Spotlight’s weekly collection of relevant press, tweets, and blogs shaping the world of corporate ticketing. The evolution of Corporate America’s involvement in sports is leading towards more responsibility and better analytics. Please read on for more information about sports sponsorship, sports business, ticket management, corporate accountability, and The Spotlight Ticket Management Solution.
Disturbing Ratings For PGA When Tiger Falls
It is a commonly shared thought by many, whether rightly or wrongly, that the success of Tiger Woods has driven the popularity of golf this past decade. Tiger’s astonishing numbers, including 71 PGA tour wins and 14 Major Championships already put him in golf’s most elite company. But his off the course problems and recent slump may pose dangerous for the popularity of the PGA. An article recently written in the Bleacher Report shows just how detrimental Woods’ struggles may become for the sport of golf. The Bridgestone Invitational and the Greenbrier Classic had less than half as many viewers this year when Tiger was not playing on Sunday than the year before when Tiger was in the hunt. TV ratings dropped from 4.3 and 3.7 to 2.3 and 1.2, respectively. Simply put, if Tiger is not playing, golf is not as popular according to this report.
Golf is driven by attendance numbers and TV viewers, and if both of these numbers continue to drop, it will negatively effect the whole circuit, eventually meaning smaller paychecks for the players and less publicized competitions. The PGA is set to renew its TV deal at the end of the 2012 golf season and if Tiger Woods has not turned around his game by then, the TV contract could be worth considerably less (in the hundreds of millions). Does Woods drive the success of a tour that has successfully flourished even after losing stars like Nicklaus and Palmer? We may find out soon.
Many believe there will never be another Tiger again…. however common sentiment was there would never be another “Jack” again either.
PGA Championships Corporate Hospitality Down 15% – Corporations Called Into Question
The PGA Championship returned to Whistling Straits this past weekend to a chilly dose of reality at a course where they were welcomed with open arms six years ago by Corporate America. Corporate spending was down an estimated 15% as chronicled in this piece by the Milwaukee Journal Sentinel.
The reasons given for the lack of corporate involvement play like a broken record of the worst kind to all purveyors of sports marketing and events: Firms do not want bad PR, the recession is not over, and the justifiability of entertaining at such events has been effectively called into question.
Firms Don’t Want Bad PR
“I think we’re really in an era now of corporate frugality, that companies are afraid to be seen by consumers and the public at large as going to excess on anything anymore,” said Dennis Garrett, a marketing professor at Marquette University.
This very same sentiment is what took over in 2008 when Northern Trust was raked over the coals for sponsoring a major PGA event in Los Angeles while banks were taking federal bailout packages. Action is required on both sides of the coin for sports marketing to return- as detailed in this blog piece- with both the event and the participating firms bearing the responsibility of tracking and defending a business process that works.
Validity Of Sports Marketing On-Site
“The reality is that at a place like a basketball game or a golf tournament, no one is discussing business,” Jay Soled, business professor at Rutgers University.
Unfortunately, Mr. Soled has had quite the forum to share his unsubstantiated and highly emotional views on the business aspect of entertaining at a sporting event. Mr. Soled’s viewpoint is discussed in this piecewith actual numbers showing the correlation of influenced revenue to entertaining at sporting events. In a silo we all wish all business decisions were made solely on facts. They are not, however, and data points that most decisions are significantly influenced by relationships that are built in numerous environments including attending a memorable event together. Unfortunately for Mr. Soled’s arguement, we’d estimate based on our numbers fewer than 15% of corproate America even takes the deductions in question.
The numbers simply show that Mr. Soled is incorrect. Spotlight owns no tickets, sells no tickets, and is solely interested in the tracking of sports and entertainment marketing through tickets and access and can safely say, from an objective point of view, that sports entertaining does drive business when done effectively. When done ineffectively, however, it can be one of the biggest wastes of money on any firms balance sheet.
The call continues to both sporting providers and corporate America alike to join the data revolution. Integrate tracking programs into the corporate culture and back up spending with clear facts. Spotlight Ticket Management is one of those tools.
