Hollis Sponsorship Bulletin

Arts & Business chief executive Colin Tweedy has leapt to the defence of the financial sector after Michael Lynch, the outgoing head of the Southbank Centre, criticised the city for its failure to support the arts through sponsorship.

In an Evening Standard interview on April 16, Lynch - who is returning to Australia - is quoted as saying that cash-rich city firms should have done more to back worthy causes when times were good. With a few exceptions such as Shell and JP Morgan, he said: “Corporate Britain, in my view, let down the side. They need a sense of values.”

It isn’t the first time Lynch has taken a swipe at city firms. But Tweedy believes his comments are out of order: “We like and admire Michael Lynch. This attack is misplaced though and he risks damaging future cultural investment. Arts & Business research proves that London has seen a 22% increase in private investment in culture to £477.5 million. The sector has “coughed up” a lot as individuals and as businesses. We have a lot to thank them for.”

Tweedy says it is “too easy to be critical of the failings of corporate givers and not focus on the contribution they have made and continue to make. Culture needs to keep our friends in business more than ever. Corporate Britain is not letting the side down; businesses could do more, but let’s thank them for what they are doing. Kicking them is not the answer. We will miss you Michael, have a great time in Australia - but remember that we have to live here!”  

The Co-operative Group is to sponsor this year’s World Netball Series in Manchester. The event, which takes place in October, will see England, Australia, New Zealand, Jamaica, Samoa and Malawi (the world’s top six) compete.

The deal extends the Co-op’s involvement with netball. The company is already a sponsor of the UK’s Netball Superleague and Back The Bid, a campaign to see netball secure inclusion in the 2016 Summer Olympics. “We are delighted to be involved with the World Netball series, especially in our home town of Manchester,” said Co-operative sponsorship manager Liz Matkin: “The Co-operative has been heavily involved in netball so this sponsorship is complementary to our existing portfolio.”

The decision to get behind netball is extremely shrewd because it has allowed the Co-operative to benefit from the halo effect of London 2012 - without having to pay premium prices for an official sponsorship. Not only that, the fact that netball is so strong at school and community level means senior politicians are crawling all over the Co-op’s Back The Bid campaign. PM Gordon Brown and Olympic Minister Tessa Jowell, sensing a potential vote-winner, have both lent their support to the 2016 lobby. 

IMG has been appointed as exclusive corporate hospitality partner for the Barclays ATP World Tour Finals - which makes its London debut from 22-29 November 2009.  The O2 arena will host the event for the next five years.

IMG will be responsible for the sales and implementation of corporate hospitality at the star-studded event throughout the five-year period it is in London.  Commenting on the announcement, Peter Worth SVP IMG said “IMG is delighted to have secured a five year partnership to sell and deliver corporate hospitality packages at the Barclays ATP World Tour Finals. We look forward to delivering a first class hospitality programme at this exciting tournament.”

In a separate development, Evian has appointed Fantastic Thinking to create a digital campaign around its Wimbledon sponsorship. Danone-owned Evian sponsored Wimbledon for the first time last year and won the Hollis Sponsorship Of The Year Award for its efforts. Fantastic Thinking will update Evian’s Wimbledon website and develop its online strategy. Evian’s deal runs for five years. 

One upshot of the recession is that Indian and Middle Eastern companies are being linked to just about every available sponsorship property. For weeks, there has been speculation that Manchester United would replace AIG with an Indian conglomerate like Sahara. Now, there are rumours that Tottenham Hotspur will replace its current short sponsor Mansion with a UAE-based partner when the online betting firm’s four-year deal expires this summer.

Perhaps even more interesting are rumours that Liverpool is  talking to India’s GMR Group about a possible takeover. GMR - a diversified conglomerate which is run by billionaire Grandhi Mallikarjuna Rao - initially started conversations about a sponsorship deal. But this is believed to have led to a more broad-based discussion about investment in the club. GMR, which already backs Indian Premier League cricket team Delhi Daredevils, would have to pay around £500 million to take control of the Merseyside club. But it would then be in a position to use the club as a platform for various marketing initiatives.  

After Brawn GP and Jensen Button’s stunning start to the new Formula One season, there are reports that Virgin chief Richard Branson may up his commitment to the team.

Virgin started sponsoring the team just prior to the start of the new season and has already achieved great marketing capital from its partnership. But with Jensen Button now leading the Driver’s Championship table, there’s a feeling that the Brawn brand can become even more impactful - either for Virgin or for another sponsoring company. Brawn, for its part, is hoping to lock in a long-term deal at a time when there is so much buzz around its brand.

Branson has said that Virgin’s negotiations with Brawn are ongoing - but that they could go in one of two directions. Either Virgin could secure itself a long-term title sponsorship of the team - or another company could step in with a financial offer which Brawn finds difficult to resist. If that happened, Virgin would remain as a sponsor for this F1 season but then “bow out gracefully” before 2010.

In a separate development, Philips is backing a second series of its ad-funded show The Factory on Pan-European sports channel Eurosport. The show, which is designed to support Philips’ sponsorship of the AT&T Williams F1 team, looks at the team’s day-to-day preparations during the season. As part of the deal, viewers can enter a competition which gives them a chance to drive a Williams F1 car.  

