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Monthly Luncheon Report
(Jan. 12, 2005 PCC Monthly Luncheon)
"Sports Marketing: Team Up to Build your Brand"
By David Brimm
MODERATOR
Peggy Kusinski
Weekend Sports Anchor, NBC Ch. 5
PANELISTS
Brooks Boyer
VP of Marketing, Chicago White
Sox
Dave Leitao
Head Men's Basketball Coach,
DePaul University
Dave Kurland
Director of Community
Relations, Chicago Bulls
Nick Paul
Senior VP Management Director
361o sports + event marketing
PRORAM SUMMARY
[Photo to be posted soon]
All photos by Ted Lacey
Winning Sports Promotions Don’t Always Require Winning Teams or World-Class
Athletes
Yes, we remember the glory days of the Michael
Jordan Bulls and Walter Payton SuperBowl Bears and
the perennial Sammy Sosa "cursed" Cubs, but a panel
of Chicago sports experts agree that winning records
shouldn’t interfere with the terrific opportunities
for winning professional and college sports
promotions and PR tie-ins. The panel, moderated by
Peggy Kusinski, Weekend Sports Anchor, NBC Ch. 5,
included: Brooks Boyer, VP of Marketing, Chicago
White Sox; Dave Leitao, Head Men's Basketball Coach,
DePaul University; Dave Kurland, Director of
Community Relations, Chicago Bulls; and Nick Paul,
Senior VP Management Director for 361 Sports.
Nick Paul
As head of 361 Sports, over the course of a
13-year sports marketing career, Nick has developed
winning sports promotions for a number of Blue-Chip
brands. His agency works with clients to integrate
brands into the sports market. He revealed some
important insights into the dynamic sports marketing
environment:
By 2008, 25 million homes will have TiVo,
putting standard commercials on the endangered
species list. It will change the behavior of
core sports fans and challenge marketers to find
alternative ways to reach these fans.
Studies suggest that four out of ten
consumers will pay 10% more for brands that have
a sports tie-in. The same number will switch
brands if the sponsorship is meaningful to them.
$11 billion was spent on sports marketing
sponsorships in 2004
83 out of the top 100 U.S. companies
allocate a part of their budget for sports
marketing
The reason for the interest in sports marketing?
According to Nick, it’s that sports sponsorships
appeal to the emotions of consumers. And that appeal
applies to college level, minor league and
professional sports teams. He suggests that in
addition to the pro teams, marketers in Chicago
should think about the Kane County Cougars and arena
football, where the teams offer expanded packages
and where athletes have close ties to their fan base
and sponsors
Dave Leitao
Although the head basketball coach of DePaul
since 2002, Dave’s responsibilities not only include
motivating his team, but motivating the fan base to
support DePaul basketball. Dave admits that college
sports has taken on some of the trappings of
professional sports, with a much greater emphasis on
"dollars and cents." His challenge is to balance the
amateur status of DePaul basketball with the
benefits of fund raising and appealing to the
booster clubs.
"We have to create a product that the consumer
wants to be part of. Create the right image. This is
a daily challenge for me and for our athletes. I
have to teach them how to act like a ‘professional’
without overstepping their amateur status," said
Dave.
College basketball is a multi-billion industry,
so it’s not unexpected that the "purity of
amateurism can be tarnished by the lure of dollars.
Winning fuels dollars and generates corporate
sponsorship and fundraising" among DePaul’s core
audience of students (the life blood of college
sports); fans and alumni; sports and entertainment
enthusiasts; and corporate sponsors.
Dave Kurland
In his 16th season with the Bulls, Dave is
responsible for all community relations activities
and coordinates the Bull’s charity foundation (CharitaBulls).
While he acknowledged that community relations has a
different dynamic than sponsorship sales, it’s as
important for tapping into community support. "PR is
what people think about you. Community relations is
what people feel about you."
He admitted that his work is more challenging
than in day’s past, when Michael Jordan gave the
Bulls and professional basketball international
cache. Today, basketball players have the poorest
image of any professional sports athlete. Kobi
Bryant’s troubles, for example, have contributed to
this perception. As a result, the NBA is embarking
on a comprehensive image campaign to change
perceptions of players.
Dave reported that this current Bulls team "is
the best group of players I’ve encountered in 16
seasons. They are a young group, and are very
willing to do community work. They are not adverse
to signing autographs before the game and really
enjoy interacting with fans."
Kurland reminded the audience that basketball is
the only professional sport where fans can sit on
the court and be close to the athlete. "It’s a real
hands-on kind of relationship."
"The bottom line is that when you feel good about
the Bulls’ contributions to the community, you feel
better about supporting the team. The Bulls will
work with any family-oriented charity, and we
especially support reading programs. Don’t be afraid
to call us and tell us about your charitable
program."
Brooks Boyer
After 10 years with the Chicago Bulls, Brooks
joined the Chicago White Sox in 2004 as VP
Marketing. His goal is to have White Sox fans
"connect with the team and its players while
providing an unmatched fan-focused entertainment
experience." In essence, according to Brooks: "My
job is to convince fans that the White Sox are
winners. Make them more relevant to the fan base. I
want to ensure that every time a fan visits the
ballpark, we offer an opportunity to make a good
impression."
Brooks noted that the team sells 40% of its
tickets in town, so the team lends itself to very
localized marketing. "I tell our management that
marketing will fill the seats from April-August, but
the team needs to do the rest from
September-October."
The White Sox approach to sports sponsorships is
that they are tailor-made to the marketer. "We want
the sponsorship to succeed, so we will work with any
marketer on a program and budget that will meet
their needs. Entering into a sponsorship just for
money is a waste of everyone’s time and resources."
Brooks took exception to media perceptions that
the White Sox are "cheap" when it comes to
bankrolling player salaries. "We have a $70 million
player payroll, the fourth highest in the AL. The
money we generate goes back into the team to pay
salaries, not to pay back investors. Spending lots
of money isn’t always the key to success."
The Jordan Effect
A prolonged discussion ensued about the impact
that Michael Jordan had on celebrity sports
endorsements. Kurland believes that one big
difference with the current Bulls team is that it
more of a team player mentality, with no one athlete
commanding attention. Although, he admits that
Jordan helped popularize the Bulls like no other
Bulls player ever will. .
Player Demeanor
Boyer notes that the White Sox instill an
attitude in their players that autograph signing is
an important part of their job. The White Sox
sponsor events that encourage autograph signing. All
players go through media training, as well.
Kurland stated that Bulls players receive
training and guidelines on how to interact with
fans. Fan interaction is greatly encouraged. All
rookies go through a transition program when they
become professional athletes. It includes PR
training.
Leitao said that it is becoming increasingly
tough for amateur athletes to recognize that they
are under intense scrutiny by fans and the media.
Players must understand the importance of connecting
to their fan base, which will give them valuable
training if they turn pro. "Now a story about an
athlete acting improperly, even in college sports,
can take on its own life, showing up on the networks
and cable sports and news shows."
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