Showing posts with label Management. Show all posts
Showing posts with label Management. Show all posts

Wednesday, 21 October 2009

Examining Athlete Brands... Part 4: The Who and Why


Sitting in Anfield last night, bemoaning Liverpool's lack of form, finishing, and fitness, the value of Steven Gerrard and Fernando Torres to Liverpool's fortunes this season could not have been more apparent. Uninventive, unimaginative, and incohesive, Rafa Benitez's side looked confused, disjointed, and unlikely to break their current slump any time soon.

However, as well as the doom and gloom surrounding Liverpool's title chances and hopes of a sixth European cup, the club's reliance on Gerrard and Torres from a marketing perspective struck me equally - dominating Liverpool's marketing and merchandising, and badly overshadowing any of Liverpool's other stars.

As two of the game's biggest stars and brightest talents, their prevalence in Liverpool's marketing strategy comes as no surprise. Moreover, a quick glance through their TOPSTAR traits makes it all the more obvious why the two are highly marketable assets. What we've yet to stress, however, in looking at such athlete brands, is why and how players like Gerrard and Torres become such valuable commercial properties, while other players with similar perceived or potential value, are more often overlooked.

Arguably the greatest difference, and certainly one of the most crucial elements of TOPSTAR not already discussed here, is the effective and strategic management of an athlete's commercial image, and the nurturing and positioning of the athlete within the context of their most valuable TOPSTAR traits and characteristics.

For example, take Liverpool's Dirk Kuyt: a tireless worker and fantastic team player, Kuyt is also one of the club's highest scoring players of all time in European competition, despite of being played out of position. He's become a key leader on the pitch, and has shown over the years to be a caring family man and respected member of the community. Despite his at times unorthodox style of play, and generally un-Dutch skills, he's a much loved member of the Holland national side, and was once the top scorer in the Eredivisie. Few players in today's game represent what Liverpool as a football club stand for, despite his often frustrating first-touch, and occasionally wayward passing.

However, Kuyt's brand and commercial value trails Gerrard and Torres significantly, with little sign of catching up. Even if Kuyt were to score the winning goal in next summer's World Cup, handing Holland it's first major trophy in over 20 years and finally helping the Dutch realize their undoubted potential in world football, it is debatable if his commercial potential would approach that of his more marketable teammates. But why?

While there is no one simple answer, I would argue that underlying any successful or failed athlete brand is the management and positioning of that brand. While the elements of TOPSTAR we've examined here provide the basis for a football player's brand, and are the source of any actual or latent value, it is only through the leveraging and maximization of such characteristic, or combination of characteristics, when a brand achieves any value. Be it of the player's own initiative, that of his representatives, his club, or his sponsors, strategic brand management has been behind every successful athlete brand.

I suppose the next question is, then, who will be next?

Tuesday, 13 October 2009

The World Tour Continues...

The long periods of inactivity on the blog of late have been a bit disappointing, and it seems a lame excuse to blame it on absenteeism, but we will anyways. BSM's travels over the past two months show no signs of letting up, with the world tour set to tackle up to (potentially) four more countries in the run up to the holiday season, though there's still hope for a bit of normalcy before then.

In the meantime, a quick hit from the Toronto Star this morning, with all due credit to Damien Cox. While I've said more than enough over the summer on the Phoenix Coyotes' situation, and the NHL's mishandling of their franchises, and franchise values, Cox makes an interesting point in light of Phoenix's much celebrated sold-out home opener:

At an average price of about $20 (U.S.) a head and a free white T-shirt for everyone, you can fill a rink in Phoenix for an NHL game. That's about half the revenue the Alouettes get for a home game at tiny McGill Stadium. So if the Coyotes can find a league with the CFL's $4.2 million per team salary cap, they'll be in great shape.

That, in and of itself, should sum up the issues being faced by struggling NHL franchises. Here's hoping the powers that be wise up before long, for the sake of the league, the fans, and the game...

More quick hits on the NHL season so far from Cox here

Saturday, 15 August 2009

Coming soon...


Earlier this week I had the pleasure of playing a round of golf with a Corporate Accounts Manager of a rather prominent and headline-grabbing National Hockey League team, during which we were able to talk rather in depth about his experiences with the team, his impression of the league and pro sports, and the impact being felt by the current recession.

