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Marketing and Sponsorship

UFC Fighters, Managers Still Figuring Out Impact Of Reebok's $70M Partnership

Reebok yesterday signed a $70M partnership with the UFC, and the "resulting uncertainty is fueling speculation across the industry, as fighters and managers and the brands that have paid them over the years all grope for answers, and attempt to steady themselves in unsteady times," according to Ben Fowlkes of MMA JUNKIE. Hayabusa Fightwear co-President Craig Clement, whose company makes technical gear worn by fighters, said, "It's just going to change our focus a little bit. We're obviously going to be saving a lot of expenses when it comes to our marketing. If you look at our income statement, a significant portion is going to the UFC and to the fighters for those UFC sponsorships, which isn't going to happen anymore." But Fowlkes noted if a company like Hayabusa was "spending that kind of money to be seen on UFC broadcasts, it must have been because they believed, whether rightly or wrongly, that the return was worth the investment." With that option "no longer available, it’s hard not to wonder what effect it will have on the companies that helped support UFC fighters over the years, not to mention the fighters themselves." For a time, sponsorship money "accounted for a significant portion of just about every UFC fighter’s total income." But that has "changed in the past few years." Some fighters and managers are "quick to blame the UFC's sponsor tax, but others say it's more complicated." Guardian Sports Group President & UFC agent Charles McCarthy said "absolutely it wasn’t the tax” that depressed the UFC sponsor market in the first place. McCarthy: "The number of (UFC) events, and especially the number of events overseas, that has a lot more to do with it. To many sponsors, who don’t even know if their stuff is going to get on TV or not, sponsorships just aren’t worth what they used to be” (MMAJUNKIE.com, 12/3).

ONE-STOP SHOPPING: UFC fighter Michael Bisping said landing sponsorship is "always a distraction leading into a fight," but that is now "all taken care of" by the Reebok/UFC deal. Bisping: "This is only a good thing.” FS1’s Kenny Florian said, “It's going to give a whole professional new look to the UFC. For the fighters who have to go out there and chase money from other sponsors, they don't have to deal with it." But Bisping said the deal could hurt in terms of individualism because some fighters in the past "could express themselves through shirts and sponsors." Bisping: "Ultimately this was always a natural progression. As the sport gets bigger and bigger (and) it gets more mainstream, you can't have guys walking into the octagon with Billy's Burgers from around the corner, something like that. We have to conduct ourselves as professionals and train as professionals and dress like professionals” ("UFC Tonight,” FS1, 12/3).

JOHNY BE GOOD
: FORBES' Darren Heitner reported UFC fighter Johny Hendricks "will be showing off a new brand" in Saturday's UFC 181. Hendricks signed a deal with Texas-based Zak Products, which sells "automotive performance products used by technicians and automotive service professionals." The relationship is "only set to last for UFC 181 ... but Hendricks’ agent says that there are plans to expand the partnership for future fights as well." The partnership is Zak Products' "first association with the MMA world," and will allow it to "tap into Hendricks’ social media following in addition to having its logo placed on Hendricks’ apparel during the upcoming fight" (FORBES.com, 12/3).

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