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SPORTS BRANDS

PhD Arto Kuuluvainen
ARTO KUULUVAINEN
-

PhD (International Business), Turku School of Economics, 2011

-

Currently: Research Manager in Danish marketing research
company (M3 Research A/S)

-

Previously: Over 8 years in TSE (f.ex. Teaching of Sports
management & -entrepeneurship course)

-

Business experience from sports-related companies

-

Sports background: Floorball, Tennis, Icehockey, Football
SPORTS CLUBS & BRANDS
- Sports clubs create stronger emotional
reactions than majority of other industries
- Sports clubs have started to systematically
build their brands only rather recently (mainly
from 1990’s)
- Why sports is so special industry? Because of
this.
BRAND BUILDING IN SPORTS
Same principles than in ”normal” business.
Aims to:
More spectators

more gate receipts

More involved consumers
More merchandise sales
= More income
better possibilities for success!
THE MOST VALUABLE SPORTS
BRANDS BASED ON FINANCIAL
DATA (FORBES, 2013)
Clubs:
1. Real Madrid $450 million
2. New York Yankees $443 million
3. Manchester United $433 million
4. FC Barcelona $361 million
1. RM
1. Barça

€46M

5. Sevilla

€31M

6. Betis

€29M
€28M

8. Getafe

€18M

9. Espanyol

€17M

10. Athletic

€17M
€15M

12. Zaragoza

€15M

13. Osasuna

€14M

14. Málaga

€14M

15. Mallorca

€14M

16.Levante

May change also in La
Liga soon

4. Atléti

11. R.Sociedad

Different system in
Premier League, Serie A
and so on

€48M

7. Villarreal

Own TV-deals (Table
from 2011) & own
merchandise deals

€140M

3. Valencia

WHY TWO LA LIGA
CLUBS IN TOP 5?

€140M

€14M

17. Sporting

€14M

18. Granada

€14M

19.Rayo

€14M

20. Racing

€13M
BUILDING BRAND EQUITY IN A
SPORTS CLUB
(GLADDEN ET AL. 1998)
BRAND IDENTITIES; ESPOO BLUES
VS. HIFK (HELSINKI) (JOKINEN
2013)
ESPOO BLUES: BRANDING
PROBLEMS

- Pre-season ad:
http://www.youtube.com/watch?v=6bKNQpBh
pjQ&feature=player_embedded
- What happened soon? (Koskinen, Ikonen )
- Follow your brand statement & be committed!
Otherwise it is useless.
10
SOCIAL MEDIA
ATHLETES AS BRANDS
- Sports stars are not anymore only on-field performers
but also off-field commercial properties (i.e. brands)
- Players have been advertising products already for
decades BUT now they’ve become brands by
themselves.
THE MOST VALUABLE SPORTS
BRANDS BASED ON FINANCIAL
DATA (FORBES, 2013)
Athletes:
1.Tiger Woods & Roger Federer $46 million
2.LeBron James $27 million
3.Phil Mickelson $25 million
4. Mahendra Singh Dhoni $21 million
FOOTBALL PLAYER AS A BRAND
‘ A unique, distinctive combination of unplanned and
planned factors that mark out a player as being
different to other players thus enabling the immediate
identification of the player and the activities in which
they are involved’. (Burton & Chadwick 2008)
- However, unlike other brands and/or products, people
are unique. It is difficult to imitate and impossible to
replicate brands such as Ronaldo or Beckham
- Athlete brands are relatively short-living brands and
ageing of the athlete will change these remarkably.
.
GLOBAL SUPERSTARS
CR7

Becks
WHAT’S COMMON?
-

Sportiness

-

Appearance + status symbols (fancy cars, outgoing lifestyle etc.)

-

Football skills

-

Representation of globally leading football clubs (ManU, Real
Madrid etc.)

-

Symbols? (Beckham: Tattoos & hair, Ronaldo: Hair & jewels)

-

Something else?
TOPSTAR
(BURTON & CHADWICK 2008)
- Helps to understand athlete brands

Team – the team(s) that a player plays for or has played for; the
associations a player has with a particular team; the profile,
reputation and success of the team; the player’s role within
the team
Off-field – where the player lives; who the player socialises with
and where; who the player is married to or is dating; the type
of house the player lives in, the car they drive, the clothes
they wear
Physical characteristics, mentality and values – the facial
appearance and physique of the player; other distinguishing
features such as hairstyle, tattoos etc.; the way a players
thinks and the views they hold;
Success – the player’s on-field record; the number of trophies,
medals and prizes the player has won; the winning teams and
games in which the player has been involved
Transferability – the extent to which the player appeals to males
and females, young and old, followers and non-followers of
football; the extent to which the player and their image are
culturally and geographically transferable; language(s)
spoken;
Age – the stage at which a player is in their career; viewed in
product lifecycle terms, this will have an impact on the
profile, characteristics and longevity of the brand as well as
influencing how the brand is managed;
Reputation - the player’s reputation as footballer; style of play;
disciplinary record; the player’s reputation outside of
football; way the player deals with public and media attention.
GUERILLA MARKETING & STORY TELLING IN
SPORTS
Sporting Lisbon
Duracell & NFL
TUTO HOCKEY VS HC TPS

Be Creative!