What struck me most from our conversation, however, was not the state of the league or his views on player personnel issues, but rather was his assessment of the biggest hurdles he and his colleagues face daily in the their jobs. It was not the credit crunch and tightening budgets restricting sales. It was not his team's recent on-ice struggles and the impact losing has had on attracting corporate customers. It was the systematic mismanagement of sport, not through malice or ill-intent or corruption, or any of the stories you often read in the news, but simply through not knowing how to run a sports organization in today's world, and not listening to the people doing the work and making the operation tick.

As he described his situation, it struck me how easily a successful and respected organization such as his, could be improved and advanced through some fairly simple changes. Let alone what could be done to improve the situations of chronically poorly-managed organizations or businesses, who are befallen by the same problems.

Simple measures, such as opening communications between the sales and marketing teams to assess what legitimately drives and inspires sales, facilitating greater decision-making and autonomy amongst sales executives to better meet the needs and demands of real or potential customers, and above all opening the lines of communication between employees and management, may seem easy or obvious suggestions, and yet sport continues to be run in such a way that proposals like these can and must be made.

The current generation of sport managers, in which I include myself, are a unique breed. We will, for all intents and purposes, bridge a gap in the sporting world between employees and managers who ushered sport into the professional era, and the upcoming generation of social-networking, Google and Wikipedia-informed, multimedia engrossed teenagers, whose interest in professional sport wanes despite the ever-expanding and all-encompassing access to sport. However, our era, Generation Y sport managers, will serve as more than stop-gap before the next generation steps in.

Our generation is the first to enjoy benefits of the internet, of sports television networks, of social-networking and mobile phones, of 24 hour access to sport, and the world of professional sport, informing our view of sports and understanding of the business behind the games. The sports landscape as we know it is as a business - that has been our reality, that has been our understanding, and now that should be our direction.

How many professional sports organizations use social networking sites such as Facebook or Twitter as more than an opportunity to link fans and display pictures or highlight videos. How many seek to use these resources to build their fanbases, or to provide added value for current fans?

How many sports organizations' websites offer more than player rosters, team news, merchandise and ticket sales, and downloadable content? How many organizations actively interact with their online visitors, track their comings and goings, and proactively seek to attract new visitors, as well as increase traffic from existing readers?

Particularly in difficult financial and economic times such as these, it is integral for the future success of professional sports that we better adapt to the times, and don't content ourselves with the progression from amateurly-managed sports, to today's professionalized system overseen by the previous generation. New ideas must be embraced, new methods and practices sought and adopted, and greater integration between old school and new school developed, in order to usher sport into the next phase of its development.

A new wave is coming...

Tuesday, 28 July 2009

There may be cause for optimism yet...

The first round of bidding for ownership of the Phoenix Coyotes has come and gone, and a couple of interesting stories have emerged regarding the offers made. The news coming out of Arizona over the past few months has, in and of itself, been fantastic reading for those interested in the behind-the-scenes side of professional sports, particularly where money, power, control, and authority come into play.

A couple of quick stories worth following...


Offers in to buy Coyotes (Sportsnet.ca)

Former RIM executive bids on Coyotes (The Globe and Mail)

REPORT: GROUP BIDDING ON COYOTES PLAN TO BRING GAMES TO CANADA (TSN.ca)


If this week's news is anything to go by, the intrigue surrounding the future of the Coyotes organization is sure to endure a little bit longer...

Sunday, 26 July 2009

How Far is Too Far?

To what extent are we willing to accept technological advancements and innovation in sport? With how quickly materials, technologies, training regimes and our understanding of dietary requirements have evolved in recent years, are we beginning to reach the limit of our comfort level? How far is too far?

This question is raised largely due to the recent decision by swimming's governing body, FINA, to restrict the use of advanced swimsuits by competitors and regulate the allowable suits, following the astonishing accomplishments of swimmers at last summer's Olympic Games, and in competitions since. Speedo, the leader in research and development for racing suits for swimmers, has understandably come out in opposition to the new regulations, while many of the world's top swimmers now face the tall task of readjusting to new suits, and new training requirements to match the expectations set in Beijing.

