SBD/19/Sponsorships Advertising Marketing

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         Penn State quarterback Kerry Collins and Colorado running
    back Rashaan Salaam both figure to be drafted in the first round
    of this weekend's NFL draft, and "both are getting themselves set
    up to take advantage of endorsements."  The two have signed up
    Integrated Sports International of NJ to handle their "marketing
    interests."  ISI VP Steve Rosner noted that prospects are "able
    to arrange trading card and shoe contracts before the draft."
    Collins has signed with Classic trading cards and Salaam with
    Signature Rookies, with Rosner estimating both deals at "well
    over six figures, definitely more than $100,000."  For a shoe
    deal, rookies must sign with NFL-approved companies Nike, Reebok,
    or Apex (Timothy Smith, N.Y. TIMES, 4/19).

    Print | Tags: NFL, Nike, Reebok

         Chevrolet will announce today that Greg Norman has signed a
    three-year endorsement deal to promote the company's sport
    utility vehicles.  Norman will appear in TV ads for Chevy's
    Suburban, Tahoe and Blazer models starting next month.  Print ads
    featuring Norman will start in June (USA TODAY, 4/19)....Ford
    Motor becomes the first founding sponsor of Daytona USA, a
    multimedia motorsports entertainment attraction opening Summer
    '96 (AD AGE, 4/17). ....The Grizzlies have chosen Vancouver-based
    Palmer Jarvis Communications as their ad agency.  The agency is
    currently working with the team in planning a second major push
    for selling season/individual tickets slated to begin in May
    (Grizzlies)....The Dodgers object to the new Giants TV ad
    campaign that includes the tagline: "Two reasons to Hate the
    Dodgers."  Dodger Exec VP Fred Claire: "There's no reason for
    that.  Any campaign to put another team down is a poor campaign"
    (L.A. TIMES, 4/19)....Concessionaire Volume Services will
    introduce new menus at its five MLB accounts:  the Giants, Twins,
    Royals, Yankees and A's (Volume Services)....BARRON's "Up & Down
    Wall Street" focuses on CNS Inc., makers of Breathe Right nose
    strips. "While investors are unreservedly enthusiastic, the
    company is more restrained about its prospects" (BARRON'S, 4/17

    Print | Tags: General Motors, Kansas City Royals, Los Angeles Dodgers, Minnesota Twins, MLB, New York Yankees, Oakland Athletics

         The ATP Tour and Mercedes-Benz announced a four-year
    agreement beginning in '96, making Mercedes the Official Car of
    the Tour.  The company will also be the major sponsor of the ATP
    Tour World Championship and sponsor of the ATP Tour World Doubles
    Championship.  The agreement, which the Tour calls "one of the
    most significant sponsorship agreements in tennis history and the
    most significant in the history of the ATP Tour," also provides
    Mercedes with additional promotional, advertising and marketing
    opportunities in its partnership with the Tour.  That includes
    extensive on-court signage.  Terms of the deal were undisclosed
    (ATP Tour).  ATP Tour spokesperson Peter Alfano: "We believe it's
    significant not because of the money involved, but because of the
    prestige of Mercedes" (FLORIDA TIMES-UNION, 4/19).

    Print | Tags: ATP

         According to Norm Cohen of N.Y. NEWSDAY, "all signs point to
    the fact that" the Ted Williams Card Co. is out of business,
    "although there have been no official confirmations."  Cohen
    notes their MA-phone number has been disconnected.  Tom Cosentino
    of Lapin East/West, who represented the card company until they
    stopped paying their bills:  "It was a niche product that fell
    into the black hole of a bad market" (N.Y. NEWSDAY, 4/16)....The
    "Ring Leaders Phone Cards," inserted in Topps Stadium Club
    baseball Series I, will also be inserted in Series II due May 15.
    At a rate of one per 96 packs, the 13 different cards each
    contain three minutes of long distance phone time
    (Topps)....NASCAR's SuperTrucks will be featured in an 80-card
    set from Finish Line Collectibles, which will also include phone
    card inserts (Baltimore SUN, 4/16)....In his upcoming book, "Card
    Sharks:  How Upper Deck Turned a Child's Hobby Into a High Stakes
    Billion Dollar Business," Pete Williams examines Upper Deck's
    "metoric rise" under President Richard "Mac" McWilliam (MacMillan

