SBD Global/November 20, 2013/Marketing and SponsorshipPrint All
Banco Santander Advertising & Sponsorships Head Enrique Arribas said that the company’s sponsorship deal with F1 team Scuderia Ferrari has been “amazingly successful” judging by its advertising ROI. Arribas told SBD Global at the Circuit of the Americas, “We get a return of five euros for every single euro we invest in Formula One, just in terms of brand exposure. As you can see, the Santander logo is everywhere -- on the car, teamwear, motorhome.” The partnership with Ferrari also allows Santander to develop various promotions in every market it operates, Arribas added. One of those promotions was the “Forza Ferrari Contest” in which Santander asked people to create a video and upload it to YouTube to win a trip for two to the Abu Dhabi F1 Grand Prix and meet the team and the drivers. Santander has been the official sponsor of the Ferrari F1 team since ’10. However, the bank’s involvement in F1 started even earlier. Prior to the ’07 season, Santander agreed to a three-year deal with the U.K.-based McLaren team. It paid an immediate dividend. Arribas: “We were able to increase our awareness in the U.K. using just McLaren assets by 20 percent to 92 percent in just three years. So it’s a huge increase of awareness in just one country based on the Formula One McLaren sponsorship.”
A NEW OPPORTUNITY: Despite this successful partnership, Santander decided to move on and when the opportunity for a deal with the most successful team in F1 history came along, the bank took advantage. Being linked with the best team in Formula One history was the main reason for the bank's alliance with Ferrari, Arribas said. “Both brands have a lot in common, not only in terms of red color, which is obvious, but also in terms of values and history. Both companies were born in small villages where they have developed a business model around the customer, doing things with quality. So we found that Ferrari is the perfect partner for us in Formula One.” To continue this partnership, Santander has already renewed its deal with the Italian team through ’17. In addition to Ferrari, the bank also sponsors several F1 Grands Prix in key markets like the U.K. and Germany, and though it ended its partnership deal with the team, it still is a partner of both McLaren drivers. Asked about the reason for pulling the McLaren team sponsorship but continuing the partnership with the team’s drivers, Arribas said, “In Formula One, we are sponsoring circuits, teams and drivers because the driver is an excellent asset to connect with the customer. The circuit is a message of supporting the country. The team is how we can manage the emotional assets around the sponsorship, but the driver allows us to connect with the customers and to develop commercial promotions.”
WHAT ABOUT THE STATES? While the bank has Spanish roots, Santander is trying to position itself as an int’l player. With that mandate, it has targeted the most popular sport in the world, football. The bank has been a sponsor of the Copa Libertadores, the most prestigious club football competition in South America, since ’07. It also sponsors other football competitions in Latin America. Sports sponsorships are a key asset for Santander in its efforts to become an int’l retail bank -- "the everyday bank for everybody," Arribas said. “Both [football and F1] are global sports with global reach, huge audiences, high frequency of contact with a football match or a Formula One Grand Prix almost every weekend. They are very, very massive sports, so they help us a lot to build our brand.” However, Santander, which recently completed the rebranding of U.S.-based Sovereign Bank, might have picked the wrong sports if it wants to grow its U.S. customer base. Arribas: “When we decided on our sports sponsorship platform seven years ago with soccer and Formula One, we had no presence in the U.S. market. It works perfectly in nine of 10 core markets, but it’s true that here in the States, while both soccer and Formula One are slowly growing, we know we can’t take full advantage of the sponsorships. We know we have to look and explore and maybe in the future the right opportunity will appear.” Santander has regional sponsorship deals with the NFL Philadelphia Eagles and Major League Soccer New England Revolution, but it does not have an asset like F1 or Copa Libertadores in North America.
Intersport will become the main sponsor of the Vierschanzentournee ski jumping series for the '13-14 season starting at this year's event kickoff in Oberstdorf, Germany on Dec. 28. The sponsorship agreement was brokered by Infront Sports & Media. Following Intersport's commitment, the event series' sponsorship is sold out for this year. With retail sales of €10.2B ($13.7B) and more than 5,400 affiliated stores in 42 countries, Intersport is the market leader in the sporting goods retail market. The terms of the deal will allow Intersport to receive an advertising presence across all events (Infront Sports).
As Sachin Tendulkar "walks into the sunset, will Brand Sachin, which sold many a dream and still continues to do so, also diminish?" asks Sreemoy Talukdar of the TIMES OF INDIA. It appears that here, too, Tendulkar "is set to break some records." In the collective Indian mindspace,Tendulkar's impact "can only be measured as a combination perhaps of a Michael Schumacher, Muhammad Ali and Michael Jordan put together, and some more." Ad guru Prahlad Kakkar, who has shot numerous commercials with Tendulkar, said, "Sachin is no longer a brand. He's an icon. The brands will no doubt be after him, perhaps even more than before. But they will be bound by their limitations, not Sachin's. Frankly, no company can afford Sachin any more, the heights he has now reached. They still may offer him some, and he may condescend to favor a few but in terms of brand valuation, Sachin is in a league of his own." Given that Sachin has retired at the "ripe old age of 40" there "seems little logic in brands trying to pursue him for endorsements." And this "is where the maestro is different from the rest." Percept Communications COO Amitava Mitra said, "Sachin evokes trust and high performance. Not only will banks, insurance companies and those selling financial products pursue him more than ever, but even youth brands will chase him because he is seen as a youth motivator. They would like Sachin to mentor their group. Simply put, Sachin is beyond the normal cycle of a sportperson" (TIMES OF INDIA, 11/19).
THE 'GOD OF CRICKET': In New Delhi, Prasun K. Mishra wrote Tendulkar "is addressed as the god of cricket by his fans but a village in southwestern Bihar has already started worshipping him as one by installing his statue." Bhojpuri actor and singer Manoj Tiwary and Kaimur district magistrate Arvind Kumar Singh on Tuesday "unveiled a life-sized (5.5 feet) statue of the Master Blaster at Tiwary’s village Atarwalia, in Kaimur district, about 170km southwest of state capital Patna." Tiwary also laid the foundation for a temple "which will be contructed to house Tendulkar's statue" (HINDUSTAN TIMES, 11/19).
Audi has been named the main sponsor of the Nordic Combined World Cup and will also be featured in non-competition-based activities (Audi). ... The Qatar FA has "signed a four-year partnership with the national subsidiary of Anglo-Dutch multinational oil and gas company Shell." Qatar Shell will be the main sponsor of Qatar’s national teams at senior and junior levels (SOCCEREX, 11/19). ... Dubai Aluminium will "continue their long association with horse racing in the UAE when they sponsor Thursday evening’s six-race card." The primary aluminium producer, an industry leader in Dubai, "has been a prized supporter of racing" since '05 and "traditionally lend their name to one race meeting at Meydan and one during the Dubai World Cup Carnival every season" (GULF NEWS, 11/19). ... Swiss insurance company Zurich Versicherung has extended its title sponsorship of the ADAC Zurich 24h Race at the Nürburgring for another three years. In addition to the title sponsorship, the deal includes signage around the track, hospitality packages and presence on social media and online. The insurance company has been the event's title sponsor since '01 (Wige Media AG). ... Delta Air Lines "signed a sponsorship deal" with Japanese tennis player Kei Nishikori. In a two-year deal, the 2013 Australian Open quarterfinalist "can fly to tournaments around the world in Delta's premium class." The airline "will display its logo on his website and social media channels" (TENNIS WORLD USA, 11/18).