The following post will analyse how companies use sports in order to way to further their own business.
The most typical partnership between a business and a sporting organisation, particularly in football is for basic sponsorship deals. Whilst there are many ways for an organisation to sponsor a group or player, the most recognisable is being the primary sponsor of the shirt. Shirt sponsorships are so popular and feasible that it is even a viable small business idea, although for smaller less well-known sides. Sometimes a specific soccer team will become synonymous with a brand as a result of a long term and famous sponsorship, this is some thing that the Pirelli board achieved when partnered up with an Italian team club. There are plenty of football shirts that have been enhanced by a sponsorship deal and it has end up being somewhat of a fashion trend to buy retro football tops, the majority of which are famous both because of the style but also the sponsorship on the front.
One of the largest aims for a business is for it to become a household name. If a brand is well known by the vast majority of a population then their marketing and advertising department have done an incredible job. A feasible solution to try and achieve this to sponsor some kind of sports team or organisation, a decision that would have been supported by the Telecom Italia board. The business plan to sponsor an entire soccer league, which the telecoms business did, is not a small decision and would cost a considerable range, even so the payback from it's immeasurable. As they sponsor one of the greatest football leagues in the world, the brand name is now known by every single football fan, of which there are a tremendous range. The unique business idea to sponsor a division calls for a large range of money and influence, as the soccer governing body would not enable their league to be involved in a little or little-known business.
A really exciting and daring business step is to take over an entire sports organisation. A really profitable business idea that few businesses have attempted is to purchase out a football team and rename and rebrand it, as it supplies the firm with extra revenue. The Red Bull board have decided to make this move on numerous occasions. The drinks brand has taken over an F1 team and also a couple of football sides. The strategy works really well for the brand as they are an energy drink, so it enhances their total market position and position, therefore providing them with further marketing. What also helps is that the label image of the firm is of two bulls, which makes for a really excellent sports logo too, although many die-hard fans may not be as well happy that their sports teams has been changed so significantly.