West Virginia University closed on a big marketing deal this past July. They put out a bid opportunity for marketing firms, and ended up closing a deal with IMG College on a 12 year $86.5 million agreement. This deal gave all of the universities’ athletic programs marketing right to IMG, and they paid WVU the money. West Virginia hopes for the deal are that exposure and sales for games will significantly increase due to the hard work of IMG. IMG has hopes that the money they make from marketing WVU’s athletics through 2025 will well cover the initial expense of $86.5 million that they paid for the rights.
IMG had some issues when first trying to close the deal with WVU for their marketing rights. The original agreement was worth $110 million, but some problems arose about who had rights to broadcast the games. Therefore, the ending deal ended up not getting done until late July. This posed a huge problem as it shortcut IMG’s marketing group time to work on their plans for the upcoming college football season. The group put together a hardworking team, and dove in head first regardless and ended up having some great results.
The IMG group decided to work with the long time voice of the Mountaineer’s radio broadcast, Tony Caridi, to keep him on the radio as part of their team. This was a huge step since he was so well known, and people liked him. The next gigantic step to improving, and bringing in money was the signing of sponsor UPS. IMG put together a few ads for the football team before the 2013 season to try to get some of the players, and mainly the school in general some major attention now that it has joined the BIG 12 conference. Even with the late start IMG was able to exceed their goals by 22-25% at the conclusion of the football season, also overcoming the team having a poor record. IMG has big plans in the future as they will continue to work, and having a full season to prepare should prove to be very beneficial. IMG also plans to utilize more web-based functions to enhance their marketing of WVU athletics in the coming years.
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Review by Zach Lantz in SRM 435 (section 1)
In 2013, International Management Group AKA “IMG” took over management rights of the University of West Virginia’s multimedia rights. IMG has agreed to pay West Virginia 86.5 million dollars over the next 12 years to manage these multimedia rights. In this article, “IMG’s First Year with WVU Rights Exceeds Goals,” it explains how well and why IMG has succeeded their first year of their contract, despite getting off to a late start. IMG had not started until July of 2013 and still by mid December they were projected to make 22-25% of what they had originally anticipated. After taking over, IMG extended the pre-game show from 1 hour to 3 and a-half hours and extended the post-game show from 30 minutes to 2 hours. IMG has made it known that one of their top priorities is to bring in national companies to sponsor the school. While they have already brought UPS aboard, they are in talks with other companies to sponsor WVU. This article does a great job explaining how IMG became a part of WVU, why they chose WVU and how IMG brought on the adversity of becoming the rights owner of WVU’s multimedia in July before the beginning of the football season.
Many universities today hurt for sponsors for their athletic programs. By choosing IMG, WVU has made a tremendous step in promoting their athletic program. WVU’s athletic director, Oliver Luck, explained that the university chose IMG because they needed a bigger multimedia and sponsorships after joining the Big 12. IMG represents more than 90 universities and also the NCAA. While paying WVU over 80 million to hold the rights to their multimedia, IMG’s contract calls for WVU to invest over 2 million dollars in improvements at sports facilities that can be used for marketing. This does not only help IMG market their school, it also helps bring better facilities to West Virginia University.
This article relates to SRM 435 in many different ways. One of the biggest ways it relates to SRM 435 is the marketing and the promotional tools West Virginia and IMG are using to market WVU. IMG will be marketing WVU by creating deals with national companies for sponsorships, they will be advertising through social media and they will also be creating a brand for the fans of West Virginia by creating an environment that keeps these fans coming back. By having taking over, IMG is using all of the tools that we learn during this course and more.
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