A year ago, we told you about Anheuser-Busch InBev’s ambitious plan to include incentives in its sports sponsorship deals, where its many team and league sponsorship partners would receive additional dollars from the brewer if the properties met a variety of on- and off-field goals. Since ABI has long been pro sports’ biggest sugar daddy, we thought it would be instructive to check on its progress.
The scoreboard reads: 65 incentive-laden team and league deals completed over the past year — so ABI is calling it a success.
“We haven’t had any partnership since then that hasn’t included it,” said Nick Kelly, ABI head of U.S. sports marketing. “It’s been a process explaining it to everybody, but in the end telling them that they control their own destiny and reward is a message they like to hear. And, of course, we feel that it gives us a better ROI.”
ABI sponsors can pick on- or off-field incentive targets. Kelly said thus far it’s been more on-field goals than marketing metrics.
Accordingly, a team like the Los Angeles Dodgers, who won the National League pennant, “probably got paid more in total for last year than if we had just done a regular negotiation,” Kelly said. “And clearly we’re encouraged when we see brands like Coke wanting to take the same approach. And now any time someone at a team tells us this is going to be their year, we can immediately pull this out.”
The Dodgers’ 2018 run to the NL crown paid off for the team with Anheuser-Busch InBev’s incentives.
■ REBOUNDING: Following a contentious departure last September after a 45-month tenure as CMO at the National Basketball Players Association, Jordan Schlachter has resurfaced as chief marketing and commercial officer at the reborn version of the XFL. Schlachter’s first day at the WWE’s stepchild is April 1. He will oversee XFL corporate sponsorship sales, marketing communications, consumer products and licensing.
“It’s exciting for me because we’ll take a fresh look at how leagues and teams engage with their fans and partners and think differently — that’s the way sports and entertainment have to evolve,” Schlachter said.
Certainly a prerequisite for any sponsorship sales effort, an XFL TV deal — which my SBJ colleague John Ourand has reported as being with ABC and Fox — is “in process,” said Jeffrey Pollack, XFL president and COO.
Before the NBPA, Schlachter worked for the NBA, U.S. Olympic Committee, The Marketing Arm, New York Knicks and Assante Sports.
“His experience at the team level, league level, inside media companies and at governing bodies and marketing organizations is exactly what we need,” said Pollack, who worked with Schlachter at the NBA. How big the XFL’s sales staff will be and whether it will employ an outside sales agency are decisions that were all to be determined pending Schlachter’s hiring.
The XFL also has brought in Derek Throneburg as senior vice president of team business operations. Throneburg has been with Pacers Sports & Entertainment since 2012, most recently as vice president of customer insight and engagement. Before that, he was with the St. Louis Cardinals for 10 years in various ticket-sales roles.
On the job around six weeks at press time, Pollack said vision was the most important quality he’s looking for in hires as he staffs up the league and teams. The XFL is scheduled to begin play in February 2020.
“We’re building a league and eight teams from scratch, so we want people who are not afraid to challenge traditional thinking as we look to evolve the game and business of football,” he said.
Hiring a head of content is next, Pollack said, and there are still four more team presidents to be hired.
Michael Lynch (left) and Evan Greene have partnered.courtesy of 3 emerald marketing
■ COMINGS & GOINGS: Former Visa sponsorship chief Michael Lynch and former Recording Academy/Grammys CMO Evan Greene are launching 3 Emerald Marketing, a sports and entertainment marketing firm based in Los Angeles and Silicon Valley. Lynch ran Nielsen Sports Global Consulting from 2016 to 2018, while Greene was with the Recording Academy for 16 years. … Milt Arenson has abruptly departed Fanatics some two and a half years after he was hired as senior vice president of stadium. That move included Fanatics buying the assets of Arenson’s Facility Merchandising Inc., a venue sales company once powerful enough to have garnered 24 consecutive Super Bowl merchandising sales assignments through 2012 and 20-plus years controlling venue sales at the U.S. (tennis) Open. A Fanatics spokesman said Arenson’s departure should not be construed as any pullback from event efforts by the company. … Ann Wells Crandall is leaving the Big East Conference after a five-and-a-half-year run as chief marketing officer. … Steven Gray is back in mixed martial arts, having joined the Professional Fighters League as vice president of global partnerships. Gray, who’ll report to Pete Vesey, PFL senior vice president of global partnerships, worked for the UFC as director of integrated marketing partnerships from 2015 until 2018.
Terry Lefton can be reached at tlefton@sportsbusinessjournal.com.
