Financial Daily from THE HINDU group of publications Monday, May 31, 2004 |
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Sports Marketing - Promotions & Offers Top cricket sponsors eye other events too
Nithya Subramanian
New Delhi , May 29 SAMSUNG, AirTel and Hero Honda are, in the ad world, popularly called the new czars of sports sponsorship. These companies and some others are not only sponsoring cricket and football but are supporting other sporting events as well. The trio were the main sponsors of the last Indo-Pakistan cricket series and have recently decided to back the USEFA Euro 2004 football matches to be aired on ESPN-Star Sports. Samsung has, in fact, gone ahead to sponsor the players participating in the Olympics to be held at Athens. Advertising industry officials peg the ad spends by these companies on sporting events at over Rs 100 crore. "Some years back Pepsi was a large spender, but over time other companies have realised the potential of sports and upped their spends," said Mr Sandip Tarkas, CEO, Media Direction, part of RK Swamy/BBDO. "Viewership for sporting events all over the world is dominated by males. Hence the products that follow are consumer durables, mobile phones and automobiles. It is a good fit," said Mr Sanjay Kailash, Director, Advertising Sales, ESPN Software India Ltd. Also, several of these companies have signed on sports players, so association with events completes the circle, Mr Tarkas added. Elaborating on the association with sports other than cricket, said Mr Vivek Prakash, Vice-President, Marketing, Samsung India Electronics Ltd, "The intention is to create interest in sports other than cricket, in keeping with the global philosophy of the company." Cricket promotion in India is just a tool for larger brand visibility due to the almost religious status of the game. In fact, the company in 2004 is spending 35 per cent of its ad budget on promoting sporting events. "Spends are normally divided between cricket and non-cricket sports. Earlier no money was spent on other sports, but over time it was found that there are viewers for these as well. In the metros with pub culture, soccer and Formula I car racing are gaining popularity due to the large screen and other promotions taking place. Here viewership is growing and so are spends," said Mr Atul Phadnis, Vice-President, S-Group, Tam India. Cricket, on the other hand, has become an expensive, high-risk, high-return investment proposition. "Companies with big budgets can only stomach the risks of cricket," he added.
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