SBD/6/Sponsorships Advertising Marketing

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  • ADVERTISERS TRY TO ENDURE BASEBALL'S LONGEST WINTER

         "It is universally accepted that the presence of minor
    leaguers will not hold back coverage of baseball once the season
    starts.  And sponsors apparently are willing to chance it because
    there is no substitute for baseball in the summer," writes Jack
    Craig in this morning's BOSTON GLOBE.  Turner Broadcasting's head
    of sales Mark Mariani:  "(Sponsors) don't want to be on the
    outside looking in in case they settle the next day."  Anheuser-
    Busch has re-upped with The Baseball Network (NBC & ABC), as well
    as TBS, ESPN and 27 local broadcasts (the Brewers have an
    exclusivity deal with Miller).  But Anheuser-Busch VP for Sports
    Marketing Tony Ponturo "said a financial safety valve is in place
    for the uncertain future."  Ponturo:  "All of our deals will
    contain audience guarantees.  A rating decline will be prorated."
    Ponturo added that A-B could pull out if replacement players are
    a "turn off":  "We wouldn't want to be associated with a clearly
    negative, awkward situation" (BOSTON GLOBE, 1/6).  But The
    Baseball Network CEO Ken Schanzer admits that there is much
    confusion among TBN sponsors.  Some (such as True Value Hardware)
    have moved their money elsewhere.  Schanzer:  "The complexity of
    this thing is overwhelming" (SPORTS ILLUSTRATED, 1/9 issue).
    

    Print | Tags: ABC, Anheuser Busch, ESPN, Milwaukee Brewers, NBC, Sports Illustrated, TBS/TNT, Time Warner, Walt Disney
  • HOOTERS, HULA BOWL TO JOIN IN A FIVE-YEAR DANCE

         Hooters Restaurants and the Hula Bowl have agreed to a five-
    year sponsorship deal that will give the restaurant naming
    rights, logo displays on and around the field, and patches
    bearing the restaurant's name and Hula Bowl logo on players'
    jerseys.  Hooters will have exclusive rights to restaurant
    advertising during the final four years of the contract.
    According to Alex Inman of Universal Marketing Associates, which
    owns marketing rights to the Hula Bowl, the contract is worth "in
    excess" of $1 million over the duration of the agreement (THE
    DAILY).  Hula Bowl Exec Dir Marcia Cherner-Klompus says the
    sponsor was chosen because it "could give us the best exposure
    and publicity and promotion year-round."  The January 22 game
    will be shown live on ESPN (Gordon Pang, HONOLULU STAR-BULLETIN,
    1/5).          WOMEN PROTEST:  Women's rights activists in Hawaii
    say that because the Hula Bowl draws funding from the Hawaii
    State Department of Business, Economic Development and Tourism,
    the title is inappropriate.  Jackie Young, the state's
    affirmative action officer, says she will ask Governor Ben
    Cayetano to reconsider funding for the game.  Young says Hooters
    "continues to perpetuate the message of sexism in sports. ... You
    definitely have to have a higher standard when you have public
    money."  Pamela Ferguson-Brey, Exec Dir for the Hawaii Committee
    on the Status of Women, also opposes the Hooters title.  Brey
    says Hooters is "an organization that uses women's breasts to
    advertise, that promotes the objectification of women."
    Ferguson-Brey, who opposed the opening of a Hooters restaurant in
    Honolulu that received state backing, will fight this move: "A
    state that has a constitutional provision which prohibits sexual
    discrimination should seriously consider whether or not it's
    consistent with its state policy of promoting the equality of
    women" (Gordon Pang, HONOLULU STAR-BULLETIN, 1/5).  STAR-BULLETIN
    Columnist Bill Kwon writes that Hawaii should simply be happy
    that somebody cares enough to sponsor the game.  Kwon: "It sure
    beats being called the Poulin Weed-Eater Hula Bowl" (Bill Kwon,
    HONOLULU STAR-BULLETIN, 1/5).
    

    Print | Tags: ESPN, Walt Disney
  • MOTORSPORTS SPONSORSHIP NOTES

         FROM ERNIE SAXTON COMMUNICATIONS: U.S. Tobacco Sales and
    Marketing, Inc. in Greenwich, CT (Skoal-Copenhagen) renewed its
    sponsorship of the National Tractor Pulling Association for '95
    and Kendall Oil Company has also renewed their sponsorship of the
    circuit for another year....Miller Brewing Company extended its
    contract with the Penske Racing South NASCAR Winston Cup team and
    driver Rusty Wallace.  Miller announced a personal service
    contract with Wallace for the rest of Wallace's career....Harris
    Teeter, Inc. a southeastern grocery store chain, will expand its
    sponsorship of the NASCAR Busch Grand National team owned by
    Browns quarterback Mark Rypien.  Harris Teeter will be the
    primary sponsor for 11 races in '95....Richard Langson purchased
    the Swamp Rat 34 Top Fuel Dragster from drag racing legend Don
    Garlits.  The team, which will feature Garlits as crew chief, is
    seeking primary and associate sponsorship (Ernie Saxton
    Communications).
    

