Friday, February 28, 2014

"Michael Sam's marketing power is real—just not until draft day"

From Sporting News



Analysis by Preston Clark in SRM 435 (section 1)


Michael Sam, future NFL player, recently announced that he was gay. Now comes the big question: How and when will companies use him in their future marketing and advertisements? Sam’s new agent, Jason Barkett, has already received numerous calls from companies who want to sign him. However, in order to conduct his training for the combine and upcoming NFL season, Sam has turned down all of the offers so far. He wants to remain focused on his game until he can establish himself as a football player, then he will begin looking into the offers. Some possible companies that may want to sign him include Red Bull, Nike (who have already signed openly gay Brittany Griner and Jason Collins), and Beats by Dre. Sam has already signed several autograph deals with trading card companies, but does not want to go any farther than that because his main goal is to prove that his on-field performance is NFL quality. He knows that the marketing dollars will come after that happens.

Michael Sam is an important factor for companies who are looking for a new marketing scheme. His story and his courage are perfect to market to all walks of life, especially the rarely targeted LGBT community. There will be a lot of people in America who will look up to him for being brave enough to come out as gay to the public, which will cause them to want to purchase some of the merchandise and products that he sponsors. Companies will have to use their creativity to come up with proper ways to market Michael Sam in order to make the most out of their advertisements and not offend people. The smart companies will focus on Sam’s play on the field while keeping their message targeted towards the general consumer, not just the LGBT community.

This article was very relevant to the course because it surrounds a guy who will be the center of a lot of marketing schemes in the near future for various different companies. It will be a test for companies to come up with ways to market Sam to not only the LGBT community, but the rest of America too. It will be interesting from a marketing and promotional standpoint to see what companies sign Michael Sam and how they use the different advertisement methods.


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Analysis by Kirby Burkholder in SRM 435 (section 1)


Our article was on Michael Sam, who has become the first gay NFL player, seeing that he gets drafted, to openly come out. He played football in college for Missouri, and is prospected to be drafted in the first few rounds. By coming out as an openly gay athlete, his agent says the phones are ringing off the hook for future possible deals signing Sam for endorsements, ads, etc, to promote the gay, lesbian, bisexual, and transgender community. Many companies see him as a great marketing tool for their product.

In the article, a few companies were mentioned as possible endorsements for Michael Sam. The first was Beats By Dre, which is a company that already has a partnership with the NFL. Sam would fit well into their signature commercials with the beats headphones on, blocking out all the distractions around them. Another company that is a probable deal would be Nike. Nike already announced its support of marriage equality, and have a good relationship with the LGBT community. They also have already have done a deal with an openly gay WNBA player, Brittany Griner. The third company mentioned in the article is Red Bull. They already have a history of non-traditional sports marketing. The article says how Sam should pick brands he can easily relate to or uses.

Sam’s marketing opportunities don’t stop here though. All these are deals that he can sign to be endorsed by a company or brand, but there are so many more marketing options that will open up, especially if he does well in the league. In other articles, it says how many talk show hosts would like to talk to him already, and there is talk of possible book or movie (documentary) deals. The marketing options for Michael Sam are endless, and most of it has to do with him simply being gay. Another big point stated in the article is how the main thing Sam needs to be focusing on is his play once he gets in the league. He needs to prove he is a top player, or a lot of the talk of these endorsements and deals might go out the window.

Wednesday, February 26, 2014

"MLB Opening Series In 2014 Will Be Major Boon For Australia"

From MLBSydney2014.com and International Business Times

Analysis by Stephen Dombrowski in SRM 435 (section 2)

Major League Baseball has done a great job reaching out to the global market, but this year their target is a new country: Australia. This year marks the 100th anniversary of the exhibition game between the Chicago White Sox and the New York Giants. This year’s game will feature the globally prominent Los Angeles Dodgers and a young team that is on the rise, the Arizona Diamondbacks. Sydney officials are turning the Sydney Cricket Grounds into a Major League field for March 22 and 23.