The HSBC Champions, which takes place from November 5-8 at Shanghai’s Sheshan International Golf Club, has been upgraded to a World Golf Championship event. With Tiger Woods and Sergio Garcia lined up to play, the move is regarded as a big step forward for Asian golf: “This is one of the most significant steps ever taken in the globalisation of golf,” said PGA Tour Commissioner Tim Finchem. “HSBC and (event organiser) IMG have built the HSBC Champions to a point where it was tailor-made to be a World Championships event. World-class golf has arrived in Asia and the golf world may never look the same.”

It’s spring again - the time when football clubs and sponsors start their annual mating ritual. Wolverhampton Wanderers, newly promoted to the Premiership, has already bagged itself a deal with online betting firm Sportingbet while Plymouth Argyle has renewed its vows with Ginsters (taking the sponsorship through to the end of 2010/2011).

Also in negotiation is Portsmouth FC’s relationship with Japanese printing giant OKI - which is coming to the end of its £5 million, four-year term. In a statement, OKI said it was “in negotiation regarding shirt sponsorship. Further information will be made available at an appropriate date.”

Renewal would be a welcome boost to cash-strapped Pompey. But key to OKI’s decision will be whether the South Coast club stays in the Premiership. Currently, it is just six points clear of the drop zone and has a tough run in - with games against Manchester United, Arsenal and three of its relegation rivals coming up. Presumably, OKI’s “appropriate date” is the day that Pompey becomes safe.

The importance of Premier League status for OKI can’t be over-stated - particularly against the backdrop of the global recession which has hit Japanese exporters hard. It is the Premiership which gives OKI TV exposure across Asia, Europe and the Americas. Lose that, and the appeal of the Portsmouth shirt sponsorship is dramatically curtailed.

The importance of Premiership status was underlined by the Wolves deal - signed when it become clear that the Midlands club was heading for the top-flight.  The seven-figure deal is the biggest in the club’s history. It is for two-years - which presumably is a precaution against Wolves  going back down to the Championship. Like OKI, Sportingbet is an international company and will want to ensure it gets the biggest possible audience for its money. 

If you’re going to do music sponsorship, you need to do it right. And there’s no question that Barclaycard is putting a great deal of effort into its own foray into the arena.

In recent weeks, it has announced partnerships with Live Nation and The Mercury Music Prize - two of the most respected names in the business. Now it has started to drill down into the sector by forming a one-year partnership with Global Radio, the company which owns leading station brands such as Heart, Capital FM, Galaxy and Xfm.

As a result of the latest deal, Barclaycard now has a series of mass-market channels which it can use to inform music-lovers about competition prizes and promotions. It will also have a branded presence at Capital Radio’s Summer Ball.

There was also news this week that Samsung’s mobile phone unit is seeking to increase its presence in the music market. In the UK, it announced plans to sponsor NME’s Radar Tour - which runs throughout May. The timing coincides with the launch of a new range of music-themed mobile phones - designed to take on the likes of Sony Ericsson, Nokia and Apple. Over the coming year, Samsung is expected to increase its investment in music event-based marketing across a range of territories.

In an interesting example of a highly-targeted sponsorship, Shell has signed up as a partner to Multimap.com, Microsoft’s online mapping service. The deal, which runs for nine months from now, is said to be worth six figures.

The partnership was planned & negotiated by Shell agency MediaCom Interaction. It includes an integrated sponsorship position on Multimap’s route planner and banners on a variety of Multimap and MSN pages. There will also be activity which provides information about the Shell Drivers’ Club reward card and the location of Shell Service Stations. Petrol station location information is also available at www.shell.com with maps from Multimap.

Commenting on the partnership, Nicki Franklin, retail brand & CVP implementer, of Shell UK said: “We chose to partner with Multimap because of its investment in route-planning and the commitment from Microsoft. Customers expect a reliable, accurate response when they request directions and maps on Multimap, and it’s important that we choose a partner that aligns with our own brand values.”

MediaCom has also booked outdoor and broadcast media for Shell to run in tandem with the Multimap partnership.

The Rugby Football League (RFL) has begun the search for a sponsor for this autumn’s inaugural Four Nations Rugby League tournament. The four week long tournament, which kicks off in late October, will feature Australia, England, France and World Champions New Zealand. Fixtures will be played in London, Yorkshire, Lancashire and France.

All of the Four Nations matches will be televised in 40 countries - with UK games broadcast by either the BBC or Sky Sports. Of interest to potential sponsors will be the anticipated audience size - which is  expected to vary from 350,000 to 1.5 million per game. RFL commercial director, Paul Kimberley says: “This is a fantastic opportunity for a brand to raise its profile and associate itself with one of the UK’s fastest-growing sports. Last year’s World Cup in Australia was a huge success with record TV audiences and it’s likely that this year’s Four Nations will follow suit. Not only will it attract bumper crowds but also big TV audiences with both the BBC and Sky screening fixtures.”

This will be the first year that a Four Nations tournament has taken place and is an expansion of Gillette Tri-Nations events - which involved Australia, England and New Zealand. Although Gillette will continue as England shirt sponsor for the next two years, the company has decided not to follow up its Tri-Nations sponsorship with that of the Four Nations. Commenting on that decision, Nathan Homer, business leader, Gillette UK & Ireland, said: “The Tri-Nations was a fantastic event for Gillette and helped us meet our objectives at the time. Since the last tournament  (in 2006) we’ve changed our objectives slightly and are now investing more into grassroots Rugby League as well as the England national team. We naturally wish the RFL all the best with this year’s tournament.” [Anyone wanting more information should contact huw.ellis@rfl.uk.com].