    Print | Tags: Anheuser Busch, Cleveland Browns, NASCAR, R J Reynolds
  • NEON DEION SIGNS ON WITH SEGA

         Deion Sanders has agreed to a deal in which he will endorse
    a wide-variety of sports-related products for Sega.  Sanders will
    be the official spokesperson for the Sega Sports brand and will
    be featured as a "superstar athlete" in the brand's NFL video
    game series this fall.  Sega will also create new software titles
    based on Sanders.  Sanders: "I am ecstatic about being with Sega
    because it is bringing two winners together" (Sega).  In other
    video game news, Warner Music Group has acquired a "significant
    minority interest" in Accolade, an interactive entertainment
    company that features such titles as Jack Nicklaus Golf and
    Charles Barkley Basketball (SAN JOSE MERCURY NEWS, 1/6).
    

    Print | Tags: NFL, Time Warner
  • NFL PLAYERS INCORPORATE LICENSING ARM

         The NFLPA has dropped a tax-exempt status and launched
    Players Inc. "to compete with NFL Properties."  Previously
    limited "to such passive activities as receiving royalties from
    trading-card companies," the NFLPA will now be able to own
    magazine and apparel stores and "plans to roll out a line of
    sportswear."  Players Inc. also "hopes to market groups of five
    players or more to sponsors and apparel giants."  Gene Upshaw,
    NFLPA Executive Director and Chair of Players Inc.:  "This gives
    us flexibility to be real players in the marketplace."  Last year
    the NFLPA "took in about $600M in revenue."  Sara Levinson,
    President of NFL Properties:  "We see Players as a supplement to
    our own marketing activities" (Bruce Horovitz, USA TODAY, 1/6).
    

    Print | Tags: NFL
  • RAYCOM, DWA GOLF TO BRING LPGA EVENT TO CHARLOTTE

         Raycom Sports and DWA Golf will manage and market the
    Carolina Classic, a LPGA event that will take place September 28-
    October 1 at the Peninsula Club in Charlotte. In addition to the
    tournament, the event will feature a pro-am, special events and
    corporate hospitality (Raycom).
    

    Print | Tags: LPGA, Raycom Sports
  • REEBOK EXPECTED TO SHOW FOURTH-QUARTER RISE

         Reebok International Ltd. "will post an earnings-per-share
    increase of about 10% to 15% for the fourth quarter," according
    to this morning's WALL STREET JOURNAL. Jennifer Black Groves, an
    analyst at Black & Co., estimates Reebok revenue "climbed 19% to
    $718.9M from $602.6M" and that domestic orders for Reeboks
    "climbed 27% to $338.4M from $258.2M in the year ago fourth
    quarter" -- but "part of the reason for the substantial gain was
    a lackluster 1993."  Groves "estimates that fourth-quarter sales
    of Reebok brand shoes in the U.S. are up only 3% from the fourth
    quarter of 1992" (Joseph Periera, WALL STREET JOURNAL, 1/6).
    

    Print | Tags: Reebok
  • SEAGRAM TURNS ON THE JUICE AND BUYS DOLE BEVERAGES

         The Seagram Company announced yesterday that it will pay
    $285M in cash for Dole Food Company's juice business -- extending
    the domestic fruit beverage market share of Seagram's Tropicana
    brand from 13.1% to approx. 16%.  "This would bring Tropicana
    closer to the 19.5 percent share the Coca-Cola Company holds
    through Minute Maid, Hi-C and other brands."  The deal includes
    Dole's juice plants in the U.S. and Europe, as well as production
    agreements in Japan and China, but does not include Dole's canned
    pineapple juice operations (Glenn Collins, N.Y. TIMES, 1/6).
         HIGHER EARNINGS EXPECTED FOR COCA-COLA AND PEPSICO:
    "Continuing to benefit from strong U.S. sales," Coca-Cola and
    PepsiCo "are expected to report higher fourth-quarter earnings
    and gains in volume."  Net income for Coca-Cola is estimated to
    jump 22% with an 11% gain in international volume, while PepsiCo
    "should report an increase in profit of about 15%."  Coca-Cola
    Enterprises Inc. "is expected to post flat results."  Overall,
    domestic soft-drink sales are "benefiting from new packaging,
    such as Coke's contour bottle; discounting in supermarket aisles;
    and the growth of noncarbonated drinks such as teas and sports
    drinks" (Laurie Grossman, WALL STREET JOURNAL, 1/6).
    

    Print | Tags: Coca-Cola, PepsiCo
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