SBJ/December 10 - 16, 2001/Marketingsponsorship

Inside the deal


THE DEAL:

Supercuts signs as title sponsor of the AMA Superbike Challenge race at Sears Point Raceway.


ESTIMATED VALUE:

Cash value of $200,000-$225,000 over three years; promotional value of $300,000-$325,000 over three years


LENGTH:

Two years with an option for a third year


DEAL MAKERS:

Kathy Weaver, regional vice president, Supercuts; Ron Groves, regional franchise owner, Supercuts; Tim Schuldt, vice president of sales/marketing, Sears Point Raceway; Randall Brown, manager of sponsorship sales, Sears Point Raceway


KEY ELEMENTS:

Status as the official hair salon of Sears Point Raceway

Rights to use the Sears Point Raceway name and logo in consumer promotions

Creation of the "Cut Above" seating section in the Extreme Fan Zone Village, where fans can get haircuts during races

Supercuts name incorporated into the official event logo

Sponsor identification on all promotional and advertising materials

One 30-second commercial plus billboards on each broadcast of the AMA Superbike Challenge on Speedvision

Supercuts receives 250 tickets to the AMA Superbike Challenge and tickets to other events at Sears Point Raceway.

Opportunity to stage an in-store sweepstakes for a motorcycle giveaway

Extensive trackside signs, including a 40-by-60-foot sign on the back of a grandstand, 8-by-20-foot signs along the course and 15-by-30-foot hillside banners


BACKGROUND:

The AMA is the largest motorcycle road-racing organization in the United States. Chevy Trucks is the title sponsor of the 2002 U.S. Superbike. The presenting sponsor of the series is Parts Unlimited. There are 16 rounds in the 2002 AMA schedule at 10 venues. There are 1,450 franchised and company-owned Supercuts locations in the United States, Canada, Puerto Rico and the United Kingdom. This includes about 100 in the San Francisco-Sacramento-San Jose region, the marketing area for Sears Point Raceway.

Supercuts is the largest brand of the Regis Corp., the Minneapolis-based owner of hair and retail product salons. Regis operates salons in six divisions: Regis Salons, Strip Center Salons (primarily Supercuts and Cost Cutters), MasterCuts, Trade Secret, SmartStyle and International, and has 41,000 employees worldwide.


ANALYSIS:

For those in despair about selling sponsorships in the current environment, take comfort in knowing that this deal was the result of a cold call on McCann-Erickson San Francisco, Supercut's ad agency. This event went unsponsored last year, but this year the Sears Point sales team found a company interested in the predominantly young male audience the AMA race attracts. (Of the 50,000 to 60,000 spectators at last year's race weekend, about 80 percent were males 18-24.)

Given the event's obvious popularity with young men, Supercuts should be able to use the discount ticket offer to lure in new customers. It won't take many haircuts for the company to immediately see good value from this deal. The announcement last month of a NASCAR Busch team sponsorship for the 2002 season will only help establish Supercuts as a player in motorsports marketing.


Alan Friedman (alanf100@excite.com ) is the founder of Team Marketing Report.

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