Olympic Sponsorship: Is It Worth It?

Meaghan JordanSOBO 270S: The 2008 Beijing

Olympics: Challenges and Opportunities

19 August 2008

~Olympic Mission Statement~• “The Beijing 2008 Olympic Games Sponsorship Program shall abide

by the Olympic Charter and adhere to the Olympic Ideals and the three concepts of 'Green Olympic Games, High-tech Olympic Games and People's Olympic Games';assist in the promotion of the Olympic

Movement, the promotion of the Olympic image and brand awareness of the Beijing Games and COC in and outside China;ensure financial sufficiency and stability, and reliable technical and service support for the staging and operation of the Beijing 2008 Olympic Games; provide

a unique Olympic marketing platform for both Chinese and foreign enterprises and encourage the broad participation of Chinese business entities to enhance their corporate image and brand awareness through their Olympic association, and provide quality services to sponsors and

maximize the return on their investments while helping them forge long-term partnerships with the Olympic Movement in China.”

-Levels of Sponsorship-1. Beijing 2008 Olympic

Games World Wide Partners

2. Olympic Games Partners3. Olympic Games Sponsors 4. Olympic Games Exclusive

Suppliers5. Olympic Games Suppliers

http://en.beijing2008.cn/bocog/sponsors/sponsors/

-Sponsorship Incentives-• Use of BOCOG and/or COC marks, designations for the purposes of advertising

and market promotions• Product/service exclusivity in specific categories

• Hospitality opportunities at the Olympic Games, including: accommodation, accreditation, tickets for opening and closing ceremonies and competition events,

sponsor hospitality village, etc.• Preferred option to purchase TV ad space and billboards during the Games period• Preferred option to purchase sponsoring opportunities of cultural programs and

signature events such as the Torch Relay• Participation in sponsor workshops and observations organized by BOCOG• BOCOG sponsor recognition program and acknowledgements

• Protection of sponsorship rights via the anti-ambush marketing program of BOCOG.”

http://en.beijing2008.cn/bocog/sponsors/n214077622.shtml

-Sports Apparel Competition-

-Brand Presence-• Adidas:

– Outfit all of the volunteers, staff and officials – Individual Contracts with various countries

– Official Apparel of the Games

• Nike:– "…Dress(ing) thousands of athletes from more than 100 countries“

– Create products in "every sport at the games." http://www.sportsbusinessdaily.com/article/119880

• Li-Ning: – Individual Contracts with countries and/or teams – CCTV-5 Broadcasters Jackets and Golf Shirts

-Advertising Campaigns-

• Adidas: “Impossible Is Nothing”

• Nike: “Just Do It”

• Li-Ning: “Inspire”

-Ambush Marketing-

• “…are those non-Olympic sponsor enterprises that use the Olympic brand and assets without permission

to market their own brands, thus misleading consumers into believing that these enterprises are Olympic sponsors. This sort of unethical behavior by

ambush marketers have adverse effects, including violation of the rights and interests of Olympic

sponsors, and it also weaken and detract from the Olympic and Olympic Games brand value.” http

://en.beijing2008.cn/1year/talks/s214119645/n214128929.shtml

Is Sponsorship Worth It?

Positive Aspect:• Creates niche in Asian

market• Generated favorable

ties with Chinese government

• Break into European market

Negative Aspect:• Large fee attached to

multi-year contract• Competitors presence

through apparel and advertising

• Is sponsorship cost effective in the long

term

What Do You Think?