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The European Sponsorship Newsletter

In This Issue:

UK

Uni-Lever the Deal

Germany
Painting by Numbers
Austria
Milking It!!!
Portugal
Minimalist Sponsorship in Art
Scandinavia
Lacking the Monet! 
Spotlight
Tobacco Sponsorship: No Smoke Without Fire
News:
         
UK
         Scandinavia
         Portugal
         UK Press Release


         
 
         

 

 

Issue 28 - August 2003




Letter from the Editor


Dear Reader,

Welcome to the 28th edition of the European Sponsorship Newsletter (ESN) in which we profile partnerships undertaken in the arts sector. Features include examples of sponsorship in Germany, Scandinavia, Portugal and the UK. This edition also features a special and timely report into tobacco sponsorship.  Given all of the hype regarding the EU legislation into tobacco advertising and sponsorship, we felt it was high time that we looked at this important development in the industry.

The level of business investment in the arts in the UK has risen from an estimated £600,000 (€849,060) in 1976 to over £150 million (€212 million) today.  Despite this remarkable growth, sponsorship in Europe, especially in the arts, is still a relatively immature and under exploited part of the marketing mix.  The value in arts sponsorship is not high exposure brand awareness, which is often the objective of sport sponsorship. The objectives of an arts sponsorship are focused on reaching a niche market, corporate hospitality and often shifting the brand in terms of corporate social responsibility. However in some cases this works against art sponsorship and some brands still look at the reach rather than the quality of reach.  This is particularly apparent in Portugal, as highlighted in their feature this month.

If you have any questions regarding any aspects of the ESN, including any ideas you have for future study, please don’t hesitate to let me and the ESN team know.

Enjoy your holidays!

 

All the best,

 

Tom Baynton-Williams

Acting Editor
editor@sponsorship.co.uk



UK News


The summer months are a time for football players to relax and their managers and chairman to work long hours on in proving the quality of their teams.  Speculation as to which players will be playing at which football club, with which football clubs has been rife.  The largest has been the £25 million exchange of Manchester United and England ace David Beckham to Real Madrid. Any activity involving the icon is an excuse for the commercial world to make money and this was no exception. In a deal worth £250,000 (€353,747) Beckham’s medical, which is usually a ‘behind closed doors’ private affair, was sponsored by Sanitas, a Spanish Healthcare company. The whole medical was broadcasted on Real Madrid TV.

In a deal worth £50 million (€70 million) for five and a half years,  Budweiser, the American lager, has announced a deal with English Formula 1 team, Williams. The deal concludes the beer brand’s lengthy search for an affiliation with a Grand Prix team, which is in line with the current advertising strapline “King of Sports”.  The race at Silverstone on 20th July saw the first outing for the new partnership.  BMW Williams, said little before the British Grand Prix, but did indicate that: “an awful lot of advertising and promotion [will be done].”  Williams’  Formula One Team is already sponsored by GlaxoSmithKline’s Niquitub CQ, Allianz, Castrol, FedEX, Hewlett-Packard and Reuters. More information regarding motor sport sponsorship and in particular tobacco sponsorship can be found in this edition’s Spotlight.

The Tussaud’s Group, operators of some of the major leisure attractions and theme parks in the UK, including the London Eye, Madame Tussauds and Alton Towers, has announced two new deals. Firstly in a three year deal, Peugeot has become an official sponsor of the Tussauds Group. The deal will guarantee the French car company exposure at Alton Towers, Thorpe Park, Chessington World of Adventures, Madame Tussauds and Warwick Castle – the combination of this visitor audience is approximately 15 million. Steve Harris, Peugeot’s manager, marketing partnership enthuses: “Tussauds is an ideal medium through which to communicate our family vehicles to the target market.”  Benefits of this sponsorship will include access to the Tussauds facilities for special events, conferences and meetings and also the implementation of a sales promotion campaign off-site, allowing people to get discounts for visiting the theme parks.

