Sunday, September 16, 2012

Companies That Wear Their Brand on a Successful Sleeve


Soccer Still the Main Event for Advertisers

September 16, 2012, 9:37 a.m. ET

By SIMON ZEKARIA

This article from the Wall Street Journal focuses on the specific part of marketing known as advertising. While taking into account the comparisons of revenue from Olympic apparel to soccer equipment, one can see the drastic difference in success. Although, both gained millions of dollars worth of revenue, the amount that of attention a company receives for sponsoring a premier soccer team is incredible in comparison to Olympics as a whole. This is not to say that advertising through the Olympics is not successful because evidence proves otherwise, however, for one reason or another coupling advertisement and soccer teams tends to be a dynamic duo that does wonders for companies.  
“Companies hope increased exposure will help deepen brand recognition and improve shopper loyalty, thereby boosting profits in the long term.”

“A successfully branded international sports event can create a spike in sales and make all the difference to results. For the two most visible sports brands, Nike and Adidas, the commercial stakes are high as they look for spurts to offset potentially lackluster European sales, said Mr. Walker.”

While the companies’ strategies differ, for example Adidas typically sponsors events such as the World Cup, whereas Nike focuses on team contracts and endorsements, they both are extremely successful.  As a result, Adidas, expects 2.1 Billion in global sales in 2012 alone.  Ultimately, the battle to brand their companies on some of the world’s biggest stages intensify as the effects are increasingly successful from the sizeable exposure they receive.

I think that advertising using soccer is a brilliant idea. Despite the fact that as a soccer player I am biased, it is well known that soccer is the world’s most popular sport. With millions of fans, loyal followers, and soccer hopefuls, brand recognition is a crucial tool in differentiating teams. If you ask any player they will be able to tell you their preferred brand.  Due to these truths, the utilization of sponsorships and endorsements is a particular, and yet can be a broad market focus. Some people may pay for their favorite players jersey or others may buy the official world cup ball. Regardless of the reason, the amount of interested consumers continues to grow on some of the world biggest sport stages. 

The emotion and passion that follows sports will turn over into desire for products, and as a result companies such as Nike and Adidas will only feel the positive effects of pairing up with some of the biggest sport cultures in the world. From Barcelona, to Mexico, to Ghana, the love for soccer sees no boundaries.




WSJ ARTICLE
Topics: Brand Competition, Advertising

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