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Introduction to Olympic Marketing

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Introduction to Olympic Marketing

  1. 1. Olympic Marketing Ana ADI
  2. 2. <ul><li>Offer a review of Olympic Marketing focusing especially on Olympic Broadcasting and Olympic Sponsorship </li></ul><ul><li>Present and discuss the attributes of the Olympic brand </li></ul><ul><li>Analyze and discuss the Olympic brand equity </li></ul>This lecture aims to:
  3. 3. <ul><li>“ The emotional link the consumer feels with [the] athletes, their commitment to the Olympic values, combined with the pageantry and glory that are the Olympics” (Kane 1999) </li></ul>Olympic Brand
  4. 5. Source: freshpeel.com
  5. 6. <ul><li>Excellence </li></ul><ul><li>Respect </li></ul><ul><li>Friendship </li></ul>Olympic Brand Dimensions
  6. 7. <ul><li>Olympic Rings </li></ul><ul><li>Olympic Flag </li></ul><ul><li>Olympic Anthem </li></ul><ul><li>Olympic Flame (and Torch) </li></ul>Olympic Symbols
  7. 8. <ul><li>Hope </li></ul><ul><li>Dreams and Inspiration </li></ul><ul><li>Friendship and Fair-play </li></ul><ul><li>Joy in Effort </li></ul>Olympic Brand Attributes
  8. 9. <ul><li>Positive values </li></ul><ul><li>Community-centered experience </li></ul><ul><li>Striving for success </li></ul>Olympic Brand Mix
  9. 10. <ul><li>Watch Chicago 2016 Bid logo video: </li></ul><ul><li>http://www.youtube.com/watch?v=nBX9AqfBFDc&feature=channel_page </li></ul>
  10. 11. <ul><li>Revenue generating programs including broadcasting , sponsorship , ticket sales and licensing. </li></ul><ul><li>Marketing of organizations involved in the Olympic Games (IOC, NOCs, OCOGs) </li></ul>Olympic Marketing
  11. 12. Sources of revenues Source: olympic.org, 2009
  12. 13. Source: olympic.org, 2009
  13. 14. US$ Overall Olympic Revenues Source: Seguin, IOA, 2008
  14. 15. Broadcasting Revenues Source: Adi, IOA, 2008
  15. 16. <ul><li>1960: mainly OCOG </li></ul><ul><li>1970s: OCOG negotiates (IOC gets share of revenue) </li></ul><ul><li>1980s: OCOG + IOC negotiate </li></ul><ul><li>1990s: IOC negotiates in contact with OCOG </li></ul><ul><li>2000s: IOC negotiates alone (other rights come into play) </li></ul>Olympic Broadcasting Evolution
  16. 17. <ul><li>Currently the IOC negotiates media rights </li></ul><ul><ul><li>Include broadcasting and new media </li></ul></ul><ul><ul><li>For Beijing 2008, a separate deal was signed with YouTube </li></ul></ul><ul><ul><li>Efforts are made to negotiate with media-conglomerates </li></ul></ul>Olympic Broadcasting Evolution
  17. 18. <ul><li>What are in your opinion the challenges with which Olympic Broadcasting is confronted? </li></ul>
  18. 19. <ul><li>Cost of Olympic advertising </li></ul><ul><li>Cost of activate sponsorship schemes </li></ul><ul><li>Emergenece of new-media </li></ul><ul><li>New approach to broadcasting rights </li></ul>
  19. 20. <ul><li>70s-80s- the Games were confronted with bankruptcy, disunity and political challenges </li></ul><ul><li>Additional source of revenue </li></ul><ul><li>Brand endorsement/ Image transfer </li></ul>Olympic Sponsorship
  20. 21. <ul><li>use the Olympic logo, trademark, name </li></ul><ul><li>exclusively associate with the Olympic brand </li></ul><ul><li>conduct special promotions </li></ul>Olympic Sponsors have the right to:
  21. 22. <ul><li>TOP Program </li></ul><ul><ul><li>IOC /OCOG/ NOC Partners </li></ul></ul><ul><ul><li>World-wide and exclusivity based </li></ul></ul><ul><ul><li>Launched in 1985 </li></ul></ul><ul><li>OCOG Marketing </li></ul><ul><ul><li>Host country offers exclusivity </li></ul></ul><ul><ul><li>OCOG and partners, sponsors, licensees, etc. and host NOC </li></ul></ul><ul><li>NOC Marketing </li></ul><ul><ul><li>National exclusivity is offered to all sponsors of a NOC </li></ul></ul>
  22. 23. 12 TOP Partners (7 from USA) Calgary & Seoul Albertville & Barcelona Lillehammer & Atlanta Nagano & Sydney Salt Lake & Athens Turin & Beijing TOP Program Rights Source: Seguin, IOA, 2008
