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Getting Naming Rights,
Right Presentation and Panel Discussion
Presented by
Larry Weil
Ray Katz
Tim McGhee
John Alper
Naming Rights Panel
• John Alper, Vice President of Legends Sales & Marketing, is entering his twenty-second year in the sports marketing and sponsorship sales business.
• John has represented a wide variety of properties to assist them with Naming Rights, as well as maximizing their sponsorship revenue, including Super Bowl XLV, the New Orleans Hornets, Florida Atlantic University, Pizza Hut Park, the University of North Texas, the City of Plano, and others
• www.legendshm.com, [email protected]
• Ray’s resume includes Managing Director and CMO posts at OMD/Optimum Sports, CMO at The Football Network and senior marketing and sales roles at the NFL, Madison Square Garden Corporation and American Express.
• Ray’s expertise is focused across sports marketing disciplines including sports media, sports sponsorship, emerging technologies, and research and analytics.
• Ray is also an adjunct professor and teaches sports marketing and media at Columbia University and NYU. He is a graduate of the University of Pennsylvania and the Wharton School of Business.
• www.Source1Sports.com, [email protected], http://www.linkedin.com/pub/ray-katz/0/309/47
• Larry is a veteran sponsorship engagement strategist and personal talent manager for some of the nation’s most recognized consumer brands . Client roster has included Starbucks, P&G, Capital One, MBNA, and Ameriquest.
• He specializes in innovative naming rights, activation planning, lead generation, and customer acquisition tactics; he has managed negotiations and activation for MLB, NFL, NBA, MLS, NASCAR, NHRA and NCAA sponsorships.
• Larry has experience at every level of sponsorship up to and including the Super Bowl and World Series. MBA University of Texas at San Antonio
• www.SponsorshipUniverse.com, [email protected], http://www.linkedin.com/in/larryweil1
• Tim McGhee is the principal of MSP Sports specializing in sponsorship strategy and sponsorship asset valuation. • Tim worked for IMG Consulting as Senior Vice President/Managing Director from 2010-2012 and 2002 to 2005. In his
most recent role, McGhee oversaw all of the agency’s client engagements in North America. • From 2005 through 2009, McGhee was with Cingular Wireless and AT&T where he was the Executive Director of
Global Sponsorships responsible for a sponsorship portfolio consisting of over 80 properties, as well naming rights agreements with the AT&T Center and AT&T Park.
• He holds a bachelor’s degree in marketing from Cornell University and a MBA in management from Columbia University.
Let’s Start at the Beginning
IAVM 2012 Conference, Ft. Lauderdale FL
The Middle
State of the Art Stadiums
Met Life vs. Citi
Contrasting Deals in the same marketplace
Why do companies purchase naming rights: The Buyers Perspective
• Branding/Competitive Advantage – Provide showcase for products and services
• Companies that want to increase awareness
• Exclusivity in external signage and on-screen in broadcast exposure
• Establish or increase presence in a new or priority region/market – Direct Economic Benefit
• Direct financial business for banks; pouring rights for soft drinks, etc. – Community Goodwill and Corporate Civic
Responsibility – Business-to-Business Relations
• Best in market hospitality opportunities & access
What are companies really buying when they purchase naming rights?
The Seller’s Perspective
• Varies depending on a company’s lifestage and marketplace position
• Enormous awareness, community goodwll, depends on unaided awareness to start…
• Credibility, totally different if you have or don’t have brand recognition
• Lead generation
Cowboys Stadium Do you always need naming rights?
Churn in Naming Rights
• Enron Field – Aka: Minute Maid Park, The
Ballpark at Union Station, Astros Field
• Monster Park – Aka: Candlestick Park, 3Com Park
at Candlestick Point, San Francisco Stadium at Candlestick Point
• Sun Life Stadium – Aka: Joe Robbie Stadium, Pro
Player Park, Pro Player Stadium, Dolphin Stadium, Dolphins Stadium, and Land Shark Park
• AT&T Park – Aka: Pac Bell Park, SBC Park
Checklist: things that can go wrong
– Selling naming rights to a rich category either financially (automotive) are you taking yourself out of other money… or with regards to the number of sub-categories which are being closed out (financial services)
– Selling to a company which is a financial, ethical, safety or legal risk
– Fan alienation regarding over-commercialization (eg. Selling Wrigley or Fenway)
– Brand Fit
– ETC.
Yankee Stadium: déjà vu all over again?
Branding and control issues
Alternatives to naming rights
• Seller’s perspective – What can you sell? MSG makes Chase
presenting sponsor of most meaningful events/assets at a cost of 20 MM…
– Courts or fields within the complex
• Buyer’s perspective – How else could you spend that money?
• Is the brand “maxed out” in traditional spending eg. GEICO…what are customer acquisition costs?
– Wireless carrier…also lead generation but also seek exclusive content?
• What else could the buyer buy? • Brand owns something relevant to
their target audience but not entire venue- eg. SAP Suite Level Yankee Stadium
What’s a venue worth? Valuation
• Role of analyses in negotiations
• ROI has become a key buzzword.
• Valuations should be pre-emptive on the sales side to justify asking price
• Valuations may differ based on the nature of the buyer with regards to – Category
– Current brand metrics such as awareness
– Whether company is global and whether related property is global
Three things you must know preparing to sell naming rights
• What is in your offer that isn’t typically in a proposal?
• What isn’t in your offer that typically is in a proposal?
• How will your prospect value your proposal?
Q&A
