Review by Phil Offman in KIN 435
TBS and Fox had no problems this year with selling out their ad space for the MLB postseason series. Fox and Turner Sports (TBS) has sold out their postseason inventory at a rate of more than 10 percent higher than in 2010 for the ALDS, NLDS and the NLCS. The only space left is if any of the series continue to the “if necessary” games where the networks anticipate no problem with selling the remaining space. As in the Postseason and most other major sporting events, the networks say the auto business represents their strongest sponsorship category. Chevrolet is sponsoring the pre and post game shows on Fox. Turner sold a sponsorship package to Audi where they will launch their “Achieving Greatness” theme. Dodge/ Chrysler is sponsoring the “On Deck” pregame show. Other sponsorships that Turner and Fox have given out are Captain Morgan, Allstate, Bank of America, Capital One, Liberty Mutual, State Farm and Travelers.
The NFL Lockout played a major role in Turner Sports and Fox gaining these sponsorships for the Postseason. With the NFL season left uncertain these companies had to make a choice to target the next biggest sporting event. Turner and Fox are making a smart decision with overloading their air space for the MLB Postseason. With teams like the Yankees and Phillies being in the playoffs, the ratings for the games will be up, giving the sponsorship companies a lot more exposure in bigger markets. The networks are planning their strategy around these big market teams going far through the playoffs. This isn’t the greatest way to market because of the chances that those teams do inevitably lose and ratings will surely drop. Both the TV networks hosting the game and the sponsorship companies will stand to mutually benefit from these deals.
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The article we chose was “MLB postseason near ad sellout.” It discusses the use of auto company’s by TV networks to increase sports programming ad sales. According to Neil Mulcahy, executive VP of Fox’s sports sales, the marketplace for postseason baseball is strong. More interests have been sparked in several important categories with the auto business being strongest in demand.
The majority of Fox and Turner’s postseason inventory has sold out at rates more than 10% higher than last year and all the ad time for the first four games of the ALCS and World Series on Fox are sold out. Chevrolet will be the sponsor of Fox’s pregame and postgame show and Fox will also be telecasting the Red Sox-Yankees series if both teams advance to the championship. I think that hosting such a highly anticipated game is a smart move by Fox because both teams have a large, highly supportive fan base and if marketed correctly could generate a lot of revenue for the network as well as their sponsors. The ALDS, NLDS, and NLCS games on TBS have also achieved near sellout levels and are also improving at a quicker pace than last years numbers.
With the abundance of auto sponsors you can be assured to see a lot of car commercials with both Fox and TBS. Fox signed a new sponsorship package with Audi around the “Achieving Greatness” theme. Turner will have Captain Morgan sponsor TBS’s postgame show “Inside the MLB,” and Dodge/Chrysler will be sponsoring the pregame show “On Deck.” Other sponsors include companies in the fast food, financial, electronics, and home improvement categories. Network executives say that almost every MLB postseason achieves sell out ad time on television during the World Series. More time will be added if there is a need for more games and there is usually no problems selling those spaces.
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