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SBD Global/December 13, 2013/Marketing and Sponsorship

Intel To Put Logo Inside Barcelona Shirts To Be Seen After Goals In $25M Deal

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Intel has announced a partnership with FC Barcelona that will see the technology firm place its logo on the inside of Barcelona's jersey. Intel CMO Deborah Conrad said, "This is more than a sponsorship to Intel. The technology we are deploying and the programs we are working on together are designed to elevate FC Barcelona into one of the most technologically advanced soccer clubs in the world and to launch an ambitious slate of educational initiatives" (Intel). The deal was brokered by CAA Sports (SBD Global).

LOOK INSIDE: BLOOMBERG's Eben Novy-Williams noted Intel's current ad slogan is "Look inside." Intel VP of Sponsorships David Haroldsen said, "This is a first-time placement of a logo inside of their jersey and a first for a technology company." Haroldsen "declined to provide terms" of what he called a "multiyear" agreement. Syracuse University Sports Management professor Rick Burton said that the logo placement "fits well with the company’s previous 'Intel Inside' ad campaigns." Burton warned that players "must show the logo after scoring in order for Intel to see benefits from what he called a 'really novel idea.'" Burton: "Otherwise Intel may have paid for something that isn’t often seen. Still, it’s a bold move by Intel and links them with one of the world’s most recognized sports brands" (BLOOMBERG, 12/12).

DETAILS OF THE DEAL: FORBES' Mike Ozanian reported the deal is worth $25M. Citing people "familiar with the arrangement," Intel will pay Barca $5M a year over five years and "will make the company the team’s official technology partner." Of particular strategic importance is that the Intel deal "will not cannibalize any of Barcelona’s previously existing sponsorships." Barcelona is "the latest sports team to sign a rich sponsorship deal with a big technology company in recent months" (FORBES, 12/11). REUTERS' Iain Rogers reported Barcelona Dir of Media and Sponsorship Manel Arroyo said that players including Lionel Messi, Neymar and Andres Iniesta "would be under no obligation to display the logo," which will be added to the shirts for the first time in Saturday's La Liga match at home to Villarreal (REUTERS, 12/12).
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