The important debate, however, is not whether FINA is right and justified in its actions, but rather at what point do governing bodies and organizers need to step in to protect the integrity of our games, the history and traditions of our sports, or in some cases, the safety of our athletes.

Major League Baseball has historically resisted calls for implementing replay technology and football-style challenges in order to help (and likely supplement) umpires; despite research into its effectiveness, and a growing list of incidents pointing to its potential uses, football leagues such as the English Premier League have refused to use goal-line technology similar to tennis' Hawk-Eye cameras. Technology has even been developed and tested to aid referees in judging off-side calls in football - given how often FIFA shifts interpretations of the law, would such technology really harm the integrity of the game?

Ultimately, I don't think there's a concrete answer to this debate, nor do I think the FINA decision will be the last of its kind in the coming years. However, I do think those responsible for sport need to begin to take stock of the advancements and benefits of such innovation, as well as account for the potential limitations and dangers. Following the record breaking feats of swimmers in Beijing, and the massive publicity push behind Michael Phelps' incredible gold medal haul, swimming may never have been more popular and followed as it was last summer. Is slowing the competitors down and placing greater limitations on what they wear really the best thing for the sport? Is protecting the standing world records and balancing competition for those unable to afford top of the line Speedos the right path? Evidently FINA believe so, but I'm not so sure...

Saturday, 25 July 2009

Examining Athlete Brands… Part 2

Following on my contention that comparisons between Christiano Ronaldo and David Beckham as athlete brands are premature, here we look at the key characteristics of successful athlete brands in team sports, backing up my stance and looking at the areas Ronaldo’s management will be looking to evolve…


In a study by Burton & Chadwick (2008) assessing the nature of football player brands, seven key characteristics of athlete brands were identified (TOPSTAR), explaining the success of David Beckham’s commercial activities, and suggesting Ronaldo as his most logical successor. Here we’ll take those findings a step further, and assess Ronaldo’s brand a bit more deeply.

The seven variables identified with the Burton/Chadwick study can be shortened to the mnemonic TOPSTAR; from Professor Chadwick’s Daily Sport Thought blog, the variables in short:

Team – the team(s) that a player plays for or has played for; the associations a player has with a particular team; the profile, reputation and success of the team; the player’s role within the team;
Off-field – where the player lives; who the player socialises with and where; who the player is married to or is dating; the type of house the player lives in, the car they drive, the clothes they wear;
Physical characteristics, mentality and values – the facial appearance and physique of the player; other distinguishing features such as hairstyle, tattoos etc.; the way a players thinks and the views they hold;
Success
– the player’s on-field record; the number of trophies, medals and prizes the player has won; the winning teams and games in which the player has been involved;
Transferability – the extent to which the player appeals to males and females, young and old, followers and non-followers of football; the extent to which the player and their image are culturally and geographically transferable; language(s) spoken;
Age – the stage at which a player is in their career; viewed in product life-cycle terms, this will have an impact on the profile, characteristics and longevity of the brand as well as influencing how the brand is managed;
Reputation - the player’s reputation as footballer; style of play; disciplinary record; the player’s reputation outside of football; way the player deals with public and media attention.


From Ronaldo’s perspective, the seven variables in question are rather telling in outlining the success of his brand thus far, and the areas he still trails Becks in leveraging his commercial worth.

Team: Ronaldo, in joining Real Madrid this year, moves from one of the world’s most famous and successful clubs, to another of the top draws in international football, following in the footsteps of Beckham and a select few others. Though a polarizing figure on the pitch, either loved or despised, Ronaldo has largely been an idol at Old Trafford, is Portugal’s leading light, and begins life at the Bernabeu as a legend in the making.

Off-field: Outside of football, Ronaldo’s brand pales in comparison to Beckham’s more mature, manicured image. Whilst Beckham is seen and portrayed as a loving family man, a cultural and fashion icon, and an international ambassador or football, the Portuguese star’s image is much less refined. Writing off a crashed Ferrari, being romantically-linked to Paris Hilton, and generally enjoying the life of a footballer, Ronaldo has yet to foster the same marketable image as Beckham. Given his age, and the potential value of his brand, however, there should be little cause for concern long-term.