Relevant Sports Business & Sports Ticket Management Tweets Of The Week
RT @SBJSBD Discover Card Expected To Be New Title Sponsor Of Orange Bowl. http://su.pr/1XQ8SK
RT @darrenrovell1 Another niche sport dies? Beach Volleyball League, AVP, says it will shut down http://su.pr/3FI9Oh
Once a team files for bankruptcy, leagues are no longer in charge RT @ si_mlb – Rangers case is wake-up call to leagues http://su.pr/1MGnvx
NBA working on its collective bargaining agreement – Stars attend meeting and are encouraged by the process – http://su.pr/1ZqrGp
Nike hesitant to give James media time at Sponsored USA Basketball event – LeBron’s image affecting sponsor status – http://su.pr/4iRDKO
Sponsor’s bet on Miami Heat could pay off big – http://su.pr/2EFCCE
Two big NBA stars sign onto for the ’12 Olympic Team looking to keep America on top of the world of basketball – http://su.pr/2IG6le
RT @SBJSBD – Former Rockets prez George Postolos and Platinum Equity CEO Tom Gores emerge as potential Pistons bidders. http://su.pr/2Gzd8f
LeBron James, Carmelo Anthony and Dwayne Wade all present for a negotiation meeting with the NBA over the CBA – http://su.pr/6m0wXs
Theres a new twist to the sale of the St. Louis Rams – RT @SportsMoneyBlog – Billionaire Stan Kroenke’s two-part deal. http://su.pr/5SRI0n
Just how tied in is Tiger Woods to ratings success for the PGA? Some believe more than sponsors would like to hear: http://su.pr/3uE1IG
Knicks franchise and MSG still selling tickets despite LeBron and Isaiah Thomas decisions – http://su.pr/1W6prh
NMSU and Michigan the latest CFB teams to have twitter banned/warned about – coaches: “stay away from social media” – http://su.pr/2Xrzvl
RT @BizballMaury-MLB unanimously approves ownership transfer or Texas Rangers to Greenberg-Ryan group by a vote of 30-0. http://su.pr/1u2GO3
RT@SBJSBD Sources say Budweiser reportedly taking NASCAR sponsorship to Harvick. http://su.pr/7JRQ9Z
RT @darrenrovell1 Nike Prez: LeBron’s move to Miami is a good move for the brand http://su.pr/7JYe1Z
“How Adolf Hitler & the Nazi’s cost the New York Giants & Jets $30 million a year” – The story of the Allianz deal: http://su.pr/1SkKsh
Focus on the Family plans to continue to use Tim Tebow as sports figure representative – http://su.pr/2PLFGp
Ilitch no longer the only suitor interested in Pistons – http://su.pr/8DPmGY
Nets apply for a name change – Prokhorov looking to change the image and face of the Nets franchise w/ move to Brooklyn http://su.pr/6MWMoH
Interesting sponsorship choices for USA mens bball – “USA Basketball Unveils Partnerships With Tiffany & Co., Got Milk”- http://su.pr/28qkwk
Spotlight continues growth! Hiring multiple new ninja’s as Team Relationship Associates: http://su.pr/1xYcsb
Papa John pulls its brand from bowl game, becomes official pizza sponsor of the NFL instead – http://su.pr/2ZMB9R
Average Heat ticket prices rise by over 500% as Miami prepares for a breakthrough season – http://su.pr/9XGQLq
Kovalchuck’s 17-yr contract rejected by arbitrator. Big decision involving the avoidance of salary cap in future – http://su.pr/31oSRN
Spotlight Ticket Management continues exponential growth. Looking for a Marketing Ninja with some PR Assasin interests…http://su.pr/2EplOg
Probes trying to stop agent misconduct and redefine the line between amateur and pro – http://su.pr/1p2MtI
Mike Ilitch gaining support to become Pistons new owner – wants to become Detroit sports kingpin – http://su.pr/21stME
RT @WesleyMallette: 12 reasons why athletes should partner with a strategic PR team. http://su.pr/1kdnxQ
NBA and NBPA working to settle on a new Collective Bargaining Agreement – http://su.pr/A1Ettp
Is letting fans “name the price” of tickets a good business decision? The Florida Panthers believe it is – http://su.pr/35Jhvy