    Print | Tags: NASCAR, San Jose Sharks, Upper Deck

         "Despite gains in sales and earnings," Reebok Int'l
    announced that it "failed to meet its first-quarter financial
    goals and would cut costs."  Reebok said it has embarked on cost-
    cutting measures that include staff reductions at its Avia Group
    in OR.  Last week, the OREGONIAN reported that Avia laid off
    nearly 10% of its OR-based work force.  Reebok said it would
    "streamline its European operations and reduce spending in other
    areas."  Reebok Chair Paul Fireman:  "Although consolidated sales
    for the 1st quarter were close to outside projections, they were
    below our own plan, particularly in Reebok's business outside the
    United States, where favorable foreign exchange rates helped to
    increase sales in U.S. dollars."  Sales for the quarter were
    $935.5M, an increase of 9.1% from '94.  Sales for basketball and
    baseball shoes and Greg Norman apparel were strong.  But Avia, a
    brand known for its appeal to women, "might be losing some market
    share" to Nike, according to Jennifer Black Groves of Black & Co.
    in Portland (Chris Reidy, BOSTON GLOBE, 4/19).

    Print | Tags: Nike, Reebok

         The "significant shift" of companies trying to get greater
    leverage out of their sports sponsorships was a hot topic at the
    Sponsorship Forum, the first annual gathering of top execs from
    the corporate, media and property sides of the sports marketing
    industry organized by Clarion Performance Properties.  Execs from
    Reebok, IBM, GM, Sara Lee and Sprint all said they are rethinking
    how they are leveraging their sports sponsorships.  IBM has taken
    "a machete to its sport sponsorship roster," opting to keep ties
    to the NBA, Olympics and pro golf and tennis, while dropping such
    deals as the Fiesta Bowl.  At GM, execs now file some 25
    sponsorship proposals a day into the trash, "as most of them fail
    to address the carmaker's marketing needs."  Reebok reserves its
    dollars for properties it can build a product around (Jeff
    Jensen, AD AGE, 4/17).

    Print | Tags: IBM, NBA, Reebok, Sara Lee, Sprint

         The appeal of oversized woods and clubs from Cobra Golf and
    Callaway Golf is examined by Leslie Norton of BARRON'S.  The
    "surging popularity of oversized clubs goes a long way toward
    explaining" why both companies became "stock market darlings"
    after going public a few years ago.  But both stocks have
    "slipped" in the past few months and they have been the "subject
    of much debate" on Wall Street.  Last week, Merrill Lynch
    downgraded Callaway, noting concerns on slowing sales of
    oversized woods as well as uncertainties associated with the
    company's new extra-large wood.  While CNBC's Dan Dorfman
    continues his "bullish pronouncements" on both, BARRON's Norton
    notes that more rivals are turning out their own versions of
    oversized woods and new technology could slow sales for Cobra and
    Callaway even more.  Another "new threat" to Cobra and Callaway
    are the mid-sized clubs.  If midsized woods were to steal some of
    the oversized crowd, "it would be a repeat of what happened in
    tennis."  Jumbo rackets were popular, but then sizes settled back
    to something closer to the old standard (BARRON'S, 4/17 issue).
         LOOK AT THE NUMBERS:  Cobra reported net income of $10.4M
    for the quarter ended March 31, a 132% increase from net income
    of $4.5M in '94.  Cobra's net sales increased by 106% to $56.2M
    in '94.  Cobra attributes the increase in sales in income to
    continued demand for all of its oversized products and increased
    marketing efforts (Cobra).

    Print | Tags: Callaway Golf, Acushnet
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