From a marketing standpoint of the MLB, this is pure genius. Baseball is on the rise in Australia. There are numerous Australians now in the game including the Rays’ Grant Balfour. After going to Japan for the last several years, they have finally picked a country where there is more potential for growth. The Australian Baseball League was started back up in 2010 and is overlooked by MLB officials. The league’s purpose is to bridge the gap between generations and create a buzz about baseball to the youth to inspire young Australians to play the game. This year was perfect using the 100 year anniversary to bring the game back and to advertise the century mark. However, there are some downfalls to having the game here. Most Australians are more interested in cricket than they are baseball. To some, this game is completely foreign to them and might now understand some of the rules. Lastly, the playing conditions and stadiums in Australia are not adequate to field a Major League ball game.

From the Australian’s standpoint, their advertising of the game in local papers has been fantastic. By having a Major League baseball game here in Australia it shows that the country is serious about getting competitive in baseball. It has been called Aussies Chasing the Dream. The way it is being promoted is to show it is similar to cricket but it being shorter and a lot more convenient to play or watch if you have other things going on in your life. The downfall again for the growth from the Australian standpoint is the lack of adequate and convenient stadiums to play the games at. It is hard to get fans excited about going to a game that does not give the fans a great experience. Cricket again is the challenge facing the growth. David Smith says, “There simply isn’t enough room in people’s minds and lives for new sports.” However, by having this game Down Under, Major League Baseball and Australia are working hard together to overcome these obstacles.

Every professional sports league is trying to branch out and gain global popularity. The NFL in London, the NBA going overseas and in China, the NHL’s large amount of foreign players, and now the MLB playing the first games of the season in other countries. This article is relevant to the course because of the constant change that is occurring throughout sports and how each league is constantly trying to gain a larger audience. It is important for any of us going into the marketing profession to know that there is more to just marketing to your local fans. There is a bigger picture and the world of baseball is becoming a smaller and smaller place.

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Analysis by Griffin Waugh in SRM 435 (section 2)


This year opening day will come with a small twist. Most people can't wait to take the train into the Bronx and smell the fresh cut grass on April 1 of every year; that may just be me. This year the Opening Series of the 2014 MLB season will take place in Sydney, Australia on the 22nd-23rd of March. The Opening Series will feature a National League West match-up between the Arizona Diamondbacks and the Los Angeles Dodgers. The game will be played at the Sydney Cricket Ground. The last time a MLB game was played here was an exhibition game in 1914 featuring the Chicago White Sox and the New York Giants. Major League Baseball signed a $13 million deal to have the first season opener in Australia. By doing so they are passing up more money and a larger baseball market in Japan, a location that has frequently been used for the Opening Series.

This is all a part of MLB's initiative to push for more local enthusiasm for baseball in Australia. Four years ago, Major League Baseball bought a 75 percent stake in the Australian Baseball League (ABL). With Australia hosting the Opening Series, this is the first step in the process of marketing and promoting baseball in Australia. Major League Baseball Commissioner, Bud Selig recently was quoted as saying "the globalization of our game continues to be paramount to Major League Baseball, and Australia is an essential part our long-term efforts to grow the sport." (The Australian) Just by looking at MLB.com and the amount of jobs it offers with the ABL, it becomes evident that they are pushing for baseball in Australia. This untapped market offers a lot to the MLB in return as they provide a new area to grow the sport of baseball. Unlike other baseball dominant areas like Asia and the Caribbean, they lack established baseball academies. The ABL also provides minor league baseball players a chance to continue their craft as the season occurs from November to January. Many minor league players will go overseas and continue to get better during the winter months by playing in the ABL. Over the years, over 30 Major League players have come from Australia; most famously, Grant Balfour, the new closer for the Tampa Bay Rays. Major League Baseball will look to explore this new territory and market baseball in Australia in order to develop new talent in the hopes of players from Australia coming to play baseball professionally in the MLB.

This growth in baseball in Australia will create globalization for the game. Providing the MLB with new talent, fans, jobs, and revenue. The MLB is already a trillion dollar industry that could now help benefit the economy and the sport of baseball in Australia as well. New South Wales Premier Barry O'Farrell believes that their marketing and promotional efforts will pay off as "it is estimated that the matches will deliver a direct visitor impact of more than $13 million for the local economy." (International Business Times) The games will also be broadcast live in the US on ESPN. This will serve as a national stage promotion of what Australia has to offer and should increase tourism. It also will put a major sport on display for locals, which should in turn increase local enthusiasm for the game of baseball. The main reason the MLB choose Australia to host the Opening Series was to reestablish the sport of baseball in Australia. They will try to gain new fans and talent after their efforts to resurrect the ABL in 2010 were successful. The impact from the Opening Series along with the revenue generated from ticket sales and TV revenues will help provide the league with new facilities and the chance for continued expansion.

