MarketLine Blog

Posts tagged to sponsorship

Nike: England sponsorship deal in jeopardy


In modern sport, funding is a large key to success and in no sport is that more apparent than football, the ultimate game of the haves and have nots. International football has not escaped the phenomenon with England plowing in money as if it is an endless resource while Ghana’s players insisted on cash only payments at the 2014 World Cup amid fears that they would not be paid otherwise. Wembley Stadium, world-leading salaries and a state-of-the-art football center do not come cheap and the money has to come from… Read more

Corporate Sponsorship: Companies hypersensitive to damaging controversies


When a company is giving serious thought to sponsoring an event or club, or signing an individual to a costly endorsement contract, it takes several factors into consideration. The benefits that a company is seeking by entering into such arrangements are namely revenue growth, an improved corporate image, and increased brand equity as a result of greater consumer awareness. This is a double-edged sword however, as scandals involving sponsored celebrities or organizations can reflect badly. In many instances, there is no obvious link between the sponsor and the sponsored party…. Read more

Adidas and Manchester United: Top of the merchandise league


As explored in the MarketLine case study adidas AG: Bumpy road on Route 2015, adidas invested significant funds to become Manchester United’s official outfitter and merchandiser and so far, it looks a shrewd investment as sales of this season’s kits have broken all records. In July 2014, adidas announced that that it had signed a deal to become the official outfitter and merchandiser to English football club Manchester United, believed to be the best supported in the world. The deal, worth £750m ($1,235m) over 10 years, more than doubled the… Read more

Nike and Manchester United: end of an era?


As explored in the MarketLine case study “NIKE, Inc.: Building a diverse business“, the US sportswear giant has established itself as a major provider of equipment and apparel in a number of sports including basketball, golf, soccer, and tennis. One of the strategies Nike has used to achieve its goal is to enter individual sports markets on the back of a highly successful individual (think Michael Jordan in basketball or Tiger Woods in golf), or team (Brazil national soccer team). In 2002, Nike furthered its interest in soccer by signing… Read more