  23. 24. <ul><li>Central guidelines of Olympic sponsorship </li></ul><ul><li>Exclusivity </li></ul><ul><li>Low number of sponsors (avoid clutter) </li></ul><ul><li>Long-term relationships </li></ul><ul><li>Clean venues </li></ul>Olympic Sponsorship
  24. 25. Photo credit: Flickr -BSR-12 Photo credit: Flickr Sheep“R”US
  25. 27. <ul><li>What are the challenges and issues that you believe Olympic Sponsorship is facing? </li></ul>
  26. 28. <ul><li>Consumer interest </li></ul><ul><li>Consumer awareness </li></ul><ul><li>Campaign activation </li></ul><ul><li>Ambush marketing </li></ul><ul><li>Ethical, business and legal (depending on each country) </li></ul>
  27. 29. Source: Seguin, IOA, 2008 <ul><li>Olympic brand management & protection </li></ul><ul><li>Worldwide public relations programs- full integration of all marketing programs </li></ul><ul><li>Develop sponsor recognition program </li></ul><ul><li>Olympic brand protection </li></ul><ul><li>Development of a program, in collaboration with sponsors, to protect exclusivity </li></ul><ul><li>Educate NSOs and OGOCs </li></ul><ul><li>Integrate television into sponsorship programs </li></ul><ul><li>Establish the structure of sponsorships and sponsorship contracts </li></ul>INTERNATIONAL OLYMPIC COMMITEE ROLES AND RESPONSIBILITIES ORGANIZATION
  28. 30. Source: Seguin, IOA, 2008 <ul><li>Develop and implement public relations programs that adhere to those of the IOC </li></ul><ul><li>Develop a promotional mix, including sponsorship that adheres to that of the IOC </li></ul><ul><li>Protect the Olympic Brand </li></ul><ul><li>Develop and administer education programs for specific target markets </li></ul><ul><li>Work with sponsors on business strategy </li></ul><ul><li>Sponsor recognition program </li></ul><ul><li>Establish the structure of national sponsorship programs </li></ul>NATIONAL OLYMPIC COMMITEE ROLES AND RESPONSIBILITIES ORGANIZATION
  29. 31. Source: Seguin, IOA, 2008 <ul><li>Activate their sponsorship to ‘claim their space’ </li></ul><ul><li>Establish specific objectives of sponsorship </li></ul><ul><li>Work with managers in the Olympic family and co-sponsors in order to establish common communications strategies and plans to prevent ambush marketing </li></ul><ul><li>Develop a leveraging program that utilizes the Olympic brand and its associated values </li></ul><ul><li>Include athletes in communications and messaging </li></ul>SPONSORS ROLES AND RESPONSIBILITIES ORGANIZATION
  30. 32. <ul><li>Why would the Olympic Brand need protection? </li></ul><ul><li>Whom should the IOC protect? </li></ul>Olympic Brand Protection
  31. 33. <ul><li>What does it involve? </li></ul><ul><ul><li>Broadcast and Internet Monitoring </li></ul></ul><ul><ul><li>Athlete Image Use </li></ul></ul><ul><ul><li>Clean Venues </li></ul></ul><ul><ul><li>On-site Sponsor Rights </li></ul></ul><ul><ul><li>Host City </li></ul></ul><ul><ul><li>Ambush Advertising </li></ul></ul><ul><ul><li>Counterfeit Merchandise </li></ul></ul>Olympic Brand Protection
  32. 34. <ul><li>On-screen infringement </li></ul>On-screen infringement and ambush
  33. 35. Photo credit: BusinessWeek Video: Nike Courage Ad
  34. 36. “ No kind of demonstration or political, religious or racial propaganda is permitted in the Olympic areas. No form of publicity shall be allowed in and above the stadia….commercial installations shall not be allowed in the stadia…” Olympic Charter , 2007, Rule 61
  35. 37. “… no competitor who participates in the Olympic Games may allow his person, name, picture or sports performance to be used for advertising purposes during the Olympic Games.” Olympic Charter , 2007, Rule 45
  36. 38. Let’s discuss: - the case of athletes entering the Olympic arena wearing commercial symbols - the case of athletes entering the Olympic arena wearing non-commercial, political symbols
  37. 42. <ul><li>How should the IOC address Olympic marketing online? </li></ul><ul><li>Should sponsorship and broadcasting rights merge? </li></ul><ul><li>How to maintain the attention and interest of people (especially youth) in the Olympics? </li></ul><ul><li>How to monetize the Olympics online? </li></ul>Questions

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