This pertains to this course because it shows what the end result of marketing and promotional efforts can be. It also sheds light on how smaller leagues and corporations grow to establish themselves as entities. I believe thanks to Major League Baseball’s dedication to this effort that baseball in Australia can be sustainable. I would even go as far as saying that it could rival Triple-A baseball, and the Caribbean Series for number of fans and TV revenues.

"Notre Dame, Under Armour Ink Unprecedented $90M Deal"

From Athletic Business


Analysis by Sylvia Lee in SRM 435 (section 2)

Recently, Notre Dame and Under Armour signed the most lucrative apparel and shoe deal in college athletics history. The agreement is over a 10-year period worth about $90 million in cash and merchandise. Currently, Notre Dame has a deal with Adidas, which will be ending in June.

In addition to the $90 million deal, the agreement will also allow Notre Dame to take some of the cash in company stock, potentially making the payoff even greater. Because of this, “shares of Under Armour were up more than 3 percent on the day and 80 percent over the last year.”

Notre Dame fans are worried that Under Armour will change the traditional uniforms, but Kevin Plank (CEO of Under Armour) ensured the fans that they will not make any major tweaks. The deal also does not allow Under Armour to get any signage in the stadium. Since 1930, Notre Dame’s stadium has been free of all advertisements and does not have a video replay board, and they will continue on with this tradition.

From a sport-marketing standpoint, I believe this is a huge opportunity for Under Armour since they are continuing to compete with other sporting apparel companies such as Nike and Adidas. With every Notre Dame football game being nationally televised, Under Armour will get a great amount of exposure. Because of this new deal, die-hard Notre Dame fans, students and faculty of Notre Dame could possibly also to become loyal to this brand in a sense that it may make them feel a connection with the football players and program. With about a quarter of the United States population being a college football fan, there is no doubt that Under Armour has gained a tremendous amount of publicity after signing this $90 million deal with Notre Dame.

This article is related to this sport marketing and sales course because it is about the benefits a sports team and a company gained by signing a sponsorship deal. Under Armour will get a lot of national television exposure during college football season, and Notre Dame will be getting a total of $90 million in cash and merchandise.

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Analysis by Titus Till in SRM 435 (section 2)


On Tuesday, January 21st, 2014, Under Armour and Notre Dame announced to the world their new deal, which is arguably one of the biggest contracts in college sports history between a University and another big name company such as Nike, Adidas, Reebok or Under Armour. Notre Dame’s previous deal with Adidas was the richest in college sports with the 10-year $82 million contract that will soon expire. Notre Dame’s new contract is now being referred to as one of the most valuable shoe and apparel contracts in the country. This 10-year deal will begin as soon as the contract with Adidas expires in June. The value of the deal was not revealed by Notre Dame or Under Armour, but is estimated to be worth a whopping $90 million over the next ten years according to ESPN reporters. Notre Dame will be joining a plethora of schools across the country who have a school-wide deals with Under Armour including company owner, Kevin Plank’s, alma mater Maryland, Texas Tech, Boston College, Utah, Temple, Northwestern, South Florida and South Carolina. For the fans that may have concerns with having changes made to the historical uniforms that Notre Dame has worn for years, Plank says not to worry. Also, Under Armour will not have any signage within Notre Dame Stadium in order to keep the traditional atmosphere, which excludes any advertisements and even a video replay board within the stadium.

This deal ultimately benefits both Under Armour and Notre Dame from a marketing standpoint because of the huge fan base that both Under Armour and Notre Dame have accumulated over the years. With these two entities joining forces, more awareness of both brands will grow. Not only does this create more buzz around the Notre Dame community but also will generate more cash through Under Armour’s company stock. As of 12:30 p.m. ET on the day that this deal was announced the shares for Under Armour went up more than 3 percent and up more than 80 percent over last year. I believe that this deal will generate more sales from Notre Dame fans wanting to be apart of the new change going forth. As this relates to our class, this is a perfect example of a successful deal for both parties involved. If all deals could sound this good on paper the world would be a better place but unfortunately not every company has a growing name like Under Armour and not every school has a tradition like Notre Dame. Whoever came up with this idea to merge this school and this company was a genius from a marketing standpoint.