Hot Stove, Heating Up

Hot Stove, Heating Up

Top MLB Free Agents

 As baseball season came to a close and the Giants celebrated in San Francisco, the focus has turned to the competitive offseason where some big names are on the table and ready to hear offers.  Turn that stove up to high heat, because the baseball offseason is officially underway.  Players hit the market bright and early on Sunday, Nov. 7th at 12:01 AM.  This year's crop is especially rich, as some of the best players in the game are up for grabs. 

Top 5 Free Agents in 2010

 1. Cliff Lee - P  Coming off another World Series appearance, Cliff Lee is the hottest pitcher on the market.  The Yankees have expressed serious interest in him moving forward, dropping out of other bidding wars to solely focus on the Lefty.  He's been a dominate pitcher over the past three seasons, and it's no surprise he's the top free agent this offseason.  

2. Carl Crawford - LF  The speed of Crawford makes him a dangerous asset for any team.  He lead the American League in stolen bases for the fourth season in a row in 2010.  Of course, he's strong at the place with solid numbers.  His age gives him the boost, sitting at 29, so he can expect a large, multiyear contract.

3. Adrian Beltre - 3B  He's considered one of the best on the hot corner, and topped that off with great offensive year with the Red Sox.  He carried the team when other big names couldn't hold up.  Reports are that he will test the market and deny his player option for 2011.  

 4. Jayson Werth - RF  A star on the rise, Werth has solidified his

 position as one of the best Right Fielders in the game.  Just three years ago, he never thought he would play again due to a broken wrist, but the Phillies offered him another shot and he worked his way up to a starter for the playoff  contenders.  A rare five-tool player is hard to find, but expect Werth to look for a long-term contract.  

 5. Victor Martinez - C  Martinez is seen as one of the few catchers that can deliver at the plate, driving in over 100 runs this year.  Although he is on the older side of baseball, but supposedly is willing to move to 1B if necessary.  A team may pick him up for the short term in order to protect the plate. 

Lots of factors play a role in the value of a player, both on and off the field. Effective branding throughout the season can help increase the value of a player's identity.  All in all, sports is a business and we look forward to seeing where these assets end up in 2011. 

Read More

Endorsement Marketing: What Works & Why?

Endorsement Marketing: What Works & Why?

It’s no secret that athletes have become the standard in the brand marketing game.  Almost every product has a celebrity face to it, especially when today’s world puts so much value in their support.  While using an athlete as the face of a brand does not seem difficult, determining how to market athletes is where a lot of a brands fall short.  When it comes to any kind of endorsements, there are three key theories that determine a campaign’s success.

1. Source Credibility

2. Source Attractiveness

3. Product Matchups

Each one of these components attempts to secure the target audience and bolster a company’s consumer recognition.  In terms of source credibility, it combines a sense of expertise with trust.  The athlete chosen to be the spokesperson requires some amount of sincerity and authority for the consumer to actually buy it – literally and figuratively.  Audiences are not as susceptible to insincerity as once believed. 

Attractiveness supports any credibility and can almost make up for a slight lacking in it.  This, of course, does not mean you forgo any credibility for the allure of a professional athlete – as you will see in the failing examples below.  Each of these theories works together to support the campaign, and require a delicate balance.  Attractiveness acts as the likability factor -- the familiarity -- that consumers look for to make a connection with the endorser.

Finally, and most importantly, the product needs to match with the established brand of the athlete.  A product should fit into the overall plan of the athlete’s marketing as an extension, not just a move for more money.  Consumer reactions are all based on a connection with their heroes, and anything that does not help to create that image will fall flat.

So what are some of the worst endorsements we’ve seen? Here are three examples of marketing gone wrong:

Michael Jordan’s Slam Bowling Ball – It’s hard to knock Michael Jordan in any category as he has created one of the most recognizable brands in sports, but this venture did not go over well.  His AMF basketball-styled bowling ball debuted in 1998.  While he teamed up with an official bowling company, the ball was grooved, like a basketball, and did not meet regulations.  Not only was it unusable, the market for the product was small.  His parlay into baseball didn’t meet expectations, so why would his bowling?

Kellogg’s Partnership with Michael Phelps – Kellogg is known as a family brand and choosing an Olympic athlete to grace the cover of your cereal box seems like a good choice – until the marijuana scandal accompanied by the previous DUI case in 2004. This proves it is important to take the products demographic into consideration – mothers and fathers buying for their children.   A “bad boy” image just won’t work.

Joe Montana’s Sketchers “Shape-ups” – This one just seems out of left field.  A former football great endorsing ugly toning sneakers just screams it was all about the contract, not the product.  Random placement will not automatically create credibility and a star endorser may not do anything for your product if not supported by the other components.