Physical characteristics, mentality and values: Both a major strength and significant shortcoming of the Ronaldo brand. Like Beckham, Ronaldo is known for his physical appearance, and rivals the Englishman in good looks and style; however, his mentality and values contrast Beckham’s, with his arrogance, self-confidence, and at times selfish play overshadowing more favourable traits. Beckham, meanwhile, is respected for his work ethic and team-play, as well as his highly prominent family life and ambitions of working with children.

Success: In his time with United, Ronaldo established himself as one of the top players in the world, winning trophies with Manchester, player of the year awards, and generally drawing accolades throughout football for his play and influence in United’s on-field success. Without a doubt, one of the strengths of the Ronaldo brand.

Transferability
: Is there where Beckham, as much if not more than any other athlete brand, differentiates himself? Few, if any, athletes can compare to Beckham's ability to transcend demographics, psychographics, geographics... really any-graphics. Beckham's appeal in Asia, and marketing value to both Manchester United and Real Madrid was undeniable; his foray into America, although not a resounding success, has in many ways opened the door for football and brought considerable attention to the sport, without crippling the finances of the league in the same way the North American Soccer League's influx of stars did in the 1970s and 80s.

Ronaldo, by contrast, is something of an unknown in this respect. Real Madrid's marketing surrounding the mercurial star, and projected shirt sales figures point to a successful partnership to date. However, as I mentioned earlier, Ronaldo is a polarizing figure, more often hated than loved. While Beckham's family values, work ethic, and media friendliness have proven highly lucrative for the brand, Ronaldo's public personality and on-field behaviour has been considerably less endearing. Consider him more Cantona than Beckham...

Age: For all of the issues Ronaldo may encounter in challenging Brand Beckham, and the areas in need of improvement, his age and relevance as both an athlete and a public figure are firmly in his favour. Still only entering his prime and already one of the best players of his generation, and indeed a generation-defining player in Portugal, Ronaldo has time on his side.

Reputation: Much like Beckham in his early years, Ronaldo's reputation is somewhat suspect and presents one of his biggest hurdles. Becks faced serious criticism and skepticism throughout his time with United, and again of late with the LA Galaxy; disciplinary issues with England, conflicts with United manager Sir Alex Ferguson, and questions over his focus on football were at one time serious concerns for the England international.

By comparison, Ronaldo's on-field petulance, perceived arrogance and at time unsporting play have too undermined the player's abilities and marketing value. Sir Alex was largely able to control the young star, and smoothed over relations within the dressing room following the now-famous 2006 World Cup incident with teammate Wayne Rooney, but nevertheless, Ronaldo's reputation is in need of repair in order to maximize his potential.



Ultimately, based on these seven key traits of football player brands, Christiano Ronaldo trails David Beckham by some distance, though there is certainly cause for optimism. Brand Beckham, in its early days, encountered many of the same issues that now face Ronaldo, though by the time Becks had arrived in Spain, his brand was largely solidified. It remains to be seen how well managed Ronaldo will be in the coming years, and to what extent his and Madrid's marketing teams succeed in leveraging the talent, physique, looks, and marketability in the coming years.

Thursday, 23 July 2009

In defense of an (often) forgotten stakeholder



I spent part of this past weekend in Southampton, enjoying a friendly match between the Saints and Dutch high-fliers Ajax. Southampton, for those who don't follow English football closely, were relegated to League One this year following a disappointing spell in the Championship. Not long removed from a stint in the Premier League, the club has struggled through ownership and management issues, and sadly now find themselves preparing for life in the third tier of English soccer.

After visiting the city, though, seeing the ground and the massive support enjoyed by the club, it's still strange to me that a city of Southampton can't survive the higher leagues and do better in the football pyramid. Currently in the Premier League, there are a number of clubs whose fan base and stadia pale in comparison to the South-coasters, a worrying state of affairs.

As well as leaving St Mary's with a newfound respect for the club and the city, the weekend also re-awakened questions in my mind over the different league structures adopted by European and North American sports leagues. It's a debate that will surely continue for years to come, but as a Canadian living in Britain, it seems forgivable to throw in my two cents, and address a minor pet peeve of mine at the same time...