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Key note: Sports Brands (University of Eastern Finland, January 2014)

  • 2. ARTO KUULUVAINEN - PhD (International Business), Turku School of Economics, 2011 - Currently: Research Manager in Danish marketing research company (M3 Research A/S) - Previously: Over 8 years in TSE (f.ex. Teaching of Sports management & -entrepeneurship course) - Business experience from sports-related companies - Sports background: Floorball, Tennis, Icehockey, Football
  • 3. SPORTS CLUBS & BRANDS - Sports clubs create stronger emotional reactions than majority of other industries - Sports clubs have started to systematically build their brands only rather recently (mainly from 1990’s) - Why sports is so special industry? Because of this.
  • 4. BRAND BUILDING IN SPORTS Same principles than in ”normal” business. Aims to: More spectators more gate receipts More involved consumers More merchandise sales = More income better possibilities for success!
  • 5. THE MOST VALUABLE SPORTS BRANDS BASED ON FINANCIAL DATA (FORBES, 2013) Clubs: 1. Real Madrid $450 million 2. New York Yankees $443 million 3. Manchester United $433 million 4. FC Barcelona $361 million
  • 6. 1. RM 1. Barça €46M 5. Sevilla €31M 6. Betis €29M €28M 8. Getafe €18M 9. Espanyol €17M 10. Athletic €17M €15M 12. Zaragoza €15M 13. Osasuna €14M 14. Málaga €14M 15. Mallorca €14M 16.Levante May change also in La Liga soon 4. Atléti 11. R.Sociedad Different system in Premier League, Serie A and so on €48M 7. Villarreal Own TV-deals (Table from 2011) & own merchandise deals €140M 3. Valencia WHY TWO LA LIGA CLUBS IN TOP 5? €140M €14M 17. Sporting €14M 18. Granada €14M 19.Rayo €14M 20. Racing €13M
  • 7. BUILDING BRAND EQUITY IN A SPORTS CLUB (GLADDEN ET AL. 1998)
  • 8. BRAND IDENTITIES; ESPOO BLUES VS. HIFK (HELSINKI) (JOKINEN 2013)
  • 9. ESPOO BLUES: BRANDING PROBLEMS - Pre-season ad: http://www.youtube.com/watch?v=6bKNQpBh pjQ&feature=player_embedded - What happened soon? (Koskinen, Ikonen ) - Follow your brand statement & be committed! Otherwise it is useless.
  • 10. 10
  • 13. - Sports stars are not anymore only on-field performers but also off-field commercial properties (i.e. brands) - Players have been advertising products already for decades BUT now they’ve become brands by themselves.
  • 14. THE MOST VALUABLE SPORTS BRANDS BASED ON FINANCIAL DATA (FORBES, 2013) Athletes: 1.Tiger Woods & Roger Federer $46 million 2.LeBron James $27 million 3.Phil Mickelson $25 million 4. Mahendra Singh Dhoni $21 million
  • 15. FOOTBALL PLAYER AS A BRAND ‘ A unique, distinctive combination of unplanned and planned factors that mark out a player as being different to other players thus enabling the immediate identification of the player and the activities in which they are involved’. (Burton & Chadwick 2008) - However, unlike other brands and/or products, people are unique. It is difficult to imitate and impossible to replicate brands such as Ronaldo or Beckham - Athlete brands are relatively short-living brands and ageing of the athlete will change these remarkably. .
  • 17. WHAT’S COMMON? - Sportiness - Appearance + status symbols (fancy cars, outgoing lifestyle etc.) - Football skills - Representation of globally leading football clubs (ManU, Real Madrid etc.) - Symbols? (Beckham: Tattoos & hair, Ronaldo: Hair & jewels) - Something else?
  • 18. TOPSTAR (BURTON & CHADWICK 2008) - Helps to understand athlete brands Team – the team(s) that a player plays for or has played for; the associations a player has with a particular team; the profile, reputation and success of the team; the player’s role within the team Off-field – where the player lives; who the player socialises with and where; who the player is married to or is dating; the type of house the player lives in, the car they drive, the clothes they wear Physical characteristics, mentality and values – the facial appearance and physique of the player; other distinguishing features such as hairstyle, tattoos etc.; the way a players thinks and the views they hold;
  • 19. Success – the player’s on-field record; the number of trophies, medals and prizes the player has won; the winning teams and games in which the player has been involved Transferability – the extent to which the player appeals to males and females, young and old, followers and non-followers of football; the extent to which the player and their image are culturally and geographically transferable; language(s) spoken; Age – the stage at which a player is in their career; viewed in product lifecycle terms, this will have an impact on the profile, characteristics and longevity of the brand as well as influencing how the brand is managed; Reputation - the player’s reputation as footballer; style of play; disciplinary record; the player’s reputation outside of football; way the player deals with public and media attention.
  • 20. GUERILLA MARKETING & STORY TELLING IN SPORTS Sporting Lisbon Duracell & NFL TUTO HOCKEY VS HC TPS Be Creative!