-Mia

Read More

Tips on How to Protect Endorsements

Tips on How to Protect Endorsements

Endorsements are a staple in the sports business world, but that does not mean they come easy for athletes.  It is up to the client to uphold their public image in order to protect their product deals.  Companies are going to look out for their brands in the same manner and need some sort of insurance policy and sometimes more importantly, an exit strategy.  Morality clauses are becoming increasingly popular. These are agreements that allow companies to end a deal due to a scandal or indiscretion by direct involvement of the athlete.  Unfortunately for them, athletes are on a main stage for scrutiny, they have to be prepared.  Indeed all clients are different, but all effective crisis communication requires management before, during, and after any crisis.

Here are some tips for dealing with crisis communications:

1. All communication after a crisis has to be fast-paced.  Always respond in a timely manner. Stalling gives the illusion of not being sure of oneself. This can cause an audience to question the validity of statements. 

2. Correct all inaccurate information quickly. Never allow 24 hours to pass without addressing errors in any statement. With new media, not correcting immediately, causes a domino effect. At that point your responses are at a disadvantage.

3. Never lie, without having a justified reason to do so. This tip is probably the trickiest. A general rule of thumb is that if your statements cannot be justified by someone else, do not do it. It will probably come back to hurt your credibility.

4. Any cooperation on your part helps resolve things quickly. Especially in matters of the law, always abide by the rules of law enforcement.

5. Ride it out and focus on your sport. Everything in media is a phase. The first phase is the hardest to go through. Stick to your plan and follow it through. After all, that’s why crisis plans are created in the first place.

6. Use media attention to your advantage. Always try to spin a negative into a positive. Divert the topic of the crisis by interjecting additional stories that represent good references to combat the bad.

- Amira 

Read More

The Battle Between Salaries & Endorsements

The Battle Between Salaries & Endorsements

Top 10 Earners of 2010:

   
While an athlete might be sitting on a nice salary, what is truly essential in sky rocketing their careers are product endorsements.  In dealing with products and sponsorships, it seems that athletes are unstoppable.  Over the past year, the average earnings of Sports Illustrated Fortune 50 has grown to 26.2 million, up 11% from the '09 list.  There is no denying the fact that endorsements play a large role in that growth.  Athletes like Tiger Woods have taken a hit in the public image sector, but the golfer still tops the list with 70 million in endorsements, more than triple his yearly salary.


The lists below show how endorsement deals almost turn the top 10 salaries upside down.
TOP SALARY EARNINGS (winnings included):
1) Floyd Mayweather: $60,000,000

2) Alex Rodriguez: $33,000,000

3) Kobe Bryant: $23,034,375

4) Shaquille O'Neal: $21,000,000

4) Derek Jeter: $21,000,000

6) Tiger Woods: $20,508,163

7) Peyton Manning: $15,800,000

8) LeBron James: $15,779,912

8) Dwayne Wade: $15,779,912

10) Phil Mickelson: $9,660,757

TOP ENDORSEMENT EARNINGS:

1) Tiger Woods: $70,000,000

2) Phil Mickelson: $52,000,000

3) LeBron James: $30,000,000

4) Peyton Manning: $15,000,000

4) Shaquille O'Neal: $15,000,000

6) Dwayne Wade: $12,000,000

7) Kobe Bryant: $10,000,000

7) Derek Jeter: $10,000,000

9) Alex Rodriguez: $4,000,000

10) Floyd Mayweather: $250,000

- Liz

Read More

The Artistic Value of the Phanatic

The Artistic Value of the Phanatic

The Phillies and the Greater Philadelphia Tourism and Marketing Corporation have come together to launch a public art project that centers on quite possibly the most lovable character in Philadelphia history. No, stop thinking Founding Fathers, Ben Franklin, etc. and think more along the lines of the Phillie Phanatic.


The Galapagos Islands native and fuzzy green face of the Phillies has been transformed into immortal form with 20 fiberglass statues of his likeness being placed around the city.

The 5-foot-tall, 100 pound statues have been painted by local artists, each with their own original designs that have been inspired by everything from Vincent Van Gogh’s “Starry Night” to Frankenstein. The unveiling of the statues yesterday marked the beginning of the “Paint the Town Red” week in Philadelphia. During the week leading up to Opening Day, the city has launched many inventive marketing plans over the years, but nothing like this.

In fact, this is the first time a Major League Baseball mascot has been used for a public art project. Of course, using the Phanatic was an obvious choice. The start of baseball season ignites this city, especially with their recent success. And, according to the Phillies, the Phanatic is just as popular and identifiable with Philadelphia as cheesesteaks and soft pretzels.