The actual pros and cons of both set-ups have been debated and discussed seemingly ad nauseum in previous works, so I won’t belabor the points here again. Instead, I’d rather challenge the commonly held view in Britain that North American sports fans, because of the closed league structure, are somehow less passionate, less involved supporters than their European counterparts. It is argued that, because of the franchise system, and the perceived frequent movement of teams to new cities or locations, North American fans must care less for their clubs. However, this, in my opinion, is a fairly simple view of American and Canadian sports fans, not bred maliciously, but rather through an ignorance of the basic differences between the frameworks for professional sport at play, and the nature of sport on either side of the Atlantic.

Of the all-too-often trumpeted franchise relocations that supposedly define and plague the ‘big four’ American sports, a rare few over the past twenty-years have been as a result of poor support, lack of interest, or fan disenchantment. And those cases of movement that have been caused by lacking fanbases, can just as easily be blamed on poor management, for creating teams in unsustainable conditions and locations, doomed to failure.

Take, for example, the current legal proceedings surrounding the National Hockey League’s Phoenix Coyotes. The ‘Yotes moved to Arizona in 1996, originally the Winnipeg Jets. Winnipeg as a city wept over the loss of Jets, a relocation driven by business interests and money, not a lack of fan support or attachment. Now the NHL and the City of Phoenix are fighting tooth and nail to keep the Coyotes in Arizona, not fifteen years later, due to significant financial losses and waning interest. The fact is, Arizona is by no means a hockey hotbed. Everyone in Winnipeg knew this. Most in Phoenix should have as well. Yet the business interests that underline sport dictated the move, and now a second city fights to keep a once proud and beloved franchise.

The fact is, sport is business. While English football fans continue to resist such a suggestion, and, rather admirably, have struggled against the prevailing business interests of foreign owners in their game, football is nonetheless big business, with money to be made.

Thankfully, the club structure and deep roots set within communities by teams are massive barriers to clubs suffering the same relocation risks as American franchises. As Southern hockey franchises are beginning to learn, building a community base, including participation and support in youth, is fundamental to the long-term success of professional sports. But the movement of unsuccessful or unviable teams should not be seen as evidence of poor fan support – far from it. Southampton is not entering the 2009/10 season in League One because of poor fan support; mismanagement and poor ownership are to blame. Winnipeg will forever mourn the loss of the Jets, until long after the Coyotes (hopeful) return North of the border.

Fundamentally, there is little difference business-wise between the relocation of unsustainable franchises, and the painful collapse of big clubs such s Leeds and Southampton to the lower levels of professional football. Ultimately, it is not because of poor fans that either situation occurs; rather, it is thanks to committed, adoring fans on both sides of the Atlantic that we take notice.


Wednesday, 15 July 2009

Major League Baseball making no friends up North...

Last night was Major League Baseball's All-Star game, hosted in St. Louis, MO. With two Toronto Blue Jays in the American League starting line-up, and Canada's two most prominent players - Jason Bay and Justin Morneau - also representing the AL, Major League Baseball went all out in welcoming Canada's participating and place in the game.

TSN, picking up on a Canadian Press release, goes into a bit more detail:
Grammy Award winner Sheryl Crow sang the Star Spangled Banner before Tuesday's all-star game.

O Canada was handled by a recorded instrumental rendition piped through the speakers, and Canadian slugger Justin Morneau felt the national anthem deserved better.


Now that's how you sell the supposedly globalized, international game that is baseball. I particularly like Morneau's assessment of what would happen if Toronto did the same thing to the Star Spangled Banner... Then again, that would necessitate Toronto being made host of the All Star festivities, assuming MLB can find it on a map...

For all the problems and controversy that has surrounded singing the national anthems before games in the past (particularly in Montréal, where unfortunately the American anthem has received a less-than-gracious reception on a few occasions), playing the anthems before games is a tradition in North American sport, and one that the players and clubs they represent can and should take pride in. However, with the globalization of sport over the past thirty years, and the ever-increasing number of non-North Americans playing in the big-four American leagues, there are bound to be more questions asked of the reasoning behind playing the anthems. If the leagues aren't even prepared to show the songs, the athletes, and above all, the fans whom the anthems represent, the respect they deserve, then why even bother?

Major League Baseball did themselves no favours last night. You have to hope this issue doesn't just get swept under the rug, but it almost certainly will. Jays fans, next home game, stand up and be counted. O Canada is ours, show them how it's done.