And I feel less stressed out and am enjoying life more. And it’s all because I have a chip in my shoe that updates my information to a website.

My story of hitting the 500-mile mark is but one interesting example of how Nike+ worked its magic on me. As soon as I hit the 100 level, a message on Nikeplus.com challenged me to get to 500. I saw that less than 50,000 of the million-plus members had achieved this. I longed for the “500″ symbol (above) that would be in my virtual trophy case. So I kept on running. It wasn’t my only motivation to be sure, but it became a small obsession each time I synched up my iPod with a new run.

On Saturday, February 28, I looked at my totals and noticed that I was 8.3 miles away from hitting 500. This is double my usual 4-mile run, but I decided to try to knock it out all at once, figuring it would be a good, challenging way to hit this big goal. Sure enough, I powered through in a little more than an hour, and rushed to get credit on the Nike+ site.

When I logged in with the new data, Nike congratulated me on the accomplishment, allowed me to print my 500-mile certificate, and offered the chance for me to buy a T-shirt to celebrate and brag. I literally did not hesitate to link over to the Nike store and buy a T-shirt for about $30, including shipping. It’s one of the most expensive T-shirts I have ever bought, but it celebrates a “priceless” life experience for me.

Hats off to Nike for challenging consumers such as me to improve their lives, and for being smart enough to find innovative ways to monetize the service further with meaningful products. Now I’m off to run again, with the 1,000-mile level in my sights. I plan on hitting it in mid-August!

(Just for fun, I created the graph below that shows how many Nike+ members have hit each accomplishment level.)

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Posted in Achievement, Sports | 3 Comments »

Filling Sports Seats with Savings

Monday, December 15th, 2008

As you might have heard by now, the plunging economy is starting to trickle down even to the sports teams that we love so much. For example, the Arena Football League is considering shutting down for the 2009 season; NASCAR’s CEO was begging fans to use sponsors’ products during the sport’s annual awards night; and the Detroit Pistons have sold out their seats, but many ticket holders are staying home. A recent study showed that 58 percent of people said they are cutting back on entertainment spending, and 78 percent of those people said that means fewer sporting events. What’s a team to do when times get tough like these? More and more franchises are discovering creative, meaningful marketing alternatives.

The bottom line for sports franchises is that they need to put as many people in seats as possible for any given event. Like the airlines, it’s better to sell a seat at a discount than to tip off with it empty, and the bonus is that people who attend events often rack up significant bills for soda, hot dogs, and souvenirs. So smart teams are figuring out ways to ease fans’ pocketbook pain and still give them the chance to escape the daily grind at an event. A few examples that I’ve found recently include:

  • The Birmingham Barons Minor League Baseball team held “Petrol-Palooza Nights” over the summer, in which you could buy a ticket for whatever a gallon of gas was going for.
  • The St. Louis Blues of the NHL are holding 11 “Fannie & Freddie Mortgage Saturdays” with a drawing in which one lucky fan will get his or her mortgage paid for four months. This helped the team sell an extra 500 tickets.
  • The NBA’s New Jersey Nets are giving free tickets to out-of-work fans who post their resumes on the team’s website—and they are sharing these resumes with their sponsors (such as Chase, Coca-Cola, and Amtrak).
  • The Arizona Diamondbacks encourage people to nominate needy families for free season tickets.

I really like that these teams are in touch with their fans and realize that they need to adjust their marketing approach to be more meaningful. Not only does this have a chance of helping them maintain revenues during tough times, but fans remember that their favorite team paid attention to their needs during tough times. This, in turn, creates true, long-term fans of any brand.

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Meaningless Sports Promotions – UPDATED

Sunday, July 27th, 2008

Seth Godin interrupted my weekend by forcing me to get an entry up about his brilliant lesson on sports marketing: Much of it is completely meaningless and unrelated to the brand, product, or service that sponsors it.

Godin specifically takes aim at State Farm and its sponsorship of Major League Baseball’s Home Run Derby. He makes the brilliant point that you could swap State Farm with Allstate and see no difference. Well, Allstate at least sounds better with “All Star,” but neither likely have an impact on anything other than general brand awareness. In other words, State Farm is admitting that its insurance is the same as everyone else’s – so it’s best to just make people think of State Farm first.

On the other hand, look what Nationwide insurance is doing. It created a marketing campaign called “Have the Talk” in which the brand is encouraging families to have difficult discussions in life. Examples include tough talks with teens and speaking with older parents about their living situation. At havethetalk.com, visitors can get coaching on breaking the ice and tackling tough issues. The consumer benefit is not explicitly tied to insurance. But Nationwide knows that a business issue with insurance is that many people who really should think about insurance are not doing so. By starting these conversations, Nationwide is kick-starting discussions that might help drive category growth, and drive brand affinity for Nationwide (rather than just boosting general brand name awareness).

Seth goes on to take a shot at one of the oft-ignored but real reasons that we marketers embrace sports sponsorships: We marketers love to personally be a part of them. He proposes a pretty tough test:

Here’s my number one fiduciary rule for big brand marketers: The executives involved in approving a sports or entertainment promotion should not be permitted to attend the event.”

I think this might be a little extreme, but it is something marketers should willingly confront. I’ll admit to being attracted to NASCAR sponsorships as a Brand Manager at P&G, and I gravitated to racing when I had a chance to market Mr. Clean AutoDry Car Wash (for the record, it worked, and we won a race). I’ve seen fellow marketers and clients fall much further under the spell of sports events. I’d rather not give examples – to protect the guilty.

At the end of the day, sports sponsorships can come to life in a meaningful way. One current example is what Visa is doing to stoke the passion of the Olympics. The brand is also adding value to visitors with an ATM locater and a downloadable tip guide. Further, Visa connects its brand emotionally through its sponsorship of the Paralympics in addition to the main show.

So the moral of the story is to make sure that your sports sponsorships are as meaningful to your consumer as they are to you….

UPDATE: Brandweek recently interviewed several marketers with MLB All-Star sponsorships.  Mark Gibson, Assistant VP of Advertising at State Farm spoke a great deal about how sports sponsorships help his company “break through the in the most media-congested marketplace that there is.”  He later praised sports sponsorships “because it is Tivo-proof.”  Net, Gibson and Allstate continue to seek eyeballs rather than provide meaningful marketing for their customers.

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Posted in Entertainment, Marketing Without Meaning, Sports | 3 Comments »