Additionally in a £1 million (€1.4 million) deal, Skips, the snack food brand, is to sponsor a new spinning roller-coaster ride at Chessington World of Adventures. The new ride will open next year and will circle the Land of the Dragons and follows Cadbury’s Heroes sponsorship of the Alton Towers ride ‘Air’, which opened last year.

Boots has signed a £6 million (€8.5 million) deal with GMTV, the breakfast television network, to promote its holiday product range over the summer. Boots, one of the largest retailers of health and beauty products in the UK, will be associated with all of the summer related programmes to support the theme: “Boots Bringing you Sunshine.”

As recently reported in the ESN (Issue 26) household cleaning company Home Pride are sponsors of a number of popular ITV programmes including The Bill and Trisha. The deal has been highly successful with a reported 200% increase in sales of the oven cleaning brand, Oven Pride. The current deal, which is worth £3.5 million, is being expanded to also include This Morning, the popular daytime television show.

In a new deal, worth £11 million (€15.5 million) over three-years, Carling, owned by the brewery Coors,  is to sponsor the Football League Cup. Previously sponsored by another Coors brand- Worthington’s. Carling, has a proven track in football sponsorship and, up until 2001 were the title sponsors of the English Premier League.  Coors has remained supportive of football and has stated its intention to spend over £30 million (€42 million) on the sport over the next three years, including the sponsorship of both Celtic and Rangers (as reported in the last edition of the ESN).  It was reported that Smirnoff was looking to sponsor the League Cup, but negotiations collapsed before an agreement was finalised.

In a six-figure deal Barclays Private Bank will sponsor ITV’s arts programme The South Bank Show. The show is a highly regarded arts magazine style programme, which is presented by Melvyn Bragg, and is now in its twenty-fifth year.  Barclays Private Bank marketing director Mar Guerrero-Busquets explains the fit: “The South Bank Show is a perfect fit for us because it focuses on experts in their field; a valuable audience for Barclays.”  It has also been announced that Barclays is to sponsor London Underground’s Bank Station, Bank Station is situated right in the financial centre of London.

In a deal with UK Athletics, Johnson & Johnson has become the latest high profile company to support the growth of the country’s athletics.  The one-year deal will involve the brand Daktarin, the UK’s leading brand for the treatment of athlete’s foot, and will include exposure on television at some of the largest athletics meetings in the UK.  In addition to this Daktarin will be running promotions to give away tickets. Nicky Sunshine, brand manager for Daktarin reports the reasoning behind the deal: “The sponsorship of UK Athletics will give us an opportunity to raise awareness of the Daktarin range for the treatment of athlete’s foot. We are delighted to be involved in athletics at such an important time.”

Following on from news of the Daktarin deal, UK Athletics has  announced an extension to the Norwich Union sponsorship.  The new deal will see Norwich Union fulfill its role of number one supporter of British Athletics, through its £20 million (€28 million) commitment, until 2006.  Alistair Marks, sponsorship manager of Norwich Union, comments:  “Sponsorship, over time, reaches a plateau of awareness and we are seeing that in our consumer research. We therefore felt that we had to extend our messages and try to personalise the brand, as well as create a meaningful platform from which many business objectives could be met.”  The core aim of the initial agreement was to shift brand image and thereby increase sales.  This goal was created by delivering an integrated marketing programme, which included interaction with the young, through the ‘Community Sports Awards’ and ‘Do the Right Thing,’ which ultimately looked to increase participation amongst the young.

Cricket’s county champions Surrey has finally announced a deal with RAC Motoring Services.  This comes after a lengthy search.  The new one year deal grants RAC the rights to branding on both the white and coloured shirts as well as some other commercial benefits.   Andrew Huntly, RAC’s managing director of breakdown services, said: “The partnership with Surrey County Cricket Club offers not only a branding opportunity but the scope for a strong commercial return.  Surrey’s track record of recent success demonstrates their pace and ambition – two qualities we also prize very highly at RAC. Cricket sponsorship is a first for RAC, but this deal represents a good fit between the tow brand and we are confident Surrey will do us justice.”

Tom Baynton-Williams – UK Correspondent
twilliams.bds@sponsorship.co.uk