The placement of the statues will spotlight local attractions and distinctive neighborhoods throughout Philadelphia, such as Historic Philadelphia, Center City, Fairmount, and South Philly. The locations are even using the promotion as an opportunity to provide special offers and discounts for people who wear red or Phillies gear during the launch week. While the discounts may not last the whole summer, the Phanatic statues will, standing tall on their home plate-shaped pedestals through August. For a full list of where you can find him, check out the VisitPhilly “Paint the Town Red” page.

The combination of the baseball season and historic places in Philadelphia was a really smart campaign for the GPTMC’s latest launch. Philadelphia has always been known as a sports town, and I have never met a person who doesn’t like the Phanatic, let alone someone who doesn’t absolutely adore him (Tommy LaSorda, you do not count). By using local artists and opening up the selection pool to anyone who submitted an idea, the campaign accomplished an authentically locally-generated promotion.  In years past, the week dedicated to the Phillies didn't do much to generate buzz, but this year's inventive launch has Philadelphia locals excited.  In fact, Visit Philly (and various Phillies-centric blogs) is encouraging fans to send in their pictures with the artistic installations. 

This year’s “Paint the Town Red” week has provides a winning combination that may be their most successful. By motivating locals to employ their creativity and show their support for their beloved Phillies, the weeklong launch of baseball season moves beyond discount coupons and giveaways. This is one public art project that is on-track for victory.

- Mia Spadoni

Read More

Strasburg: After Debut?

Strasburg: After Debut?

The No. 1 pick in the MLB draft made his spring debut on March 9 for the Washington Nationals – and got national attention. Stephen Strasbug pitched only two innings of the Nats game versus the Detriot Tigers, but impressed everyone. For a team that lost 103 games last year, and has gone 0-7 in the spring, his introduction to the Majors was highly anticipated.


Boasting two scoreless innings, two strikeouts and a couple of a singles, the 21-year-old from San Diego lived up to his hype. The contract he was awarded by the Nationals was one of the largest ever, and many were concerned such a young player could not handle the pressure, let alone perform to Major League standards. But in his first outing against Major League hitters, Strasburg made the deal look well worth it.

One of those hitters he faced, Miguel Cabrera, said of Strasburg’s stuff, “When he throws the ball, it’s like an explosion.”

The Nationals have previously signed a No. 1 pick in their third-basemen Ryan Zimmerman, who at the time, was just a little younger than the right-handed pitcher.

Now the Nationals are faced with the dilemma of where to place Strasburg. Normally, the plan would be to put him in the Minors to prepare, but they were encouraged by his performance, leaving it up for debate. Speculation has begun on how long he spent there – if any time at all.

The question lies in the fact that he may not be ready for the pressures of regular season Major League baseball. The Nationals run the risk of turning him into a spectacle, and threatening his talent by bringing him up so soon. There is always a delicate balance between hyped-up players and successful ones; it’s just how the team chooses to handle them. Only time will tell how Strasburg will fare, but if his spring training debut is any indication, the Nationals have scored an ace.

-Mia Spadoni

Read More

Spotlight on: Domonic Brown

Spotlight on: Domonic Brown

Birthday: 09/03/1987
Height: 6’ 5”
Weight: 204
Hometown: Zephyrhills, FL
Position: Outfielder

As the weather heats up a little in the Philadelphia area, it can only mean one thing: baseball season is right around the corner. In fact, the Phillies officially kicked off their Spring Training in Clearwater, FL on February 23rd. As the rest of the team begins to migrate south, we thought it would be great chance to highlight one of the best prospects the Phillies have up their sleeve.

Domonic Brown may be signed as a minor league player for now, but definitely look for him to make a splash on the Big League scene in 2010. With current outfielders Raul Ibanez and Jayson Werth dealing with age and contracts, respectively, the Phillies need to make a decision on the corners, and it looks like Domonic will be the answer. The 37 year-old Ibanez will be entering the 2010 season rehabbing a sports hernia he suffered in the second half of the year, and Werth is on the last year of his contract extension that was signed in early 2009.

Brown could easily fill in for either of the players, and would add depth to the Phils bench. As a stand-out football player in high school, Brown turned down the opportunity to play at the University of Miami in college to focus on baseball. Standing tall at 6’5”, his physique lends itself to long strides and an extended swing. He is able to cover a lot of ground on the corners and execute on defense with his arm. Brown has worked on his hitting the past couple of years, developing a smooth swing that allows him to reach center/left field with ease. Known for his power and speed, Brown has developed into a five-skill player. He has the speed, the defensive ability, arm strength, and hitting for power and average needed for an elite Major Leaguer. He is currently ranked as the #14 prospect in the minors by Major League Baseball.

And don’t worry, the name is spelled right. Brown says that people have been spelling it wrong for years – all the way back in high school when he was first discovered – and that he was just too polite to correct anyone. Think of it as just another way for Domonic to stand out.

-Mia Spadoni

Read More